For a long time, companies have known that “happy employees create happy customers which create happy shareholders.” And yet it’s possible to believe this fervently and still stagnate. For many companies, the problems begin with a lack of organisation, and a lack of knowledge about what an exceptional experience looks like.

 

However, for the companies that have tapped into the potential of employee experience best practice, the opportunities for financial growth are manifold – a truth which is affirmed in KPMG Nunwood’s latest CEE report.

 

What is a ‘good’ experience?

Before a company can deliver an exceptional employee experience, it must first understand what drives customer experience best practice.

At KPMG Nunwood, the universal characteristics of the best experiences are represented in the system of The Six Pillars: Personalisation, Time and Effort, Expectations, Integrity, Resolution and Empathy. And not only do these pillars give an insight into the mind of the consumer, but also into that of the employee.

So a company could take the teachings of Empathy, for example, and use this to improve the quality of the employee’s life. This can be seen with Aviva, which has a First Day at School policy for parents. This means that colleagues can take a half-day to drop off or pick up their new children when they start a new school.

Ultimately, the goal of The Six Pillar method is to create something called The Human Value Chain. This is when a company’s capability areas are bound by the through-thread of The Six Pillars, with the company culture being linked to the colleague experience, which is linked to colleague behaviour, which is linked to the customer experience, and so on.

And with each of these capability areas united and moving in the same direction, a more seamless and harmonious scenario is cultivated. The end result is a number of measurable business outcomes.

 

What are the business outcomes?

KPMG Nunwood’s latest CEE report shows that there is considerable value to be unlocked when The Six Pillars are applied to the employee experience. This research covers over ten years of investigation, across 3,000 brands and 20 markets worldwide. 

These findings are covered in more depth in the 2019 UK CEE report, but here’s a snapshot of some of the key business outcomes from an improved employee experience…

  • Happy employees produce 37% more sales
  • Happy employees are 12% more productive
  • Companies with happy employees outperform the competition by 20%
  • Fortune’s ‘100 Best Companies to Work For’ enjoyed a raise in stock prices of 14% per year from 1998-2005, compared to 6% for the overall market

 

What is a ‘happy’ employee?

The Six Pillars are the best point of reference for answering this question. And what these pillars actually mean – and how they can be applied to a business – is explained in more detail in the 2019 report.

However, one of the factors uniting the best brands is that of employee empowerment. Companies such as the bank first direct, for example, are markedly thorough when it comes to colleague training. This means that customer issues can be dealt with at the point of first contact, reducing stress and helping the employee to feel more valued and ‘necessary.’

This also helps with The Human Value Chain. The customer enjoys a more seamless customer experience – as they are not being batted from pillar to post to have their problem resolved – and there’s reduced conflict in the brand’s capability areas, as there is less disruption to the forward flow.

The business outcome, in this respect, is a company that sees a reduced staff turnover, and a customer base that’s more loyal. Indeed, the most engaged employees are 87% less likely to leave the company, which limits expenditure; a study from the Center for American Progress estimates that the cost of replacing an employee is upwards of 200%.

 

The next step

So could The Six Pillar system make a difference to your employee experience, and business growth? The 2019 UK CEE report contains a wealth of valuable insight to help you consider this point. No company serious about improving its customer experience should miss the opportunity to read.

Click here to download your free copy.