Business-Unit-Level Relationship Between Employee Satisfaction, Employee Engagement, and Business Outcomes A Meta-Analysis

• Published in: Journal of applied psychology Vol. 87; no. 2; pp. 268 - 279
• Main Authors: Harter, James K, Schmidt, Frank L, Hayes, Theodore L
• Format: Journal Article
• Language: English
• Published: Washington, DC American Psychological Association 01.04.2002
• Subjects: Applied psychology; Biological and medical sciences; Business; Businesses; Consumer Behavior; Consumer Satisfaction; Customer satisfaction; Efficiency, Organizational; Employee Productivity; Employee Turnover; Employees; Fundamental and applied biological sciences. Psychology; Human; Humans; Industrial Accidents; Job Satisfaction; Management Methods; Meta-analysis; Motivation. Job satisfaction. Attitude; Occupational psychology; Organizational Commitment; Organizational Culture; Organizational Effectiveness; Organizations; Profit margins; Psychology; Psychology. Psychoanalysis. Psychiatry; Psychology. Psychophysiology; Studies; Systematic review; Human; Employee; Attitude; Clientele; Labour productivity; Satisfaction; Turnover; Job satisfaction; Metaanalysis
• ISSN: 0021-9010; 1939-1854
• DOI: 10.1037/0021-9010.87.2.268

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.