Employee Value Proposition (EVP): What It Is & Why Should You Invest in It

Dec 17, 2021
Employee Value Proposition (EVP): What It Is & Why Should You Invest in It

For years, businesses have been diligently catering to their customers' needs. Their USP, corporate ethos, mission statement, and branding are all carefully crafted to surpass the expectations of their client base.

Business KPIs and strategies have always been focused on retaining customers and acquiring new ones. In terms of profit and ROI, this makes complete sense. And the happier those customers are, the more they will spend on your products and services.

That is still the case today and it no doubts always will be. But a shift is happening in how employers handle the expectations of their staff.

In roughly ten minutes you’ll be provided with some invaluable insights including what EVPs are, how to implement them, and how they can drive profits and save money. That's our Reader Value Proposition if you will.

What Are EVPs? 

You might be thinking: this is nothing new. Surely Employee Value Propositions are just perks worded in business jargon, right? 

Well, it's a touch more complicated than that. Perks are across-the-board; one-size-fits-all benefits intended to keep employees happy. They’re basic rewards that generally don't change over time. 

EVPs are a cultural shift whereby you invest just as much in your employees as you do in your customers. It means you extend your ethos, mission statement, and KPIs towards retaining staff and maintaining their wellbeing. 

That means investing time and money. It means researching, planning, and reviewing. It means providing financial and non-financial benefits to attract and retain the best talent. After all, it's your staff who keep your customers happy and find you, new customers. If you want the best customers then you need the best staff. 

Why Do You Need EVPs?

Today's top talent have a ton of offers and options. Organizations have long-term strategies for acquiring the best candidates, so prospects can afford to take their time and evaluate their choices.

Remote working means that businesses can cast a global net to find the best talent for a role - but so also can prospects. Therefore, if you want the best, you face international competition.

How to Implement EVPs

Your EVP strategy should be unique to your industry, your organization, and to your employees. Consult your current and former staff - if they've moved to working remotely, then use the most secure video conferencing.

When someone leaves your organization, ask them why. What were the push-and-pull factors in their decision? 

Employee surveys are an efficient method for gathering data. Ask questions such as:

  • What do you like about working for the company? 
  • What do you dislike about working here? 
  • Which of your tasks do you find challenging or difficult? 
  • Which of your tasks do you find easy or repetitive? 
  • How long do you envisage working for the company? 
  • Can you see a clear line of progression within the company? 
  • Is there any training or development which would benefit you? 
  • Do you ever feel overworked or stressed? When and why? 
  • Is there anything more the company could do to ease your workload
  • Are you able to “switch off” when you're not working? 
  • Are you happy with the salary and financial rewards you get from the company? 
  • Do you feel stable in your position? 
  • Do you feel you get adequate time off work? 
  • Which of our current employee benefits do you most appreciate? 
  • Can you think of any other benefits that the company can consider? 

If you get any recurring responses then it's probably worth addressing the issue but you should get a contrasting range of responses. Your EVP strategy needs to be just as adaptable and diverse as your workforce. 

Examples of EVPs

Many EVPs are specific to their industry, but let's look at some of the broader EVPs which can apply to most organizations. 

Financial EVPs

As well as basic salary, you might have other incentives to reward your employees, namely: 

  • Performance-based bonuses
  • Annual bonuses
  • Sponsored vacations
  • Pension plans
  • Health insurance
  • Paid time off
  • Complimentary meals
  • Free refreshments
  • Discounts for company products

Non-financial EVPs

Although not financial incentives, many non-financial EVPs do still require investment and will need budgeting. They look like this:

  • Team building exercises
  • Stability and security
  • Equality 
  • Flexitime
  • Camaraderie
  • Work/life balance
  • Standardized comms

Here, work/life balance and standardized comms are related. Standardizing your communications to a single channel or has numerous benefits. It means all your comms are in one place so messages don't get lost or forgotten. 

