Employee value proposition (EVP) is emerging as a key driver for organisations and their growth, especially in the post Covid era, says Roopank Chaudhary, the India Chief Commercial Officer, Head of the Mumbai Office and Head of the Financial Institutions practice for Aon in India and South Asia.
Responsible for key client relationships for Aon, client development for all its existing solutions as well as new products and also managing the Financial Services Sector, he also has to build thought leadership and content capability for the financial services industry. Managing Aon's relationships with large Indian banks, multinational/investment banks, insurance/asset management companies, non-banking financial companies as well as financial services conglomerates across the country, his core area of work focuses on rewards consulting, job evaluation, pay for performance, organisation design and HR set up and transformation.
In an interaction with People Matters, Chaudhary talks how a strong EVP can contribute to higher employee commitment and lower employee turnover and the key levers on which a good EVP needs to focus on in the post Covid world.
What is EVP and why do organisations need it?
The EVP of an organisation articulates what the organisation wants to be known for as an employer— the experience, environment, programmes, and rewards offered that differentiate them from their talent competitors. It also articulates what the organisation expects from employees and what employees can expect in return.
A strong EVP can contribute to higher employee commitment and lower employee turnover, which, ultimately, has a positive impact on both customer and business results. Research has shown that a well-executed EVP improves the commitment of employees, increases the likelihood of employees acting as sponsors, and reduces turnover (which becomes even more compelling during the 'Great Resignation').
Building a great EVP for organisations
EVPs are a key element to build Brand Advocacy for a firm. High-performing organisations build “Brand Advocates” who relay their experience on the culture, structure and programmes externally.
Organisations that wish to build high brand advocacy need to build the right cultural, programme and structural experiences for their EVP to come to life and create the desired impact over a period of time. While high performing organisations focus on continuously improving their programmes and processes, their EVPs focus on cultural or programme experience that they consider as strengths. The best EVPs are compelling and differentiating (what do you want to be known for) and clearly authentic (what employees expect from you and what do you expect from them).
Shape of a good EVP in a post-COVID world
A good EVP needs to align with the customer branding, align with the organisation’s core values, and needs to be functional, emotional and spiritual at the same time.
More importantly, the best EVPs guide the employee experience that is defined by work, team, organisation and total rewards. It then needs to focus on each of these levers which have got shaped and changed in a post Covid world.
Firstly, work - that includes work tasks and processes - needs to align with elements of safety, communication, and collaboration in a hybrid world, and clearly needs to bring the aspect of work life balance that has suffered a lot in the pandemic.
Secondly, the team element needs to incorporate how teams are working virtually, the trust and empowerment managers provide to their teams, and how well leaders are able to communicate in an uncertain environment.
Thirdly, from an organisation perspective, more focus on the company core values, environment and social responsibility, governance and bringing the focus on diversity, equity, and inclusion is paramount.
Finally, the elements of total rewards need to include financial security as well as health security (both impacted adversely during Covid), mental and physical wellbeing, work life balance and flexibility as well as time off.
EVP trends to look out for post-Covid
EVP trends that many organisations are likely to embrace include:
- Greater flexibility in work process which include hybrid working, remote working as well as work life balance measures.
- A higher focus on mental as well as physical well being.
- Safer and healthier workspaces and work environments.
- Strong push for DEI (diversity, equity and inclusion) and ESG (environmental, social and governance) parameters.