Calculating Projected Revenue Increase

Understand the research and calculations behind the projected revenue increase with increased engagement in your organization.

When it comes to Return on Investment (ROI), revenue is at the top of the list for many executives.  The Revenue section shows the projected increase their division can have by boosting employee engagement in the workplace.  

Engaged employees are more committed and productive, which drives revenue and efficiency.  This is proven based on a study by Aon, which found a direct correlation between engagement and revenue. 

Companies that increased employee engagement by a mere 5%, directly increased their revenue by 3%.

So to calculate the Projected Revenue increase, we just need the annual revenue. 

In the example above, we multiplied the current revenue of $63 million by 3%.

Here's the formula for Calculating Projected Revenue Increase:

  • Annual Revenue x 3%
  • $63,000,000 x 3% = $1,890,000
This is showing that if this company increases engagement by 5%, they have a potential increase of nearly $1.89 million dollars in revenue.

Next Steps:

  • Go back to the Cost Analysis Resource Page to get equipped on everything you need to create, understand, and present your personalized Cost Analysis.  This is our Ultimate HR Guide to get Leadership Buy-In!
  • The Sparck Calculator can help you with all of the calculations for the Cost Analysis.
  • Learn how to Understand Absenteeism Costs and Projected Savings