One brand expert says organizations will struggle if they fail to create a compelling employer brand.
Organizations that aren’t focussed on creating or maintaining a positive employer brand will soon have to pay the price – that’s the warning from one business strategist who says the issue is now more important than ever.
“An employer brand that isn't really revered among internal and external stakeholders or the public at large is not only at risk of failing to attract top talent, it's also at risk of losing sales,” says Nicole Ertas, executive advisor and author of Free Range Brands.
According to Ertas, employer brand has become increasingly important over the past few years thanks to the steady influx of millennials – and it’s only going to demand more attention as time goes on.
“As millennials take centre stage, organizations are going to have to evolve and find ways to attract and retain this new generation,” says Ertas.
“Millennials really want to work for employers with purpose but some of the old school employer brands just weren't engineered in the environment of having purpose, they were more product-centric,” she explains.
While traditional organisations may have been founded without a greater purpose in mind, Ertas says many are already adapting to the demands of the new generation.
“Companies like Volvo were established in that time but they’re still trying to create a greater mission which gives employees the chance to embrace purpose,” she says.
Currently, Volvo is promoting its Vision 2020 initiative which seeks to ensure that, by 2020, nobody is killed or seriously injured in a new Volvo car.
“The organizations that go beyond their products and into mission are the ones that are really attracting modern talent today,” says Ertas.
“If companies don't adapt, not only are they not going to be able to attract the best talent which is critical in this economy but they certainly won't be able to thrive in our new economy.”