At its heart, an employee value proposition (EVP) is the unique set of benefits an employee receives in return for the skills, capabilities and experience they bring to a company. An EVP is about defining the essence of your company—how it is unique and what it stands for.
An EVP describes the mix of characteristics, benefits, and ways of working in an organization. It’s the deal struck between company and employee in return for their contribution and performance. This “deal” characterizes an employer and differentiates it from its competition.
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Developing a strong EVP is a key element of any recruiting and retention effort as part of the larger employer brand. At its most basic, an EVP represents everything of value that an employer provides to its employees—pay, benefits, training, career development opportunities and so on—and it is then “marketed” to the workforce.
EVP’s matter because they should be the foundation that your brand and all your internal retention efforts as well as your external recruiting efforts are established on.
One of the mistakes companies make when creating an EVP is focusing on the leadership of their company, rather than making an employee-focused EVP. For recruiting and retention, your EVP statement must reflect the value to the employee, not the value to company leadership or bottom line (while those are both nice side effects of a solid, “talk-the-talk” and “walk-the-walk” EVP).
You’ll want to make an effort to develop your EVP in the words of your employees and potential candidates via:
- Executive interviews and workshops with key stakeholders to understand talent priorities from a strategic perspective
- Qualitative focus groups that enrich your understanding of employee values and perceptions
- Branding and marketing support, including optimal and differentiated messaging, tested internally.
Creating Your EVP – Employee Value Proposition
It’s easy to throw a few value propositions into a statement and put it on your careers site or have it stenciled on a wall. However, it’s key to create an EVP that reflects the current values of your workplace, and that means starting internally. How is your company morale? Honestly, how is it? If your EVP talks about how much your employees love working for your organization and why, but your current employees would roll their eyes at the statement, you have two options: 1) Rewrite your EVP or 2) Focus on improving morale for your current employees before you start marketing a value proposition to potential employees.
“Improving morale” seems like a never-ending, broad, depends on who you talk to kind of task. As an HR professional, your employees are not only the best advocates for your brand, they can sniff out a BS statement from a mile away. You’re never going to make 100% of your employees happy 100% of the time, but what you can do is find out if there are one or two common threads that may be impacting employee morale negatively. Consider anonymous surveys (and understand that, depending on the state of your company morale, many employees will not believe the surveys are anonymous), establish trust between human resources and employees of the company, and use surveys not only to try and uncover negatives, but also to isolate the positives. Start with the positives.
Your current employees and what they love about your company are going to be the best resource for crafting a strong EVP statement. If you discover that most employees rate the CEO negatively (pro tip: take a look at your company’s Glassdoor reviews), but they love their own autonomy and that they’re not micromanaged, your EVP could focus on the fact that your employees are empowered to make their own decisions, to take risks without consequences, that they feel their creativity is rewarded, and so on.
According to research by Gartner, organizations that effectively deliver on their EVP can decrease their annual employee turnover as much as 69%.
An employee survey can also help you identify what you could easily fix from a human resources perspective. Some years ago, I consulted for a company CEO who loved to promote the fact that he met one-on-one with every single employee, every quarter. However, employees didn’t exactly see these meetings as a benefit. Perhaps because the company had a large millennial employee base, employees felt that these one-on-ones with their CEO was akin to being “called to the principal’s office.” They took every suggestion or comment during these meetings as criticism. When asked what they preferred, the answer was more communication with their direct supervisors. Did they care whether or not the CEO knew them personally or understood what they did at the company? No. They cared about whether or not the CEO was equipped to steer the company in a positive direction that would make an impact on the company’s bottom line. The result? No more one-on-one meetings, more regular and transparent updates from the CEO on the financial health of the company.
Knowing what employees want and value is the foundation of a successful EVP. However, employers cannot assume that they know which parts of the employment package employees view as the most significant. A perception gap can result in a weak EVP. If employers assume incorrectly, they could be missing critical opportunities to emphasize how the organization provides what employees prize most.
