Maximize your Employee Value Proposition
How can having an Employer Value Proposition (EVP) make the challenges faced at this challenging time for business and organisations feel less turbulent?
Your EVP should be unique to your organsiation providing a series of benefits, perks and all round good stuff that your employees receive in return for the skills, talent, knowledge and capability they bring to the roles they perform.
An EVP is really about defining and bringing to life the essence of your organisation, what it stands for, its values and how it translates the combination of these into meaningful ways to show up for those who contribute to your organisations success.
The Keys to a Successful EVP
The UK and global labor market have and are continuing to face enormous challenges in attracting and retaining talent. Yet the solutions to approaching this conundrum is one that when done well, can improve both hiring and retention.
And it’s according to Harvard Business Review, that the most effective way to design and implement of an Employee Value Proposition, there is the inclusion of four key factors.
- Material factors: This includes salary & bonus compensation, the office location and its amenities, the organisations location, any travel benefits or subsidies, technology equipment provisions and software to use in role,computer equipment, the availability of flexibility and any additional perks, such as gym membership, private medical insurance, and pension contribution.
- Growth and development opportunities: This factors in the range of ways the organisation supports employees to acquire and develop new skills. This can include employees participating in training courses, skills based development programmes or by assigning enhanced roles, putting them through secondment opportunities and offering promotion opportunities.
- A sense of community & belonging: There are evident benefits to human beings having a sense of belonging and feeling like they are a part of wider community group. benefits that come from being part of a larger group. The sense of community and belonging can range everything from including recognition schemes, feeling appreciated and valued for who you are, what you bring to the organisation and what you do. Yet this also extends to the degree of which the organisation operated cohesively. Are there strong communication channels? A sense of connectedness and a organisational culture that embodies belonging for all?
- Organisation purpose: What is the organisations why? The why, the purpose, the organisations reason for being is one that should permeate through all that the company does. From the attraction and recruitment processes, to the market segmentation and positioning of the organisation. Ultimately the organisations purpose should align with the aspirations and goals that the organisation has for its performance and being. All of which should not only align with the leadership of the organisation but with all employees sharing the vision, values and purpose of the organisations goals.
Maximising Your EVP – The Advantages
Mazimsing your organsiations EVP matters and has significant advantages, because by forming the foundation of your employer brand, your internal retention efforts and your external recruiting efforts will flourish as a result.
Your employer brand leverages the strengths of your employee value proposition and as outlined by CIPD, an employer brand is how the organisation differentiates itself on the wider labour market.
It’s easy to understand why this matters when it comes to a competitive recruitment market.
Essentially by having a strong employer brand, it enables organisatioms to compete for, attract and win the best talent available on the active and passive job market.
Superior talent is up to eight times more productive
The advantages of getting this right for the orgniastion translates to enhanced business performance. Essentially there is a link between attracting top talent in a market where high performing candidates have swathes of options to choose from, and the productivity of those candidates when employed to work for your organisation.
Mckinsey conducted a study to understand the link between the difference that superior performers can make within an organisation. Evaluating the levels of productivity demonstrated between low and high performers.
The findings demonstrated the clear advantage that high performers have on a businesses success. Surveying more than 600,000 individuals across fields including research, entertainment, government, business and sport found that high performers had 400 percent more productivity than those who were deemed to be more average performers.
Yet as great talent and certianly high performing talent is in short supply, it’s through the creation of a strong employer value proposition that your organisation will reap the advantages.
How to Develop Your EVP
Creating your EVP, goes far beyond a workplace slogan or tagline that you announce at a company all hands call. When developing your EVP it’s vital to review the internal values and make up of your organisation, as this will inform the very fabric of your employee value proposition. Which in turn will develop the essence of your employer brand.
Given that your current employees will offer a strong barometer for how your existing EVP is landing, it makes sense to begin there. Surveying and engaging your people on how they feel about the current offering. Are employees feeling sufficiently compensated, are the market factors that include compensation, flexibility and benefits aligning with expectation?
Thinking about the opportunities that your teams have for growth, again, how is this being felt by the organisation? Have there been a raft of internal promotions, or is the organisation continuously hiring externally to fill newly created positions? How are individuals being acknowledged for their performance? Do you have an effective performance management programme, one that enables growth and development to all employees. Not only those that highlighted as high performance, high potentials, (HIPO’s).
Exploring these aspects of your EVP using an employee engagement survey, is an excellent way to take the temperature of your organsation. Not only will this exploration deduce what the organisation is doing well, but the insights will also measures the extent your talent base feel valued and where there is room for improvement.
By conducting an engagement survey, there is ample scope to identify what is motivating employees in their performance and incentivising them to stay, grow and develop with your company.
Through the evaluation of the responses, you will have evidenced based outcomes that can be used to craft the basis of your EVP and its accompanying statement used in internal and employer brand activities.
Conjoined Approaches Are Most Effective
The task of developing an EVP should not sit with HR alone. Whilst HR is responsible for the growth and development of talent within the organisation. The leadership team, owns and directs the organisations purpose. Through an effective collaborative approach, both the leadership team and HR are able to define an employee value proposition that serves the organisation both now and in the future.
When embarking on a project of this nature, its success is assured with the comfort that comes from having a HR software solution that makes managing human resources administration and processes so effortless. Sage HR, creates amazing experiences for your employees, whilst giving business owners, leaders and HR practitioners the valuable time they need back, to work on vital initiatives like developing an employee value proposition.
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