It is well known that intellectual and human capital is the main source of competitive advantage
and/or core competence
in the modern economy. "People are our greatest asset". Accordingly, there is an intense "contest" among employers to attract and retain the best, most talented employees. So employers are keen to create and maintain a good image of the working environment they offer, offer nice work conditions and provide good employment conditions and social privileges to attract employees.
Your company may be the best employer on the planet, but you have to let prospective employees know. So as a main part of your total effort, companies are using to "Employer Branding
" to recruit and retain the most talented people with superior skills and knowledge.
Ambler and Barrow were the first to explore "employer branding" through the combination of HR and brand marketing concepts. They defined it as a form of marketing based on communicating: "a combination of functional, economic, and psychological benefits provided by employment and identified with the employing company". The employer brand is normally managed by the HR and the marketing department together. Build an employer brand is a long and laborious job, but it is definitely rewarding.
Benefits of Employer Branding. Advantages
Here is a full list of the advantages of having a strong employer brand (some are somewhat overlapping). Companies with strong employer brands can:
- Talent Management: Attract talented potential employees;
- Obtain a long term and difficult-to-copy competitive advantage in the labor market;
- Employee Engagement: Reach a higher level of employee satisfaction, which in turn affects the performance of an employer;
- Build loyalty among current and potential employees which has a positive effect on labor productivity;
- Organizational CommitmentProvide gratitude for employment, psychological contact with the employer, commitment to the organization, and incentives for employees to personally promote the company brand;
- Potentially reduce the cost of employee acquisition;
- Influence the work culture in the organization;
- Improve employee relations;
- Lower Attrition levels by increasing employee retention.
Features of a good Employer Brand
- Inspires and engages employees through a good working environment, innovative programs, and user-friendly procedures in the company, and activates the creativity of employees to develop better products and services.
- Reflects the friendliness, joy, comfort of teamwork, and satisfaction in the work environment organized by the employer.
- Is known to provide above-average pay, job security, and flexible working hours.<
- Recognizes the importance of accomplishments of employees
- Provides an experience that is conducive to wanting a career in this company. This experience serves as a starting point for future work.
- Offers employees the opportunity to apply and grow their knowledge and skills
- Provides the opportunity to help and train others through training, coaching, and mentoring.
Steps in Employer Branding. Process
In order to develop a strong employer brand in your company, you can apply the following steps:
- Have a good understanding of your company and know the needs, attitudes, motivations, and preferences of today's (talented) employees;
- Create a 'compelling brand promise' for employees that reflects the brand promise for customers;
- Develop standards to measure the fulfillment of the brand promise;
- Align all organizational practices to support and reinforce the brand promise;
- Execute, measure and improve.
The process of building an employer brand can take five to ten years. It not only affects the HR strategy but is also related to the entire corporate strategy and vision. It is the basis of a balanced, harmonious employee-employer relationship, which is indispensable for a successful business.
⇨ Ho does your firm use employer branding? Please share your experiences with us below and help me complete this overview. Thank you.
Ambler T., Barrow S., "The Employer Brand", Journal of Brand Management. – 1996. – №4 (3), P. 185-206.
Ahmad N., Daud S. "Engaging People with Employer Branding", Procedia Economics and Finance. – 2016. – №35. – P. 690-698
Lievens F., Slaughter J., "Employer Image and Employer Branding: What We Know and What We Need to Know", Annual Review of Organizational Psychology and Organization