June 2, 2025 • 47 mins
In this value-packed episode, Michael Barbarita and Chuki Obiyo reveal why most businesses fall into the destructive trap of competing on price. You'll discover the counterintuitive "Value Elevation Framework" that enables businesses to command premium prices even in challenging economic times. Learn how to position your products and services so customers willingly pay more while competitors continue undercutting each other's prices in a race to the bottom.
Powerful Business Strategies is broadcast live Mondays at 12 Noon ET Music on W4CY Radio (www.w4cy.com) part of Talk 4 Radio (www.talk4radio.com) on the Talk 4 Media Network (www.talk4media.com). Powerful Business Strategies is viewed on Talk 4 TV (www.talk4tv.com).
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Powerful Business Strategies is broadcast live Mondays at 12 Noon ET Music on W4CY Radio (www.w4cy.com) part of Talk 4 Radio (www.talk4radio.com) on the Talk 4 Media Network (www.talk4media.com). Powerful Business Strategies is viewed on Talk 4 TV (www.talk4tv.com).
Powerful Business Strategies Podcast is also available on Talk 4 Media (www.talk4media.com), Talk 4 Podcasting (www.talk4podcasting.com), iHeartRadio, Amazon Music, Pandora, Spotify, Audible, and over 100 other podcast outlets.
Become a supporter of this podcast: https://www.spreaker.com/podcast/powerful-business-strategies--6198916/support.
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Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:00):
The topics and opinions expressed in the following show are
solely those of the hosts and their guests and not
those of W FOURCY Radio. It's employees are affiliates. We
make no recommendations or endorsements for radio show programs, services,
or products mentioned on air or on our web. No
liability explicitor implies shall be extended to W FOURCY Radio
or its employees are affiliates. Any questions or comments should
be directed to those show hosts. Thank you for choosing
(00:21):
W FOURCY Radio.
Speaker 2 (00:27):
Welcome to Powerful Business Strategies, where you will find out
that everything you have ever learned about growing your business
is wrong. Finally, a show where you'll learn the right
way to grow your business by learning business and financial
strategies that your competition isn't doing. And now here is
your host. President of Next Step CFO Michael Barbarita and
(00:51):
joining Michael for today's show as an executive moderator is
chooky obia.
Speaker 3 (01:00):
Yes, this is shookey, and I believe that gratitude is
undefeated and growth is about the next step. It is
an honor for me to moderate today's discussion with my
good friend Michael.
Speaker 4 (01:11):
Michael, how are you fantastic, Choky? Thank you, and my
name is Michael Baberia, President of Next Step CFO, and
next Step CFO is a fractional CFO and strategic implementation firm.
Business owners hire us to double and triple their profit
using business and financial strategies that their competition isn't doing,
and our vision is to ensure that overwhelmed business owners
(01:34):
achieve consistent profits that leads to time, freedom to build
a legacy and the life that they desire. Our mission
is dedicated to guiding small business owners to leveraging their time,
exploding their profits, and building a meaningful legacy. And they
show powerful business strategies and our book of the same
name is a step toward accomplishing that vision and mission.
(01:57):
So with that, I'd like to hand it back to
my co author and modern for the showy obio, Michael.
Speaker 3 (02:03):
I am particularly inspired by today's episode The Talent Revolution
how to become the Employer of Choice in your industry.
So before we jump in, folks, Michael and I are
both affiliated with a number of different organizations and I
currently serve as the managing director of business development for
Better Price, a global business focused law firm in addition
(02:25):
to that, it's truly an honor to collaborate with Michael
and modeling these great business roundtables where we document insights
as part of our book called Powerful Business Strategies. But
please note that the views expressed on this show are
personal views based on those successful roundtable experiences and beyond.
(02:46):
And my mission as a fearless moderator is to ask
the right questions to help you, the listener, learn the
best business strategies that the competition isn't doing.
Speaker 4 (02:56):
Michael, back over to you, Thank you, Chokey. So before
we dive into to any critical topic, I do want
to share something you know. As business owners, we often
focus intensely on binding customers, managing operations, and driving profits.
