An Employee Value Proposition represents the collection of tangible and intangible aspects of an organisation’s offer to current and potential employees that set out the attractiveness of the organisation. An effective Employee Value Proposition provides organisations with many benefits.

For example, organisations with effective Employee Value Propositions have 30% more employees who are highly committed compared to organisations with less effective Employee Value Propositions.

Organisations with effective Employee Value Propositions are also less likely to report problems with attracting employees. This is because they can draw from bigger candidate pools and attract "passive candidates" who are employed at other organisations.

Considering the benefits, we can safely say that having an effective Employee Value Proposition is business critical. In order to find out the state of your Employee Value Proposition, here is a guide on how to assess your Employee Value Proposition. and a glimpse of how we do it at QCG.

How to assess your Employee Value Proposition

Phase 1 – Gather evidence

1. Find out about the promises you make to your prospective and current employees (e.g. reward, career progression, culture, etc.).
2. Find out what your employees receive in reality.
3. Understand what employees really value at your organisation.
4. Identify reasons employees join and leave your organisation.

You can use surveys, staff forums, focus groups, analyses of exit interviews, and check-ins with people managers to gather all the data.

Phase 2 – Analyse the findings from the first phase

1. Compare your organisation’s promises against your actual offering, and compare the reasons employees join and leave your organisation. Mismanagement of expectations may disengage employees, lower their trust in their organisation and result in a decision to leave.
2. Compare the organisation’s offering against the factors employees value.
3. Understand the reasons employees join your organisation. This will provide you with insights into how you are perceived in the market and allow you to improve your offering and communication.

Phase 3 – Plan and make changes

Develop a plan that works for your situation – and make it deliverable. Communication and engagement will ensure it lands well.

Phase 4 - Test (and re-test) the effectiveness of your approach

Repeat this exercise after you make changes to establish whether your efforts have been successful. It may be beneficial to repeat it every few years to ensure your Employee Value Proposition remains effective and relevant to employees.

At QCG we do the following:

Our diagnostic tool measures the importance against the fulfilment of key Employee Value Proposition factors to allow an organisation to see the degree to which it successfully delivers on the factors that matter to employees. Therefore, it is possible to understand what an organisation does well, and where improvements could be made to maximise the return on your investment in people.

We also use the tool to uncover the areas that need further analyses and help organisations to plan for changes to have a more effective Employee Value Proposition.

Having an effective Employee Value Proposition in order will be rewarding. You will be able to attract and recruit more people who are a good fit for your company. In addition, your employees will be more committed and thus contribute to increased business success.

Get in touch to discuss assessing your Employee Value Proposition.