Employment Branding: the Only Long-Term Recruiting Strategy

Almost every action and process in recruiting is designed for short-term gain. Despite talk about being strategic, most recruiters and recruiting managers alike respond only to requisitions, placing ads, visiting job boards, attending job fairs, and mining social networking sites in an effort to fill today's job openings.

There is lots of talk but little effort placed on building out truly long-term recruiting tools and strategies designed to impact the business. If all the talk were true, nearly every recruiting function on the planet would have dedicated resources to employment branding, the only long-term recruiting strategy that is designed to bring in a steady flow of high-quality applicants over a period of many years.

Employment branding stands alone as the only approach corporate recruiting managers can leverage to guarantee an end to their talent shortage problem. Unfortunately, most corporate recruiting managers spend less than 5% of their budgets on this powerful long-term solution. In direct contrast, firms that have taken the time to invest in building a great employment brand like Google and Southwest Airlines have not only dominated their industries, but they have also turned the common talent shortage problem into a more desirable talent "sorting" problem. If you're tired of constantly fighting fires and of being continually bashed year in and year out by your managers for failing to produce a high volume of high-quality candidates, it's time to shift your focus to the only solution that can reduce your job stress and make you a hero.

The Many Benefits of Employment Branding
I have found that the primary reason why corporate recruiting managers under appreciate and under utilize a corporate branding strategy is because they have done a poor job in making the business case for investing in their firm's employment brand. You can't make a compelling business case unless you first know the possible benefits of the branding strategy. Over the years, I've advised dozens of firms on building a compelling employment brand (including a Fortune #1 Best Place to Work winner) and, as a result, I've identified the many benefits that a successful employment-branding program can provide. When demonstrated, these benefits can help sway even the most cynical nonbelievers:

• A Long-Term Impact. Once you have successfully built your employment brand, you can expect the positive impacts on recruiting to continue for at least five years baring any major PR issues surrounding your company.
  An Increased Volume of Unsolicited Candidates. You will significantly increase the number of applicants that your firm receives each year. In some cases, applications will increase by 500%.
  
• Higher Quality Candidates. Not only will you get more applicants, but the quality of your candidates will improve dramatically to the point where you will start getting applications from individuals who never would have considered your firm in the past. A great employment brand that highlights your firm's focus on innovation is necessary in order to attract game-changers, managers, and innovators who demand it!
  
• Higher Offer-Acceptance Rates. As your employment image becomes better known and more powerful, your offer acceptance rates will improve dramatically.
  Increased Employee Referrals. The percentage of hires from employee referrals will increase as a result of your employees' increased pride and knowledge about what makes their firm superior to others. Increasing the number of referrals has added benefits in that it increases employee ownership in the recruiting process, while simultaneously reducing recruiters' workloads.
  
• Improved Employee-Retention Rates. A compelling employment brand increases retention rates among your current employees because they will better know why working at your firm is a superior opportunity. In addition, their pride in your firm will grow as colleagues and friends routinely ask them, "Do those things really happen at your firm?" Unfortunately, the positive impact will be somewhat tempered by the fact that more firms will target your employees because of your strong employment image.
  Increased Employee Motivation. Employee motivation will be easier to maintain because of your employees' increased pride in the firm and the better management practices that are required to maintain an employer-of-choice status.
  
• Improved College Recruiting. Because college students are highly brand conscious, employment branding is especially effective for intern recruiting and college hiring.
  A Stronger Corporate Culture. Because one of the goals of employment branding is to develop a consistent message about what it's like to work at your firm, employment branding can help strengthen your corporate culture. This consistent message can reinforce corporate values and guide behaviors while a consensus develops across the enterprise among managers and employees with regards to what it means to be a part of the organization.
  
• Decreased Corporate Negatives. Effective branding programs identify and counter negative comments about your firm. This effort can decrease both the number and the severity of the negative comments that appear in the media and online.
  Ammunition for Employees and Managers. Most employment-branding efforts include elements that gather and centralize information on your firm's best practices and its compelling stories. As a result of this effort, it is much easier to provide every employee with an arsenal of information and stories they can share with colleagues in the media about what makes working for the organization the best possible opportunity.
  
• Increased Manager Satisfaction. The resulting higher quality of candidates and higher offer-acceptance rate means that hiring managers will have to devote less time to interviews, and they will be more satisfied with the recruiting function.
  
