What is Employee Value Proposition (EVP)?

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  • They find it difficult to set themselves out from the competitors. If a company wants to shine in the “sea of ​​similarity” that exists in other industries, segregation is essential.
  • Their branding is attractive, but it does not adequately reflect reality.

What is the Importance of EVP?

An effective EVP can provide tremendous benefits to a company. According to data conducted by the Corporate Leadership Council, a well-planned and performed EVP can:

  • Increase new hire commitment by up to 29%.
  • Cut compensation premiums for new hires by up to 50%.
  • Increase the possibility of employees participating as advocates from 24% to 47%.

What can an EVP help you with?

The following are the specific advantages of an Employee Value Proposition (EVP):

1. Assists you in attracting and retaining talent.

With a clear and distinct EVP, you may attract and keep people who would otherwise be attracted to other organizations with more appealing EVPs.

2. Aids you to appeal to a variety of markets and difficult-to-hire skill groupings.

For organizations that operate across many nations, the EVP will need to evolve beyond a one-size-fits-all approach. A good EVP includes features that appeal to employees from many cultures, age groups, and job types. The most successful EVPs are created by merging the demands of important workforce segments to create a global brand, which is then communicated via the most appropriate channel for each segment.

3. Assists you in re-engaging a disgruntled workforce.

The process of developing an EVP entails conducting surveys and speaking with current staff. This is an extremely effective engagement strategy in and of itself, and most people enjoy and appreciate it. The method, in our experience, can also serve to re-build/enhance trust and motivate people.

4. Assists you in setting priorities for your HR agenda

The process of obtaining your EVP will help you determine your HR priorities. To establish an EVP, you must first determine what is important to your current and potential employees. With this knowledge, you’ll know exactly what you need to do to attract, engage, and keep the people you want, where changes are needed, and what will most likely cause individuals to leave if not handled.

5. Establishes a powerful ‘people’ brand

Organizations with strong and credible EVPs become known as much for how they treat their employees and the quality of their workforce as for their products and services. Apple is a wonderful illustration of this. Apple does not need to compete for talent. They had a long line of individuals waiting to join them.

6. Reduce the cost of new hires.

Candidates who find an organization’s EVP appealing want a lower wage premium when accepting a job offer. According to the Corporate Leadership Council, hiring employees with ugly EVPs costs 21% more than hiring individuals with appealing EVPs costs only 11% more.

What characteristics distinguish an excellent EVP?

To get the most out of an EVP, it needs to be constructed around characteristics that genuinely attract, engage, and keep the talent you desire. It also needs to be in line with strategic goals and demonstrate its distinctiveness. The Employee Value Proposition (EVP) must also be authentic, meaning that a significant component of it must be accurate right now. It should, however, include characteristics that are not true now but that the organization aspires to be true in the future. This is critical for driving change and progress, as well as giving employees the impression that the organization is responding to the improvements they desire.

How do you put together an EVP?

There are several methods for determining what your employees consider to be a wonderful place to work. A smart place to start is to use data you currently have, such as employee opinion survey data. This will reveal what employees believe is working and what they believe is not. Typically, though, such surveys do not reveal what is most important to your audience. It is evident that understanding this is critical in order to produce an appealing Employee Value Proposition (EVP). The process of creating an EVP uncovers what matters to the various types of individuals you want to attract and engage.

Case Study

For a large pharmaceutical firm, there is an Employee Value Proposition (EVP). Their objectives were to:

  • Differentiate themselves from other large pharmaceutical companies.
  • Use the EVP to assist in the implementation of the new corporate identity.
  • Identify priority areas for improvement in order to keep and improve important talent engagement.

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Linguee Global Solutions

Linguee Global Solutions

Linguee Global Solutions offers end-to-end HR, Payroll, Financial administration, and Training and Development services and solutions to engage your employees.