Want to ensure Employee Performance Optimization in your company? Looking for the best techniques to improve employee retention? Then incorporating Employee Value Proposition in your employee management program would be highly beneficial for you.
Let us first understand its definition and later, we will be diving deep into the world of EVP and understanding how useful it will be for you-
- Definition of Employee Value Proposition
- EVP functions around five key factors
- Why do you need Employee Value Proposition?
- The Concept of Employee Value Proposition
- How to ensure Employee Value Proposition
- 1) Get the right Candidate for the right Post
- 2) Provide all the Information to your Candidates
- 3) Have the right and effective Interview Strategy
- 4) Let your Candidates know the Benefits they will be getting from you
- Advantages of Employee Value Proposition
- Examples of EVP
Definition of Employee Value Proposition
EVP or Employee Value proposition can be understood as the rewards and the advantages that employees get from their employers in return of their performance.
It can also be defined as the key characteristics of your business that your current employees love and because of those features; they want to stay with you.
EVP functions around five key factors
- Rewards that deal with compensation, retirement benefits, health benefits, leaves, vacations, etc
- Opportunities that are associated with career development opportunities and growth rate of the company
- People that function around the quality of Co-Workers, Managers, Senior Leaderships and their interactions
- Organization that comprises quality of product or service, market position and social branding
- Work that deals with the alignment of job and interest, plus it also depends upon the balance of work and personal life
So, these five things play very significant role in Employee Value Proposition. Let us understand the concept in more details-
Why do you need Employee Value Proposition?
All the organizations today are in the competition to go ahead that the others. To do so, there are a number of things that the organization needs to maintain such as a good quality of products, a proper customer service, and so on so that the customers can always remain happy and the company can have a consistent flow of sales and profits.
But all this is not possible without a team of reliable and great employees. Hence, in order to get a proper result, organizations focus on a huge way on the employees that they are recruiting. Companies often go through extensive research and interview sessions so that they can come across such employees that are honest, efficient and can offer the best productivity to the organization.
Getting a good employee is not that easy. If you really wish to get a good employee, you need to sell the job position to the employees. It may happen that the employee you find suitable for the position in your organization already has a number of other options in hand. The employee may be lined up in a number of interviews at the best places and hence you are in doubt whether the person will get into your firm or not.
It is not just that you need to sell the positions to someone whom you wish to recruit for your team. It is equally important to retain your best employees. It may happen that it is because of your best employee that your organization is currently doing really great and earning profits. If this employee leaves the organization, you may recruit someone who can be equally talented and can yield the same results or the results may start getting down.
This is the reason of retaining your employees or hiring new employees through the method of employee value proposition.
The Concept of Employee Value Proposition
Before knowing different things about employees at a workplace, it is important to know about the concept of employee value proposition. In short, it can be said to be method of creating a balance of rewards for the employees who are performing really great at the workplace. This is applicable for both the new employees who are about to join the organization and also the ones who are already in the organization.
Employee Retention is Important
There are a number of organizations that consider the existing employees to be much lesser important than the new employees. This is the most common mistake that happens.
Again, there are a number of organizations that think just offering a good salary package will attract the employees to join the organizations. This is the not at all correct.
The employees just do not take the decision based on the salary package of the organization. There are also a number of other things to take care of such as the facilities offered by the company or the way how the company represents itself in front of the employees who are not yet a part of the company.
How to ensure Employee Value Proposition
The value proposition is very much important in any organization.
Why do you think an employee who has joined the organization just a month back already starts seeking for other options at some other companies?
Why do you think even when you are offering the highest salary package, the employee is not happy and wishes to join some other company?
There are a number of reasons that makes them do that. If you really wish to refrain these employees to head towards some other options and be loyal to your firm, it is important to make sure that you are keeping a proper value proposition of the employees.
There are a number of ways how you can do so.