Examples of EVP Statements
When building your EVP, consider that the most significant contributors to retention are development and career opportunities, together with the relationships and respect that the employee builds within your organization, particularly those with managers and with peers.
The most important question to ask when creating your company’s EVP is “what do we currently offer to our employees in exchange for their time and effort?”
Company EVP Examples
I’m knee-deep in EVP coaching with a client right now, and as they start their EVP journey for themselves, I wanted to give them some examples. These are a few of my favorites I found that demonstrate the uniqueness and differences for an EVP.
BARK
“Be the person your dog thinks you are.” –BARK
HubSpot
“We’re building a company people love. A company that will stand the test of time, so we invest in our people and optimize for your long-term happiness.” – Hubspot
Yelp
“We work hard, throw Nerf darts even harder, and have a whole lot of fun.” – Yelp
Goldman Sachs
“At Goldman Sachs, you will make an impact.” – Goldman Sachs
“Do cool things that matter.” – Google
PwC
“From empowering mentorships to customized coaching, PwC provides you with the support you need to help you develop your career. You’ll work with people from diverse backgrounds and industries to solve important problems. Are you ready to grow?” PwC
Shopify
“We’re Shopify. Our mission is to make commerce better for everyone – but we’re not the workplace for everyone. We thrive on change, operate on trust, and leverage the diverse perspectives of people on our team in everything we do. We solve problems at a rapid pace. In short, we get shit done.” – Shopify
Honeywell
“You can make a difference by helping to build a smarter, safer and more sustainable world.” – Honeywell
L’Oreal
“Lead the future of Beauty. When you love your work and the people you work with, amazing things can happen.” – L’Oreal
Nike
“We lead. We invent. We deliver. We use the power of sport to move the world.” – Nike
What to Do With Your EVP
Once you’ve developed a clear and descriptive employee value proposition statement, share it with your employees, candidates, and new hires. Having an EVP statement allows you to easily communicate the value your company offers.
Finally, SHRM recommends that employers review their EVPs regularly to make sure they remain relevant. Asking EVP-related questions when employees join or leave the company, during performance reviews, and in employee surveys can provide ongoing data about how employees perceive the EVP. Recruitment and retention metrics can also indicate how well the EVP fits with employee needs and expectations.
FAQs
Ten Employer Examples of EVPs? ›
EVP Example 7: Nike's Employee Value Proposition
"When you join NIKE, Inc., you're part of the family. To inspire greatness inside and outside work, we invest in our culture and offer employees competitive health, financial, security and work-life benefits.
EVP Example 7: Nike's Employee Value Proposition
"When you join NIKE, Inc., you're part of the family. To inspire greatness inside and outside work, we invest in our culture and offer employees competitive health, financial, security and work-life benefits.
Apple's employee value proposition is built on these elements: employees adding value. bringing together diverse thinkers and doers to innovate. employees finding their calling and their place.
What is the employee value proposition of Netflix? ›Netflix created an open and inviting culture as its employee value proposition (EVP), as perhaps you would expect. It emphasizes that it values diversity in the workforce, and empowers employees with freedom and responsibility.
What is an EVP example? ›An effective EVP typically includes more than just a paycheck. Here are a few key elements commonly included in compelling EVPs: Financial rewards like salary, stock options and bonuses. Employment benefits like paid time off, health insurance, retirement funds, parental leave or company-sponsored holidays.
What is another name for EVP? ›In this context, the EVP is often referred to as the Employer Brand Proposition.
What is the employee value proposition for Adidas? ›To support this, we introduced our adidas values: Courage, Ownership, and Innovation, as well as Team Play, Respect, and Integrity. We focus on implementing and embedding these values across our people policies and processes, including the way we hire, promote, and evaluate performance.
What is Nike unique value proposition? ›Nike offers four unique primary value propositions: accessibility, innovation, customization, and brand/status. The company creates accessibility by offering a wide variety of options. It has acquired numerous footwear and apparel firms since its founding, including Converse and Hurley International.
What is employee value proposition for brands? ›An Employee Value Proposition is the promise you make as an employer to your employees in return for their commitment. This promise entails the sum of all the benefits and rewards employees receive from the organization they work for. What's the difference between your EVP and your Employer Brand?
