What Exactly is Employee Engagement?

December 9, 2019 / by Lydia Stevens

Employee engagement has been getting a lot of attention recently. From the well-known Gallup survey to articles in Forbes and beyond, it's a topic that has infiltrated the world of business. And for good reason, too.

Engaged employees have been shown to perform better, be less likely to quit, and be happier and more motivated. For companies, this translates into higher profitability with the same number of employees. It's a win-win.

Definition of Employee Engagement

Employee engagement refers to the overall sense of enthusiasm, loyalty, and commitment employees feel working at a given company. Organizations with strong employee engagement have plenty of employees who come to work every day ready to give it their all and who are committed to contributing to the company mission. These employees will put in discretionary effort due to the genuine engagement with their work.


Components of Employee Engagement

There are many different interpretations of the term employee engagement. Our interpretation, however, includes several key components.


1. Relationships

There's a good reason why Preciate's purpose is helping people build stronger relationships. Connections with others directly feeds human happiness, and there's no exception when it comes to workplace relationships.

Having strong relationships with coworkers is fundamental to employee engagement. It's the connections with other people in the office who create a sense of loyalty to a particular company. Once someone has built authentic relationships with their teammates, they are more likely to want to keep their job. This leads to increased retention for the organization.

2. Recognition

Giving and receiving recognition is one of the most important components of employee engagement. In annual engagement surveys by TINYPulse, the percentage of employees who reported feeling valued at work has gone down year after year.

When it comes to feeling undervalued, a lack of appreciation is to blame. Many companies fail to implement a recognition program that encourages the exchange of appreciation and praise, which ends up costing them in the end. Employees who receive consistent, authentic recognition for their effort and accomplishments are more productive, more loyal, and generally happier. Not only do they feel good coming to work, but they take those good vibes home, improving their lives overall.

3. Company Culture

Without considering company culture, increasing employee engagement would be nearly impossible. The environment an employee comes into everyday has a huge impact on their ability to be genuinely engaged with their work.

Company cultures can be negative or positive, so creating a positive culture takes conscious effort. In particular, it's a matter of creating a culture of appreciation where strong workplace relationships can thrive.

When a company's culture is clearly defined, employees can easily determine where they fit in. This increases engagement because employees know how they are contributing to their organizations' purpose. It also helps with branding and recruitment, which has become more important in modern times. Companies with a well-defined positive culture tend to attract hard-working, dedicated employees, which perpetuates the cycle of engagement.


In Conclusion

Employee engagement refers to the level of enthusiasm, commitment, and productivity in a company's employees. There are many components that contribute to employee engagement, and some of the most important are company culture, relationships, and recognition. With a focus in these three areas, organizations can take themselves to the next level, benefitting customers, shareholders, and employees alike.

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Topics: Employee Recognition, Employee Engagement, Relationships, Company Culture

Lydia Stevens

Written by Lydia Stevens

Lydia is the Digital Marketing Manager at Preciate. A recent college graduate, she brings youthful Gen Z energy to the team while working towards our company vision of bringing the recognition and relationship-building experience to as many people as possible.