Wednesday, July 1, 2009

Do employees have a high regard for a company’s commitment to CSR?

Just when you thought you’d mastered corporate governance... CSR arrives on the scene.

The World Business Council for Sustainable Development defines it as ‘... the continuing commitment by business to behave ethically and contribute to economic development, while improving the quality of life of the workforce and their families as well as the local community and society at large’.

The Australian Human Rights Commission describes it as ‘corporations having a degree of responsibility not only for the economic consequences of their activities, but also for the social and environmental implications.’

No longer is it sufficient to simply provide jobs, pay taxes and provide customer service. It’s all about your organisation committing itself to the present and future wellbeing of society, and actively supporting a sustainable global economy. CSR is widely recognised as a major contributor to company reputation – and we all know how important that is to business success – inevitably impacting on share price and product sales.

Potential employees are more likely to seek out organisations who can demonstrate a commitment to CSR. An organisation’s CSR activities can have a measurable influence on employee morale and retention. Employees who are satisfied with their organisation’s commitment to social and environmental responsibility are likely to be more positive, more engaged and more productive than those working for less responsible employers.

Ask yourself this. How highly is your organisation regarded in the local community? What measure does it take to protect the environment? Does it actively support good causes? Does it look after its employees? Does it have a reputation for caring?

There is increasing demand for organisations to be more open, more accountable and willing to report publicly on their performance in social and environmental arenas – no matter what their size or activities.

Common views on CSR range from...

‘It is fundamental to the positive reputation a business builds in the minds of its employees’

‘It distracts from the fundamental economic role of businesses’

‘It is nothing more than superficial window-dressing’

‘It is an attempt to place more control over powerful multinational corporations’

“Organisations with no measurable commitment to CSR are less likely to attract top performers”

What is your view?


Tony Heywood is a Fellow of the Design Institute of Australia, founder of Heywood Innovation in Sydney Australia and co-founder of BrandSynergy in Singapore.
tony@heywood.com.au
www.heywood.com.au
www.brandsynergy.com.sg

Thursday, May 14, 2009

Disengage your employees and you disengage your business

In the present climate, your Employer Brand has to work harder than ever before, says BrandSynergy

Singapore, 12 May 2009 – According to the Singapore Ministry of Manpower report, the total number of retrenched workers rose to 10,800 in 1Q2009, up from 7,500 in the previous quarter. With retrenchments on the rise, some employers are beginning to take the backseat in talent retention and benefits with the mindset that times are hard so no-one’s going to be leaving – why should I worry about losing people?

“In times of rising unemployment, increasing insecurity and low business confidence, employer branding becomes more important as talent is key to growth,” says Tony Heywood, Principal of BrandSynergy Pte Ltd. “If you can provide an image that highlights stability, innovation and security during uncertain times, it translates to a positive energy amongst your employees which is in turn projected onto the marketplace. And during a recession, as others retrench, it is also a prime opportunity to pick up a few good talents.”

“Every employer has a brand. It is a perception that people have of the employer and what the company represents, and it is distinct from the product brand. At the heart of your Employer Brand is your Employee Value Proposition or your EVP,” Heywood adds.

This was shared with an audience of senior business executives and human resource professionals attending a special presentation on “Employer Branding: Solutions for Stormy Conditions” which took place in Singapore on Wednesday, 22 April.

“The EVP is supported by 12 pillars for a solid foundation – advancement, communication, corporate brand, culture, environment, experience, leadership, people, recruitment, remuneration & benefits, values & corporate social responsibility and work-life integration.”

Earlier this year, BrandSynergy launched the EmployerBrandGuidanceSystem in Asia, a 9-stage end-to-end Employer Branding Process where companies are provided the tools to begin discovering, implementing, monitoring and measuring their EVP progress (Please refer to Annex I).

Few companies have a good grasp on the external and internal perceptions of their organisation as a good employer. To determine what your EVP is, the System offers a TeamPlan survey that can be conducted either by an online/offline questionnaire or in focus groups.

The participants at the presentation took part in a TeamPlan exercise where they responded to a few key questions like “What HR-related challenges is your organisation presently encountering?” and “What aspects of your employer brand do you believe can be improved?”. They experienced first-hand the process of clustering responses where prevalent thoughts and emotions emerge, revealing rising issues, like communication, empowerment and staff benefits.

