How can you track and measure the happiness and satisfaction of your staff beyond just having a general feeling about their mood and commitment? Once a restaurant team grows to a size where the business owner is not in daily or weekly contact with most of them, measuring employee morale becomes much more important – having an objective view of their commitment, satisfaction and happiness.
You won’t use all 10 of these measurement systems, but some are waiting for you to analyse (eg sick leave and absenteeism numbers), and the surveys are simple to run. What you measure, you can manage, and improving staff retention has to be a top priority for every restaurant, cafe and bar operator.
10 Different Ways to Measure Employee Morale & Satisfaction
Employee Turnover Rate: Low turnover rates often indicate higher job satisfaction. Measure by tracking the percentage of employees leaving over a specific period compared to the total headcount. Now compare the current period with a previous one, e.g., this six months compared to the previous six months – are the figures better or worse, and if so, why?
How to work our staff turnover over a period (eg a quarter or a year):
Staff Turnover Rate (%) = (No. of Separations / Av. Number of Employees) x 100
Number of Separations: Count all the employees who left the company, whether through resignation, termination, retirement, or other separations, during the period.
Average Number of Employees: Add the number of employees at the start of the period to the number of employees at the end, then divide by two. If you have large fluctuations in headcount, use the average number of employees each month and then average these monthly figures.
Multiply by 100: Convert the ratio into a percentage by multiplying it by 100.
Absenteeism Rate: Lower rates can suggest higher morale. Calculate by dividing the number of absent days by the total number of working days for all employees, then multiply by 100. This includes sick leave, time off, and unexplained absences. Compare the figures for the current period with an equivalent previous period.
Sick Leave: when considered a factor for staff morale and job satisfaction, sick leave can indicate different things based on the situation and patterns observed:
High Usage: If employees frequently use sick leave, it could indicate low morale, burnout, or a negative work environment. It suggests they might be using sick leave to get a break from work. However, it could also reflect a lack of work-life balance or even health issues related to workplace stress or conditions.
Low Usage: low sick leave usage might imply high job satisfaction and morale, with employees feeling engaged and healthy enough to work. Yet, it might also suggest a culture where employees feel pressured not to take sick leave, even when needed, which could be harmful in the long run.
Employee Engagement Surveys: Regular surveys can gauge staff feelings on job satisfaction, engagement, and company culture – analyse response trends over time.
Here’s an example of a simple survey that can be quantified and compared with previous periods or across venues. Use an online tool like Google Forms or JotForm to gather the results in a table, and send out the survey by email or SMS:
On a scale from 1 to 10, how would you rate your overall job satisfaction at this restaurant? This question quickly measures how happy employees feel about their jobs and workplace.
Do you feel that your manager supports your professional development and growth? A yes/no question that helps assess whether employees feel supported and valued in terms of career progression.
Do you believe the company recognises and values your work? This question helps determine if employees feel their efforts are appreciated and acknowledged, which is crucial for morale. Use a scale of 1 to 5 eg 1. Strongly disagree, 2. Disagree, 3. Neither agree nor disagree, 4. Agree, 5. Strongly agree
How likely are you to recommend our company as a great place to work to friends and family? Rate from 1 to 10, from Strongly Disagree to Strongly Agree. This question, the Employee Net Promoter Score (eNPS), can indicate employee loyalty and overall perception of the company as an employer. For the scoring method, see the guide at the end of this article.
Add an open question to allow for suggestions eg. How can we improve staff satisfaction and morale in our workplace?
Productivity Levels: Higher productivity often correlates with satisfied staff. Measure by comparing your output over time against industry standards or past performance, or just from observation eg three people running a busy coffee counter in the morning at another cafe, compared to the four at your place – this could be because of equipment or the level of staff commitment. Another way to measure this is sales per labour hour eg $10,000 of sales needs 100 hours of FOH and BOH labour – how does this compare to your other venue or that of a colleague? Industry discussion groups like the Profitable Hospitality Owners Group can be good places to ask for comparisons.
Customer Feedback and Reviews: Positive customer reviews often reflect happy employees. Monitor feedback for mentions of staff attitude and service quality. Google Reviews, TripAdvisor, and Facebook comments are all worth watching, and if you have a large number, use a tool like ChatGPT to analyse the overall sentiment and trends in staff recognition.