What is the value proposition of Google? ›Google value proposition
Users: a free search engine for billions of users around the world. Users get a free, seamless engine that helps them find an answer to anything. Google also provides now advanced features that enable a very advanced and rich experience for users.
What is the employee value proposition of Spotify? ›
Spotify's Employee value Proposition
Among the employee value proposition examples from large organizations, Spotify's EVP aims at attracting people it deems as a good fit for the job. Spotify encourages innovation and company growth by encouraging employees to enjoy their time at the workplace.
The Employer Value Proposition, or “EVP”, is the set of unique benefits you can offer the Salesforce candidates who choose to join your team. Studies show that 83% of employers believe their EVP impacts their ability to hire talent.
What is Facebook's employee value proposition? ›"Our EVP is to ensure that our employees are in an environment to flourish, to be inspired and to provide them with whatever is necessary to deliver solutions to some of the most complex problems in tech."
What is Amazon's core value proposition? ›Amazon is guided by four principles: customer obsession rather than competitor focus, passion for invention, commitment to operational excellence, and long-term thinking. Amazon strives to be Earth's most customer-centric company, Earth's best employer, and Earth's safest place to work.
How does Netflix empower employees? ›...
Reflect on employee empowerment by thinking about the freedom you have to pursue projects you believe in.
- Describe the last project you pitched or spearheaded.
- How much freedom did you have to see the project through execution?
What is an employee value proposition (EVP)? An employee value proposition (EVP) is part of an employer's branding strategy that represents everything of value that the employer has to offer its employees.
What are the four elements of an EVP? ›4. The most important elements of EVP are compensation, benefits, opportunities to advance, culture, and the company's work environment.
Why do companies have an EVP? ›A good employee value proposition, or EVP, helps an organisation draw the attention of top talent. It is a clear and consistent message about the experience of working at your organisation and highlights the unique experience you offer that attracts, engages and retains top talent.
What does EVP mean in leadership? ›EVP is the total value to the employee working for the company. EVP includes salary, benefits, training opportunities, stock values, employer brand value, and the quality of its leadership. EVP is the perception of what the employee will gain by joining the employer.
What is EVP leadership? ›COMPENSATION DEVELOPMENT ENVIRONMENT PURPOSE REPUTATION LEADERSHIP EVP. Leadership: The ability to generate a true connection with the organization's culture and deliver results whilst being recognized for concrete examples of this and contributing to the development of individuals, teams and the organization.
What does EVP mean in position title? ›
Executive Vice President (EVP)
What is the value proposition of Coca Cola? ›Our vision is to craft the brands and choice of drinks that people love, to refresh them in body & spirit. And done in ways that create a more sustainable business and better shared future that makes a difference in people's lives, communities and our planet.
How do you measure EVP? ›By assessing the extent to which your workforce is satisfied with the various elements that make up their total rewards—and then evaluating the relationship between satisfaction levels and workplace behaviors and performance outcomes—you can determine the unique mix of EVP offerings that will attract, motivate, and ...
What is Gallup employee value proposition? ›An organization's employee value proposition (EVP) is the total value and benefits it promises to give current and prospective employees in exchange for performance. A clear and compelling EVP tells potential hires why an organization is preferable to the rest.
What is the value proposition of Starbucks? ›To inspire and nurture the human spirit - one person, one cup and one neighborhood at a time. With our partners, our coffee and our customers at our core, we live these values: Creating a culture of warmth and belonging, where everyone is welcome.
What is Ikea's value proposition? ›From a consumer's perspective, Ikea's value proposition is clear and easily summarised. They offer cheap, durable and fashionable furniture at a low price. This comes with the novelty of self-assembly, due to Ikea's flatpack format.
What is Puma's value proposition? ›Puma Retail puts customers first by offering the products and services they want, when they want them and at competitive prices. Through over 3,000 retail sites around the world, we provide high quality fuels, lubricants, services and other products in a clean, safe and secure environment.
