How to win the battle for talents by building a compelling employer brand

Can You Clone Your Talents?

Rita Veres, Engagement Practice Leader, Central Eastern Europe, Hewitt

To protect the confidential and proprietary information included in this material, it

may not be disclosed or provided to any third parties without the approval of Hewitt
Associates LLC.
About Hewitt
Our services encompass the entire spectrum of
HR consulting and outsourcing

Process
Strategy Delivery
Retention & Talent
Management
HR Process
Outsourcing
Organizational Leadership
Change & Management
Development Payroll & Benefits
Outsourcing
Mergers & Compensation &
Acquisitions Rewards
HR Efficiency
& Effectiveness
Benefits &
Actuarial

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 Unstoppable Trends in Workforce Management

Shrinking workforce 24/7 virtual workplaces

In-charge workforce

Mobile workforce Ultradiverse workforce

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Source: Robert Gandossy, Elissa Tucker, Nindhi Verma (Hewitt Associates): Workforce Wake Up Call – Your Workforce is Changing, Are You?, John Wiley & Sons Inc. 2006
„Women are recruited
to be masons in
Poland…
…1 million people
have left Poland to
abroad, since the EU
accession in 2004.”

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 What Do Data Tell Us?
Natural annual growth of European population is 0,04%.*

Talent shortage in Proportion of elder generation is getting more significant

the CEE region in the society, but not in the labour market*
*Europen Commission, Green paper on challenges of demographic changes 2005

83% of HR professionals working in CEE believe that,

within 3-5 years, attracting and motivating talent will have
Fierce war for become the most significant people issue they face.
talent
71% of leaders see the attraction and retention of talent as
the key issue for the coming three to five years

Rising employee Almost 50% of employees think that they could find a new
expectations and job easily
confidence 52% of those surveyed are not afraid of losing their jobs

Source: Hewitt: The Changing Chemistry of Employee Motivation, Best Employer Study Central Eastern Europe
2006/2007
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 „Your Workforce is Changing, Are You?”
Being at the beginning of a seismic shift
in the workforce...
...we need to rethink our approaches to
managing talent:

Get the Talent Forecast and Workforce

Strategy Right

Revitalize the Talent Entry Processes

Treat Talent Well

Embrace New Age Leadership

Source: Robert Gandossy, Elissa Tucker, Nindhi Verma (Hewitt Associates):

Workforce Wake Up Call – Your Workforce is Changing, Are You?, John Wiley &
Sons Inc. 2006

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What is Your Challenge?

Attracting the best Retaining the best

people to Your talents on long-term
organization

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The Employee Lifecycle
Awareness

Apply Don’t Apply

Offer No offer

Accept Reject

Join

Stay

Re-Engage

Leave
Alumni

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It is Easy to Develop Interesting Words…

Energy Imagination Value Diversity

Opportunity Personal responsibility Challenge

Growth Career planning Right attitude

Teamwork Valuing people Value diversity

Achievement Compelling rewards

Multinational environment Continuous development

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… but Much Harder to Deliver on the Promise

80%

70%

60%

50%

40%

30%

20%

10%

0%
n ob its l l
Fu es r d ay s k ng na tic ic
a ed ng ow
lej oy
e ef r ee an p er or ou io ra rit rc di Sl
b pl en ca br ve to
m w Y en
t uc c ou an
St
a
at
b y ny it ti s am ea yp
o es em
em m pa pe cu te nv r rr
t re or r n/ nc
o Bu H e D
ou G tf o m o m fo tio
U nd
ab or c C e ra U
e pp or nc bo
Ca
r tf er
e
lla
Su ec ff o
e sp di /c
R a am Decision to Join Current Impression
g te
in
ak ne
M O

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 Does Delivering on the Words Matter?

100% y = 1,0006x - 0,105

This organsiation delivers on the promises it

90% R2 = 0,8461

80%
makes to employees

70%

60%

50%

40%

30%

20%

10%

0%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Employee Engagement

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Making the Love Affair Last…

End of the

51%
honeymoon
70
60
50
40
30

20 The
60
image of this organization as an
53 51 49 50 53
10employer is consistent with my experiences
0 working here.
3-12 months 1-2 years 2-3 years 3-5 years 5-10 years More than 10
years

Divorce?

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 The Employee Value Proposition

A specific „promise”
The organization’s end of the deal

of value
What’s in it for me-functional, economical, psychological benefits

to your target audiences

Candidates and employees

that is differentiating, compelling, and authentic

What makes the organization stand apart in the minds of candidates and employees

and it is consistently delivered through all touch points.

