What are the benefits of an EVP?

An effective and well articulated EVP will bring an organisation significant benefit. According to the Corporate Leadership Council’s research a well thought through and executed EVP can:

• Improve the commitment of new hires by up to 29%
• Reduce new hire compensation premiums by up to 50%
• Increase the likelihood of employees acting as advocates from an average of 24% to 47%

An ineffective EVP can be costly in terms of attrition and higher recruitment costs.

What can an EVP do for you?

Here are the specific benefits of an EVP

1. Help to attract and retain talent that you might otherwise lose to other organisations with more attractive EVPs

2. Help you appeal to different markets and tough to hire talent groups

For organisations operating out of various countries the EVP will need to move beyond a one size fits all. The process of understanding your EVP will help you in turn to understand your segments (or different types of employee), what needs to be different because of culture, talent group or demographic. The most successful EVP strategies cascade up from segment needs to form a universal brand which is then communicated through the best channel for each segment.

3. Help you to re-engage a disenchanted workforce

The process of creating an EVP involves surveying and talking to existing employees. Our experience is that this is a very powerful engagement tool in itself and people enjoy and appreciate it. If there is a desire on the part of the organisation to re-establish a damaged psychological contract this process can help to re-build trust and confidence in the organisation.

4. Help you to prioritise your HR agenda

The process of understanding your EVP will help you to understand what your HR priorities should be. To create an EVP you need to understand what makes your people tick; what’s attractive to them in an employer, what motivates them at work, what opportunities they want available to them and how they want to communicate and be communicated to. Having this insight will mean that you understand what specifically you need to do to attract, engage and retain people that you want, where improvements need to be made and what will most likely make people leave if they are not addressed.

5. Branding for talent

Organisations with a strong and credible EVP become as famous for the way they treat people and the quality of their people as they are for their products and services. This is when an EVP works so well it creates demand – as a magnet for talent.

6. Reduce new hire premiums

When candidates view an organisation’s EVP as attractive, they demand a smaller compensation premium when accepting an offer. According to the Corporate Leadership Council EVPs that are viewed as unattractive require a 21% premium to hire employees, while attractive EVPs require only an 11% premium.

At talentsmoothie we can can create your EVP using our rigorous methodology

We create EVPs that differentiate you from your competitors. How do we do that? We use our unique methodology to understand what is important to your people and potential recruits. We identify what works well and what you need to change and we test the resultant EVP against the groups of employees that are important to you.

Do you feel your EVP is attractive and appealing to the talent you want to attract, or to the people you’d like to retain?

Give us a call on +44(0) 20 7127 4741 for an informal chat about how we could help you