“One of the common and recurrent issues we encounter is the ineffectiveness of internal communications. Employers who are too busy to communicate with their employees foster disengagement, and de-motivated people will under-perform inevitably, putting your company off its track. An employer brand reflects both the functional and emotional components of your EVP. Employers today face new challenges with greater staff expectations beyond just functional components like salaries, hours of work, parking facilities and training. Employees are more cognizant and discerning of the company’s corporate culture, environment and values as well as advancement opportunities within,” said Heywood.

Quoting John Quelch, Professor at Harvard Business School: “Branding your company as the best place to work during a recession is critical. Top talent is looking, especially now. When you start to grab these players during a recession, it will positively impact productivity.”


Karen Fong
Managing Editor
Equity Communications
Singapore

Tuesday, April 28, 2009

Chicken rice and workshops in Singapore

Friday 24 April 2009 and my creative director Neil Cookson and I are just back from a successful 4-day mission in 34 degree heat to our BrandSynergy Singapore office. Thank heaven for air conditioning. With the help of my partner Max Chia and other members of our fabulous Singapore office team, we held our inaugural BrandSynergy employer branding workshops at the Rendezvous Hotel for 20 companies ranging from large corporates including HSBC and Singapore Press Holdings to medium size enterprises and government entities. Singapore, although an island of modest size, is host to 150,000 SMEs who contribute significantly to the GDP, and receive much encouragement from government agencies IE Singapore and Spring, who actively support these SMEs across a wide range of business building activities including branding advice and support. Our discussions with a delightful gentleman from Spring highlighted the branding grants available through its Brandpact initiative to Singaporean companies, which can cover 50-70% of the costs associated with an approved branding exercise. Hello, are you listening Australia - please take note! In the past two years Spring has approved grants for 120+ businesses. Of particular note is that Spring is presently experiencing a surge in enquiries from businesses wishing to build their brand to the next level. This is the result of a recent awareness program and seemingly the fact that Singaporean companies with whom I have spoken have switched on to the rare opportunity provided by the present downturn to step back, focus on the future, prepare their businesses for the upturn and achieve competitive advantage. The rest of the world please take note.


What did we learn from the workshops and the interactions we had with attendees?

1/. Positive feedback from attendees suggests that we have a powerful employer branding offer that is attuned to helping Singapore businesses build strong employer brands that optimise their recruitment and engagement activities and enable them to attract and retain top talent.

2/. Singapore companies are showing more interest in employer branding and its benefits than their Sydney counterparts.

3/. Information gleaned by us from pre-workshop attendee questionnaires indicated almost all organisations had no creative proposition with which to underpin and promote their employee-related activities.


4/. More worryingly, the majority had not defined their Employee Value Proposition (EVP).

5/. The workshops reinforced that regardless of where a business is located - in Europe, Asia, the Americas or wherever - it will be facing very similar employer branding challenges and have very similar opportunities to make improvements. Human beings generally think and behave in similar ways and have similar aspirations and desires when it comes to their employer, their job and their career prospects.

6/. Any work undertaken to create or improve an employer brand must be taken seriously and accomplished within a carefully managed process, not just on an ad hoc basis - our EmployerBrandGuidanceSystem was created to do just this.

7/. Any employer branding activities can only be accomplished with a very clear understanding of what your employees are presently thinking, as their perceptions of their employer will undoubtedly have changed as a result of the downturn - moderately in some cases, critically in others. This can be accomplished in two ways:
> Online employee survey - a multiple question survey where employees are instructed to complete an anonymous online survey is a fast and effective way to identify what employees are thinking, what are their perceptions of their employer and prospects for the future, and to gain their ideas on what improvements that can be made and how to make them. Results we have gained from such surveys have ranged from predictable to alarming, in many cases requiring urgent remedial action. Without this knowledge and insight it is next to impossible for us to offer recommendations for a way forward.
> TeamPlanSystem process - where employment insight and ideas need to be sourced from smaller groups of people, or new employer brand initiatives introduced to them, our tried and tested process which we trialled with the workshop attendees is the definitive way of achieving this.

8/. Attendees expressed keen interest in our ‘12 pillars’ EVP model. Our process of defining an organisation’s EVP identifies the core strengths and weaknesses of the organisation as an employer... and therefore which ‘pillars’ need to be improved.