Peer-to-Peer Support: The frequency of positive comments and feedback from staff can indicate a positive work environment. This can be amplified with an internal communication system for casual feedback eg Slack, a WhatsApp group or Messenger. It usually needs encouragement and clear expectations that staff communicate regularly eg the requirement that people say hello on the app when they start their shift. The people you want working for you won’t usually find this a problem, and there may also be small rewards and shoutouts for people who participate actively.
Participation in Voluntary Activities: A willingness to participate in team-building or voluntary company events can signal job satisfaction. Measure this by tracking attendance or participation rates. Be careful that ‘voluntary’ doesn’t depend on regular unpaid labour and that the charity or cause is widely supported.
Quality of Work: High-quality work can signify engaged, satisfied employees. Assess through regular quality checks and performance reviews, and watch for comments on review sites.
Use of Employee Support Programs: Low usage might indicate good morale, as employees may not need additional support. Track enrollment and usage rates of these programs. Most small businesses don’t use an external EAP (Employee Assistance Program) – they’re usually a feature of larger corporations.
Attention to employee engagement and satisfaction is essential for developing a positive workplace culture and keeping top talent. Businesses can gain valuable insights into workforce morale by measuring staff turnover, engagement through special surveys, and using the powerful Employee Net Promoter Score (eNPS). These numbers spotlight areas requiring attention and how to address them, keeping the business competitive and a desirable place to work.
Understanding eNPS (Employee Net Promoter Score):
eNPS is used to measure employee loyalty and overall sentiment towards an organisation. It is adapted from the Net Promoter Score, commonly used to gauge customer loyalty. The eNPS asks employees how likely they are to recommend the organisation as a great place to work to friends or family, usually on a scale from 0 (not at all likely) to 10 (extremely likely).
How to Score eNPS – first divide responses into 3 groups:
Promoters (Score 9-10): These highly satisfied and engaged employees are likely to advocate for the company. Passives (Score 7-8): These employees are satisfied but not enthusiastic enough to be considered promoters. Detractors (Score 0-6): These are unsatisfied employees who might not recommend the company and could potentially harm the company’s reputation through negative word of mouth.
Calculate the eNPS:
Subtract the percentage of detractors from the percentage of promoters. Passives are not counted in the calculation. Formula: eNPS = (% Promoters) – (% Detractors) The eNPS can range from -100 (everybody is a detractor) to +100 (everybody is a promoter). A positive score is generally good, above 50 is excellent, and above 70 is exceptional, indicating very high employee loyalty and satisfaction.
How can you track and measure the happiness and satisfaction of your staff beyond just having a general feeling about their mood and commitment? Once a restaurant team grows to a size where the business owner is not in daily or weekly contact with most of them, measuring employee morale becomes much more important – having an objective view of their commitment, satisfaction and happiness.
You won’t use all 10 of these measurement systems, but some are waiting for you to analyse (eg sick leave and absenteeism numbers), and the surveys are simple to run. What you measure, you can manage, and improving staff retention has to be a top priority for every restaurant, cafe and bar operator.
10 Different Ways to Measure Employee Morale & Satisfaction
Employee Turnover Rate: Low turnover rates often indicate higher job satisfaction. Measure by tracking the percentage of employees leaving over a specific period compared to the total headcount. Now compare the current period with a previous one, e.g., this six months compared to the previous six months – are the figures better or worse, and if so, why?
How to work our staff turnover over a period (eg a quarter or a year):
Staff Turnover Rate (%) = (No. of Separations / Av. Number of Employees) x 100
Absenteeism Rate: Lower rates can suggest higher morale. Calculate by dividing the number of absent days by the total number of working days for all employees, then multiply by 100. This includes sick leave, time off, and unexplained absences. Compare the figures for the current period with an equivalent previous period.
Sick Leave: when considered a factor for staff morale and job satisfaction, sick leave can indicate different things based on the situation and patterns observed:
High Usage: If employees frequently use sick leave, it could indicate low morale, burnout, or a negative work environment. It suggests they might be using sick leave to get a break from work. However, it could also reflect a lack of work-life balance or even health issues related to workplace stress or conditions.
Low Usage: low sick leave usage might imply high job satisfaction and morale, with employees feeling engaged and healthy enough to work. Yet, it might also suggest a culture where employees feel pressured not to take sick leave, even when needed, which could be harmful in the long run.
