Employer Brand and Return of Investment

        This blog examines the current state of employer branding and return on investment in a large firm that was developed over a decade in the marketing area and has logically evolved into a component of human resource management. The employer brand, organizational image, organizational identity, and the link between the employer brand and return on investment were all examined in depth. As new trends emerge, how the world's finest companies plan to build strong employer brands and recruit top people in developed markets is being uncovered and discussed.as well as how these businesses appeal to patients from all walks of life, regardless of their varied backgrounds, nationalities, or tastes. Because developing market countries are growing at much quicker rates than developed market economies, now is frequently the best moment to invest in building a strong employer brand and tapping into the talent pool. Companies who are proactive in obtaining people in emerging areas will surely gain an advantage and have the potential to drive the global economy.

What Is Employer Brand

       Employers must develop appropriate strategies for attracting and interacting with elite personnel. Exploring a potential employer is now as simple as looking for new vacation destinations, and firms must adopt correct strategies to attract and communicate with top personnel. Controlling and shaping an employer's reputation among job seekers, employees, and important stakeholders is known as employer branding.It encompasses all of your efforts to make your organization a desirable place to work. An employer brand should portray an organization as a potential employer for a competitive advantage, and the firm should attempt to position itself as an employer with superior work experience to competitors. 2011(Love & Singh) . A strong employer brand, according to the survey, should include benefits, remuneration, perks, career growth, and possibilities for additional value(Lievens & Highhouse, 2003).

How Does Employer Brand Construct?

       The image of the employer is the foundation of an employer brand. It will express the opinions of individual constituents on specific aspects of a corporation's role as an employer. In the context of employer image casting in general, an organization's employment image (employer image) is one of the many possible images that people may have of it. As a result, employer image is included in the multidimensional construct of organizational image. The many organizational images are influenced by various groups, such as stakeholders and firm audiences. Apart from a company's image as an employer, at least three different images held by the same corporation can be distinguished. An organization's financial image is its initial impression. Furthermore, an organization's reputation as a socially responsible performer in society is critical. In addition to its financial and social performance, customers and clients typically have an image of a corporation as a provider of products and services.

Connection Between Employer Brand and Return of Investment

      Employer branding is a crucial idea for organizations to grasp since it serves as a tool for demonstrating how they distinguish from competitors. It also helps organizations perform better in HR areas like recruitment, retention, and engagement by allowing them to stand out from the competition. Examining the findings of the employer brand is the most thorough way for determining the link between these two concepts. Employer branding has a positive impact on a firm because it displays and recognizes the link between commitment, retention, performance, satisfaction, attraction, and loyalty. Organizations that invest in employer branding not only successfully document their processes and earn a competitive edge in attracting staff, but they also gain a competitive advantage in other important economic areas. This added value is reflected in a plethora of beneficial implications for employer brand results.

Outcomes of Employer Brand

•  Strong employer brands stand out from competitors - 

In the world of marketing, branding may make a product stand out from the crowd. Lievens & Highhouse(2003) found that symbolic rather than instrumental traits (e.g., innovativeness) acted as points of differentiation within the sector.

•  Attract top candidates - 

Candidate quality could be a top priority for each hiring manager. In any economy, but especially during a decline, it is important to actively foster and nurture a reputation as a good place to work so you draw the simplest job seekers from an oversaturated pool of candidates and would accept 7% lower pay to figure at a company with a robust image.(Cable & Turban, 2003)

•  It builds creditability with candidates, potential investors and customers -       Every recruiting manager's primary objective may be candidate quality. It's critical to actively build and nurture a reputation as a decent place to work in any economy, but especially during a downturn, so you can attract the few job searchers from an oversaturated pool of candidates who would accept a 7% pay cut to work for a company with a solid reputation (Rampl & Kenning, 2014).

         The employer brand may also influence whether or not future investors and consumers want to work for and do business with the company. Brand affect and trust moderated the impact of symbolic trait inferences on potential applicants' organizational attraction(Fulmer, et al., 2003).

Figure 1:Employer Brand Model(Gaddam & Soumya, 2008)

The findings suggest that there is a correlation between employer brand and return on investment, and that a positive workplace image leads to higher organizational performance. Organizations on the only companies to work for list have better organizational performance than the overall market of publicly traded companies.

 References

Cable & Turban, 2003. The Value of Organizational Reputation in the Recruitment Context: A Brand-Equity Perspective. Journal of Applied Social Psychology, 33(11), pp. 2244-2266.

Fulmer, Gerhart & Scott, 2003. Are the 100 best better? An empirical investigation of the relationship between being a “great place to work” and firm performance. Personnel Psychology, 56(4), pp. 956-993.

Gaddam & Soumya, 2008. Modeling Employer Branding Communication: The Softer Aspect of HR Marketing Management. ICFAI Journal of Soft Skills, 08 March, 2(1), pp. 45-55.

Gaddam & Soumya, 2008. Modeling Employer Branding Communication: The Softer Aspect of HR Marketing Management. ICFAI Journal of Soft Skills, March, 2(1), pp. 45-55.

Lievens & Highhouse, 2003. The relation of instrumental and symbolic attributes to a company's attractiveness as an employer. Personnel Psychology, March, 56(1), pp. 75-102.

Lievens & Highhouse, 2003. The relation of instrumental and symbolic attributes to a company's attractiveness as an employer. Personnel Psychology, March, 56(1), pp. 75-102.

Love & Singh, 2011. Workplace Branding: Leveraging Human Resources Management Practices for Competitive Advantage Through ‘‘Best Employer’’Surveys. Journal of Business and Psychology, 08 May.pp. 176-181.

Rampl & Kenning, 2014. Employer brand trust and affect:linking brand personality toemployer brand attractiveness. European journal of marketing, Volume 48, pp. 218-236.