Why Voice of the Employee (VoE) matters: Turning feedback into action

Are you listening to your people?

Employees are the backbone of any successful organization, yet many feel their voices go unheard. Voice of the Employee (VoE) is the practice of gathering, analyzing, and acting on employee feedback—giving your workforce the opportunity to express their opinions, concerns, ideas, and suggestions freely. More than just surveys, VoE fosters a workplace culture where employees feel valued, engaged, and empowered to contribute.

But too often, businesses fall short. According to Gallup research, only one in four employees strongly agree that their opinions matter at work, and only 8% believe their employers act on their feedback. The result? Disengaged employees, higher turnover, and missed opportunities for growth.

When employees feel heard, businesses thrive. Let’s dive into why VoE matters and how to make it work for your organization.

Why Voice of the Employee (VoE) matters

A company’s success starts from within. Employee experience (EX) directly impacts customer experience (CX)—when employees feel valued, heard, and engaged, they are more likely to provide exceptional service, drive innovation, and stay committed to their roles. Organizations that prioritize employee engagement don’t just create better workplaces—they also see significant business benefits.

The link between employee engagement and business success

Trust and transparency are the foundation of strong employee engagement. According to Deloitte’s 2024 Global Human Capital Trend report, 86% of workers and 74% of leaders say these qualities are critically important. When companies truly listen, they are 12x more likely to engage and retain employees—leading to stronger teams, better customer experiences, and business growth.

In fact, businesses with strong engagement strategies see a 21% increase in profitability. Similarly, Glassdoor data reveals a 1-point increase in company rating correlates with a 1.3-point increase in customer satisfaction. When employees feel safe and supported, they contribute ideas, collaborate effectively, and go the extra mile—driving better customer experiences and long-term success.

Turning VoE into action: Overcoming common challenges

Most companies have employee listening programs, but execution remains the biggest challenge. Research from McKinsey shows that 70% of change initiatives fail, highlighting the difficulty of translating insights into lasting improvements.

Without a clear strategy for acting on feedback, even the most robust VoE programs risk becoming ineffective. To bridge this gap, companies must go beyond simply collecting data and commit to creating a culture where employee insights drive real, lasting transformation.

When employees see their feedback driving real change, morale improves, productivity rises, and innovation thrives. A strong VoE program ensures workplace policies evolve alongside employee needs, building a culture of trust, engagement, and long-term retention. Companies that actively listen and respond to employee feedback gain a competitive edge—aligning workplace initiatives with employee expectations to create a motivated workforce that fuels business success.

The biggest roadblocks to acting on employee feedback

Executing an impactful VoE strategy is challenging. Many organizations collect survey data but struggle to get employees to elaborate on their concerns or turn employee feedback into action. Leadership teams may face unexpected resistance after making decisions based on employee input, leaving them uncertain about how to move forward.

One major gap in existing VoE tools is the inability to uncover the “why” behind engagement issues. While surveys capture surface-level feedback, they often miss the deeper reasons behind employee sentiments. Organizations need more flexible and dynamic feedback mechanisms—ones that encourage employees to share not just how they feel, but why they feel that way. By closing these gray areas and encouraging deeper listening, businesses can move beyond data collection and toward real, lasting improvements.

How to effectively capture Voice of the Employee 

Capturing employee feedback requires ongoing, accessible opportunities for employees to share their thoughts. A strong VoE strategy incorporates multiple channels to gather both quantitative and qualitative insights, ensuring every employee feels heard. 

Diverse ways to gather employee feedback

Structured surveys: Deploy formal surveys on a recurring basis, such as annual engagement studies, pulse check-ins, or post-event feedback forms to track trends and measure workplace sentiment over time.

Feedback communities: Use quick survey briefs, focus groups, or in-depth interviews to uncover employee needs and issues, providing the insights needed to create meaningful action plans.

Company-wide forums: Host leadership Q&A sessions, departmental town halls, or dedicated listening events where employees can voice concerns, ask questions, and contribute ideas in a transparent environment.

Anonymous feedback channels: Offer secure options like virtual or physical suggestion boxes where employees can share thoughts without revealing their identities, promoting honesty and psychological safety.

Employee-led groups: Engage specialized teams, affinity groups, or diversity councils to gain insight into the unique experiences and perspectives of different segments of your workforce.

Digital collaboration tools: Leverage online platforms, such as workplace chat applications or internal social networks, to encourage ongoing peer discussions, idea-sharing, and leadership engagement.

Manager check-ins: Implement regular check-ins between employees and their direct supervisors to create a consistent feedback loop, strengthening trust and helping to resolve challenges early.

Exit & transition feedback: Gather honest insights from departing employees through structured exit interviews, identifying workplace issues that may contribute to turnover and opportunities for improvement.

Turning VoE insights into action

Capturing employee feedback is only the beginning—what truly matters is how organizations act on it. To create an engaged and high-performing workforce, companies must build trust, analyze insights effectively, and implement meaningful changes that align with employee needs and business goals.

Utilizing deeper listening

Deeper listening in customer experience (CX) means going beyond surface-level feedback to truly understand the root causes of customer sentiment. Just like employee engagement surveys that only collect input once or twice a year, traditional CX programs can fall short when feedback is infrequent or lacks depth.

By creating continuous, in-depth listening channels, brands can uncover meaningful insights, understand the root causes of issues, and address them proactively.

Building trust through anonymity and transparency

For employees to share honest feedback, they need to feel safe. Anonymity and psychological safety are essential for gathering candid insights without fear of repercussions. Organizations prioritizing confidentiality and open communication cultivate a culture where employees feel empowered to voice concerns, suggest improvements, and contribute ideas driving positive change.

From feedback to actionable insights

Collecting data through surveys, focus groups, and other feedback channels is not enough—organizations must have a structured process to analyze and act on the information. Utilizing sentiment analysis, text analytics, and trend identification helps uncover patterns, pain points, and opportunities. Once key themes emerge, businesses should prioritize action items based on factors such as impact, effort required, budget constraints, and alignment with company objectives.

Best practices for a successful VoE program

Set clear goals and metrics: Define measurable objectives for your VoE initiatives, such as improving employee engagement scores, reducing turnover, or increasing the number of employee-driven innovations.

Make it an ongoing process: VoE shouldn’t be limited to an annual survey. Continuous listening through multiple channels ensures organizations can monitor employee sentiment in real time and make timely adjustments.

Close the feedback loop: Employees need to see that their input leads to real change. A structured system should be in place to analyze data, take action, and, most importantly, communicate back to employees about how their feedback has influenced company decisions.

Secure leadership buy-in: A VoE program is only as strong as its leadership support. When executives actively encourage participation, respond transparently, and base decisions on employee insights, it reinforces trust and drives engagement.

Turning employee voice into action

Listening is just the first step—acting on employee insights drives real change. A strong VoE strategy can help you create a culture where employees feel valued and empowered to speak up. When leadership takes meaningful action, participation increases, strengthening the feedback loop and driving lasting improvements.

Simply put, VoE drives mutual growth—enhancing employee experience, boosting retention, and ultimately improving customer satisfaction. Businesses that listen, adapt, and evolve based on employee insights will gain a competitive edge, fostering a workplace where both employees and the company thrive.

Want to boost employee engagement and drive success? Reach out to SMG to learn how you can leverage the power of Voice of the Employee to create meaningful changes in your workplace.