Employee Satisfaction Study Flaws

In a previous article, we noted three different studies that showed that employee satisfaction was a vital part of revenue, primarily due to its effects on customer satisfaction. The three studies looked at different companies that had high satisfaction scores and noticed that these same companies also had more revenue, especially during a period of time where many companies were struggling.

However, there are several issues with those study results that may affect their relevance to the findings of your own company. Revenue May Breed Employee Morale Often times employees within a struggling company may feel the stress of the lost revenue, and that stress may affect their morale. All of the studies listed correlations, but correlations are not causations – were the happy employees what helped the company succeed, or was it the success of the company that made the employees happy? Companies with more revenue may also have the revenue to pay for bonuses, etc., which improve employee morale.

Customers Experience Financial Struggles Too One of the cited studies showed that during a period of economic decline, customers also appeared to be more satisfied at the companies with satisfied employees. Yet again, every customer is likely also experiencing the financial stress that companies went through during the beginning of the recession. Most customers would likely only continue to frequent the businesses that already had the products or services they needed.

High satisfaction scores may have been more likely during that time period. Employee Satisfaction Scores May Change Rapidly One of the cited studies did customer satisfaction scores in 2000 and 2001, while only assessing revenue in 2002. There is no guarantee that the company would have received the same scores in 2002, which may have affected the results.

This is not to say that employee satisfaction and revenue are not linked, or that the conclusions drawn from all of those surveys are in any way incorrect. Quite the contrary, many studies have shown a link, and even if customer satisfaction isn’t directly connected to employee satisfaction, employee satisfaction will likely have other benefits including: Fewer turnovers. Less workplace stress and sick days.

Attracting valuable employees. The above examples just emphasize the importance of stringent research and analysis with both your customer and employee surveys. Only by collecting ample amounts of data and analyzing that data correctly can you be certain that the data you collect is enough to draw conclusions from.