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Business-unit-level relationship between employee satisfaction, employee engagement, and business outcomes: A meta-analysis.

James K. Harter, Frank L. Schmidt, Theodore L. Hayes

Journal of Applied Psychology · 2002 · 4,621 citations

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.

Cite this paper

Harter, J. K., Schmidt, F. L., & Hayes, T. L. (2002). Business-unit-level relationship between employee satisfaction, employee engagement, and business outcomes: A meta-analysis. Journal of Applied Psychology, 87(2), 268–279. https://doi.org/10.1037/0021-9010.87.2.268

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