Communicators sometimes struggle with providing business reasons to get a new intranet. But they know that good communication does more than inform. Just to be clear, we’re not knocking communication to inform — that’s under-rated. It’s needed to announce and understand new organizational goals, provide insight into changes in the industry, increase business acumen, communicate a new benefits package, and more.
Good communication also improves engagement and productivity.
And that means, when communication excels, your organization meets its goals: increasing revenue while cutting costs.
Why is it time to revisit how important communications is? It’s budget time, and chances are good, you’re fighting for communication vehicles and the money needed to support them.
With that in mind, we have statistics you can use to help sell your executives and managers on a new intranet or other communication items.
Intranets can improve communications
You know the right message at the right time to the right people has a better chance of being understood and remembered. You also know that you’ll need to communicate up to 7 times for new information to be understood. But ensuring you have as many vehicles as possible to get your message through — to the right people at the right time — is your biggest challenge.
- Communicators need to go beyond emails. 92% of emails are deleted without even opening them. (Source: The Muse)
- The majority of internal communicators don’t measure communications effectiveness. Intranets come with built-in analytics to know whether information was read. Some intranets, such as ElevatePoint’s, can also provide insight into employee’s thoughts and questions through comments, the effectiveness of individual authors, and even specifics like who’s read the information (and who hasn’t). (Source: IABC)
- Employees want to connect to each other, including online. They need two-way communications. Some communicators are unaware that modern intranets can use social media across pages to enable engagement anywhere on their intranet. This engagement can also be done using mobile. (Source: Enplug)
- Video is one of the most engaging and effective ways to share your message. In fact, your communications strategy has elements that appeal to everyone with video, audio, blog posts, employee content, etc. Where can you manage all that content? You guessed it, your intranet. (Source: Vidyard)
- Companies aren’t doing enough, such as communication, to manage risk. Good intranets, such as ElevatePoint’s, come with intranet governance, ways to easily enable subject matter experts to provide information, enable employees to conduct training, and give a place for executive insights to employees. Modern intranets are also secure, meeting Microsoft requirements. (Source: AmericanExpress)
Intranets could make employees more productive
Getting to information quickly, through meaningful search and good navigation, is what you should expect from an intranet these days. Some intranets, such as ElevatePoint’s, also have refiners and additional search criteria to help you ensure you’re getting the right content.
Mobile intranets can travel with employees on any device — smartphones, tablets, laptops, and desktops. Not only do employees want to be productive on-the-go, they also want to stay connected. Even employees on vacation check in at work, not because they’re expected to, but because they want to.
Some intranets, such as ElevatePoint’s, also come with personalization to ensure each gets relevant information – news about their field office, tools to help them do their specific job, etc.
In addition, AI-driven chatbots, such as what ElevatePoint has, can even increase productivity and engagement by providing real-time answers anytime, anywhere, to routine questions, such as about benefits or reset passwords.
- Improved communication and collaboration could increase the productivity of workers by 20 to 20%. That collaboration and connectivity through social technologies include intranets. (Source: McKinsey)
- Connection and collaboration could increase in productivity amounting to $1.3 trillion per year. Those social technologies include intranets. (Source: McKinsey)
- Employees want mobile technology to keep them productive. More than 50% of employees surveyed said a single platform which is more mobile-centric and consolidates all company info, would make it much easier to receive and share content. (Source: FlexJobs)
- More employees are working remote and require mobile technology. 99% of white-collar workers are working remote. (Source: FlexJobs)
Engagement is a problem, but intranets can increase engagement
As the economy continues to improve, the best employees are looking at opportunities in other organizations. The Society for Human Resources Management (SHRM) predicts almost 20% turnover. For some industries, it’s even higher.
What can keep them? It’s not always about getting better benefits or more pay. Employees want to be challenged and share with colleagues and friends at work, including tools that help them do that.
Ensuring employee experience online is crucial.
- Most employees aren’t engaged. Engagement worldwide is 13%. (Source: Gallup) 70% of U.S. workers aren’t. (Source: The Muse) Employees from big companies are less engaged than workers from smaller companies. (Source: Gallup)
- Most organizations don’t have an engagement strategy. Only 25% leaders have an engagement strategy, despite 90% of them thinking one is useful. (Source: The Muse). A collaborative intranet — where people can socialize, be productive, and be recognized — is one of those tactics needed in an engagement strategy.
- Companies that invest in employee engagement have happier workers. At Google, employee happiness grew 37% as a result of engagement initiatives, including using online solutions. (Source: Fast Company)
- Feeling appreciated matters, including using the intranet to highlight and thank employees. Acknowledging good work is particularly essential to making employees feel like their work matters — 69% of employees say they’d work harder if they were better appreciated and recognized. (Source: Globoforce)
- People feel disconnected from peers. Using social media across intranet pages enables people to connect and interact. It even establishes or reinforces work friendships, which increases engagement. But today, people feel disconnected from peers. (Source: Forbes)
Increasing communication, productivity, and engagement can increase revenue
Many organizations have an annual goal of increasing revenue. Intranets can help do that by engaging and making employees more productive.
- Employee engagement makes a company more profitable. It drives growth by increasing profitability by 22%. (Source: Gallup)
- Happy workers are 12% more productive; unhappy workers are 10% less productive. (Source: Fast Company) Organizations with engaged employees outperform those with low employee engagement by 202%. (Source: Dale Carnegie Institute) Teams with high employee engagement rates are 21% more productive. (Source: Gallup)
- Happy workers give you happy customers. Customer retention rates are 18% higher on average when employees are highly engaged. (Source: Cvent)
- Engaged workers produce better quality. More engaged organizations have 41% fewer quality defects. (Source: Gallup)
- Engaged workers sell more. Highly engaged businesses see a 20% increase in sales. (Source: OfficeVibe)
Increasing communication, productivity, and engagement can reduce costs
Another goal many organizations have is reducing costs. Intranets can do that, too, through increased productivity and engagement, including retaining employees.
- Poor communication is costly. For enterprise-sized companies, they lose an average of $62.4 million per year. Smaller companies lose an average of $420,000 per year. (Source: SHRM)
- Not managing risk, including communications, is costly. Effective communications can prevent fines, safety issues, and more. For example, the Harvard Business Review (HBR) assessed that financial institutions’ poor communication shut down businesses and helped cause the Great Recession. (Source HBR)
- Disengaged employees costs organizations dearly – costs are estimated in the U.S. to be between $450 billion to $550 billion. (Source: Gallup)
- Engagement lowers fraud. Teams with high employee engagement have 28% less internal theft than those with low engagement. (Source: Gallup)
- Engaged employees are absent less. Companies in the top quartile of employee engagement see 37% lower absenteeism. (Source: Inside 6q.io)
- Safety issues are expensive. More engaged employees have 48% fewer safety incidents. (Source: Gallup)
- Turnover is expensive. When employees leave, Human Resources (HR) has to recruit and then help train new hires. Then there’s departmental or job-specific training that occurs. The cost of that entire process — from recruitment to training to lost productivity while the new employee ramps up — costs about $40,000 on average. It can be more expensive for managers. Costs don’t include losing institutional knowledge. By keeping employees, the organization can save that money. (Source: SHRM)
Communication, engagement, and productivity are big reasons to get support. Communicators need an intranet that meets employees where they are, how they work, where they work, and what they need. Most communicators have intranets as part of a “system of communication” — channels available to convey important messages. But often, their communications strategy goes beyond just information.
Your role as communicators is bringing value to the organization’s bottom line. Our statistics prove it.Contact us! We have business cases and more your team could use, free.