FINANCIAL COST OF EMPLOYEE DISENGAGEMENT
IS IT WORTH IT? CASE STUDY: MAPLIN
We’ve made our point – disengagement comes at
a cost. The trouble is, no one seems to be doing
anything about it. Maplin, UK retailer of electronic goods, found
established links between employee engagement
and store sales performance in its company-wide
engagement survey in 2015. The half of stores
that actively managed engagement, implementing
schemes and analysing success, outperformed
their sales budgets by £500,000 more than the
other half of stores, and grew year-on-year sales by
£1m more.
Some 82% of business managers think employees
need to feel more engaged at work, but 59% of
employees believe that their CEO focuses solely
on finances rather than the team’s wellbeing.
The incongruence of these figures highlights the
fact that despite recognising the importance of
an engaged workforce, few employers are putting
enough focus on the team to make a difference.
This could be because they lack the resources or
can’t justify the ROI in engagement initiatives.
The statistics speak for themselves. When
employee engagement is a priori ty, and
engagement schemes are implemented correctly,
investment will not only pay for itself but can
generate a huge ROI for your business.
The above statistics are an example of the
positive impact of an engaged workforce on a
business’s finances. They clearly demonstrate
the opportunities that investment in employee
engagement can bring in terms of culture and, most
importantly, generating profit, reducing loss and
contributing to overall business success.
ENGAGED EMPLOYEES:
87%
*Less likely to leave
the company
45%
*More productive
37%
**Fewer sick days
18.4%
**More likely to
colaborate
* Hay Group: Employee Disengagement Costs UK £340bn Every Year
** Nate Dvorak & William E. Kruse: Managing Employee Risk
Requires a Culture of Compliance, 2016
35