Why employee satisfaction matters - ethically and financially

In this stunning article of March 16. 2016, Alex Edmans outlines his study of 28 years of data and his findings: " [...] firms with high employee satisfaction outperform their peers by 2.3% to 3.8% per year in long-run stock returns – 89% to 184% cumulative – even after controlling for other factors that drive returns. Moreover, the results suggest that it’s employee satisfaction that causes good performance, rather than good performance allowing a firm to invest in employee satisfaction."

You will find the details of his findings either in his article on Harvard Business Review or in his speech at TEDxLondonBusinessSchool in 2015.

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