134 • 100 GREAT BUSINESS IDEAS
The st ruggle to attract bright, talented workers is increasingly
challenging. Firms must devise a comprehensive, appealing
perception of their organizations—and it must be genuine,
delivering what it promises, or those bright employees will leave.
The idea
The balance of power has shifted from employers to employees.
Daniel Pink, former chief speech writer for Al Gore, attributed this
shift to “Karl Marx’s revenge,” with the means of production now
in the hands of the workers. The internet has made it easier for
potential employees to search for jobs, check expected salary levels,
and fi nd out what it is like to work within a particular organization.
While the power of employees has grown, many organizations have
lost their appeal to job-seekers. They no longer provide fi nancial
stability, with many fi rms unwilling or unable to offer job security.
In light of these shifting conditions and following research into
90 companies, the Corporate Executive Board (CEB) suggested
formulating an employee value proposition (EVP) to attract the
best workers. An EVP is the benefi ts an employee can expect to
gain from working with an organization. The CEB found fi rms
that effectively managed EVP could expect to increase their pool of
potential workers by 20 percent. Surprisingly, they were also able to
decrease the amount they paid to employees—organizations with
successful EVPs paid 10 percent less.
(^59) EMPLOYEE VALUE