eNPS stands for Employee Net Promoter Score and is a way for organisations to measure employee loyalty or rather emotional commitment to an organisation's goals.
What is an Employee Net Promoter Score?
While it’s not meant to be a complete way of measuring Employee Engagement, because of its simplicity, eNPS is an amazing way for anyone to get started and is a great headline Human Resources Key Performance Indicator (KPI).
How is it calculated?
Your team is asked a question like "I would be happy to promote the organisation as an employer to my friends and family." and score their response from 1 to 10. Those responses are then sorted into 3 buckets:
- Detractors (1-6) Employees who are not likely to recommend working at an organisation and who may be likely to negatively influence others are called detractors.
- Passives (7-8) These employees are satisfied for the moment but are likely to leave the company if a better offer were to come along. In addition, though passives might recommend the organisation as a place to work, that recommendation is likely to be tempered by caveats.
- Promoters (9-10) These are the most enthusiastic fans, who would willingly recommend the organisation as a good place to work.
eNPS is simply the Promoter bucket as a percentage of all responses less the Detractor bucket as a percentage of all responses and will result in a score between -100% and 100%.
Example: 30% (Promoters) – 40% (Detractors) = -10%
At Roslin, we rate the possible scores as follows:
- -100 to 0: Needs Improvement
- 0 to 30: Good
- 30 to 70: Great
- 70 to 100: Excellent
How do I use eNPS?
Higher is better and you want this score to improve over time. eNPS is a simple number to track but to know how to improve it you have to look at the scores of your underlying Engagement Drivers as well as the Qualitative Feedback coming from staff.
Warning!: Employee Net Promoter Scores can be substantially lower than Customer Net Promoter Scores. Employees tend to hold their company to even higher standards than customers do. So before you initiate the employee survey process, be ready to process some tough feedback and respond with appropriate action.