Communication, programs, policies, delivery

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 + + +

HARMONIZED CREDIBLE ALIGNED

Employee
+ = Value
Proposition

COMPELLING DIFFERENTIATING
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 Building Employee Value Proposition
FIRST
• Truly understand:
― The business context
― The CVP
― Organisational capability
requirements
― Current EVP
― Current Engagement
drivers
― Desired values
FOURTH
• Develop and implement a
migration plan that prioritises
the action steps required to
align the people and culture
processes and systems to the
value propositions
• Measure the impact of the
new EVP
SECOND
• Create value
propositions that are
aligned to organisation
capability and that
define the desired
1 work experience:
Understand Create the ― Includes a promise
the Context Value line, statement
and standards
Propositions
• Create internal brand
4 positioning statement
2
Deliver the Connect THIRD
Value with
Employees • Develop a branding strategy
that is in keeping with the
34 Value Propositions and in line
with the migration plan
outlined in Step 4
• Determine key enablers
• Leadership to actively
communicate the what and
why of new Value Propositions
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Creating an Employment Brand

Integrate with the Company Value Proposition:

Company Value Proposition

Who are we? What do we stand for? Why are we here?

Customer Employee Shareholder Community

Value Value Value Value
Proposition Proposition Proposition Proposition

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 What is an Employment Brand?
The image that employees and others have about the type of
employer an organisation is. It gives current and potential employees
Employment Value
information about the ‘employment experience’ or ‘the deal’. Defines
Proposition (EVP) what is in it for the employee as well as what is expected of them. It
answers questions like:

What is this job like?

Functional
What will I be doing in this job?
Benefits How will I develop professionally and personally?

Economic How will I be rewarded?

Value What can I expect in return for my efforts?

Psychological What will I be a part of? What will I belong to? How will I feel?
Benefits How will my efforts help drive a greater mission?

Source: Abler, Tim and Simon Barrow, “The Employer Brand,” The London Business School (08/1996)

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An Example—Ritz Carlton:

“Ladies and Gentlemen

Serving, Ladies and Gentlemen”

What will I be doing? How will I develop?

Functional I will be serving the world’s elite. I will be given extensive training
Benefits on how to execute my job exceptionally well. I will be a service
professional and will be treated with dignity and respect

How will I be rewarded?

Economic
I can expect to receive market level cash compensation with above
Value average perks!

How will it make me feel? What will I be a part of?

Psychological
I will be part of one of the world’s most elite hotels. I will feel
Benefits special

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Let’s Learn from the Marketers
In developing an Employment Value Proposition (EVP), we should
take the key learnings from the development of a Customer Value
Proposition (CVP)
Why Do
Business With
Customer Value Us? Employment Value
Proposition Proposition

The
Experience
Customer Promise Employee Promise

How We
Pull It Off
Core Capabilities People, Processes and
Programs

The
Results
Customer Attraction, Employee Attraction,
Retention, Profitability Retention, Profitability

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 Successful Organisations are Marketing their Value
Proposition on Two Fronts

Hewitt Best Employers use the value proposition to build powerful

brands that are targeted both externally and internally
The holy grail is an aligned value proposition

Employment
Customer External Internal Talent
Market Brand Value Brand Market
Proposition

Source: Hewitt’s Survey on “Emerging Trends in Internal Branding”

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Let’s Learn from the Marketers
100%
Employer Brand versus Customer Brand
90%

80%

70%
Employer brand

60%
A
50%
G
40%

30% E F
C
20% B

10%
D
0%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Customer brand
*Source: External employer brand research in CEE by Hewitt, 11,000 respondents

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The Employee—Customer Mirror

Freedom Begins with Me Southwest Airlines The Freedom to Fly

The Ritz-Carlton …Serving Ladies and

Ladies and Gentlemen…
Gentlemen

Simply Palm Palm Simplicity at Work

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How To Make It Alive?

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What’s in It?

Recruiting
Tool Culture
Tool

Employee
Retention Performance
Tool Tool

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 Together, We Grow, Excel and Succeed! EVP
Tagline

 Together  We means  Grow means  Excel means  Succeed

means we all of us that we provide we persistently means we
achieve regardless development drive for consistently
Promise
through of opportunities continuous achieve our
Statements
teamwork. positions. for our people to improvement. desired
grow with our outcomes.
company.

We live our EVP every day by making sure that our behavior in the workplace follows the Guiding Principles

 We trust,  We are  We seek  We  We are

respect and flexible and opportunities for encourage accountable Guiding
support receptive to growth as each other to for our Principles
each other change. individuals and take initiative performance
to achieve as a company. and innovate. and success.
our goals.

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Akik már „megcsinálták”!

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Our Points of View

Delivering the EVP is more important than creating it

Consider the effort a Company effort, not an HR effort
Obtain senior management support right from the beginning
Connect to the company strategy early in the project
Work with a cross–functional team right from the beginning
Understand the current (albeit not articulated) EVP before
developing a new one
Connect with your people throughout the process

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Your Contacts at Hewitt

Rita Veres
Hewitt Associates B.V.
Hungary
Váci street 33
1132 Budapest
Dir +36 1 – 801 8011
Fax +36 1 – 801 8001
Mob +36 20 –519 5209
rita.veres@hewitt.com

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