Employee Engagement Surveys: Regular surveys can gauge staff feelings on job satisfaction, engagement, and company culture – analyse response trends over time.
Here’s an example of a simple survey that can be quantified and compared with previous periods or across venues. Use an online tool like Google Forms or JotForm to gather the results in a table, and send out the survey by email or SMS:
This question quickly measures how happy employees feel about their jobs and workplace.
A yes/no question that helps assess whether employees feel supported and valued in terms of career progression.
This question helps determine if employees feel their efforts are appreciated and acknowledged, which is crucial for morale. Use a scale of 1 to 5 eg 1. Strongly disagree, 2. Disagree, 3. Neither agree nor disagree, 4. Agree, 5. Strongly agree
Rate from 1 to 10, from Strongly Disagree to Strongly Agree. This question, the Employee Net Promoter Score (eNPS), can indicate employee loyalty and overall perception of the company as an employer. For the scoring method, see the guide at the end of this article.
Productivity Levels: Higher productivity often correlates with satisfied staff. Measure by comparing your output over time against industry standards or past performance, or just from observation eg three people running a busy coffee counter in the morning at another cafe, compared to the four at your place – this could be because of equipment or the level of staff commitment. Another way to measure this is sales per labour hour eg $10,000 of sales needs 100 hours of FOH and BOH labour – how does this compare to your other venue or that of a colleague? Industry discussion groups like the Profitable Hospitality Owners Group can be good places to ask for comparisons.
Customer Feedback and Reviews: Positive customer reviews often reflect happy employees. Monitor feedback for mentions of staff attitude and service quality. Google Reviews, TripAdvisor, and Facebook comments are all worth watching, and if you have a large number, use a tool like ChatGPT to analyse the overall sentiment and trends in staff recognition.
Peer-to-Peer Support: The frequency of positive comments and feedback from staff can indicate a positive work environment. This can be amplified with an internal communication system for casual feedback eg Slack, a WhatsApp group or Messenger. It usually needs encouragement and clear expectations that staff communicate regularly eg the requirement that people say hello on the app when they start their shift. The people you want working for you won’t usually find this a problem, and there may also be small rewards and shoutouts for people who participate actively.
Participation in Voluntary Activities: A willingness to participate in team-building or voluntary company events can signal job satisfaction. Measure this by tracking attendance or participation rates. Be careful that ‘voluntary’ doesn’t depend on regular unpaid labour and that the charity or cause is widely supported.
Quality of Work: High-quality work can signify engaged, satisfied employees. Assess through regular quality checks and performance reviews, and watch for comments on review sites.
Use of Employee Support Programs: Low usage might indicate good morale, as employees may not need additional support. Track enrollment and usage rates of these programs. Most small businesses don’t use an external EAP (Employee Assistance Program) – they’re usually a feature of larger corporations.
Attention to employee engagement and satisfaction is essential for developing a positive workplace culture and keeping top talent. Businesses can gain valuable insights into workforce morale by measuring staff turnover, engagement through special surveys, and using the powerful Employee Net Promoter Score (eNPS). These numbers spotlight areas requiring attention and how to address them, keeping the business competitive and a desirable place to work.
Understanding eNPS (Employee Net Promoter Score):
eNPS is used to measure employee loyalty and overall sentiment towards an organisation. It is adapted from the Net Promoter Score, commonly used to gauge customer loyalty. The eNPS asks employees how likely they are to recommend the organisation as a great place to work to friends or family, usually on a scale from 0 (not at all likely) to 10 (extremely likely).
How to Score eNPS – first divide responses into 3 groups:
Promoters (Score 9-10): These highly satisfied and engaged employees are likely to advocate for the company.
Passives (Score 7-8): These employees are satisfied but not enthusiastic enough to be considered promoters.
Detractors (Score 0-6): These are unsatisfied employees who might not recommend the company and could potentially harm the company’s reputation through negative word of mouth.
Calculate the eNPS:
Subtract the percentage of detractors from the percentage of promoters. Passives are not counted in the calculation. Formula: eNPS = (% Promoters) – (% Detractors)
The eNPS can range from -100 (everybody is a detractor) to +100 (everybody is a promoter). A positive score is generally good, above 50 is excellent, and above 70 is exceptional, indicating very high employee loyalty and satisfaction.
Check the other useful blog posts on the Foodie Coaches website…
Want to get some 1 on 1 help with your business? Talk to one of our coaches