• Increased Media Exposure. As a result of winning awards, being placed on "best places to work" lists, and having managers give presentations at industry events, the amount of media exposure that your firm will receive will increase dramatically. Having the media brag about your firm's excellent people-management practices adds a level of external credibility that no recruitment ad can provide. As a result of this initial exposure, the number of times that reporters and benchmarking individuals will call your firm for future stories will also increase.
  
• A Competitive Advantage. Because employment branding efforts include extensive metrics and side-by-side comparisons with talent competitors, you ensure that your talent-management approaches are differentiated and continually superior. This superiority over competitors not only impresses senior managers, but it also improves your chances of winning over candidates who also apply for positions at your competitors.
  
• Increased Shareholder Value. The Russell Investment Group has demonstrated that being listed on Fortune's Best Places to Work list and the resulting improved employer image can positively impact a firm's stock price. Google, for example, has noted in its SEC filing the important role that recruiting and retention play in its continued business growth.
  Support for the Product Brand. An employment brand can support the corporate brand and your related product brands because many consumers mentally make the link between attracting quality employees and producing a quality product.

Additional Branding Benefits

Some additional benefits of an employment-branding program might include:

• Increased knowledge and competitive intelligence, as more employees from top competitors join your organization.
  
• The increased focus on excellence in people-management programs brought about by the branding effort will result in the continuous improvement of those practices.
  
• Getting talked about in the press reinforces the stories you have already spread to your employees.
  
• The increased notoriety might also have a positive side effect on the business by making it easier to attract strategic partners who are willing to link with your firm.
  
• Employment branding works not just for large corporations but also for smaller firms and for government agencies as well.
  
• A great employment brand makes it easier to attract top recruiters and branding experts.
  The high impact and ROI of the employment-branding program will help build HR's image as a bottom-line contributor.
  

Final Thoughts
If you are part of recruiting management at an organization that has been facing continuous talent shortages, it's time to get out of that rut and focus your resources on the areas that can have the highest business impact. Almost universally, that means shifting your recruiting talent, time, and budget towards the programs that will have the most impact, starting with employment branding (other high-impact programs include employer referrals, professional event recruiting, prioritizing jobs, bringing back key former employees (boomerangs), and making your corporate careers page compelling). Yes, I know it's hard to find the time to step back from fighting fires but, at some point, you have to realize that you can't just talk about being strategic. You have to act strategically by investing in the only long-term recruiting strategy that's available.

-Dr. John Sullivan
Professor, Author and Advisor to Management

SMALL BUSINESS OWNERS HOLD THE LINE ON HIRING AND REMAIN FOCUSED ON GROWTH IN UNCERTAIN ECONOMY

A good article on small businesses and the economy
http://home3.americanexpress.com/corp/pc/2007/07sbm.asp

Special thanks to Amy Hoyt

*Hiring plans among small business owners are at their second lowest point in the seven-year history of the OPEN from American Express ® Small Business Monitor, a semi-annual survey of business owners. This fall hiring plans among business owners have dropped, with three in ten business owners reporting plans (31%) to hire full and/or part-time staff in the next six-months. That is down from 34% in fall 2006, 37% in fall 2005, 35% in fall 2004, 34% in fall 2003 and 26% in fall 2002.

*Despite a lack of robust hiring plans, growth remains a top priority for entrepreneurs. More than one-third (37%) of small business owners report growing their business as their company's single most important priority

*Business owners are adjusting to higher energy and gas costs. A much fewer number report having lost sales as a result of higher energy costs. More business owners believe the downturn in the housing market and rising interest rates have negatively impacted their business.

*Rising costs and uncertain economic conditions (each 20%) are the biggest challenges entrepreneurs face in growing their business. Finding the right staff (19%) and being too busy satisfying existing customers (17%) present additional challenges.

*Entrepreneurs are not letting the economy dictate their plans for growth. Over the next six months, nearly half (48%) of business owners expect their business to grow regardless of the economy.

*In addition to capital investments, business owners plan to invest marketing dollars as a way to grow. Entrepreneurs are taking advantage of online marketing techniques, with the company website being the most utilized online marketing technique. Male business owners are more likely to agree that marketing dollars have a direct positive impact on sales - Banners, email campaigns, Job Site Hosting anyone?????

