EVP Versus Employer Branding: A Bird's-Eye View
Employer Branding and Employee Value Proposition do often overlap and may even seem interchangeable at times, however, this is not quite the case. Although interdependent, they are remarkably different from each other in terms of what each domain comprises and what the ultimate objective is. We dive into what makes up each of these terms, and how companies can offer the best of both worlds to create a robust organizational culture!
An Employee Value Proposition (EVP) is what attracts the right talent and helps an organisation retain it. While many companies have chosen to advertise their work culture and give prospective joinees an inkling of what to look forward to as an EVP strategy, the essence of this strategy runs much deeper. An overarching view of what a company does for its employees, EVP is an umbrella term encompassing the organisation’s policies, salaries, vacation structures, insurance benefits, rewards and recognition strategies, and so much more that falls under a similar ambit.
To put it simply, EVP involves just about everything that a company does for all its employees, and it pays off when workers display higher levels of trust and loyalty, increased productivity, and lower levels of attrition. Surveys suggest that companies that do not get their offer to the market right, may end up having to pay 50% more to acquire the right people, whereas those that get their EVP right can boast of 29% increase in new hire commitment!
A perennial project for the top management of any company, EVP is a great way to build trust and rapport within as well as outside the immediate workforce. It is the employees that bolster the culture and turn the workplace into a vibrant and blissful experience. In contrast, Employer Branding is reflective of how well a company markets itself as the ideal workplace, and how they attract the right talent by advertising their desirability as an employer. A top-down approach, this method shifts the focus to how the company wishes to be branded in the eyes of the outside world. While a great tool to attract new talent, these claims may not always be authentic, but can be used to set actionable goals and standards.
In fact, 92% respondents felt that improving their company’s culture would improve the value of the company, a Columbia University study found. The same study also stated that only 15% respondents felt that their company culture was up to par, giving an important industry insight into the need to develop a stronger, people-centric workplace culture with regular insights from employees on how to make their experience better.
Estimates suggest that 87% employees prioritise learning and development the most, placing responsibility on the shoulders of the company to provide such opportunities throughout the lifecycle. Trust, approachable leadership and camaraderie amongst employees also helps foster better teamwork and builds a culture of faith and honesty within the company, ensuring enhanced performance rates.
To build a strong reputation, it is important to strike a balance between these two strategies. Companies with higher retention and happier employees may choose to leverage their EVP in the form of messages and testimonials from the workforce, and advertise these as a part of their branding on social media, to project themselves as the ideal employers. After all, a happy team speaks for itself, whether digitally or by word of mouth. With advancement in communication technology, there is ample opportunity for the workforce to talk about their experiences with any given employer. When a company alumnus (or a current employee) chooses to do so in a positive light, it reflects well on the organization, and makes way for hiring better talent.
On the flipside, sincere efforts to learn from these employer branding projections and the resultant interactions with the external audience can help bolster an organisation’s EVP by introducing new employee-centric policies and programs after regular reevaluation.
As it is rightfully claimed, “EVP is the narrative, employer branding is the reputation”. While it’s unlikely that either of these work effectively without the other, it’s also important to note that the process starts from within. And that’s why, hiring a work culture consultancy, culture experts, diversity and inclusion advocates, or even policymakers, can help improve your company’s EVP, invariably projecting the brand more effectively.
When happy employees talk about your company, you’re bound to bring in improved traction and business opportunities, inevitably leading to more room for the growth of your organization!