What is employee Net Promoter Score®?

Unlocking the secret to employee engagement starts with one simple question asking how likely employees are to recommend your organization as a great workplace. 

Employee disengagement negatively impacts productivity and fuels attrition. In a landscape where only one-third of HR professionals excel in reducing turnover, the employee Net Promoter Score® (eNPS) effectively measures workplace sentiment and gathers feedback, providing insights to improve satisfaction and retention.

The eNPS® is the industry standard metric for measuring employee satisfaction and engagement. It’s based on a single, direct question: “On a scale of 0 to 10, how likely is it that you would recommend working at this company to a friend or colleague?"

Employees rate their likelihood on a scale from one to ten. The eNPS® rating scale then categorizes employees into three segments: detractors, passives, and promoters.

This scale captures diverse employee sentiments toward their workplace, from highly enthusiastic to critical. By simplifying the feedback mechanism to a single metric, eNPS® allows organizations to gauge the overall health of their employee experience quickly. 

The eNPS® is the foundation for more detailed analysis and actions, setting the stage for deeper insights into employee engagement and loyalty trends—typically through further research, such as employee surveys or interviews.

eNPS® mirrors the Net Promoter Score® system created by Bain & Company and Fred Reichheld. Bain & Company designed the NPS® framework to assess customer loyalty, which HR professionals have adapted to evaluate employee experience.

The eNPS® provides crucial insights into employee sentiment. Employees are the face of your organization, driving customer relationships and overall market presence. Here's why it matters:

Addressing employee turnover remains a top concern for HR professionals. eNPS® can identify root causes and inform strategies to improve retention. For example, eNPS scores can highlight employee dissatisfaction with compensation or benefits, prompting an organization to strengthen its current offerings.

eNPS® reflects how likely your team is to recommend your organization as a great workplace. This sentiment directly indicates your internal brand health and employee advocacy.

Employees naturally discuss their work experiences with friends, family, and on social media. When they are satisfied and engaged, they become organic promoters of your company. Disengaged employees, on the other hand, can spread negativity or apathy, which can detrimentally impact your brand. 

Related: Using eNPS to close the employee experience gap 

Instead of relying on attrition rates, eNPS® offers a clear, quantifiable measure of employee engagement. It serves as a cornerstone for strategic HR planning and improvement initiatives. HR professionals can use this data to address potential issues proactively before they escalate.

Data from a recent SurveyMonkey report underscores the importance of eNPS® in navigating HR challenges and leveraging opportunities:

The employee NPS® uses the same calculation system as NPS®. Start by converting the number of detractors, passives, and promoters you have into percentages.

Subtract the percentage of detractors from the percentage of promoters. Ignore passives, as they don't affect the score directly.

For example, if 30% of respondents are promoters and 20% are detractors, your eNPS® is 10 (30% - 20% = 10).

eNPS® scores range from -100 to 100, but most companies rarely score above 30.

It's important to note that eNPS® benchmarks can vary significantly across different industries. A good score in one sector might be average in another. 

For example, industries with traditionally lower employee satisfaction rates may view a score of 20 as positive. In contrast, more competitive sectors might aim for scores of 50 or higher to reflect their stronger focus on employee experience and engagement.

eNPS is a quantifiable snapshot of your employee satisfaction, but it’s important to combine your score with other types of employee feedback to get a complete picture of employee loyalty and engagement.

Supplement the standard eNPS® question with other eNPS® questions and follow-up employee feedback surveys that probe the reasons behind the scores. Use anonymous surveys to encourage honest, unfiltered feedback.

Related: Creating anonymous employee surveys

Analyze eNPS® feedback to identify high-impact areas for improvement, such as hiring and onboarding to building and maintaining an inclusive workplace. 

Prioritize actions based on feedback trends and potential impact on employee satisfaction and engagement, starting with areas directly affecting day-to-day employee experiences.

Regularly research and implement current HR trends and opportunities, such as flexible work arrangements, employee wellness programs, and modern learning and development tools.

Conduct eNPS® surveys regularly (e.g., quarterly or bi-annually) to monitor trends and measure the impact of changes. Schedule surveys in advance and integrate them into the company calendar to ensure consistent participation and timely analysis.

Track and manage employee experience, from feedback collection to analysis, to simplify eNPS® procedures. 

Choose a platform that streamlines employee engagement with intuitive tools and resources, including pre-written survey templates and expert-written questions, to create and distribute surveys effortlessly.

Incorporating eNPS® into your HR strategy helps retain top employees while attracting new talent, making it a pivotal tool in today's competitive labor market. Regularly tracking eNPS® helps maintain a pulse on employee engagement, ensuring that initiatives align with employee needs and expectations.

Net Promoter, Net Promoter Score, and NPS are trademarks of Satmetrix Systems, Inc., Bain & Company, Inc., and Fred Reichheld.