But there's a fundamental truth that many of us learn
the hard way, and our business will never outgrow the
quality of our team, the people we bring on board,
(03:20):
the culture we create, and how we develop talent ultimately
determines whether our vision becomes reality or remains forever out
of reach. And the most successful businesses that I've worked
with don't just have great products or clever marketing. They've
created workplaces where exceptional people want to be Today We're
(03:43):
going to show you how to do exactly that, how
to become the destination workplace in your industry. Attracting people
will help you take your business the heights you haven't
even imagined yet, because when you get the people pot right,
everything else becomes fit infinitely easier. So today we're tackling
(04:06):
one of the most persistent challenges facing businesses of all sizes,
how to attract and retain top talent in an increasingly
competitive labor market. And I want to start by challenging
a common misconception that most that cost most business owners
millions in wasted recruiting expenses and loss of productivity. That
(04:28):
misconception is that talent shortages are primarily about money, that
if you just pay more than your competitives, you'll win
the talent war. That reality is far more complex and
provides tremendous opportunity for businesses willing to think differently. And
I've worked with companies across dozens of industries, and I
(04:51):
see and consistently see that employees make decisions based on
much more than just compensation. And yeah, yes, pay needs
to be fair and competitive, that's for sure, but beyond
a certain threshold, other factors become far more important in
attracting and keeping good people. So think about it your
(05:14):
own experience. Would you take a job that paid ten
percent more but required working for a toxic boss? Or
would you stay at a company that offered good benefits
but no flexibility or growth opportunities? See, most people wouldn't,
and the data confirms this. Studies consistently show that after
(05:35):
basic financial needs are met, factors like purpose, growth opportunities,
work environment, and leadership quality matter more than additional compensation.
This is actually good news for small to medium sized
businesses competing against larger companies. With those big budgets, you
(05:56):
could create advantages in these other critical areas that make
you the employer's voice in your industry, even if you
can't match the highest salaries.
Speaker 3 (06:07):
You know, Michael, that's an interesting perspective. But with unemployment
rates relatively low and skilled workers in high demand, when
you say that most businesses are forced to compete primarily
on wages store track talent.
Speaker 4 (06:21):
Well that's a great question, Choky, But you know the
current labor market is indeed challenging. You know, I heard
it recent statistic in the construction industry that's every year
or I'm sorry. Every month, five people retire and only
two people come into the labor market. So that's a
depleting statistic for sure. And that's what business owners are
(06:45):
up against in a lot of industries, not just the
construction industry, but competing primarily on wages is actually a
losing strategy for most businesses, especially smaller ones that can't
win a bidding war against the larger competitors. And here's
the reason. That's a good point. We know, when you
attract people primarily through high compensation, you create three significant problems. First,
(07:10):
you essentially attract mercenaries. These are people who will leave
the moment someone offers them slightly more money. Second, you
create unsustainable compensation structures that hurt profitability. And third, you
miss out on attracting people who are looking for more
than just a paycheck. And by the way, these end
up being the most dedicated, creative and productive employees. Instead,
(07:35):
smart businesses are implementing what I call the employer of
choice framework. And this approach recognizes that employees, like customers,
have specific problems they're trying to solve and outcomes they're seeking.
