AN OVERVIEW OF EMPLOYEE ENGAGEMENT ON PERFORMANCE: A LITERATURE REVIEW

The study reveals Gallup Organization research reveals that organizations with world-class employee engagement are 18 percent more productive and 12 percent more profitable than industry competitors with bottom quartile performance! In fact, top decile companies realize 3.9 times the Earnings per Share (EPS) growth rate compared with low engagement performers within their industry. A 2006 study by the Gallup Management Journal found that engaged employees make up an average 29 percent of a company's workforce, leaving a startling 71 percent who are “not engaged” or “actively disengaged.” (Cue offstage scream.). Engagement comes not from dollars but from more personal factors. The paper conceptually reveals the various strategies adopted by firms in employee engagement. The organizations are adopting various types of strategies like talent management, open communication, employee retention practices in engaging the employees. The organization effectiveness can be achieved through employee engagement and it has been proved by various studies.