The most important brand relationship in your life is unlikely to be your choice of breakfast cereal, mobile phone or car, but the brand you work for, your employer brand. Who you work for represents an extremely important brand choice. This is the brand relationship that takes up most of your time. It’s probably the brand with which you’re most intensely involved, the brand about which you have most to say (good and bad), and if you’re lucky it’s a brand with which you’ll proudly identify for the rest of your life.
The employer brand sums up the key qualities current and prospective employees identify with you as an employer, whether economic (compensation and benefits), functional (e.g. learning new skills) or psychological (e.g. sense of identity and status). Whether you’ve defined it or not, you already have an employer brand. The key question is whether you’re clear about the distinctive benefits you’d like people to associate with you (commonly described as your Employee Value Proposition), proactive in communicating and delivering against this promise, or happy to live with an unclear and inconsistent employer brand by default.
How people feel about their employer brand is increasingly critical to business success or failure. Leading companies realise its importance in attracting and engaging the people they need to deliver profitable growth. They are also beginning to recognise that creating a positive brand experience for employees requires the same degree of focus, care and coherence that has long characterised effective management of the customer brand experience. This has led many of the world’s leading companies like GE, HP, IBM, Microsoft, Nokia-Siemens, PepsiCo, P&G, RBS, Shell and Unilever to pursue active employer brand development strategies.
Making the business case for employer brand development the three major benefits of strengthening your employer brand identified in separate studies conducted by Hewitt Associates, The Conference Board and The Economist are cited as being: • enhanced attraction
Branding efforts within the organization that enables an organization to build cooperation, collaboration and alignment with their internal and external customers on the products, policies and functioning of the organization.
Before projecting the Brand to outsiders (stakeholders), it should be adopted by the Insiders. It has to be deeply rooted in something existing, solid & permanent in order to be plausible and convincing.
The extent to which the brand beliefs are being lived by employees of the Organisation (and demonstrated as appropriate brand behaviours) determine the success of internal branding Internal branding involves:
Communicating the brand effectively to the employees
Convincing employees of its relevance and worth
Successfully linking every job in the Organisation to delivery of brand essence.
From an attraction perspective, a study conducted by the Corporate Leadership Council in 2006 concluded that strong employer brands provided access to 20% more of the potential talent market than weak or unmanaged employer brands
companies with a strong employer brand reputation were able to attract candidates away from their current employers with a significantly lower increase in compensation (11%) than companies with a weak employer brand reputation (21%). •
Many studies have also put a figure on the financial implications of higher employee engagement. •
The Sears study concluded that a 4% increase in employee satisfaction would translate into more than $200m in additional revenue. •
ISR’s UK retail bank study also identified that a 10% improvement in employee attitudes / engagement to the organization would add 2½%. •
A similar study conducted by the global retail bank Standard Chartered, found that branches with highly engaged...
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