When you understand these deeply, uh, you know these issues
deeply and position your business as a solution. You can
(07:57):
attract better talent even without paying those premium wages. So
let me share a quick example. So a manufacturing company
was struggling to find skilled technicians, and they were competing
against larger manufacturers offering higher wages and losing most candidates
as a result. And when they analyzed the situation, they
(08:18):
discovered that many experienced technicians in their industry were actually
frustrated by rigid shift schedules that interfeared with family life
and personal interests. So this company introduced a flexible scheduling
system that allowed technicians to create their own schedules within
certain parameters, and they didn't increase their wage rates, but
(08:39):
they promoted this flexibility very heavily in their recruiting messaging,
and within three months, their applications rates tripled and they
were able to fully staff their operation with qualified technicians,
many of whom came from those higher paying competitors. And
this example illustrates the power of understanding what potential employees
(09:03):
really want beyond just compensation. And the company identified a
significant problem that these technicians had with traditional employers, and
they position themselves as the solution to that problem, and
our Employer of Choice framework helps businesses replicate the success
through a systematic approach with three key components. First, employee
(09:28):
problem and solution identification deeply understanding the specific problems and
frustrations that your ideal employees face with typical employers in
your industry and developing innovative solutions to these problems. Second,
employee value proposition development, Creating and articulating a compelling statement
(09:54):
that clearly communicates how working for your company solves these
problems and delivers unique benefits that employees can't find elsewhere.
And Third, attraction and retention systems implementing specific processes to
attract ideal candidates, efficiently convert them to employees, and keep
(10:16):
them engaged for the long term. So I introduced our
Employer of Choice framework and the importance of understanding what
employees truly value beyond just compensation. So let's dive into
the first component of the framework, which is employee problems
solution identification. This is about deeply understanding the specific problems
(10:40):
and frustrations that your ideal employees face with typical employers
in your industry and developing innovative solutions to these problems. Now,
most business owners approach hiring with a self centered perspective,
here's what we need from employees. Now. The employer of
(11:01):
choice framework flips that around to an employee senate perspective. So,
here's what employees need from us is the shift and thinking,
and that shift opens up tremendous opportunities to differentiate your
company in the talent marketplace. So how do you identify
(11:21):
these employee problems and frustrations? Well, there are four primary
research methods that I recommend. First, conduct what I call
stay interviews with your best current employees. So unlike exed
interviews that happened too late to retain talent, stay interviews
focus on understanding what keeps your top employee and top
(11:44):
performance engaged and what might cause them to leave. So
you would ask questions like, what do you enjoy most
about working here? What frustrates you about your job or
our company? What would what would make your work experience better?
Have you ever considered leaving and if so, what prompted that?
(12:06):
And what would another company have to offer to entice
you away? And these frank conversations often reveal very surprising
insights about what your employees truly value and what problems
they're experiencing that you might not be aware of. Second,
analyze data from former employees, whether it's reviewing exit interviews,
(12:30):
resignation letters, departure patterns to identify recurring themes. Why did
people leave? Was it always for more money or were
there other factors like a lack of flexibility or a
lack of growth opportunities or management issues. Third, research your
industry's specific pain points. Different industries and roles have very
(12:53):
unique frustrations. For example, retail employees often struggle with unpredictable scheduling,
I TAM professionals frequently cite lack of development opportunities, and
healthcare workers report burnout from administrative burdens. So understanding the
common pain points in your industry provides a starting point
(13:14):
for differentiation. Four. Monitor online employer reviews on platforms like Glassdoor,
and indeed, look at reviews of both your company and
your competitors. What patents do you see that in these
negative and any negative reviews? What do employees consistently praise
(13:35):
or criticize. These public forums often contain candid feedback that
you know that wouldn't be shared directly, So let me
share a real example of how powerful this research could be.
So if business in the accounting industry was struggling to
attract and retain skilled professionals, and that's another industry with
(13:57):
a retirement rate is a lot faster than the incoming rate.
And through state interviews and industry research, dis accounting for
discovered three primary frustrations among accountants. Number one was the
traditional busy season created extreme work life and balance for
several months each year. Second, most firms provided limited client
(14:22):
interaction for junior staffs, longing professional development, and remote work
flexibility was inconsistent or non existent at many firms owned.
With this knowledge, they completely reimagined their employment model to
address these specific pain points, and they implemented year round
(14:43):
tax planning to flatten workloads. They created client exposure opportunities
for all staff levels, and adopted a remote first approach
with optional office space. So these changes they did require
pa higher salaries. In fact, they were able to offer
slightly below market compensation while still becoming a preferred employer
(15:07):
in the region, and within a year they reduced turnover
by sixty two percent and built a waiting list of
qualified candidates refer it by existing employees.
