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Employee Turnover And Retention Briefings Abstract: 50

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Study Finds Direct Link Between Employee Engagement and Profitability [Yahoo Finance] Thursday 11/11/04 2:51 PM

A new study shows that there is a direct link between employee engagement and satisfaction and company financial performance. The link is evident even where employees do not interact directly with customers.

One of the key findings from this study concludes that companies with engaged employees have customers who use their products more.

"It is an organization's employees who influence the behavior and attitudes of customers, and it is customers who drive an organization's profitablity through the purchase and use of its products."

The study was designed by The Forum for People Performance Management and Measurement at Northwestern University. Dr. James L. Oakley of Purdue University's Krannert School of Management oversaw the research.
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