You’ve probably heard of Net Promoter Score, NPS for short. A simple question that asks your customers to rate your organization from 1-10 on how likely they are to recommend your company to a friend.
eNPS lets you know how you’re doing as a company, internally. What does your team think of your business? How likely are they to tell their friends and family that ZayZoon is a great place to work?
There are many great resources that go in-depth on the specifics of eNPS and how scores are calculated. We’re not experts in eNPS, but we do know how to gather and take action on feedback. This article will explain why at ZayZoon, we consider eNPS an important exercise for understanding company health and achieving improvement.
So 1-10, pretty simple, right?
It’s actually not as straightforward as you might think.
Firstly, “promoters” are considered 9’s and 10’s while “detractors” are 0-6. Passives, who score a 7 or 8 are actually left out of the calculation of eNPS.
Your eNPS is calculated by taking your % of promoters and subtracting your % of detractors. This means you could end up with a net promoter score anywhere from -100 to +100.
So for example, say your company has 46 employees, and your most recent eNPS survey shows 36 promoters, 7 passives, and 3 detractors.
Ignoring passives leaves you with 36 promoters (78%) and 3 detractors (6%). As 78% less 6% equals 72%, the eNPS result would be 72.
Thanks for the example, but Is 72 actually good?
72 is GREAT. Excellent really. In fact, companies like Nike, according to Customer Guru, regularly score 0 or less.
How does ZayZoon do eNPS?
There are lots of fancy tools out there to help with eNPS but at ZayZoon, we keep it simple.
One key to getting the most out of Net Promoter Scores is consistency. Tracking your company trends over time is what’s going to tell you how the actions you’re taking are impacting employee satisfaction. Having a set rhythm reveals clearer trends and allows your leadership team to be more proactive in their people management efforts, this can be a leading indicator of employee engagement.
Leading up to our quarterly planning (read more about that here) we send out an anonymous, 2 question google survey to the team.
Here’s what the email looks like:
And here’s what the survey looks like:
After a couple reminders to the team (it always takes a couple 😅), we close out the survey.
Your score isn’t important. What you do with it is.
Collecting feedback and failing to demonstrate that you are willing to take action on it is worse than not collecting the feedback in the first place. At ZayZoon, we believe transparency is best. After reviewing the results as a leadership team, we create a summary that can be shared team-wide which addresses how we scored, how the score is trending, what the team said they liked, and where the team indicated we could improve. What is especially important is addressing areas of improvement and telling the team what we are going to do about it. If we cannot, or will not take action on something (usually due to a business reason) we will be candid about why. You need to show your team that their feedback will go somewhere or at the least acknowledged or they will eventually stop giving it.
What’s an example of feedback we’ve actioned on at ZayZoon?
Our benefits plan had no mental health considerations.
It’s easy to make “benefits” a check-the-box item. When you’re a smaller company, you might not have the expertise of what’s important and what isn’t. At ZayZoon, of course, we knew mental health was important, but through surveys done previously, we learned it was something only 1 of 30 wanted. We decided the plan we had was sufficient.
Problem is, we were unaware of how it had shifted with the pandemic. That 1 of 30 grew to 5-6 of 40, and the extent of the mental health issues also increased.
So what did we do? We increased our benefits to include a virtual counseling line, additional spending for counseling-related services and members of the team even stepped up to create a “wellness committee”, where they brought in speakers and specialists to talk on various topics.
We’re still not perfect in this area, but we improved and will continue to improve with further feedback.
Ready to go?
Remember, eNPS is just one part of the bigger toolset for team engagement and management.
To read about other things you can do to improve the processes for team engagement, retention, and success, visit our culture series here.