Employer Branding: Winning the Post Recession Competition for Talent

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1 ©2010 Target Training International, Ltd. 060910 Employer Branding:Winning the Post Recession Competition for Talent | 1 Employer Branding: Winning the Post Recession Competition for Talent TTI White Paper April 2010 TTI - The Assessment Company PH: 614 873 7227 www.murrayassociates.com [email protected]

description

Every company is known by the public via two distinct brands, itsemployer brand and its consumer brand. Understanding whatdistinguishes the employer brandand how it may affect attracting andretaining superior performers canbe the difference between spring-loadingout of a recession and not recovering at all.

Transcript of Employer Branding: Winning the Post Recession Competition for Talent

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©2010 Target Training International, Ltd. 060910 Employer Branding: Winning the Post Recession Competition for Talent | 1

Employer Branding:Winning the Post Recession Competition for Talent

TTI White PaperApril 2010

TTI - The Assessment Company

PH: 614 873 7227www.murrayassociates.com

[email protected]

©2010 Target Training International, Ltd. 060910 Employer Branding: Winning the Post Recession Competition for Talent | 2

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Every company is known by the public via two distinct brands, its employer brand and its consumer brand. Understanding what distinguishes the employer brand and how it may affect attracting and retaining superior performers can be the difference between spring- loading out of a recession and not recovering at all.

Introduction Table of Contents

i. Introduction 2

1. Employer Brand Matters 3 1.1 Whatisemployerbrand? 1.2 Howisitdifferentfromconsumerbrand? 1.3 Yourimageistheirimage.

2. Who Contributes to Your 5 Employer Brand? 2.1 Treatprospectiveemployeeslikeexternal customersofyouremployerbrand. 2.2 Itstartswithagreatfit. 2.3Wingoodwordofmouthfrom happyemployees. 2.4Applywhatyouknowaboutcustomer satisfactiontoemployerbranding.

3. How to Cultivate & Maintain Your 8 Employer Brand 3.1 Whyit’snotjustaboutpay. 3.2Outstandingbenefitsaren’tjustabout healthinsuranceandvacationdays. 3.3Expressyourorganizationalvalues. 3.4Softensecondaryeffectsoftherecession thatimpactperformance. 3.5 Leadershipcommunicationmatters nowmorethanever. 3.6Thecurativepowerofprofessional development. 3.7 Payingforhealth&productivity initiativespaysoff.

4. In Summary… 13

A1. About Target Training 14 International, Ltd.

A2. Endnotes 15

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What is Employer Brand?Simplyput,youremployerbrandistheperceptiontheworldhasaboutyourcompanyasagoodorbadplacetowork.Havingagoodemployerbrandmeansyourcompanyisperceivedasanemployerofchoice,knowninyourindustryandregionasahighlydesirableplacetowork.Havingapooremployerbrandcouldmeanlosingstarperformersin2011andexperiencinganuphillclimbtoreplacethem.

Signsthattheeconomymaybeontheupswingareencouragingforbusinesseshopingtoincreasesales,buttheymayalsoportendthenextbigchallenge:aneminentshufflingofkeytalent.

Inone2010study,morethanhalfofUSemployersanticipatethatretainingkeytalentwillbemoredifficultnextyear.1Financialhardshipandfearcurrentlyhaveworkerspursuingortemporarilystayinginsecondorthirdchoicejobs,butmakenomistake:theyaresustainedbythehopethatrecentsignsofeconomicgrowthmeantheycansoonmoveontogreenerpastures.Employerswhodon’tofferavalue-addedemploymentexperiencemaylosesuperiorperformers.

“In one 2010 study, more than half of US employers anticipate that retaining key talent will be more difficult next year.”

EmployerBrandMatters

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How is it Differentfrom Consumer Brand?Employerbrandisdistinctfromthecompanybrandthatservestoattractbuyersforproductsandservices.Whilecreatingahippersonamaybeeffectiveforattractingconsumerstoproducts,employerbrandingisnotassimpleascleverads,trendyofficedecororawebsiteposturethatsays,“We’recool.”Talentedjobseekershavebecomeadeptatusingavarietyofcommunicationchannelstocoolyevaluateanemployer’svalueofferingandwillrejectcleverspinforverifiablefacts.

Establishingyourcompanyasanemployerofchoicewillrequireasophisticatedstrategy.Itrequiresusinganawarenessofchangingworkplaceconsiderationsfromtheemployees’perspectivestoformulateavaluepropositiontoemployeesthatclearlyanswerstheage-oldquestion,“What’sinitforme?”

