So, what is an EVP (Employee Value Proposition)?

In simple terms, it is the compensation received by an employee for working at the company in question, this includes the obvious financial compensation, and the less tangible offerings such as career development, culture and so forth.

The process is undeniably involved and requires commitment, but ultimately very worthy.

Employee value proposition (EVP) (or employer value proposition) is a set of associations and offerings provided by an organization in return for the skills, capabilities and experiences an employee brings to the organization.  

Employee value proposition (EVP) (or employer value proposition) is a set of associations and offerings provided by an organization in return for the skills, capabilities and experiences an employee brings to the organization.

 

The words and concept were first banded about in the late 90’s and probably if not for the fact that it delivers very concrete and valuable results in the form of employee engagement and candidate attraction, would have been another fad in the business world.

In essence the EVP puts the onus of employee engagement firmly in the court of the company, and until this time had been viewed in reverse.

It is about building a framework or a story, in which an employee or potential employee identifies a fit or non-fit. The better the proposition and the clearer the story, the more attractive your offering. It is to be understood that the EVP is crucial to staff engagement.

The questions need to simple and clear. It is imperative to understand that the company will not be able to be everything to everyone. Therefore, to really benefit, it is recommended to segment and target these simple and clear questions.

The process of building your EVP requires you to drill down and consider amongst other things your recruiting objectives, it will help you to understand if what you offer is of interest and appeal to the market.

As part of the process you need to consider what the current benefits are, both tangible and intangible. What do your current employees value? The EVP is not only to understand employee engagement, but to understand if working in their role makes them happy. Begin a conversation with your staff to understand what benefits they appreciate the most, how satisfied they are etc.? Consider your competitors EVP, yours needs to stand out to benefit. Recognise the market place in relation to your target candidates.

The process of building your EVP requires you to drill down and consider amongst other things your recruiting objectives, it will help you to understand if what you offer is of interest and appeal to the market.

As part of the process you need to consider what the current benefits are, both tangible and intangible. What do your current employees value? The EVP is not only to understand employee engagement, but to understand if working in their role makes them happy. Begin a conversation with your staff to understand what benefits they appreciate the most, how satisfied they are etc.? Consider your competitors EVP, yours needs to stand out to benefit. Recognise the market place in relation to your target candidates.

What can an EVP do?

In a labour market where there is tough competition and insufficient talent to fit the demands of a thriving marketplace, an attractive EVP offering could be the very thing that tips the scales in favour of you over your competitors.

An attractive EVP can result in not only an engaged, happy work force, but one who will be happy to refer other talent to the company.

In addition to inspiring your existing workforce, it can allow you to engage with passive candidates, connect with very specialist niche markets, and with an attractive EVP in place at a lower rate of compensation.

The validity of an honest EVP means a company hiring good fits, that will stay and grow in the business. The opposite would be a timely and costly disaster.

The result delivered will form conversational insights that convey your companies culture and values. You can then shout about it to both your current employees as well as future. You can incorporate it into the recruitment process, on the website and through social media.

Significantly, you should remember to take the EVP under continual review.

We are soon to be trialling our new EVP software, which we hope to launch later this year with a view to ensuring we can attract and retain the best talent for our clients.