Written by Jordan Cooper, HR leader at Advanced.

Developing and delivering a solid Employer Value Proposition could be one of the most important strategic decisions your business makes this year.

We’re all well versed in the many factors contributing to the Great Resignation and the lasting impact of making hybrid work in the wake of the pandemic. These factors combine to make it vital that organisations secure their place in the new market – that they assess, confirm and publicise who they are and what they stand for.

That’s precisely the point of an Employer Value Proposition (EVP). Workers are demanding more from their employers – to attract and retain them, organisations must rise to the challenge.

 

Only 31% of HR managers in the UK feel satisfied with their organisation’s current EVP. This is a startling statistic: an EVP is a priority for future strategic planning if businesses are to thrive in the coming years.

The balance of power has firmly shifted towards the employee – and managers and leaders must recognise this if they do not wish to find themselves in a scenario where talent is exiting the business, and not being replaced.

 

Defining an Employer Value Proposition

Defining an EVP must be a priority for HR teams this year. As once ‘nice to have’ elements like flexi time, hybrid working, health and wellbeing and ESG now become non-negotiables, it’s time to assess and define exactly what your organisation represents and the internal and external culture it wants to promote.

An EVP is the business’ proposition. It’s how it presents itself to the world, what it values and what it aims to embody. A good EVP will tell employees and new recruits what to expect from the organisation. It will be considered, based on truth, honestly communicated and delivered in a way that’s appropriate to the audience.

Today, the employee/employer relationship has been turned on its head: the employee holds all the cards. For organisations, this means a battle for talent which is ever increasing in ferocity. Developing and communicating a clear EVP has never been more important: it can be the difference between attracting talent – and losing it.

 

A business benefit

A thorough EVP pays dividends for a business, with further reaching consequences than simply the HR team. When properly implemented, an EVP will have a positive impact on employee attraction and retention, but it will also help move your brand forwards. As many as 88 per cent of consumers say they want help from brands in making ethical choices – an overwhelming number of customers who are actively saying they want the brands they buy from to publicly state their values and intentions. A well-defined EVP can be publicised using appropriate marketing channels to share these messages and build a brand.

The process of developing an EVP will also identify gaps, weaknesses and opportunities the business can address, making it a valuable use of time from a strategic management point of view.

But perhaps its most important function is in attracting and retaining talent. In today’s world, as the war for talent intensifies and organisations desperately need to enable growth as they emerge from the pandemic’s restrictions, attracting new staff and keeping the current ones is vitally important.

 

HR’s sole responsibility?

HR teams are likely to be lumped with sole responsibility for developing an EVP, but the truth is that it must be an interdepartmental project to be successful. It requires input from every area from marketing to operations to deliver an accurate assessment of the organisation’s culture. What’s more, each department will need to embody the EVP for it to be successful – one thing an EVP cannot be is inauthentic.

This is a true example of the need for collaboration throughout the business – and HR can be the spearhead.