GAMIFICATION FOR EMPLOYEE SUCCESS. Calculating Your Employment Engagement ROI
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1 GAMIFICATION FOR EMPLOYEE SUCCESS Calculating Your Employment Engagement ROI
2 Extensive research has shown that highly engaged employees lead to higher business results. At the same time, disengaged employees cost companies billions in lost productivity. Engaged companies grow profits as much as 3X faster than their competitors 1. Disengaged employees cost the American economy up to $350 billion per year due to lost productivity 2. But what does that mean to your company? How do you show the benefits of increasing employee engagement in your organization? Companies using Badgeville have seen a broad range of benefits. Below you ll see in a few simple examples how you can estimate the benefits from using gamification to increase employee productivity at your company. Time equals money. To estimate the benefits, we re taking the time saved by using gamification to calculate the cost savings (based on the yearly cost per employee). In these examples, we re looking at a company with 1000 people and a cost of $68,750 per person. Let s look at these savings in more detail: 1. Increasing productivity On average workers spend 24.4 hours per week communicating or collaborating internally. Companies using collaboration technologies increase productivity 25 to 35% 3. Badgeville has increased collaboration on these technologies between 34 and 55% 4. The increased collaboration means increased sharing of content and best practices that have helped employees serve their customers better. The collaboration also means people are working with a much broader group of people than they were before. As a result, the positive impact of sharing multiplies. The benefits of collaboration lead to annualized benefits of $5,661, on average. 2. Reducing absenteeism Research has shown absenteeism incurs costs on a number of fronts, including replacement costs, costs from adjusting workflows and other employees workloads, and productivity impact on co-workers. Badgeville customers looked to increase employee engagement by using gamification. So they compared absenteeism for employees using gamification to those who were not. They found the employees using gamification had a 24% higher attendance rate. That meant these employees were working 1 day more a week than those who were not using Badgeville! Assuming employees are working 240 days a year, a company would realize $595, in savings. 1 Leveraging Employee Engagement for Competitive Advantage, Documents/07MarResearchQuarterly.pdf 2 How to Tackle Employees Stagnating Engagement, June The Social Economy: Unlocking value and productivity through social technologies, July, tech_telecoms_internet/the_social_economy 4 Accenture s A3 Program, May
3 3. Accelerating learning and development Accelerating learning and development is especially important in this rapidly changing information economy, as people need to continue to refresh their skills. 15% of hiring managers said nearly all or most job seekers had the skills and traits their companies look for 5. To close this gap and give people the best odds of keeping their careers on track companies are providing tools to be successful. But how do you motivate people to embrace life long learning? This is where gamification and digital motivation comes in. Deloitte and other customers have used Badgeville to motivate learning and development programs. Deloitte saw the speed of course completion increase by 50%. If we estimate that you have 100 new employees spending 100 days a year in training, they d save the company $390, annually because they finished their training early--- and started working! These are only a few examples of how companies have improved their businesses from using Badgeville. In this case, if the company had implemented gamification for these three points within the enterprise, they would realize over $10-million in savings! 4. Identifying attrition Engagement has a profound impact on employee performance and retention. The Corporate Leadership Council found that highly engaged employees are 87% less likely to leave the organization. A leading, global Badgeville customer found a direct correlation between those who were not using the Badgeville solution and those who left the company within 6 months. Through measuring employee engagement levels, gamification and digital motivation solutions identify those who are most at risk of leaving the organization. Through early identification of and engagement with at-risk employees, companies can reduce turnover. Assuming average turnover costs are 38% of annual salary, current turnover rate is 25%, and increasing employee engagement reduces turnover by 66%, a company of 1000 would realize $4,310, in savings. For additional details on how customers have benefited from gamification, see the rest of this ebook! Karen Hsu VP, Marketing 5 Employee Absences have consequences for productivity and revenue, SHRM research shows, December about/pressroom/pressreleases/pages/employeeabsencessurvey.aspx
4 Sales Team Productivity To Increase Sales team productivity through improved collaboration and better reporting. What motivates salespeople? Like everyone else, salespeople want to feel they are growing professionally and meeting their goals. They are also highly competitive with incomes that depend upon making their numbers. business gamification, is designed exactly for this type of challenge. Gamification uses human motivation -- the type that drives people to play and enjoy games -- to drive business results. By understanding needed results and then designing game mechanics to drive the results, gamification can tap into powerful human motivators. Gamification of Salesforce Chatter Community The solution takes a unique approach by making actions that are important to the company important to its salespeople. Salespeople are rewarded for entering data to advance their opportunities and for sharing recent customer activity. Salespeople also get credit for such tasks as updating opportunities, entering hashtags, making comments, and creating group assignments. Salespeople can see the result of their actions on their profile page. Users see their progress in a personal history record that provides validation of their activity. A training pack shows training missions and progress against goals. Finally, an Activity Stream provides social sharing and intelligence about what s going on in the sales community. 4x increase in forecast accuracy; 3.5x increase in number of new deals With Badgeville, this company has experienced dramatically improved sales productivity and forecast accuracy. For example, while they expected to see more opportunity activity at the end of the quarter, Salesforce interactions have, in fact, become consistent across the quarter. And, within that consistency, they saw an increase in the number of opportunities salespeople were creating in the system per day. In addition, salespeople are not more accurately forecasting their close dates. This is visible through the data that records and tracks the average number of accurate forecasts credited to the salespeople daily. Remarkably, they saw 4 times the number of accurate forecasts and 3.5 times the number of new deals entered. 25% Average daily activity 2X Increase in average daily return visits 40% Average weekly return visits
