What is outcome-based measurement?

Defining outcome-based measurement

Outcome-based measurement is a collection of results which assess a specific topic or area in a business.  Fundamentally, it assesses the productivity of the business and highlights areas for improvement.

An outcome-based measurement for employee engagement would (ideally) show that employees are doing the things that will add value to the business.  These could be achieved through employee engagement surveys, regular pulse surveys, focus groups or analysis platforms.  Sam Dawson, Head of Insight at Korn Ferry Hay Group advises the importance of this data:
“The organisation looks at the data to see which [area] is driving engagement and organisational performance. That more traditional route is statistically valid, the data is reliable over time. So, if an organisation wants to look at the shift from year one to year two, and [it’s] increased engagement by 5%, [it] can be sure that’s a real 5% change rather than just variability in the data.”

Measuring employee engagement

The importance of outcome-based measurement analysis not only underpins how employees are performing but accentuates the functionality and success of the business.  It generates data which can help improve and expand a business and provides insight into weaker areas of the workplace.

Challenges faced

There are two mains challenges most companies face when looking to measure engagement across their workforces.  These include:

Unmeasurable feedback

Often, companies generate questions which are stale and generic enticing feedback which is unmeasurable and unresponsive.  Equally, questions with a negative focus can provide more defensive answers rather than providing the opportunity for transparency.  As a result, the data becomes insubstantial to the overall objective.

Unresponsive feedback

Many companies submit an annual employee survey but fail to follow up with the data; making the exercise void and time-consuming.  Without motivation or incentive for being ‘heard’, employees feel despondent from providing honest feedback that does not have a tangible outcome.

Achieving outcome-based measurement

Achieving sustainable employee feedback is a consequential action of a well-developed strategy.  Recognising who the audience is, defining the objectives of the exercise and determining how to achieve the most optimised results can create more diverse and quantifiable data.  The perfect platform for outcome-based measurement analysis.

One example of effective and measurable data is UK-based home improvement chain, Screwfix, who encourages employee feedback on a regular basis through their open-door policy. Every two weeks, employees have the opportunity to provide feedback to their managers unrestricted by rules or guidelines. They give feedback on everything from daily job concerns to management; company interactivity with customers and ideas for improvement.

Consequently, the two-way interactivity between employees and managers resulted in Screwfix implementing a new customer card.  This helped speed up the in-store process by identifying customers and allowing them to make quicker purchases – a result of valuable employee feedback.

Outcome-based measurement is not about ticking boxes or fulfilling an annual quota. It provides opportunity to feedback, improve and expand a business tangibly and effectively.

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At ClearVoice Comms, we are experts in delivering employee engagement and communication strategies that inspire your people and transform your business. We influence change through the power of communication to improve your company’s performance. For more information or help with achieving sustainable outcome-based measurement analysis, call or email us today and let us show you how the power of communication can change your business.