Speaker 3 (15:18):
Michael, it's always interesting to gauge the amount of engagement
that we have. So we've got a good number of
listeners today. We do have one question from a listener,
and I'll go ahead and sort of ask that question, Michael,
if you've got a minute. So look, I imagine here's a question.
I imagine many business owners might worry about the cost
of implementing these kinds of solutions. Michael, how do you
(15:40):
even sure that becoming an employer of choice remains financially viable.
Speaker 4 (15:47):
Well, that's a critical concern about cost. You know, the
goal isn't to create employee benefits that bankrupt the business.
It's a design and employment experience that attracts and retains
talent while remaining financially sustainable. And there are three key
approaches to achieving that balance. First, you focus on value creation,
(16:10):
not just cost. When evaluating potential solutions, consider both the
cost and the financial benefits, because you've got to consider
that reduce turnover. That reduced turnover alan can save substantial money.
The fully loaded cost of replacing an employee typically ranges
between fifty percent and two hundred percent of their annual salary,
(16:31):
after your account for recruiting, training, loss, productivity, and customer impact.
For example, the company in the IT services industry implemented
a four day work week for their technical staff, and
while this represented a theoretical theoretical twenty percent reduction in
available billable hours, the reality was far different. Turnover decrease
(16:55):
from twenty eight percent to nine percent that was on
an annual base, saving tremendous replacement costs, and then productivity
during the full working days increased, and their improved reputation
as an employer led to higher quality applicants, further enhancing
productivity and client satisfaction. Second, design solutions around trade offs
(17:20):
rather than just pure digit So instead of simply adding
benefits on top of current operations, look for creative restructuring
that delivers value to employees without significantly increasing the costs. So,
for example, a healthcare provider found that their clinical staff
strongly valued scheduled predictability, so rather than hiring additional staff,
(17:45):
which would have been prohibitibly expensive, they redesigned their scheduling system.
So they offered slightly lower hourly rates for shifts scheduled
two months in advance, with premiums for last minute coverage.
So the staff could actually we choose their preference, creating
a win win scenario because employees who valued predictability got
(18:06):
guaranteed schedules and those who valued higher pay had opportunities
for the premium shifts. And Third, carefully phase implementation based
on financial impact. So start with solutions that have the
highest impact to cost ratio, and then reinvest the benefits
from reduced turnover and improve productivity into the additional improvements
(18:28):
and benefits. So a manufacturing company began with low cost,
high impact changes like creating transparent career paths and implementing
peer recognition programs, and as these changes reduced turnover and
improve productivity, they reinvested a portion of these savings into
more substantial benefits like skills based pay increases and educational assistance.
(18:55):
And this phased approach allowed them to become an employer
of choice while actually improving their overall financial performance. So
the most important point is that becoming an employer of
choice doesn't necessarily mean having the highest cost. It means
understanding what truly matters to your ideal employees and designing
(19:18):
an experience that delivers exceptional value in those specific areas.
Even if you make trade offs in other areas.
Speaker 3 (19:27):
So to wrop up this segment, what are two key
action items that you would recommend business owners implement right away?
Speaker 4 (19:35):
Well, the first action item is to schedule those stay
interviews that I talked about with at least five of
your best performers in the next couple of weeks. Prepare
specific questions about what they value most about working for
your company, what frustrates them, and what would make their
experience better. And the key is to listen without defensiveness.
(19:56):
We business owners have a tendency to be defensive in
these in these conversations and look for patterns across different conversations.
These insights will form the foundation for your employee problems
solution identification. And then the second action item is to
conduct a competitor analysis with an employment perspective. So review
(20:20):
at least ten online reviews of your top competitors on
platforms like Glassdoor and Indeed, and note what employees consistently
praise or criticize about these companies, and then assess your
own company against these findings. Where do you potentially have
advantages where you're vulnerable? And this analysis will help you
(20:42):
identify opportunities for meaningful differentiation in the talent workplace. And
in our next segment, we're going to explore that second
component of our framework, employment value proposition development. We're going
to show you how to articulate your unique advantages in
a way that resonates powerfully with your right deal employees.
