In the world of human relations, it can often be hard to keep up. In the past, our primary focus was on getting our employees engaged in our work. While that is still important (especially if we look at these employee engagement statistics), a new term has been springing up lately called the employee experience.

Today’s blog will focus on what that word means and why it is so important.

What Is The Employee Experience?

If you could describe the employee experience in one word, that word might be holistic.

According to Deloitte Insights, the employee experience is no longer defined by employee engagement. Instead, it is seen as

a holistic view of life at work, requiring constant feedback, action, and monitoring.

So, this means that you can’t just focus on one aspect (employee engagement) to see the bigger picture of the employee experience. Many other essential views must continuously be looked after as employers to make sure that our workers have a great experience.

If we go further let’s look at a definition from DecisionWise,

The Employee Experience is the sum of the various perceptions employees have about their interactions with the organization in which they work.

This means that it’s not always the positive experiences that matter, but the negative ones too.

So, for example, if you have a ping pong table in the office, that’s great, but what else are you doing for your employees? What if your employees have more negative experiences with you that outweigh the power of the ping pong table? In that case, you would be creating a negative experience for your employees.

So, let’s break down the potential things that might be included in the employee experience that you are building.

The Society for Human Resource Management (SHRM) claims that the employee experience involves three things: workplace culture, technology, and physical workspace.

  1. Culture: This is dependent on the feelings that your employees get when working for your company. What is your company’s vibe, practices, attitudes, mission? All of those things make up your company culture and play an integral role in the employee experience.
  2. Technology: Having great technology is essential in the future of work. Not only that, but the technology that you employ needs to consider the worker, not just the business. That means recognizing your employee’s thoughts when picking the best tech pieces for your office, not just the ones that are better for your business’s bottom line.
  3. Physical Workspace: This category includes a lot of different elements. Your physical workspace is the things that we can see such as the floor plan, the perks like a nice break room, and even the diversity of our workplace.

These three categories are great places to start in understanding your employee experience. It is vital that you dig deeper, though, as parts of your experience may fall outside of these three categories.

As you can see, this definition goes far beyond employee engagement metrics. It encompasses many other aspects that make being an employee for a particular company great or not so great. If you stop at employee engagement, you won’t be able to see the bigger picture.

Why Is The Employee Experience So Important

You cannot expect a great customer experience if your employee experience is poor.

According to Dr. Tracy Maylett, co-author of The Employee Experience, “The customer experience is a direct result of the engagement and the behaviors of your employees.

If your employee experience is great, your customer’s will have positive interactions with your employees, and it will make your customer experience flow seamlessly. Unfortunately, we know that employers spend 1,000x less understanding and shaping the journeys of employees. If we spend a bit more money understanding our employees, though, we can make a significant impact on our customer’s in return.

We know that our employees are often our brand ambassadors. Customers don’t usually see executives, and by the time they do, it’s generally because a poor customer experience has already taken place. So, if we can focus our efforts and energy on the employee experience, we can cut down poor customer experiences along with it.

Employers spend 1,000x less understanding and shaping the journeys of employees Click To Tweet

Statistics You Need To Know About The Employee Experience

There are many statistics that companies should know about the employee experience. Here are just a few of those.

The Employee Experience Is Ranked As A Top Priority Among Executives

Going back to the article written by Deloitte Insights, executive understand the importance of the employee experience. In fact:

  • 42% rated employee experience very important
  • 38% rated employee experience important

That means that 80% rank the employee experience as a priority! That is a huge majority. If so many executives rank this as a top priority, you should know that this is an important thing to prioritize as a company.

Not Many Employers Are Good At Or Ready To Address The Employee Experience

Again, from the article written by Deloitte Insights, only 22% of the executives surveyed stated that their company was good at creating differentiated employee experiences.

Furthermore, 59% of the survey respondents said they were not ready or only somewhat ready to address issues related to the employee experience. These are unfortunate statistics because we know that a great employee experience can improve the company and the customer experience as a whole.

Investing In The Employee Experience Creates A Great Return On Investment

According to SHRM, when companies invest in employee experience they have higher profits, higher average revenues, and lower turnover–just to name a few ROI metrics.

If you can create this positive employee experience, you can get a lot back in things that increase your bottom line. For many employers, those things matter, so understanding how the employee experience works is fundamental.

When companies invest in employee experience they have higher profits, higher average revenues, and lower turnover. Click To Tweet

On the other hand, SHRM also notes that only 6% of the companies they analyzed can be classified as experiential. This is a low number, but if they were able to receive so many benefits compared to their non-experiential counterparts, it makes you think that there could be something to their business style.

Key Takeaways

Today we covered what the employee experience is, why it is so important for your company, and some employee experience statistics. Here are some brief takeaways you can learn from today’s article:

  • The employee experience is holistic. It covers a wide range of activities that influence your employee’s perceptions of your company–good or bad.
  • Your employee experience directly impacts your customer experience.
  • Many company executives understand the importance of the employee experience, but not nearly as many of them have a great employee experience or are prepared to handle the employee experience.


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By | October 5th, 2017|Company Culture, Employee Engagement|

One Comment

  1. Elizabeth October 7, 2017 at 8:42 pm - Reply

    Great article…simple and to the point. We are embarking on this journey already leveraging all of the great work we are doing on CX. Thanks for sharing.

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