There is a globally known way of measuring employee satisfaction and engagement. It is called eNPS, which stands for Employee Net Promoter Score.
eNPS originates from NPS, Net Promoter Score. It was introduced by Fred Reichheld, Bain & Company and Satmetrix, 2003. eNPS is used by all Fortune 500 companies and is included in many employee surveys. Thus, eNPS has become a global standard. eNPS consists of one question, emphasizing the willingness to recommend the employer to others.
The purpose of eNPS is to get a quick overview of the employees’ satisfaction. The question is comprehensive and captures things that are relevant to work satisfaction.
Pros and cons
The disadvantage of the question is that it does not provide sufficient information on the specific strengths and challenges of the organization, teams, and individuals. Therefore, eNPS is usually supplemented with additional questions to give a deeper understanding and concrete actions to work with as you can see in Eletive.
Using a globally established key indicator such as eNPS creates benefits, which are not achieved by using local and supplier-specific indexes. eNPS simplifies the comparison with other organizations since many employee survey tools include the eNPS. A standardized key indicator also makes it easier to replace the supplier of measuring tools, without losing the benchmark value from previous employee surveys.
Question and calculation
The question is formulated as follows: ”How likely is it that you would recommend your employer to a friend or acquaintance?” The answer options range from 0 to 10, where 10 means “Extremely likely” and 0 means “Not at all likely”. The responses are then divided into Promoters (9, 10), Passives (7,8), and Detractors (0-6) as you can see in the image below.
eNPS is calculated using the following formula:
eNPS = Promoters (%) - Detractors (%)
Or in text "eNPS equals the percentage of Promoters minus percentage of Detractors". The result can range from -100 to +100.
What is a good eNPS?
Eletive’s guidelines on how to interpret your eNPS are:
|Below 0||Room for improvement|
|0 - 20||Good|
|20 - 50||Very Good|