COPENHAGEN, Denmark, LONDON, AUCKLAND, New Zealand, BERLIN and NEW YORK, Oct. 1, 2020 /PRNewswire/ -- Peakon – an employee success platform – today released a commissioned Total Economic Impact™ study, conducted by Forrester Consulting, which quantifies the benefits and returns of using Peakon. The study proved a direct correlation between employee success and business success.
A composite organization, made up of interviewed Peakon customers, enjoyed an ROI of 244 percent over three years, equating to a net present value (NPV) of $1.2million.
The study found that, by using Peakon, the composite organization financially benefited in the following ways:
- Savings of approximately $871,000 driven by a 10% reduction in voluntary staff turnover over three years.
- Estimated savings of $755,000 as a result of reduced employee absenteeism, with average absenteeism declining by two days after the first year with Peakon.
- Savings of around $5,200 as HR teams save seven days annually on post-survey analysis: Peakon survey results are delivered directly to managers instead.
When interviewed for the study, one enterprise customer from the recruitment sector said: "The Peakon platform drives engagement results to managers directly through the dashboard. That really empowers them to understand how they're leading the team, what's working well, and what improvements they could make."
Another enterprise customer, director of people services in the non-profit industry, said: "The implementation process itself was probably one of the easiest I've ever been a part of... It was seamless. It was right on time as promised."
In addition to the quantifiable benefits above, the composite organization also reaped the following unquantified benefits:
- Improved Employee Experience (EX). Peakon customers interviewed for the study repeatedly stated that their EX scores improved following the implementation. As we know from previous research, engaged employees positively impact customer experience, productivity, hiring, and overall profitability.
- Empowered managers. The composite organization found that Peakon helps to empower managers. It makes it easier for managers to address difficult issues, implement changes, and to improve team engagement. Peakon provides suggestions for training and follow-up, in addition to the initial data and team insights.
- Initiating organizational culture change. The study also found that, with Peakon, employees feel heard, and managers can identify and address issues quickly. This helps to facilitate a change in established attitudes and behaviors – and ultimately a culture shift.
All interviewees flagged their appreciation of Peakon's continued platform development. Ongoing updates provide additional benefits and use cases, allow for greater flexibility, and further cost avoidance.
Commenting on the findings, Peakon CEO and co-founder Phil Chambers said: "More companies are partnering with Peakon as they begin to understand the direct and inextricable correlation between strong employee engagement and better business outcomes.
"As this study shows, Peakon customers enjoy benefits that extend far beyond improved employee engagement scores. This includes reduced staff turnover and absenteeism, better customer experience and productivity, and healthier profits as a result."
Chambers adds: "We've long since understood the business benefits of making your people the top priority. We believe that this study by Forrester Consulting just proves it further by quantifying the impact Peakon can have on businesses worldwide."
Download THE TOTAL ECONOMIC IMPACT™ OF PEAKON here.
Forrester developed the Total Economic Impact™ of Peakon, commissioned by Peakon, through four enterprise customer interviews at organizations using Peakon to obtain data with respect to costs, benefits, and risks, and subsequent financial analysis. Forrester conducted customer interviews across recruiting, defense, non-profit and media industries.
Total Economic Impact is a methodology developed by Forrester Research that enhances a company's technology decision-making processes and assists vendors in communicating the value proposition of their products and services to clients. The TEI methodology helps companies demonstrate, justify, and realize the tangible value of IT initiatives to both senior management and other key business stakeholders.
Peakon is an employee success platform that converts feedback into insights. It makes the employee conversation quantifiable and actionable to increase employee engagement – not simply measure it. Peakon's core belief is that work should work for people, and with the largest standardised data set of employee feedback in the world, Peakon provides customised benchmarks and personalised insights to support our mission of helping every employee drive the change they want to see. To date, Peakon has helped organisations like Capgemini, Verizon, Pret, Trustpilot, and easyJet make fundamental changes in how they operate to improve employee experience, driving greater business results.