ROSEMONT, IL, September, 10, 2012 – Although 75 percent of recently surveyed human resource respondents reported measuring employee engagement, only 49 percent measured the return on investment (ROI) of those programs. A survey was conducted by Marketing Innovators International, Inc. (MI) at the World at Work Total Rewards Conference and Exhibition in May in order to understand if organizations measured and valued employee engagement ROI.
“What this tells us is that there is huge value to be gained simply by applying a methodology for measuring employee engagement programs,” Brad Callahan, vice president of business solutions at Marketing Innovators International, Inc., says. “Driven to do more with less, all companies are looking for returns on every investment they make, including employee engagement programs. A systematic methodology, rigorously applied, can demonstrate the value of those programs every step of the way. Capturing engagement ROI is the ultimate prize, but enormous value is gained as companies strive toward that goal.”
Callahan explains that ROI Methodology™, developed and refined by the ROI Institute over the past 25 years, generates insights that can be applied immediately, setting in motion a process of continuous improvement for employee engagement programs.
The measurement survey revealed large areas of opportunity for HR and other professionals to demonstrate the value of their employee engagement programs. While slightly more than half (50.6 percent) reported measuring program inputs, only 41.6 percent measured employee reaction and satisfaction with the programs experience, contents or value and just 19.5 percent measured post-program progress (use of information, knowledge, and skills, for example). Only 28.6 percent measured changes in business impact variables and 27.3 percent compared cost of the program with monetary benefits of the business impact measures.
Why the lack of measures? Nearly 60 percent cited lack of resources.
“Perceived lack of resources doesn’t have to be a barrier to measurement,” Callahan says. “If you are able to apply a methodology, you can start at the most basic level—capturing employee reaction and satisfaction with those programs—and use those insights to immediately begin improving those programs. This isn’t an all or nothing situation.”
A white paper detailing survey responses is available at www.marketinginnovators.com/thought-leadership/white-papers/ or by contacting Cindy Mielke, vice president of marketing at 800.543.7373.
About Marketing Innovators
Marketing Innovators International, Inc. (MI) designs and manages multifaceted incentive, recognition and loyalty programs that connect businesses and organizations across the nation and globe with their employees, partners, and customers. MI creates innovative solutions that align behaviors, actions and activities with organizational values, goals, and strategies for sustainable growth and increased profitability.
MI helps clients capitalize on the Human Connection® to inspire people, build a culture of engagement and create results that help to meet business objectives. MI’s signature award platforms offer unique opportunities to include gift cards, travel and merchandise.
For more than 33 years, Marketing Innovators International, Inc. has combined industry expertise with cross-industry best practices to help organizations develop and deploy people performance management strategies. Visit www.marketinginnovators.com or call toll free 800.543.7373 for more information. Follow the Marketing Innovators Blog or join MI on Facebook and Twitter.