Theemployerbrandismadeupofaconstellationoffactorsthatcontributetoanemployee’sexperienceinsideabusiness.Theseincludeeverythingfromtheobvious(suchascompensationandbenefits)tofactorswhich,whilemoresubtle,profoundlyaffectanemployee’squalityoflifeafterhire.Strategicallyshapingthesefactorscanhelpretainstrongperformerswhileattractingnewtalent,byshowingyou’vetakenstepstocreateaworkenvironmentwheretheycanthrive.

YOUR Imageis THEIR ImageCompanybrandingandemployerbrandingaren’tthesame,buttheymayintersecttofueleachother.Agoodplacetoworkmayalsobeperceivedasaworthwhileplacetobuy,andviceversa.Manyofthesamecharacteristicsthatattractsociallyresponsibleconsumerstopatronizeagivenbusinesswiththeirdollars—factorssuchasproducinghighqualityproductsandservices,usingenvironmentallyfriendlymanufacturing,fairtradepolicies,genderneutralpaypractices,diversityinhiring,reducingthecarbonfootprintandprovidinghealthyworkingconditions—arealsoconsiderationsforjobseekers.Areviewoftheemployerbrandshouldverifythatyourcompany’sstanceontheseissuesiscommunicatedacrosschannelslikeblogs,newsletters,websites,etc.

Morethanever,consumersstoptoconsiderwhetheracompany’sdemonstratedvaluesarealignedwiththeirownbeforeopeningtheirwallets.Similarly,employeeswanttobeidentifiedwithcompaniesthathaveagreatreputation.Theywanttofeelproudoftheircompany.

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Treat ProspectiveEmployees Like External Customers of Your Employer BrandRememberthatprospectivejobcandidatesare‘customers’whospreadinformationbywordofmouthaboutyourcompany.Interviewerswhoareinattentive,uncommunicativeordownrightrudewillunwittinglyerasethehardworkyoudotopositionyourcompanyasanemployerofchoice.

Ontheotherhand,athoughtfulrecruitmentstrategywhichincludesjobbenchmarkingandcandidatebehavioralandmotivationassessmentsintandemwithaclearlycommunicatedemployerbrandisatrulyvaluablecareerexperienceforthejobapplicant.Unlikesomeapplicationprocesses,onethatusesassessmentsisupliftingandaffirming.

Evencandidateswhodon’tgetthejobofferwillleavewithvaluableinsights.Theuniqueassessmentreportprovidedtothemisanindependentlyvalidatedtoolforunderstandingthemselvesasanemployee.Recognizingboththeirstrengthsandpotentialareasfordevelopmentenablesthemtobettercommunicatetheirvaluetopotentialemployers.

Examineeachstepofthehiringprocesstoassurethatitgivesapplicantsanappreciationforwhatitwouldbeliketoworkinsideyourbusiness,andyourcompanyshinesasapositiveexperienceduringtheirjobhunt.

“Recognizing both their strengths and potential areas for development enables them to better communicate their value to potential employers.”

WhoContributes?

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It Starts with a Great FitMomentumforretainingkeyplayersstartswhenthey’rehired.Minimizepotentiallossesofbothtalentedemployeesandtheirproductivitybyusingassessmentstoensurethateachpersonisinthepositionthat’sthe

rightfitforthatindividual.Assessmenttoolshelphiringmanagersdeployemployeesinpositionswheretheypotentiallyhavethebiggestimpactonthebottomline.Employeeswhoareinthejobthatisbestsuitedtotheiruniquesetofskillsandinclinationsarehappier,andthusmorelikelytostickaround.

Win Good Word of Mouth from Happy EmployeesJobseekersandpotentialcustomersalikeareincreasinglywell-informedconsumers,usingavarietyoftechnologychannelstothoroughlyinvestigateacompany’sofferings.Thismakesthestrategyofhowbesttopromoteafavorablecompanyimageallthemoreimportantwhenthegoalistoattractthebesttalent.

Smartcompaniesconsciouslytreatcurrentemployeesastheinternalcustomerstheyare,providingavalueaddedcareerexperienceandlettinghumannaturetakeit’scourse.Satisfiedemployeesthenbecomegoodwill‘ambassadors’whoareareliablesourceofhighqualityhires.