1) Get the right Candidate for the right Post
The very first one is to creating such an interview advertisement that looks quite attractive and professional at the same time. It should have keywords for the position in such a way that can attract the right people in such a way that they wish to attend for the interview at least. One of the best things that the individuals do today is to check out the company profile immediately after noticing just an interview advertisement.
2) Provide all the Information to your Candidates
So, second thing that you need to do is to create a good website of your company. To make individuals check out your website intentionally, you can put up the link of your website in the recruitment ad. The website should be designed in a professional way that explains clearly about what the organization actually does and should make the person feel that he or she can actually find a good career at this place. There should be some eminent sections such as the testimonials where there should be some great customer reviews, and many others to create a good brand reputation in the minds of the candidates.
3) Have the right and effective Interview Strategy
The next thing that comes up is the interview. The candidate should feel that he or she has gone through a good brainstorming interview session. When the individual is satisfied after coming out of the interview, there are higher chances that he or she will surely join the organization.
4) Let your Candidates know the Benefits they will be getting from you
After the interview sessions have been completed and the candidate is about to join the organization, here come another test. The candidate wishes to have a check of the various offers that you are about to offer. It can be about different benefits, the salary package, the policies and many others. It may happen that you are offering the employee with a higher package but the person is getting great benefits at some other organization.
Here, you need to use the employee value proposition to sell out the profile to the person. You need to make them understand that why joining your organization is much more profitable for the person than any other option. This can be done by offering various benefits such as medical coverage for the family, comfortable working, and so on for the employees accordingly.
Candidates who join your company after going through these procedures will for sure love to work with you as a loyal employee.
Advantages of Employee Value Proposition
Providing such extra value to the individuals does not just help you in getting such employees on board but also helps you in creating a good brand in the eyes of the employee.
You should also learn how to maintain all the values that you have claimed to the employee.
When the employee is satisfied and happy in the organization he or she will talk about the organization to others outside and this will increase the brand recognition of your organization in the eyes of other people too apart from your employees.
This can work in a positive way such as increasing the confidence of the customers on your brand and increasing your revenues.
Let us have a look upon some of the examples of Employee Value Proposition to understand how it helps businesses around the world.
Examples of EVP
Are you still confused about what exactly employee value proposition mean?
Well, you can say it is a statement that the organization shares with its employees and everywhere that is enough to declare how the organization is treating its employees. It is mainly the description of the environment that the organization is offering to its employees.
This can be also defined at the recognitions and rewards that the employees are getting benefitted with in return of the performance that they are offering for the benefit of the organization.
There are a number of examples from some of the biggest firms to prove how they treat their employees at the workplace. Here are some of them mentioned here:
Google comes up with the quote: “Do cool things that matter”.
See what Nike has to say.
“We lead. We invent. We deliver. We use the power of sport to move the world”.
Similarly, L’Oreal says,
“Lead the future of beauty. When you love your work and the people you work with, amazing things can happen”.
Such statements are enough to motivate the employees to imagine what exactly they can get while they join the team. The rest of the motivation is completed by knowing about the work environment that the organization offers to its employees.
Happy Employees lead to Happy Customers
It is quite true that the customers are the god and hence you should invest your full focus on making them happy. But this is also true that making the customers happy is not possible without the help of the employees in the organization.
If the employee is not satisfied, proper productivity is not achieved, this leads to low quality service and hence unhappy customers.
On the other hand if the employees are motivated about what they are doing and are provided with a work environment supported with rewards and motivations, this enables the employee to stay happy and perform well.
This is what every candidate wishes to have.
Hence, the employee value proposition is a big thing that can bring some of the best employees to your organization so that you can have the best performance input and the best results attained.
On the concluding note, I hope you would have understood that organizations cannot thrive well without a team of good employees.
To get such good employees, it is important to provide them a reason of why should they join you in place of somewhere else. The EVP works in a great way is helping the organizations to get brand recognition in the eyes of the individuals and hence getting the best candidates join their team.
So, are you going to implement Employee Value Proposition in your company? Share your business details to get some customized EVP tips for you.