9/. Recruitment remains a challenging proposition even in a downturn where emphasis is now firmly on retention of talent. It remains a costly exercise and one where a creative proposition - visual and verbal - plays a crucial role in attracting job candidates, positioning the employer and establishing a consistent and recognisable brand presence.

10/. As one attendee with a DIY store chain is experiencing - the ability to fully engage with customers and achieve high levels of brand loyalty and differentiation relies not only on a strong corporate brand but also on sales personnel who are fully motivated and engaged by the brand and possess a clear understanding of what the company brand represents and how it can benefit the customer. Engaged sales personnel lead to satisfied customers.

11/. Communication is critical. Without it all efforts to build a strong employer brand will come to nothing. Employees need to be informed. They need to know what the company leaders and managers are thinking and planning, particularly in trying times. They need to have reinforced to them constantly the important role they play in the company’s future. And this needs to be achieved with language they understand in a medium that is easily accessible.

12/. Investing in the development of a strong employer brand, whether you are a large corporation or an SME is not an option. For some it is a survival requirement. For some it is the sole means to achieve competitive advantage.


Tony Heywood is a Fellow of the Design Institute of Australia, founder of Heywood Innovation in Sydney Australia and co-founder of BrandSynergy in Singapore.
tony@heywood.com.au
www.heywood.com.au
www.brandsynergy.com.sg

Monday, April 20, 2009

“We just don’t think employer branding will work for us right now!”

Despite there always being sceptics out there pathologically committed to an alternative viewpoint, employer branding makes a lot of sense for companies right now. The continuing downturn means that many of them will not be actively seeking new employees to facilitate growth strategies and replace non performers or mobile high performers for another 12 months. The recruitment frenzy of 2008 is now but a distant memory.

... in our day-to-day interactions we’re identifying so many companies who are doing so little to address the need to communicate with, engage and retain their best people.

The ‘new order’ of 2009 is characterised by clamp downs on hiring and new focus on finding ways to keep valuable people in their seats. For some companies this may mean a handful of people, for other companies the entire workforce – depending on the nature and size of the business, products/services delivered etc. Considering the severity of the downturn and the corresponding delicate financial position of many businesses, I find it surprising that, while the majority of companies are responsive to my company’s offer of assistance, in our day-to-day interactions we’re identifying so many who are doing so little to address the need to communicate with, engage and retain their best people. I’m sure my company is not the exception to this in the world of consultancy, so what can be causing it? Here are a few reasons/excuses that I have been made aware of:

> A basic lack of awareness of employer branding, its benefits and value
> Scepticism of what it can achieve
> Company clamp down on all spending so no available funds to initiate work in this area
> Previous bad experience with recruitment/advertising consultants
> Belief that the company is too small for employer branding activities
> Recovery efforts totally focused on product sales, not employees
> Activities thwarted by narrow vision HR Manager
> CEO has internalised all employee-focus activities and closed the door
> Company in dire financial straits and beyond help
> Too much reliance on incumbent recruitment agency to “get us out of this mess”
> “We’ve already got a recruitment website thank you”

When it comes to survival and the opportunity to get ahead once markets recover, guess where these guys are going to end up? Recessions can be ruthless when it comes to selecting those companies who just aren’t physically or mentally capable of surviving. For many, investment in tried and tested employer branding initiatives is probably the only lifeline that can stop them from going under, but it takes an enlightened CEO to recognise this. Some dwell in the dark, some see the light.

For a consultancy like ours, this reluctance or inability to seek help is very frustrating, when so many companies have sufficient knowledge and insight to converse intelligently on the subject, have a good understanding of what they need and recognise the urgency with which they need to make a decision and commission help. This doesn’t stop us from wanting to help. So we’ve decided to create an ‘Employer Branding for Beginners’ workshop to test the market. I will report back in a later post with the results of this initiative.

Perhaps we overestimate the ability of companies to grasp the benefits, or is it just a built-in reluctance to ask for help? Let’s find out.

Tony Heywood is a Fellow of the Design Institute of Australia, founder of Heywood Innovation in Sydney Australia and co-founder of BrandSynergy in Singapore.
tony@heywood.com.au
www.heywood.com.au
www.brandsynergy.com.sg

Sunday, March 29, 2009

Employer Branding: Your guiding light in stormy conditions (continued)

Get back to basics and get them right
It may be difficult for organisations to shift their focus from the effects of storm battered markets but the situation will end sooner or later, just like it always has done. The big question on everyone’s minds is when will it improve?