“Assessment tools help hiring managers deploy employees in positions where they potentially have the biggest impact on the bottom line.”

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Apply What You Know About Customer Satisfaction to Employer BrandingDissatisfiedcustomerstendtoengageinmorewordofmouththansatisfiedcustomers.Disgruntledemployeesmay,too.Withtheriseofsocialnetworking,astutestepstowardenhancedemployerbrandperceptionisanecessity,notanoption.Likeitornot,cynicalworkershaveanabundanceofchannelsforbroadcastingtheiropinionsofthecompany.ThetsunamiofpeopleusingtoolssuchasFacebookandTwittertoairtheirlovesandhatestotheworldchallengesthedegreeofcontrolcompanieshavehistoricallyhadoverpublicperception.

Untilrecently,traditionalmarketingandpublicrelationseffortsfocusedonchannelssuchastelevisionandprintadvertising,allowingcompaniestopresentacarefullyshapedpictureofproductsandservices.Todaytheenormityofwebsite,blog,Facebook,andTwitteroptionshaverelocatedyourcompany’semployerbrandtothedigitalpublicdomain.Thetalentedjobseekersyourcompanyhopestoattracthavereadyaccesstowhatcurrentcustomersandemployeesalikearesayingabouttheirexperienceofyourcompanyandit’sproducts,justasconsumersdo.

Yourbrandperceptionis‘owned’inthepublicdomain.Youcannotcontrolwhatisbeingsaidbutyoucansubstantiallyinfluenceitbycommunicatingthefactsaboutlifeinsideyourcompanyandhowemployeesfeelaboutit.Evaluatingandupgradingtheemployeevaluepropositionistheindispensablefirststeptocreatingfavorablebuzzaboutworkingforyourcompany.

“Today the enormity of web site, blog, Facebook, and Twitter options have relocated your company’s employer brand to the digital public domain.”

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Why it’s Not Just About PayRecenteconomiceventshavecausedashiftinthewaypeopleevaluatetheimportanceoftheircareertooveralllifegoals.Sleeplessnightsandprolongedstretchesofunemployment—whethertheirownoralovedone’s—provokeaseriousevaluationofpriorities.Sodoestheexperienceofbeing‘stuck’inapoorjobfitbecauseofastuntedeconomy.It’sneverbeensoobviousthatthequalityofone’sworklifeprofoundlyshapesoverallqualityoflife.

Outstanding Benefits Aren’t Just About Health Insurance & Vacation DaysTalentedpeoplewantwork/lifebalanceandscheduleflexibility,andwithanarrayoftechnologies,it’seasyformanagementtoprovidethemwhilemaintainingproductivityandcommunication.Whenasked,“Howimportantisittoyoutohaveflexiblehoursaslongasyougetthejobdone?”,51.48%ofrespondentsinonestudysaiditwasimportantorveryimportant,withanother32%citingitassomewhatimportant.2Allowingemployeessomeflexibilityinchoosingtheirworkschedulemakesanenormousimpactonqualityoflife,particularlyiftheycommutethroughheavytrafficorhavegrowingfamiliestocarefor.

Encouragingwholesomelifestylehabitsbyprovidingafunctionalkitchen,worksiteexerciseordiscountedgymmembershipscontributestoemployees’healthwhilestrengtheningtheemployer’sbrand.Workingforacompanythatmakesitpossibletoseamlesslyfulfillone’sworkandfamilyresponsibilitieswhileremaininghealthyishighonjobseekers’shoppinglists.

Cultivate&Maintain

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Express Your Organizational ValuesDefiningandexpressingthecompany’svalueshasbecomeanimportantconsiderationforbothretainingandattractingtalent.Companyvaluesarenotjustanexpanseofloftytextonthewebsite:theyhelpcreatethecompanycultureandarethegroundofyourdecisionmakingprocesswhenplansaffectstaff.Theyaretheruleragainstwhichalldecisionsshouldbemeasuredandshouldbeconsistentlyevidentinallcompanycommunications,particularlythosewithemployees

Areyouabletosuccinctlyarticulateyourcompany’svalues?Canyouremployeesseethemdemonstratedinconcreteactions?Forexample,involvementincommunity,charitableandenvironmentalcausesisincreasinglyviewedasmakingworkandlifemoremeaningful.Whencompaniesgiveemployeestheopportunityto1)choosethenatureoftheinvolvementand2)participatetogether,theyallowstafftohelpbuildthecompany’sculturefromthebottomup.Employeesurveyscanbecustomizedtomeasurehowsuccessfullycompanyvaluesareconveyed,whileidentifyinglogicalnextsteps.

