Indian companies rank top among global peers in employee satisfaction, reflecting their successful business practices, says a study.
The findings are part of a report, 'Driving Success Through Performance Excellence and Employee Engagement,' by research arm of leading global HR solutions provider, Kenexa. The report is based on two employee-based indicators of business success, which can be used to measure and monitor a firm's state - the Performance Excellence Index (PEI) and the Employee Engagement Index.
"The higher the scores on these two indices, the better positioned employees are to deliver the organisation's value proposition. By improving their scores on these indices, organisations can improve their business results," Kenexa Research Institute executive director Jack Wiley said.
India ranks highest with 76 per cent on a country-level PEI index of 14 countries. The index tracks employees' views of product and service quality and the firm's focus on customer service, quality, training and employee involvement.
Other than India, Russia also ranks high at 67 per cent, while Japan has reported the lowest score at 45 per cent. Besides, the EEI index measures an employee's pride in his/her firm, willingness to advocate the employer, whether they intend to stay and their overall satisfaction.
India ranks the highest in the country-level EEI index as well, with a percentage of 73 per cent and is followed by Brazil (65 per cent). While Japan has the lowest score in this index at 36 per cent, the report revealed.
Kenexa Research Institute has introduced organisational model for high performance and employee engagement and includes practical insights that would have a positive impact on individual and organisational productivity, customer satisfaction and bottom-line financial results.
"Having a high performing organisation and an engaged workforce are complementary goals but they involve different leadership practices. Managers should pursue both goals in tandem, as this has positive, synergistic effect," Wiley said.
"Leaders are expected to meet increasing productivity demands, yet with lower costs and fewer resources. That means employees need to be motivated and fully engaged in their work in order to support organisational objectives," he added. The report also provided an analysis of the financial impact that performance excellence and employee engagement can have on an organisation. It shows that performance excellence and employee engagement are major contributors to an organisation's 'total shareholder return'.
"Given the recent economic conditions, many organisations and employees are feeling particularly battered. The analysis tells us where employees are reporting strengths for improving performance, enabling leaders to modify their practices and improve their systems," Wiley said.