5 Enhance Employee Performance Gamification for Executive Training This company offers extensive online coursework for a variety of consulting practice topics in hopes of making training more accessible for employees. The challenge was getting both employees and client companies to log on, take courses and continue the practice of corporate training despite their busy work schedules. Gamification of Salesforce Chatter Community With Badgeville Game Mechanics, the company gave their consultants instant feedback of their progress and guided them along clear learning paths. As consultants completed related coursework, they built up reputation that intrinsically motivated them to continuously engage. With lifts in course completion and regular adherence, they had improved learning, making it easier to locate and source experts for projects and holistically evaluate employee performance. 4x increase in forecast accuracy; 3.5x increase in number of new deals With Badgeville, this company has experienced dramatically faster course completion, higher daily return rates, and a greater weekly retention. 50% Faster course completion 47% Higher daily return rates 36% Greater weekly retention
6 Employee Training and Communication Increase effectiveness of performance, training and communicating with resellers. How do you cost effectively train and manage the performance of sales reps who are separate from your organization, globally dispersed, and by their very nature, disconnected? This leading Korean manufacturer tried numerous methods, but found each unable to maintain relevance, track education, and obtain consistent member use. They worked with Badgeville to build an engaging and personalized reseller community. Training Academy Community designed and powered by Badgeville Badgeville developed a Training Academy that uses proven game science to attract and and reward reseller sales reps for targeted, desired activities. The manufacturer wanted reps to complete training, learn products, and communicate consistently. Badgeville designed game missions to drive these actions. They missions use game mechanics such as point, badges and leaderboards. Each sales rep is motivated to complete designated activities such as watching a video, passing a quiz or completing a training activity. When completed, the rep earns points and badges. Each of these achievements forms part of the broader holistic training objective. And, when appropriate, the sales rep is rewarded with monetary incentives through the same system. Badgeville s analytics provide each reseller visibility into their sales reps engagement, status and performance through a real-time dashboard. The dashboards present user and usage insight over time for any action, level, reward or achievement. Metadata-based analytics enable resellers to view analytics by phone model or other business segment, and to dynamically change the game mechanics to drive business results. Increased sales performance, collaboration activity, and training effectiveness The Badgeville Training Academy has been well received by the reseller community. The results show that the reseller sales reps are continuously engaged, completing program training and becoming brand advocates. Since deploying the Training Academy: The Training Academy not only provides the information required to continuously learn about and represent this telecom s products and programs, but also delivers the information via an engaging and motivational solution that is actively used. 25% Return each day 40% Return each week +10% Complete training daily
7 Employee Collaboration Increase effectiveness of employee community and collaboration. In today s business environment, it is mission critical for employees to stay informed and engaged. More and more organizations are turning to employee community portals to enable their employees to connect, discuss issues and topics, share ideas, and effectively collaborate. However, as one company discovered, simply deploying a website doesn t guarantee success. These portals are often poorly utilized, grow stale, and wither away. Employee Community Powered by Badgeville. Badgeville was leveraged to gamify their employee collaboration and communication interactions. The employee community portal contains missions built around activity on the site such as onboarding, continuous use, acquiring followers, breadth of engagement, and depth of knowledge. Users receive badges for behaviors that are indicative of helpful use on a wide range of topics. For example, one mission is designed to train employees on how to use the community. In it, the user must complete six unique steps (activities) before they are able to proceed onward. Other repeatable missions include creating posts that are Liked by others, obtaining followers, and getting views of posts. With Badgeville s sophisticated game mechanics, this company was able to award points based on user role, daily and weekly frequency of use, as well as distinguish between high priority actions (e.g. replying in a thread) and low priority actions (e.g. bookmarking a thread) based on the business goal. Increased collaboration activity and effectiveness through community site use. In just a few weeks, the new portal was delivering improvements to employee communication and collaboration, while also providing an enjoyable user experience. The employees are having fun competing with each over for bragging rights and leadership recognition. Thanks to Badgeville, employees are posting over a third more content and have created more than a third more threads since deploying gamification. They have twice as many users completing their profiles, a thirteen percent increase in usage, and almost a third more employee replies to threads. And, overall content viewership is up by approximately twenty percent! 33% More content posted 20% Increase in content viewership 2X Users completing profiles
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