Employ Value proposition (EVP)

Employee value proposition: A key ingredient to gaining and retaining top talent


What is EVP?

The term "employee value proposition" (EVP), which is similar to the idea of "employer branding," describes how businesses are able to draw in qualified personnel in a competitive job market through their corporate culture and benefits programs. These businesses advertise themselves in a way that makes people want to work for them, which enables them to hire and keep talented workers from the labor force.

In comparison to other businesses in the market, the advantages provided by an organization can lead to a staff that is more productive and enjoys their jobs more. Additionally, it might help the business establish a favorable reputation with its customers, who can appreciate it more as a result of the value it is thought to place on its employees.


Figure 01:(Jouany, 2022)

The benefits offered by an organization can result in a workforce that is more productive and happier at work than those of competing enterprises in the market. Additionally, it can help the company build a good reputation with its clients, who might respect it more as a result of the value it is believed to place on its employees.

Organizations and recruitment specialists can create a powerful employer brand with the help of an effective EVP.

Many companies have started reevaluating their key corporate values since the pandemic's onset. People now work differently as a result of remote and hybrid employment, and they expect various perks from their employers (Jouany, 2022).


How to Formulate a Strong EVP?

Figure 02:(Slidemodel, 2022)


1. Determine Your Goals

A company must be clear about the objectives it wants to accomplish through its workforce. Everything from an employee's job description to the perks of the position should be in line with these goals.

Companies like Google offer its staff a work atmosphere that promotes innovation and motivates them to work on company-funded side projects. The benefits offered by the company align with its goals, making it one of the biggest tech companies in the world.

2. Foster Realistic Expectations

A corporation that might reduce the advantages it has committed to give its workers risked developing a poor image of itself. where workers could feel defrauded and cheated after a quarter's or financial year's conclusion. Organizations should encourage reasonable expectations rather than setting lofty goals that they might not be able to achieve.

When Jeff Bezos started Amazon as an online retailer back in the 90s, he encouraged employees to work hard to take the company forward to reap the benefits of its potential success. The concept he instilled in employees fostered realistic expectations, where the employees aimed to benefit in case the company experienced growth. Over the years Amazon has fostered an environment where it claims to be the best place for innovators (Slidemodel, 2022).

3. Empower Employees

Most firms may suffer from micromanagement. Professional staff members prefer to operate in environments with some breathing room so they can develop their talents and aid the organization in growing and achieving its objectives. However, skilled workers may try to stay away from a workplace that they perceive as congested.

4. Career Growth

For employees, the potential for career progression is frequently one of the most attractive non-financial advantages. Potential employees do not find organizations that are thought to keep their staff stagnant to be alluring.

5. Create a Fair Reward Mechanism

While defining a "fair" incentive mechanism within an organization might be challenging and somewhat arbitrary, the fundamentals of developing such a system aren't that difficult. Employee resentment and unhappiness are probably lower in an organization that emphasizes innovation, hard effort, and opposes nepotism. The firm may lose some of its top workers as a result of unfair employee rewards or executives who ignore skilled workers.

6. Encourage Knowledge Sharing

The information of an organization is more useful to employees when they can use it, which reduces their sense of confusion at work. Additionally, it promotes departments to collaborate and break down organizational barriers. The company can give its employees the chance to learn from and advance their abilities through the organization's learnings by promoting a culture of knowledge sharing.

7. Encourage Work-Life Balance

A work-life balance is crucial to prevent burnout, even while some companies with a competitive corporate culture may be viewed as desirable due to the constant pressure they offer to help improve the standard for employees. The days when a workplace with strong competition would be acceptable to the modern corporate worker are long gone. 

8. Invest in Employer Branding

It can attract great personnel and profit from the goodwill that comes with it by investing in a positive perception of the company as an employer that values its workers. Can create an environment that helps the  business stand out and become an organization that people would want to work for by advertising and using your personnel as your ambassadors (Slidemodel, 2022)

Conclusion:

Compensation and benefits are no longer enough to attract and retain key talent. Today's diverse workforce requires a compelling employee value proposition (EVP) - in other words, "total rewards plus" EVP is the total value an employee receives from the employer: compensation, benefits, career management, workplace/lifestyle and employee pride. The EVP defines the commitment the company will make to develop the employee in exchange for the effort the employee puts in to benefit the company (berry, 2022).

Similar to successful businesses that differentiate their products and services to attract targeted segments of the population and retain them as long-term customers, employers must also provide differentiated offerings - a unique EVP - to attract and retain qualified talent and help them stand out from competitors

References:

berry, m., 2022. insperity. [Online]
Available at: https://www.insperity.com/blog/employee-value-proposition/
[Accessed 06 12 2022].

Jouany, V., 2022. Haiilo. [Online]
Available at: https://haiilo.com/blog/6-steps-to-build-your-employees-value-proposition/
[Accessed 06 12 2022].

Slidemodel, 2022. slidemodel. [Online]
Available at: https://slidemodel.com/employee-value-proposition-quick-guide/
[Accessed 06 12 2022].


Comments

  1. EVON HERATH - MBA - SL - 001639129 December 2022 at 03:04

    What attracted me the most about your blog post was the way it was presented. I noticed a certain flow of this blog. It adds interest to the reader

    ReplyDelete
  2. Ahamed Satham Blog9 December 2022 at 21:43

    This is an extremely informative and well-written blog post. It provides an overview of the concept of Employ Value Proposition (EVP), as well as the key components and benefits of an effective EVP. It's a great resource for anyone looking to get a better understanding of this important concept. Thanks for sharing!

    ReplyDelete
  3. shayanika839 December 2022 at 23:27

    In this article most attractive topic is empowring employee which give brief explanation. In modern HRM mostly talk about this topic .In a organisation employee play vital role and this is informative who ever is reading this article.

    ReplyDelete
  4. Vinoraj10 December 2022 at 03:28

    This comment has been removed by the author.

    ReplyDelete
  5. Vinoraj10 December 2022 at 03:29

    Chamara - This clearly shows the importance of skills and capability's of an employee. Employee Value Proposition (EVP) is usually defined as a set of monetary and non-monetary benefits provided by an organization to its employees in return for the skills, capabilities, and experience they bring and the contributions they make to the organization. Contents on the subject matter is clear. The written flow too gives satisfactions.

    ReplyDelete
  6. Supun Weerakkody10 December 2022 at 16:08

    Great article to read. EVP is the total of the perks and awards that employees receive in exchange for their success at work.

    ReplyDelete

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