*Those with Hiring Plans Center on Growth; Males Most Likely to Hire to Increase BusinessAlthough hiring plans over the next six months are near record lows, among those businesses that plan to hire, three-quarters (75%) say they need to hire to handle their growing business. Two thirds (65%) will hire to help increase business volume. This number is greater among male business owners as seven out of ten plan to hire for this reason (71% vs. 46% of female owners). Two out of five (43%) will hire because they have a new business venture, one-in-three say they will hire because they have finally found the right candidate for the position (33%), or need seasonal help (28%).

Handling the Risks of a Seasonal Business

Handling the Risks of a Seasonal Business
By KELLY K. SPORS July 8, 2007 Wall Street Journal

From ice-cream stands and landscapers to ski shops and hotels, many small businesses are seasonal -- meaning they rake in cash just a few months of the year.
But with this seasonality comes great risk: What if the weather during the peak season turns adverse, or a sharp surge in gasoline prices keeps customers at home? There's no opportunity to make up that business later in the year.

There are ways seasonal businesses can avert some of the risks of relying on one or two seasons for profitability. Here are some ways to make it work.
Manage Cash Carefully

Perhaps most daunting to seasonal business owners is cash management and control of spending, since the bulk of revenue -- sometimes all of it -- flows in during just a few months of the year.

Fighting the temptation to spend it when it's there, and saving enough for rainy days and off-peak periods, is an important aspect of keeping a seasonal business afloat.

"It's not like a year-round business where you have this constant flow of cash, so you always have money to spend," says Matt Roberge, the 28-year-old manager of Shallow Shaft Restaurant, an upscale eatery in the ski resort town of Alta, Utah, about 25 miles from Salt Lake City. The restaurant does 80% to 90% of its food sales during ski season, yet opens for part of the summer to serve hikers.

Mr. Roberge says that it's important for seasonal businesses to evaluate their cash situation constantly, and to always stash away a sizable sum for the off-season. He looks for ways to pinch pennies, in the unpredictable summer months, such as cutting inventory of foods that don't sell well and using a skeleton staff.

Work Year-Round

One issue for many seasonal businesses is that they lose visibility in the off-season. So part of the challenge is keeping customers connected, and using downtime as a time to regroup, re-evaluate the business plan and expand customer relations.
Bobbi and Jeff Griggs own the Beach Butlers, a concierge service for beach travelers in Rosemary Beach, Fla. The couple use the slow winter months to introduce themselves to upscale property owners who might want to suggest the business -- or even offer the concierge service as a courtesy -- to guest renters.

They also send holiday cards to the previous summer's customers in hopes they'll remember to call on their next vacation. "It's what brings me business before the onset of the busy season, and after the busy season," Ms. Griggs says.

Other businesses choose to stay open year-round by switching their focus to a different niche. Many ski shops, for instance, sell bicycling gear or kayaks in the summer. Not only does this supplement revenue, but it also hedges the risk since mild winters may inspire people to ride bikes.

Other seasonal entrepreneurs start a new business altogether in the off months. Nancy Swenson and Craig White, owners of Beach Farm Inn, a Wells, Maine, bed and breakfast, earn 75% of the $75,000 to $100,000 of the inn's annual revenue between the Fourth of July and Labor Day. A rainy summer, Ms. Swenson says, can take a sizable bite out of revenue.
While the couple offer various off-season promotions (like cooking-class weekends) to rev up the inn's guest numbers, they've started another venture in the winter months.

Mr. White a few years ago turned a woodworking hobby into a business making wooden furniture. He now makes $30,000 to $40,000 between December and March selling his handmade furniture -- or nearly half of the total revenue generated annually by the inn. He uses the inn to help market the furniture, since the rooms are furnished with many of his crafts.

"There are years where the weather is terrible or things happen in the world that you just can't control," Mr. White says. "Having that extra income...acts as a buffer."

Market Creatively

Some seasonal businesses are able to extend their season by finding creative ways to get customers interested in their offerings year-round.

Wayne Bronner, owner of Bronner's Christmas Wonderland, a Frankenmuth, Mich., Christmas decor store with 260 year-round employees, finds he can keep visitors buying Christmas goods all year by tying promotions and marketing to timely holidays and seasons throughout the year.
In the days leading up to Mother's Day, for instance, he decks out the front of the store with ornaments displaying messages for mothers.

In summer, the store plays up wedding-inspired gifts, such as Bronner's Newlywed's Ornament Collection, a gift set of 12 ornaments for newly married couples that sells for $67.99.
He also offers sales and discounts in the off-season to spur more sales. For Valentines Day, he has a "14-14" sale -- 14% off any item that costs more than $14.