Lastly, it means that when the working day is done, your staff can shut down their comms channel. They can enjoy quality time without being interrupted by work messages. This reduces stress, aids quality of sleep, and improves diet - all of which will make your team more efficient and productive during work hours.

Career-based EVPs

For your most ambitious and driven employees, career-based EVPs will be key. They can include:

  • Career development
  • Technical training
  • Improving and refining current skills
  • Acquiring brand new skills
  • Buddying and mentoring
  • Management skills
  • Travel opportunities
  • Learning new languages
  • Medical and mental health training

Focussing on the last point on the list, it's a good idea to have an employee with mental health training in each department and remember to display their names where your staff can see them. If anyone has a problem, they’ll have a list of people they can talk to and can choose to talk to individuals they feel most comfortable with. 

Automation

An EVP that doesn't comfortably fit in one category is digital transformation acceleration rpa. This means that repetitive and menial tasks can be automated. Your staff members are freed up to do work that is more meaningful, creative, and rewarding. Not to mention more profitable!

Customize your EVPs

Tailor your EVP strategy to different age groups, interests, ambitions, and requirements. Let your employees map out their own EVP journeys. 

Mapping your ideal customer is a well-known marketing technique. It can also be used for recruitment, so try mapping out your perfect employee and see the journey it takes you on.

What kind of role would attract them? What benefits can you offer to make you stand out? How would you financially incentivize them? How can you help to further them and develop their career? What working environment would they enjoy? What are their long-term ambitions and goals? Would something as simple as a virtual phone number help them?

On a Mission

Your EVP plan is there to attract prospects - so tell them about it! The first thing to do is write your EVP ethos into a mission statement or promise. It might look something like this:

"Joe's Shack started as a family business in 1978. We now employ more than 300 people but we still feel like a family. We believe that each employee is different and important. We will inspire you, motivate you, and expand your skillset. Tell us your dreams and ambitions and we will help you realize them. Join the Joe's Shack family."

Sell your EVP plans in the same way you promote products. It should feel like a product in that it is something that people will want to buy into. 

Word of mouth is great for recruitment. If your staff is well looked after and happy, they’ll tell the world about it. Word will soon travel throughout your industry that you are a great employer. 

You can spread the word as well. Write about your EVP plan on your company website, socials, blogs, and video channels. Let your customers see how much you value your people. 

Added Value

Businesses are always happy to invest in productivity-boosting technology like call recording software, or task management solutions. However, they tend to forget about employee satisfaction. It's just as important, and investing in welfare-boosting incentives is a surefire way to improve the employee experience.

Customers like using companies that have happy employers. A strong EVP will boost sales and provide a great ROI. 

You won't have to spend as much time or money on your recruitment campaigns. People will come to you and ask for work instead of you having to go to them. 

Furthermore, if you can retain your staff, you save money on training new employees. 

Review and refine

Times change and so do people. You innovate and adapt to meet customer expectations and you should do the same for your staff. The principles of EVP mean that your staff are more engaged and are happier to talk to you. They will share their ideas and not just about EVPs, but about business in general. They might suggest new techniques and technologies like workflow process software.

Your EVP plan should be under constant review. Stay ahead of your competitors and keep your best talent. 

Long-term Links

EVPs mean you will be better placed to retain your staff and it also helps maximize their potential while you work together. You can't always keep hold of an employee; an employee might want to work in a different industry, for example. They might emigrate. Or, they might even be dealing with external emotional factors such as a long-distance relationship.
If things don't work out, they’ll hopefully come back and work for you once more. You see, some relationships are just too good to give up.

 

Author Bio: Erik Bergman co-founded Catena Media and helped grow it to over 300 employees and a $200 million valuation before stepping away to start Great.com, an iGaming organization that donates 100% of its profits to environmental charities. In addition to running a successful online affiliate business, Erik also hosts the Becoming Great podcast, shares entrepreneurship tips with his more than 1 million social media followers, and contributes to sites like Entrepreneuer.com, Business Insider, Foundr, and Forbes.