(21:03):
So before I continue this discussion, we're going to take
a ninety second break. Hey there, business owners, let me
ask you something. Are you tied of blending in with
your competitors? Frustrated with slow growth and slim margins? Well,
I've got news for you. Everything you've ever learned about
growing your business is wrong. Don't worry. I'm here to
(21:24):
let you in on a secret weapon, your position of
market dominance. It's what sets you apart, makes you irreplaceable,
and has customers lining up at your door. My name
is Michael Babarta from Next Step CFO. I know what
you're thinking. Sounds great, Michael, How do I find my
position of market dominance? Well, that's exactly why we've created
(21:46):
our game changing impleitation program called Next Step to Market Dominance.
In just ninety days, we'll guide you step by step
to a position of market dominance by uncovering your unique
strengths that competitors can't touch, by crafting a message that
resonates deeply with your ideal customer, by building a strategy
that turns you into the go to expert in your field.
(22:07):
Now this is in theory. These are battle tests and
strategies that have held businesses like yours double triple and
quadruple their revenue. Don't let another quarter go by struggling
to standout. It's time to dominate your market period. Go
to NEXTSTEPCFO dot net forward slash contact. Fill out the
form and in the message section put the word dominate
(22:31):
or call us at seven eight one three two six
three A two two. That's next STEPCFO dot net forward
slash Contact or call us at seven eight one three
two six three A two two. Welcome back to Powerful
Business Strategies. And remember you could catch any of our
episodes at Powerful Business Strategies dot com. So before the break,
(22:54):
we discussed employee problem solution identification. How to uncover and
address the specific frustration it's your ideal employees face in
your industry. Now let's explore that second component of our
Employer of Choice framework, employment value proposition development. This is
(23:16):
about creating and articulating a compelling statement that clearly communicates
how working for your company solves employee problems and delivers
unique benefits they can't find anywhere else. Now, your employment
value proposition or EVP is essentially your promise to employees
and answers the fundamental question why should a talented person
(23:40):
choose to work for your company rather than any option
available to them? So powerful EVP has five key characteristics,
and we're going to give you a little later on.
After I go over these characteristics, we're gonna give you
a little template and an example. So first, the first
(24:00):
key characteristic, it's authentic. It must be based on real
strengths and benefits. Your company can consistently deliver. Exaggerated claims
quickly lead to disappointment and high turnover, and you'll be
in last place very quickly. Second, it's distinctive. It clearly
(24:21):
differentiates your company from typical employers in your industry by
addressing specific problems or frustrations. Third, it's specific rather than
generic claims about being a great place to work. It
identifies concrete benefits and experiences employees will receive. Fourth, it's relevant.
(24:42):
It focuses on what matters most to your ideal employees,
not what you think should matter to them. And fifth,
it's compelling. It creates an emotional connection by addressing deep motivations,
not just rational considerations. So let me walk you through
a process for developing your EVP that ensures you hit
(25:05):
all five of these characteristics. So Step one is to
consolidate your research findings from the problem solution identification work
we discussed in this per A segment. Then review the
patterns you've discovered in stay interviews, exit data, industry research,
and combetitor analysis. What problems have you identified? What solutions
(25:27):
have you developed or could you develop? Step two is
to identify your authentic employment strengths. These are aspects of
your employment experience that number one, you currently deliver consistently.
