What is eNPS?

What is eNPS (Employee Net Promoter Score)?

Employee Net Promoter Score, or eNPS, is a scoring system that helps employers measure employee satisfaction and loyalty. It is an extension of the Net Promoter Score system fromBain & Company, Satmetrix Systems, Inc., and Fred Reichheld, which helps companies measure customer satisfaction.

Why should I care about eNPS?

Employee engagement and satisfaction can be challenging to measure. A helpful measurement should be repeatable so that improvement and decline can be easily detected, understood, and resolved. The eNPS is easy to gather and can provide meaningful insights into why employees are unhappy or dissatisfied.

Since it has become a standard scoring system, companies may also benchmark their scores against other companies similar to them. We recommend using the eNPS as one among many measurements to understand and unlock employee engagement in your organization.

How eNPS works

Like NPS, the Employee Net Promoter Score (eNPS) system consists of a two-part survey question.

Part I

On a scale of 0 to 10, how likely would you recommend this company as a place to work?

Respondents are sorted into three categories: promoters, with ratings of nine or ten, passives or neutrals, with ratings of seven or eight, and detractors, with ratings of six or below.

Promoters are those employees who are highly satisfied and likely to recommend your organization as a place to work. Passives are employees who are satisfied enough to be content but may not be engaged. Detractors are unlikely to recommend their organization, which may indicate some level of employee dissatisfaction.

Part II

What's the number one reason why you're willing to recommend this company?

What's one thing we're doing that's holding you back from recommending this company to others?

A follow-up question is sent to promotors and detractors to learn about what is essential to employee loyalty and satisfaction and issues that hinder engagement, satisfaction, employee turnover, retention, and advocacy.

The Calculation

The score is calculated based on the percentage of respondents in the detractor and promotor categories.

Subtract the percentage of detractors from the percentage of promoters, and the final number represents the company's Employer Net Promoter Score. eNPS scores can range from +100 (all responses are promoters) to -100 (all responses are detractors).

Benchmarks

To understand how critical your employee satisfaction and loyalty issues are, you may want to benchmark your eNPS score with others. Here is a guideline for critical, good, excellent, and outstanding scores.

Results will vary depending on the type of industry, company size, market challenges, and more, so keep that in mind.

Conclusion

The employee Net Promotor Score (eNPS) provides a quick and repeatable way to measure employee satisfaction and loyalty. Get a better understanding of where your passives and detractors are in your organization and put in place initiatives and change management to gain more promoters.

Make these measurements meaningful by turning them into conversations with your people. Promoters are the most valuable advocates that foster better engagement and will help you attract great talent.

Learn about how Happily can help you put eNPS and hundreds of other measurements in place while providing timely insights to those in your organization that can take action. View our demo here.