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Service Sector Case Studies

Rentokil Initial plc

Rentokil Initial plc has a 66,000 employee group, with a £2.5bn-turnover and services ranging from pest control to parcel delivery.  As a people based service organisation, Rentokil Initial’s service and business results depend heavily on how engaged their employees feel. Rentokil used a combination of correlation and gap analysis using 15 months of data and found that those teams who went on to produce the best gross margin began the period with higher engagement levels (+5%) than the initial engagement levels of underperforming teams.The teams that improved engagement the most saw retention increase by 6.7 percentage points, providing an estimated saving of £7 million.

“The Evidence”- Employee engagement task force, Dodge and Rayton 2012.

Marks and Spencer

marksspencer_logo

Marks and Spencer found that long term employee engagement trends are directly linked to long term sales performance.Using data from a study group of 137 high street stores over four years, those stores with an improving engagement trend over the four years significantly outperformed the stores where engagement scores were declining. Once store size was taken into account, both engagement itself and the changes in engagement from one year to the next were found to correlate to sales performance.Stores with improving engagement had on average delivered £62 million more sales to the business every year than stores with declining engagement.

The Evidence”- Employee engagement task force, Dodge and Rayton 2012.”

Europe-based contract services business

Company A is a contract services business in Europe. Division H launched a set of employee engagement tools, whist division E launched an employee satisfaction tool.  The engagement tools were trained into division H over progressive training sessions, whilst the satisfaction tools was merely launched to division E with no subsequent follow up.  After 2 years from the initial launch, Division H had outperformed Division E on

  • New Business Wins
  • Increased Revenue
  • Business Retention
  • Client Satisfaction
  • Employee Satisfaction

(This company asked to remain anonymous for competitive reasons)


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