The store uses quirky advertising like billboards to attract summer travelers who might be looking for a fun stopover.

The store "markets the novelty of shopping for Christmas decorations in July," Mr. Bronner says.

Mr. Roberge in Alta, Utah, says his restaurant has boosted its summer traffic by revamping the menu with lower-priced fare like burgers, salads and sandwiches that appeal to hikers rather than the steak-and-seafood crowd it attracts in the winter months.
Another advantage to staying open most of the year is you don't lose as many employees, who would otherwise leave at the end of high season.

Buy Protection
Another way to protect a seasonal business from bad weather surprises is buying insurance or insurance-like contracts.
WeatherBill.com and Horizon Weather Group are two companies that sell weather contracts. WeatherBill.com, launched in January, lets businesses price contracts online. A recent quote: A Vermont ski resort pays $15,421 upfront and, in return, gets a $5,000 payout a day for every day after 10 days between Dec. 1 and March 1 that the temperature reaches above 45 degrees Fahrenheit.

10 Things you need to know about Employment Branding

10 Things you need to know about Employment Branding

As a starting point on this subject, we had first better define what an employment brand actually is - the CIPD define it as a set of attributes and qualities (often intangible) that makes an organisation distinctive, promises a particular kind of employment experience, and appeals to those people who will thrive and perform to their best in its culture.

However like all brands, employer brands are essentially marketing concepts and constructs.The tools and methodologies of employer brand development are substantially the same as those for consumer or corporate brand development. Below are listed the 10 things you need to know about employment brands:

Employer brands are at least as much about retention and engagement as they are about recruitment

They’re not just for the big, glamorous PLCs with their own high-profile consumer brands. They’re for every local authority, charity, SME, government department, academic organisation that needs to recruit, retain and engage good people.

Employer brands can support corporate brands, and vice versa.

To prove a brand’s effectiveness and demonstrate its ROI, you need to accurately measure your current performance in recruitment and retention.

You already have an employer brand, because your organisation has a reputation as an employer. It may not be the brand you want or deserve, but it’s there just the same.

You can’t develop a brand on your own – you need to involve marketing, PR, your internal communications team.

Your recruitment website is one of the most potent expressions of your brand, enabling potential applicants (and your own people) to see your values in action and experience the reality of working for your organisation.

One of the keys to a successful brand is to ensure that expectation is fully aligned with the reality of working for your organisation.

Your employer brand can give new focus and consistency to your ongoing employee communications.

If employer brands are a big HR issue today, they’ll be even bigger tomorrow.

Origional Post: http://www.jobinablog.com/2008/01/10-things-you-n.html

Jobs: Where the growth is

NEW YORK (CNNMoney.com) -- Recession fears may take a toll on hiring trends in the near-term, but as baby boomers retire, demand for certain types of workers should see a boost, according to a recent government report.
In addition to continued job growth in the technology sector, healthcare jobs should see a significant boost from 2006 to 2016, according to the Bureau of Labor Statistics.
The number of Americans aged 55 years or older is expected to increase by 20 million - nearly as much as the increase in the total population by 2016, the bureau said.
"A growing elderly population generates demand for services to help them stay in their homes or in residential housing," BLS said in a recent jobs forecast.
The elderly will stay healthier and live longer, and since certain services are difficult to automate, jobs for personal and home-care aides in the United States are expected to grow by 50.6 percent to 1.16 million from 2006 to 2016, BLS reported. Also in that period, medical assistant jobs are expected to grow 35.4 percent.
But while nurses and physician assistants are projected to grow by 23 percent and 27 percent on demand for their services, the number of doctors and surgeons is expected to increase by just 14 percent.
Additionally, as services for the disabled, sick, substance abusers, and individuals and families in crisis increase, community and social services sectors should add 541,000 jobs and grow more than twice as fast as the average for all occupations, BLS said.
And as workers take a more active approach to saving for retirement, personal financial adviser jobs are expected to grow 41 percent, BLS said.
Even after retirement, a growing number of retirees are expected to use an adviser's help to make their savings last.

