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Business-unit-level relationship between employee satisfaction, employee engagement, and business outcomes: a
James K Harter1, Frank L Schmidt, Theodore L Hayes
1The Gallup Organization, Lincoln, Nebraska 68510, USA. jim_harter@gallup.com
Abstract:
Based on 7,939 business units in 36 companies, this study used meta-analysis to examine the relationship at the business-unit level between employee satisfaction-engagement and the business-unit outcomes of customer satisfaction, productivity, profit, employee turnover, and accidents. Generalizable relationships large enough to have substantial practical value were found between unit-level employee satisfaction-engagement and these business-unit outcomes. One implication is that changes in management practices that increase employee satisfaction may increase business-unit outcomes, including profit.
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