It is important to be consider the costs associated with burnout, lack of engagement and inter-company frictions in the USA market context:
Burnout: Employee suffering from burnout cost their employers 34% of their annual salary. (Forbes)
Engagement: Low Employee Engagement Costs Companies $450-500 Billion Each Year at the USA, at least $2,246 per disengaged employee. (Forbes)
Frictions: Employment lawsuits and claims are the biggest and most time-consuming losses that companies face. The average employment lawsuit costs a company $200,000 approximately. This is made up of $80,000 for the employer’s attorneys’ fees, $80,000 for the employee’s attorneys’ fees and $40,000 in settlement to the employee. (Forbes)
For mid-sized US companies, Erudit AI shows a positive ROI resulting from a 5,34% engagement levels improvement; a 3% reduction on legal claims per year; and a 0,59% decrease in burnout levels. Erudit AI solution helps companies improve their 3 key metrics by 20-30% in the first year, which results into an average ROI of 5.15% on the first year.
Another business case that we would like to highlight is with a large European public traded company client of Erudit AI:
Erudit AI has established the following goals with this client: to use language as the main People Analytics data source and to drive a change in the company’s cultural organization. Our objective is to improve burnout level, engagement level and frictions at least a 7% just in the first 4 months.
Case group: 200 employees.
ROI expectations: 2,33 on the first 4 months.
Get access to the full business case at https://erudit.ai/contact