Jobs Weak, Unemployment Soars

NEW YORK (CNNMoney.com) -- The nation's labor market worsened in December to the weakest level since the shock that followed Hurricane Katrina, as the problems in housing and mortgages took a bite out of job opportunities.
Employers added far fewer jobs in the month than had been forecast, while the unemployment rate shot up to 5 percent, which was a two-year high, according to a government report Friday.
Stocks sold off sharply on rising fears of a possible recession and there was a widespread belief in the markets that the Federal Reserve would have to respond to this report with a sharp drop in interest rates.
"December's bleak jobs report represents the siren call that this business cycle is just about over," said Bernard Baumohl, the managing director of the Economic Outlook Group, an economic research firm in Princeton, NJ. "We're about to tilt over to the other side of the economic curve and begin the downswing."
But some other economists suggested the report was not as weak as it appears.
"Yes, job creation is slowing, but 5 percent unemployment does not a recession make," said Rich Yamarone, director of economic research at Argus Research.
He said part of the problem with the report was an ice storm that hit much of the central United States the week the Labor Department was collecting data. Many of the tens of thousands of workers unable to get to their jobs due to the storm were not counted as employed if they didn't get paid for their missed work.
David Wyss, chief economist for Standard & Poor's, agreed with Yamarone that unemployment is at a historically low standard. But he said the steady rise in the number of Americans who describe themselves as unemployed is a concern because it could put the brakes on consumer spending going forward. Wyss said he now believes there's about a 50-50 chance of a recession this year, up slightly from his previous estimate of a 40 percent chance of a recession before this report.
"The unemployment rate is key for people. People are going to get nervous," he said. "There were a couple of special factors. But even when you adjust for those factors, this is bad."
The report showed a netgain of 18,000 jobs in the month, down sharply from the revised 115,000 gain reported in November, the Labor Department said. Economists surveyed by Briefing.com had forecast a gain of 70,000 jobs.
The December job gains figure was the weakest one-month gain in jobs since a loss was reported in August 2003. It capped a 2007 that was the weakest for job growth since 2004. The average level of Americans with jobs during the year was up 1.8 million compared to 2006, with the second half of the year seeing much weaker gains than the first half. And even before this report, most economists were forecasting further sharp declines in employment gains in 2008, with an increase of close to 1 million in the full-year average, and many months when there is a net decline in U.S. payrolls.
The weak report raised expectations that the Federal Reserve will make another deep rate cut at its meeting on Jan. 31. While stocks fell, the bond yield also fell sharply. Investors trading fed funds futures were pricing in a 75 percent chance that the central bank would move to cut rates by a half percentage point at the end of the month, up from a 67 percent chance of a cut that deep at the close of trading Thursday.
The 5 percent unemployment rate was the highest reading since November 2005, when job losses from Hurricane Katrina were still being felt. The unemployment rate had been 4.7 percent in November, and economists had expected it to creep higher to just 4.8 percent.
The rise was the biggest one-month jump in the unemployment rate since August 2001, when the nation was in a recession.
The report found a 49,000 seasonally adjusted drop in construction jobs. While home building has been sharply off for most of 2007, the losses in construction as a whole had been limited by strong non-residential building, such as offices and government projects. But this time there were job losses across all of the various sectors of construction.
In addition, manufacturing jobs fell by 31,000. Once again, the losses were spread throughout the sector, not limited to the battered auto industry where job losses were well known, and included appliance makers as well as manufacturers of electronics, computers, clothing and other nondurable goods.
The service sector fared better, adding 93,000 jobs as a whole. But even in that sector there was weakness, as retailers trimmed 24,000 workers in the seasonally-adjusted estimate, as many of them reported weaker-than-hoped December sales ahead of the holiday.
"Now we've seen the lackluster holiday retail season show up in jobs," said Tig Gilliam, CEO of Adecco Group North America, a unit of the world's largest staffing firm.
But Gilliam said for the most part most of his clients not in housing and mortgage lending are continuing to look to add staff. And he said one encouraging part of the report is that some of the job losses in banking seem to have played themselves out.
The group of employers that includes lenders continued to cut jobs, according to the report. They responded to the problems in the mortgage markets by trimming 7,000 more jobs, although that is actually the smallest cut by that group of employers since July. Banks saw employment stay basically unchanged.
"I don't think we've seen the end of problems, but we had previously lost 80,000 [lender] jobs," he said. "This latest report suggests to me a lot of the job adjustments around subprime have been made."
There as also an impact from the writers' strike that hit Hollywood and the nation's television networks, as the motion picture and sound recording industries reported a drop of nearly 12,000 jobs