When distressed market conditions dictate that recruitment activities are temporarily shelved, the more astute companies crank up their engagement and retention machines. They will recognise that core employer branding principles are now more valuable and necessary than ever before. The ability to attract correct-fit talent, satisfy them that the organisation has solid prospects and engage them with experiences that inspire them to produce their best work and motivate them to stay has become a determining factor in an organisation’s ability to achieve and sustain success.

Judging from past experience, once the media decides that the worst is over, that we can breathe again and start the rebuilding process, we will witness a race to regain lost ground and re-engage with the jobs market. Those employers that have done their homework and honed their employment offer will be the ones attracting the cream of new talent and forging ahead with a committed and resilient workforce.

So where do you start? This is the time to stop worrying and to start planning. It’s time to get back to basics, strengthen your employer brand and ensure your own employees and key external audiences are exposed to it and recognise its value. Make sure it is differentiated once and for all from those of your competitors. Put your efforts into gaining an in-depth understanding of your employer brand and what it is capable of achieving.

1/. Employee Value Proposition
If you don’t have a well defined Employee Value Proposition (EVP) in place you are severely disadvantaged. An EVP sits at the heart of your employer brand. It is what your employment ‘experience’ delivers on functional and emotional levels – the essence of what makes you different and attractive as an employer. At Heywood Innovation the EVP model we embrace as part of our EmployerBrandGuidanceSystem comprises the EVP as the ‘beam’ supported by 12 ‘pillars’ as shown in the illustration.  


These pillars represent the essentials that must be addressed in your employment offer.

2/. Communicate with your employees
Be honest. Tell them the truth. Don’t gloss over the reality of the situation and don’t pretend the company is immune to the changing market conditions, because they just won’t believe you. Be open and transparent. Reassure them. Explain simply and clearly the steps you are taking to address the changes. Tell your employees how much you value them and the important role they play in the organisation’s future. This should come from the organisation’s leader and be reinforced by group leaders all the way through the organisation.

3/. Take engagement with employees to the next level

What steps did you take to engage and motivate your staff before the market downturn? If they were proving less than effective, then I recommend you quickly review the reasons why and make improvements, because the coming months will prove a considerable test. Do you know to what extent employees are engaged and motivated? If not, it makes sense to find out now and plan accordingly.

4/. Don’t stop marketing
If you stop marketing your employment offer into the jobs market, future job candidates and your own employees may fear the worst and conclude that all is not well. If your competitors have stopped marketing their presence in the jobs market, take advantage of this and gain the upper hand by being top of mind when conditions improve.

5/. Reduce your recruitment and training costs

As organisations count the cost of staying in business and trying to make headway, positioned near the top of the list is the significant investment paid to recruiters to source new talent and the associated internal costs of inducting and training these people. These processes will be increasingly scrutinised.

My predictions for 2009 are that:

> more recruitment activities will be brought in-house
> induction processes will be reviewed and more closely aligned with employer brands that are well defined
> a new generation of intranet will appear that is more interactive with employees and is seen as a communications tool rather than an information repository
> internal communications will become more frequent and constantly reinforce the organisation’s values, vision and commitment to its employees
> 2009 will be the year when the value of employer branding rises considerably and claims a greater share of an organisation’s annual budget


Tony Heywood is a Fellow of the Design Institute of Australia, founder of Heywood Innovation in Sydney Australia and co-founder of BrandSynergy in Singapore.
tony@heywood.com.au
www.heywood.com.au
www.brandsynergy.com.sg

