Wednesday, November 24, 2010

Employer Branding !!!

What defines an employer brand? First publicly introduced to a management audience in 1990, the term has come to be associated with a favorable perception that an organization succeeds in creating for its existing as well as potential employees. It has been defined as “the package of functional Economic and psychological benefits provided by employment, and identified with the employing company.”


Employer branding- creating an image of the organization
Every organization has to create something unique to attract and retain their main capital- the employees. It essentially constitutes what the employee gets out of the organization over and above the monetary compensation for providing his services.

Employer Branding- why is it necessary?
Every company needs to compete in today’s world to get the best manpower possible. It is not only about the job-seeker who needs the job, it is also about the organization capturing and retaining the right talent at the right time. Shortage of skilled manpower post-recession and rising costs have made employer branding a necessity among the HR personnel the world over. Building up a brand for your company and fulfilling the promises keeps the current employee happy and attracts new, talented ones.

Cost Cutting: Creating a brand gives the organization an edge over its competitors to bargain for lesser compensation packages. Employees want to work for a brand, irrespective of salary levels.

Hiring the right talent: People are the primary asset of a company and hiring and retaining top performers will only contribute to the organization’s growth and profitability.

Brand association: Professionals want to work for a company which has been able to create an image for itself in the market, as a responsible and honest employer. The employer brand intertwines with the consumer brand, as job-seekers increasingly try to associate themselves with a brand.

The key to business success: Creating a brand image separates an organization from the clutter of competition. Employees remain ever loyal to a power brand employer compared to its lesser counterparts.

How to become the employer of choice through effective branding?
The first step calls for research within and without the company amidst the target group. Research needs to be done on the following parameters:

• Know how the target group perceives the employer

• Learn what the target group wants and needs from the employer

• Discover where the employer is positioned in relation to its competition

• Ensure that the research is updated regularly

The next step is to zero in on a unique offer or the Employee Value Proposition (EVP). This helps the organization to differentiate itself from its competition. Every company should have something to offer which its competition doesn’t. This will help employers attract a premium talent pool and increase employee engagement, besides decreasing salary costs.

Communication channels are the next most important deciding factor in building up an effective employer brand. An effective medium of communication needs to be set up. Various media can be used; it could be the corporate website of the channel, a seminar in a college, a newspaper advertisement or taking part in an event- the medium needs to be determined in tune with the target group.

Existing employees are also an important medium for advertising one’s brand. An organization conscious of building its brand in the perspective of its employees needs to works on two parameters where it comes to the existing employees:

• What an employee knows about the organization and

• What he/she feels about it

Positivism on these parameters brings on an emotive engagement towards the organization, which makes the employees ambassadors of the employer brand. The organization thus succeeds in creating an impression of itself, when the top management is transparent in its ideas and actions.

The most important resource for a company is its employees, and if the company takes care of the employee, the employee will in turn take care of the company. Like Bill Marriott of Marriott Hotels says, "Take care of the associates, and they'll take good care of the guests, and the guests will come back."

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