“Are you able to succinctly articulate your company’s values? Can your employees see them demonstrated in concrete actions?”

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Soften Secondary Effectsof the Recession that Impact PerformanceItcouldbecalledthe‘PoisonPillEffect’:Layoffsdon’tjustaffectdepartingstaff.Howwellorpoorlyacompanytreatslaidoffworkershasaprofoundeffectonremainingstaff,too(andofcoursethesestoriesarebroadcastoutsidethecompany.)Employeesarealreadyspeculatingabouttheirownchancesofbeinglaidoff,sotheywillpaycloseattentiontohowmanagementtreatsdepartingworkers.Inthepost-recessioneconomy,yourstaff—includingcriticaltopperformers—maybeaffectedbythepervasivegloomthathas64%ofemployeesfeelingstressedatthepossibilityoflosingtheirjob.3Inanatmosphereofuncertainty,feartakesoverandemployeesmayspeculatescenarioswhicharethenrepeatedasiftheyhavevalidity.

Besensitivetohowthecurrenteconomicclimateaffectsyouremployeesoutsideofwork.Evenpeopleluckyenoughtohaveajobarefeelingthepainwhentheygethomeatnighttospouses,children,friendsorparentswhomaybeunemployedanddepressed.Justastheyarebeingaskedtoproducemoreatworkwithasmallerstaff,theymaybecarryingaheavyloadathome.

Thediminishedhousingmarketmayalsohaveadevastatingandlastingeffectonworkers’prospectsandselfesteem.Theymaybereluctanttodiscusspersonalfinancialmattersatwork,butsomearequietlylosingtheirhomestoforeclosure,whileothersanticipateyearsoffinancialfalloutfrombadlydamagedcredit.

Withwidespreadjoblosses,eventhosewhoareworkingmayfeelgrimaboutthefuture.Manycan’tanticipatepayraisesorjobstabilityinthenearfuture,buttheyfacetheprospectofmaintaininginflatedpaymentsonadevaluedhome.Yourstaff’smoraleandthustheirperformanceonthejobmaybeaffected.

“In the post-recession economy, your staff—including critical top performers—may be affected by the pervasive gloom that has 64% of employees feeling stressed at the possibility of losing their job.”

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Leadership CommunicationMatters Now MoreThan EverCounterfearandstresswithclear,intentionalcommunicationsthatconsideremployees’viewpointsineventhesmallestmatters.Ifthisyear’sstrategicplanhasbeenwellcommunicated,theywillhaveanaccurateviewofwherethecompanynowstandsandwhathastohappeninthenearfuturetoavoidmorelayoffs.Nowisnotthetimetoleaveemployeeprospectstospeculation.Itisimperativethatcommunicationswithstaffarefrequent,consistentandhonest.Employeesneedtoknowspecificallyhowtheirownperformancecanpositivelyornegativelyaffectthesuccessofthecompany’s2010plan.4

Asurveydesignedtoincludeanassessmentofemployees’currentperspectiveswillprovideusefulfeedbackforleadershipabouthoweffectivelytheyarereassuringstaffwhencommunicatingthegameplanformovingfromsurvivaltogrowthintheaftermathofthefinancialdownturn.

The Curative Power of Professional DevelopmentProfessionaldevelopmentboostsperformancetowardthegoalscompaniesmustaccomplishtoturnthecornerthisyear.Italsoactsasarealisticantidotetothestressemployeesfeelinthepost-recessioneconomy.FromMillennialstoBabyBoomers,thelackofpotentialforadvancementthisyearisparticularlyfrustratingforthesuperiorperformerscompanieshopetoretain.Theyrecognizethatthecurrenteconomyisaroadblocktothecareergrowththeirperformancewarrants.Despiteknowingthatcompaniesarehardpressedtoincreasesalariesorprovidebonusesnow,intheabsenceofmitigatingfactors,highperformersmaybetemptedtolookelsewhereforincreasedopportunity.5

Providegrowthopportunitiesaspartoftheemployerbrand,becauseprofessionaldevelopmentdollarsperformdoubleduty.Investinginemployeedevelopmentcanhelpretaintalentedworkers.Theycorrectlyperceivegrowthopportunitiesasademonstrationthatthecompanyvaluesthemandisinvestingintheirfuture.Trainingthatguidesthemtothenextlevelofeffectivenessdoesn’tjustpositivelyimpactproductivityandthebottomline.Itgivessuperiorperformersthesenseofprogresstheycravenowandmayencouragethemtobepatientasbusinessrebounds.