What is the best value proposition there is? ›- Be clear and concise.
- Use the everyday language of your target audience.
- Clearly define what you offer.
- Explain how you relieve a pain-point for people.
- Be prominently displayed on your website and customer touchpoints.
- Explain what sets you apart from your competitors.
The estimated total pay for a EVP at Salesforce is $821,403 per year. This number represents the median, which is the midpoint of the ranges from our proprietary Total Pay Estimate model and based on salaries collected from our users. The estimated base pay is $311,238 per year.
How much do Salesforce executives make? ›The average Salesforce executive compensation is $219,810 a year. Salesforce's highest paid executives include: Parker Harris $10,375,027 and Alexandre Dayon $9,864,797.
What is EVP sales and marketing? ›
Top dog of a company, the Executive Vice Presidents of Sales leads sales and marketing activites. From the top, you oversee the work of sales teams and entire sales departments to make sure they bring revenue to the company.
What is Mckinsey's value proposition? ›To help our clients make distinctive, lasting, and substantial improvements in their performance and to build a great firm that attracts, develops, excites, and retains exceptional people.
What is Walmart's business model? ›In conclusion, Walmart's business model is built on its low-cost leadership strategy, diversified revenue streams, private label brands, and supply chain management. The company's focus on providing customers with low prices and value has enabled it to become one of the largest retailers in the world.
What is Earth's most customer centric company? ›When Amazon.com launched in 1995, it was with the mission “to be Earth's most customer-centric company.” What does this mean? It's simple. We're a company that obsesses over our customers.
What is the difference between a proposition and a value proposition? ›The proposition is an easy-to-understand reason why a customer should buy a product or service from that particular business. A value proposition should clearly explain how a product fills a need, communicate the specifics of its added benefit, and state the reason why it's better than similar products on the market.
Why did Netflix lay off employees? ›“Today we sadly let go of around 300 employees,” a Netflix spokesperson told Variety. “While we continue to invest significantly in the business, we made these adjustments so that our costs are growing in line with our slower revenue growth.
What is the generous severance package for Netflix? ›Depending on their reaction, this indicates the importance of the colleague to the firm. Failing the keeper test results in the employee being 'promptly and respectfully given a generous severance package', which is roughly four months pay to give them time to find an alternative job.
Do Netflix employees get free Netflix? ›For a long time yes but now, no. The reason for the change was that Netflix wanted employees to experience the service as a customer does (increasing empathy). The only problem with that is Netflix pays “"top of market” so the month-to-month of paying for Netflix is never felt by an employee.
Who owns EVP? ›No One, And Everyone Owns EVP
It doesn't mean they have no power – a brand manager can set core values and an employer can set a value proposition intention.
Gartner's research found that for most people, the things that make up a compelling EVP include compensation, work-life balance, stability, location, and respect.
What are the key elements of EVP? ›
An EVP is made up of five key elements, which are: compensation, work-life balance, stability, location, and respect.
Is EVP better than SVP? ›Executive vice presidents are typically higher in rank than senior vice presidents, but in some companies, they may share responsibilities or there might only be an executive vice president. A large corporation typically has one or a few executives and can have several senior vice presidents.
Who is an EVP in a company? ›An EVP is short for “employee value proposition.” It's the set of offerings a company promises its employees in return for contributing their time and talent.
How do I create an EVP? ›- Define your employee persona.
- Evaluate what you currently offer.
- Survey your employees.
- Define the key components of your EVP.
- Write your employee value proposition.
- Communicate your EVP.
- Review the results.
EVP is the articulation of the employer brand, answering the question “why should I work for your company?” as well as “why should I stay at this company?”. Employer brand is the reputation, and EVP is the narrative.
What is the 4 basic elements of value proposition? ›The value proposition spectrum: primary, prospects, products, and process.
What are the 3 elements of a successful value proposition? ›- Identify a specific problem being dealt with by a specific audience.
- Articulates how the product/service being sold solves this specific problem.
- Communicate the audience-specific intangible and quantifiable benefits of the solution.