Thursday, March 26, 2009

10 essential considerations for your employer brand


1    Employer emphasis has shifted significantly from recruitment to engagement and retention. Employers now realise more than ever that employees are the life blood of their organisation and can make the difference between success and failure.
2     The ongoing strength of an organisation’s brand relies heavily on its ability to maintain communication with employees and address concerns regarding their employer’s ability to withstand the downturn and protect job security.
3    Companies are looking for ways to reduce recruitment costs. Reducing costs however, is not about less communication and less marketing. It is about looking at ways to be more efficient and perform more recruitment tasks in-house.  
4    The downturn will differentiate those organisations that adopt a defensive stance from those that embrace the opportunity to engage with their employees and strengthen resistance to adverse market forces.
5    A new style of company leader will emerge who is people-focused and can inspire employees to make deeper commitments to their employer. These newly engaged and motivated companies will be the leaders in 2009 and beyond.
6    Employer branding will be recognised as a critical complement to a company’s corporate brand. An increasing proportion of advertising and marketing budgets will be channelled into employee focused activities.
7    Companies who define and strengthen their employment proposition, and the promise they make to their employees, will be favourably positioned ahead of competitors when markets recover.
8    Recruitment companies will increasingly realise the value of employer branding to themselves and to their clients. They will stimulate closer relationships with practitioners of employer branding, particularly those with end-to-end service offerings.
9    Employees will expect their employer to be open, truthful and consistent in what they say and what they do. Alignment is very important – the recruitment promise with the employment experience, and the corporate brand with the employer brand.
10    Organisations will increasingly realise that people are the essential fabric of their business and critical to future business success. Consequently they will commission on an ongoing basis deep research on how candidate and employees perceive the employment experience, with a view to monitoring the results and realigning where necessary to optimise those perceptions.

Tony Heywood is a Fellow of the Design Institute of Australia, founder of Heywood Innovation in Sydney Australia and co-founder of BrandSynergy in Singapore.
tony@heywood.com.au
www.heywood.com.au
www.brandsynergy.com.sg

Thursday, March 5, 2009

Focus on growth

Despite the doom and gloom pervading the markets there are still plenty of companies focused on growth. The smarter ones realise that this can only be achieved with top talent on board - working in harmony and suitably inspired by the organisation they are employed by.

To achieve this requires that you brand your organisation as a truly sensational place to work and then prove it. When companies are under stress top talent turns its eye to new opportunities - namely those companies who can shrug off the effects of the recession and leverage their people’s skills to get ahead of competitors and gain market share.

Taking on top talent when markets are distressed can have an extraordinary effect on an organisation. It can rejuvenate and provide inspiration and new impetus to move forward.

What steps does an organisation need to take during a recession to prove it is an exceptional employer?

> consider a four day working week to reduce operational costs and reduce the potential of redundancies - the work/life balance may be greatly appreciated
> remember that top talent is attracted to organisations who deliver a combination of security, sustainability, vision and innovation
> define and promote the benefits of your Employee Value Proposition at every opportunity - remember that your employer brand has to work harder now than ever before and must be fully optimised
> maintain or even increase exposure of the benefits of working in your organisation - it is essential not to let your awareness fall away, either internally or externally
> review your online employer branding/recruitment presence - is it portraying you accurately and effectively as an attractive employment proposition?
> keep an eye on what competitors are doing - don’t let them get ahead of you while you are distracted
> review and upgrade where necessary your preventative health programs
> consider letting employees work from home to minimise travel expenses
> now is a good time to review your induction materials for consistency with the main employment proposition you are promoting to the market
> meet with your recruiter to review your recruitment strategy in line with the changed markets and your changing requirements
> take the opportunity to find out how well the recruiter understands your employer brand
> look for every opportunity to communicate employment benefits to employees and keep them updated on how the organisation is managing the economic downturn
> review your intranet - is it giving employees the information and insight they need to fulfill their role?
> focus on promoting to employees the organisation’s stability, security, innovation and growth opportunities
> above all else be true to your brand promise - who you are, what you are, what you are capable of and what you can offer, and then go after those people who will be most attracted to it and will dovetail into the organisation

Now is a good time to foster relationships with graduates - get your name in front of them and identify the most talented individuals.

The need for a skilled workforce will only increase when we climb out of the recession. There is much discussion on the facts that here in Australia in the next few years there will be an increase in the demand for skilled workers compounded by the retiring generation of baby boomers.

There is nothing like a good round of cost cutting and retrenchments to kill trust and loyalty from employees and prompt them to look for other opportunities. And it is a hard job to rebuild that trust and loyalty.

Remember that the cure for diminishing employee engagement starts with more and better communication. 

Tony Heywood is a Fellow of the Design Institute of Australia, founder of Heywood Innovation in Sydney Australia and co-founder of BrandSynergy in Singapore.
tony@heywood.com.au
www.heywood.com.au
www.brandsynergy.com.sg