Knowledge industry’s undue dependence on the people power requires the company to understand the needs of the people so as to retain them within the company. It is stated that on a study conducted by the Harvard Business Review it was revealed that a 5% decrease in retention of the employees can bring about a 10% decline in the cost of production and improved productivity which ranges between 25% and 65%. So for ensuring customer satisfaction and for guaranteeing employee performance, identifying the needs and the level of satisfaction of the employees in the business entity is necessary.

The human resource department undertakes various surveys to understand the employees better. Employee feedbacks tell where the company is headed and what can be expected from the company in the long term. Employee perception surveys are undertaken to recognise the dreams and aspirations of the employees. It helps to have an insight on what the employee needs are, how it expects the company to help him achieve it, the motivating and demotivating factors in the eyes of an employee, etc, thereby assisting the management to bring about the changes in the management policies accordingly to ensure employee satisfaction.

The surveys also aid the management in identifying the level of employee satisfaction in the organisation and steps to improve the working culture. The human resource surveys identify the employee perception towards the monetary and non-monetary benefits handed out by the company. The management policies can be formulated to meet the changing needs of the employees, thereby accelerating their loyalty and creating an employee-friendly company image in the market. The magnitude of the health and safety measures can also be evaluated using surveys.

The surveys also reflect the flaws in the present system in the organisation. A survey conducted on reimbursement of medical bills, insurance policies, etc reflects the promptness of reimbursement procedure and can aid in removing any ambiguity and red tapes in the submission procedure of the bills.

Human resource surveys also help in the identification of the key employees, improving employee potential and in succession planning. The surveys can be made use to identify the leadership potential in an employee. It also helps the human resource department in the recognition of areas of improvement and in introducing training and developmental programs to overcome the weaknesses and augmenting the strengths.

Some employers provide the employees with a questionnaire on leaving the organisations to identify the reason for leaving the organisation, employee opinion regarding the managerial policies, the management, the monetary and non-monetary benefits, work, etc. The exit surveys are conducted for paving the way for improving the working environment in the organisation, thereby killing the high attrition rates.

The human resource surveys can be conducted on any issue relating to the welfare and development of the employees. The intention behind the survey is to create a better employer-employee relationship in an environment surrounded by opportunities to grow and mature in a safe and welcoming setting created in accordance to their needs.