Century Consulting 08 9444 6853 1

Developing and managing a successful employer brand

Kim Harrison

Century Consulting 08 9444 6853 2

Current employment environment

Tight labour market in WA Record low 2.7% unemployment Pressure on employers to attract, motivate and

keep top talent Workforce ageing (40% will go in 5-10 yrs) Gen X-Y aspirations – younger employees more

demanding, more mobile, less loyal

Century Consulting 08 9444 6853 3

The bottom line of employer branding

Engaged, productive and focused employeescreate delighted, loyal customers= greater business and shareholder value

Century Consulting 08 9444 6853 4

Employer branding definitions

“An integration of internal and external communications, disseminated to current and

potential employees”

“The essence of our offering as an employer that is communicated internally and externally”

Century Consulting 08 9444 6853 5

Significant components of employer branding

There is a proven relationship between excellence in key components of employer branding and the level of market premium organisations enjoy.

Main components: Employee engagement Employee communication Training and development External reputation

Century Consulting 08 9444 6853 6

Employer branding

The brand consists of intangibles – perceptions, feelings and associations in the minds of employees (your customers).

Informal employer branding already exists. Similar to your reputation – it exists whether you attempt to shape it or not.

Actions speak louder than words – their experience of your organisation’s actions influences potential and actual employees much more than communication. But communication creates the linkages.

The employer brand covers the entire employee life cycle.

Century Consulting 08 9444 6853 7

Typical employer branding objectives(every organisation will have its own unique objectives) enhance your appeal to future talent create alignment to org mission among current

employees convey the role and importance of employees to the

mission encourage sharing and self-exploration re

satisfaction/engagement with the job draw attention to the parity of your workplace pay

and conditions

Century Consulting 08 9444 6853 8

Benefits of a good employer brand

2005 Bernard Hodes survey500 HR respondents implemented an employer brand 81% said it was “easier to attract candidates” 79% felt they were “more of an employer of

choice” 63% believed they had “improved retention”

Century Consulting 08 9444 6853 9

Employer branding – in pursuit of ‘employer of choice’

2006 Hudson survey Questions to 410 HR managers or directors “At our organisation, the employment experience

promised to prospective employees before they join is always delivered once they come on board.”

65% agreed or strongly agreed

Century Consulting 08 9444 6853 10

But look at the disconnect

Century Consulting 08 9444 6853 11

Employer branding – in pursuit of ‘employer of choice’

2006 Hudson survey Question to 1,024 employees “My current employer has delivered on everything

it promised to me when I first joined.” 55% disagreed or strongly disagreed

Century Consulting 08 9444 6853 12

Employer branding – in pursuit of ‘employer of choice’

2006 Hudson survey Question to 1,024 employees “My current employer provides me with a clear

and compelling reason as to why our organisation is a great place to work.”

53% disagreed or strongly disagreed

Century Consulting 08 9444 6853 13

Employer branding – in pursuit of ‘employer of choice’

2006 Hudson survey Question to 1,024 employees “It is not really possible to know what it’s like to

work at an organisation until you actually start there.”

72% agreed or strongly agreed

Century Consulting 08 9444 6853 14

Delivering on the promise

Employer branding is complex and difficult. Getting the act together - should involve an

integrated approach from HR, PR and Marketing Above all, the brand should be experienced –

translated into employee behaviour – a difficult process

Need for talent segmentation

Century Consulting 08 9444 6853 15

Typical employer branding taglines

Clear thinking (Allens Arthur Robinson – Australian law firm) connectedthinking (PricewaterhouseCoopers in Australia) Worth talking about (Leighton Contractors) Think, innovate and work with technology leaders (Intel) Improving health and quality of life (GlaxoSmithKline) eXpress yourself (Xerox) How far will you go? (Microsoft) Run with the best (John Deere – agricultural machinery) – the theme ties in

with their marketing brand, ‘Nothing runs like a Deere’. The power to excel (ConEd – power generation) What will you build today? (Fluor – engineering construction)

Century Consulting 08 9444 6853 16

Century Consulting 08 9444 6853 17

Century Consulting 08 9444 6853 18

Century Consulting 08 9444 6853 19

Century Consulting 08 9444 6853 20

Century Consulting 08 9444 6853 21

Century Consulting 08 9444 6853 22

Century Consulting 08 9444 6853 23

Century Consulting 08 9444 6853 24

Century Consulting 08 9444 6853 25

Century Consulting 08 9444 6853 26

Century Consulting 08 9444 6853 27

Century Consulting 08 9444 6853 28

Century Consulting 08 9444 6853 29

Century Consulting 08 9444 6853 30

Century Consulting 08 9444 6853 31

What potential employees are seeking

Sound organisational structure and direction Positive culture Enlightened leaders, competent management Care of people Meaningful work Growth and opportunity Pay and benefits Making a difference

- Herman Group

Century Consulting 08 9444 6853 32

How to establish or strengthen your employer brand

In broad terms: Identify the attributes that you want to characterise your

employer brand. Map all experiences (actions and messages) that a potential

employee has with your organisation – the ‘moments of truth.’ Compare the difference between the actual experiences and

the ideal attributes you want in the employer brand. Do the same with new staff. Find out their experiences in the

workplace compared with the ideal employer brand attributes. Seek to close the gap between the ideal and the actual. Can you deliver on your promises?

Century Consulting 08 9444 6853 33

Challenges

Developing a significant presence in the job market Support needed from top management Maintaining consistent messages Ensuring alignment between brand and business

actions Managing the corporate culture Budget Making the work appeal to employees as well as

prospects

Century Consulting 08 9444 6853 34

Branding channels

2006 Hodes global survey Website 94% Print 72% Newspapers 58% Events 50%

Century Consulting 08 9444 6853 35

ROI on employer branding

2006 Bernard Hodes global survey Difficult concept to measure Only 24% of companies measure ROI in any way Only 13% relate their branding to overall

organisational performance

Century Consulting 08 9444 6853 36

Leading indicators

Financial performance HR process metrics Employee feedback Quality of applicant Retention

Century Consulting 08 9444 6853 37

Leading indicators

Financial performance Profit per employee (FTE) Every component of and outcome from the

employer brand is captured in profit per employee

Century Consulting 08 9444 6853 38

Leading indicators

HR process metrics Candidate satisfaction Hiring manager satisfaction Offer acceptance rate Time to fill position

Century Consulting 08 9444 6853 39

Leading indicators

Employee feedback Would recommend employer

(Propensity to refer others is a strong indicator of a strong employer brand)

New-employee feedback is a crucial measure of employer brand strength

Century Consulting 08 9444 6853 40

Leading indicators

Quality of applicant First résumé screening by recruiter First interview (live or phone) Line manager interview Final interview (if used)

Century Consulting 08 9444 6853 41

Leading indicators

Retention Retention at 3 months – indicates how well the

brand messages are helping the match Retention at first formal review – reflects

alignment between EVP and key values/brand messages

Retention of high performers

Century Consulting 08 9444 6853 42

Lowe’s US home improvement retailer 210,000 employees 60,000 recruits annually 75% of all corporate-level candidates come in

through the Lowe’s website Bernard Hodes’ QTrac recruiting and employment

branding analytics used to measure ROI Survey recruits after 30, 90, 180 and 365 days

with online questionnaire Candidates want more company info upfront – on

website