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Paying for Health & Productivity Initiatives Pays OffManyoftheactionsthatbuildastrongemployerbrandperceptionbringfavorableeconomicreturns,too.Healthandproductivityprogramshavebeenshowntolowerabsenteeism,boostrevenueperemployeeandhaveevenbeencorrelatedtoelevatedshareholderreturns.6Itseemsthattendingtothewell-beingofemployeesisalsotendingtothebottomline,soexpendituresforemployeehealthandprofessionaldevelopmentismoneywellspent.

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Rampant stress and job discontent is fertile ground for savvy businesses to position themselves as an employer of choice in preparation for the coming ‘top performer shuffle’. Against the backdrop of a slowly recovering economy, companies who strategically use their resources to provide a superior employment experience will stand out more dramatically than ever when compared to competitors with a poor employer brand. Going forward, company survival, staff development and employee job stability are entwined, as businesses compete not just to maintain a foothold in their industries, but to retain the top talent that will help them thrive.

InSummary…

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TTIPerformanceSystems,Ltd.istheworldwideleaderinpersonalandprofessionalassessmenttools.Withyearsofresearchandvalidation,TTIassessmentsaretime-testedandproventoprovidetimelysolutionsfortoday’sbusinesschallenges.Throughanetworkofover7000ValueAddedAssociates,TTItoolsareutilizedinover50countriesand26languagestohelpbusinessesandorganizationseffectivelymanagetheirmostvaluableasset–people.

Fromrecruitmenttoretention,TTIPerformanceSystemsisaconstantresourcefornewideasandbusinessapplications.Asaleaderinthemarketplace,weensurethestatusofTTIassessmentsinthefuturebycarefullymanagingourintellectualpropertyandprotectingtheresearchandadvancementsTTIhasmadeinthefield.Withseveralpatents,copyrightsandtrademarks,TTIproductsareguaranteedtostandthetestoftime.Ourstaffisanexpertresourceintheassessmentindustryandcontinuestostayabreastofindustrychangestoenhanceandexpandtheproductlinetoprovideuniquesolutionsforthechallengesbusinessesfaceeveryday.

AboutTTI

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151%ofrespondingUScompaniesexpectretainingkeytalenttogetmoredifficultinthenextyear.FromRecessiontoRecovery:HowFar,HowFast,HowWellPrepared?TowersWatson,March2010,p.4.

2TargetTrainingInternationalPerformanceSystems,Ltd.JobSeekerSurvey-April2008.

3“Excessiveworkhours(75%),lackofwork/lifebalance(65%)andfearsaboutjobloss(64%)aretheforemostsourcesofstressaffectingorganizationstoday.”2009/2010NorthAmericanStaying@WorkReport:TheHealthandProductivityAdvantage,TowersWatson,December2009.

4“Evenifcompany-widerecognitionprocesseshavebeeneliminated,effectivemanagersfindwaystorecognizetheirworkers’individualandcollectiveaccomplishmentsandconveypubliclyhowtheirworkhasadvancedthelargeragendaofthedepartmentandorganization.”Monster.com/MonsterIntelligence,“ManagingandMotivatingYourTeaminStressfulTimes”byJoanneMurray,MonsterContributingWriterhttp://hiring.monster.com/hr/hr-best-practices/workforce-management/hr-management-skills/managing-in-stressful-times.aspx

5“Ifcompaniesdon’tactnowandplanstrategically,theycouldfaceadoubletalentexodus:firstbytheemployeeswhoseenoroomorpotentialforadvancement,andsecondbythebabyboomerswhowill,inevitably,retire.”FromRecessiontoRecovery:HowFar,HowFast,HowWellPrepared?TowersWatson,March2010p.2.

6“CompanieswiththemosteffectiveH&Pprogramsexperiencedsuperiorhumancapitalandfinancialoutcomes:11%higherrevenueperemployee,lowermedicaltrendsby1.2percentagepoints,1.8fewerdaysabsentperemployeeand28%highershareholderreturns.”2009/2010NorthAmericanStaying@WorkReport:TheHealthandProductivityAdvantage,TowersWatson,December2009.

Endnotes