In-House VS Vendor Employee Engagement Surveys:
Which is better?
Tuesday, January 20, 2026
It’s the New Year, and Instagram feeds, magazines, and all-things-social-media are filled with those fun quizzes: What is your home decor personality? What vacation suits you? Who is your ideal mate? Which Stranger Things character are you?
None of us want to be Vecna.
Well, some of us might want to have a little Vecna in us.
Here’s the thing – these quizzes are usually written in-house by a team of writers who create a quiz to work with the theme of the month. Similarly, if your HR team develops an in-house engagement survey, we don’t doubt they’ll have the right categories and can touch on key issues in the organization. Nevertheless, there are significant problems with in-house surveys.
Disadvantages of Using an In-House Survey:
No benchmark data:
Benchmark data provides context to your survey responses by comparing your results to organizations around the world (those within your industry and more). Benchmarking is really about understanding the survey questions themselves.A simple way to think about benchmarking is like using a measuring scale that’s been properly calibrated. Some survey questions naturally score higher, while others tend to score lower. This can be because of how a question is worded, the topic it covers, or both.
Benchmarking adjusts for these built-in differences. It helps you see how each question is performing relative to what’s typical for that specific item. As a result, you can fairly compare results across questions and clearly understand which scores are truly strong and which ones may need attention.
Simply put ~ each survey item can’t be judged by a number. Scoring a “9”, for instance, might be low for some survey items while a “6” might be high for others. Comparative data is necessary to understand the value of the numbers.
Lack of Employee Trust:
Employees know that a survey is built in-house, they are less likely to respond honestly, or even at all. Many fear retribution for responding to a survey negatively, believing there is a chance that HR might access their individual responses.Low Response Rate:
Because there might be a lack of trust for an in-house survey, survey response rates might be quite low.Benefits of Hiring an Independent, Online Survey Vendor:
Benchmark Data:
How does your organization compare to the hundreds of thousands of organizations that have conducted this same survey?Psychometric Experts:
Independent survey companies employ psychometric testing experts to formulate the survey questions. This helps remove bias. It also ensures the survey questions are reliable, actionable, and scientifically sound.Security and Confidentiality:
When employees know a third party is administering the survey, they’re more likely to respond honestly. The added confidentiality and anonymity increase trust and encourage participation.Actionable Insights:
An independent survey vendor can provide your organization with actionable insights. CustomInsight, for instance, harnesses AI to translate complex data into practical strategies and actions for your organization's leaders.Multiple Languages:
Increase response rates with inclusive language practices.Technical Support:
A third-party survey company will provide your organization with the technical support it needs to effectively conduct the survey process. This includes mobile compatibility – ensuring the online survey works on tablets, smartphones, and laptops. Technology glitches can cause stress and reduce survey response rates.Human Resources Support:
Leadership support post-survey is a benefit that many online survey companies provide. This can give you the additional benefit of building a culture of trust with your employees.Creating and conducting an employee engagement survey in-house can be worse than doing nothing. Though you might "save" money, you'll likely have a lot of wasted effort that will reflect poorly on HR and company leadership.
Even worse, you may draw incorrect conclusions from your results and take action based on those incorrect conclusions. Employees will feel that they took the time to tell you what they are thinking, and your response could overlook the most relevant and important issues.
Leave the in-house surveys for Instagram feeds and magazines. Engage your employees with a survey that can make a meaningful difference in how they experience work and the organization culture.
Make employee engagement your workplace resolution this year
Schedule a Free Demo Today
Engage. Develop. Succeed.
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