Are you valued by employment? You know what you're valued
by employees or what your employees value currently a relatively
(25:52):
unique to your industry. That could be those experiences or
experiences that you can sustain over time. And be honest here,
you know it's to have a few general, genuine strengths
that a long list of aspirational claims that you can't
deliver on. Step three is to craft your EVP statement
This is a concise articulation of your employment promise that
(26:15):
typically follows a specific structure. It starts by acknowledging the
problem or frustration that employees face in your industry, then
presents your company as the solutions to the problem through
specific benefits or experiences. And this is the exact format
of your position of market dominance for attracting customers. Now
(26:38):
I'm going to go through I'm going to attempt as
best I can to describe a template that you can use,
and then I'll follow it up with an example to
help you provide more clarity. So, while most type of companies,
that's so you start out with while most and then
(27:00):
you insert the type of company that you are in
your industry expect, and then you insert the pain point
and the frustration at whatever your company name is. We
believe the alternative philosophy is what you insert, and that's
(27:21):
why we and you insert a specific solution benefit one,
a specific solution benefit two, and a specific solution benefit three.
Now let me share an example of that template. So
this is a real example from a company in the
healthcare industry. Their EVP reads as follows. While most healthcare
(27:46):
facilities expect clinicians to sacrifice work life balance and professional autonomy.
At ABC Healthcare, we believe exceptional patient care begins with
exceptional provider well being. That's why we guarantee predictable schedules
(28:06):
announced three months in advance, limit administrative tasks to twenty
percent of your worktime, and provide every clinician with a
dedicated professional development fund for continuing education of your choice. Now,
notice how this statement acknowledges common industry frustrations, presents an
(28:27):
alternative philosophy, and then backs it up with specific tangible
benefits that address those frustrations. Michael, that's a powerful example.
Speaker 3 (28:38):
And I do have a question related to this. So,
once a company has developed their EVP, how did they
effectively communicate that's a prospective employees and one of that So,
is it seems like you know this would require a
different approach than traditional job postings.
Speaker 4 (28:54):
Yes, oh, absolutely, Effectively communicating this EVP required a fundamentally
different approach to recruitment marketing because most job postings focus
on what the company wants from candidates specific qualifications, experiences, responsibilities.
These line listings of things they need to do and
(29:16):
need to have, need to qualify an EVP senate approach
just flips that narrative. This is to focus on what
the company offers candidates and that's the key difference. That's
the key differential. And here are five strategies for effectively
communicating your EVP to prospective employees. First, change your job
(29:39):
posting into job postings into opportunity announcements. Traditional job postings
read like you know demands. For example, you know you
have you must have this, or you will do that.
And instead, structure your postings to lead with your EVP
and the uniquemployee experience that you're going to be offering,
(30:03):
and then connect specific job responsibilities to meaningful outcomes and
growth opportunities, not just tests, they that the employee needs
to perform. For example, a company in the professional services
industry changed their job postings from standard lists of requirements
to opportunity focused messages that began with are you tied
(30:27):
of firms that promise work life balance but expect seventy
hour weeks during busy seasons. At Johnson Partners, we're reinventing
the traditional accounting model to ensure that you can thrive
both professionally and personally. And this approach immediately speaks to
the common frustraction and positions the company has as a
(30:50):
solution attracting candidates will experienced those specific pain points, and Second,
leverage employee testimony onials that validate your EVP. This exists
is real powerful perspective. Employees are naturally skeptical of company
claims and authentic stories about current employees who have experiences
(31:13):
the experience the benefits that you promise carry a lot
more weight than corporate statements. So collect specific stories that
illustrate your EVP in action, not just generic endorsements. You know,
for example, rather than this is a great place to work,
seek testimonials like after working at three other firms where
flexible scheduling was just a recruiting phase, I was amazed
(31:36):
when my manager here actually helped me design a schedule
around my family commitments. Two years later, they've honored that
promise consistently. And then, third, showcase your EVP prominently in
recruitment materials and your website's career page. And don't bury
your employment advantages, deepen your website or mention them only
(31:58):
in job interviews. You know, make your EVP the centerpiece,
the centerpiece of your recruitment marketing and create dedicated web
content that expands on each element of your EVP with
specific examples, employees, stories, and tangible evidence, and use visuals
and video to bring these elements to life authentically. And four,
(32:22):
train everyone involved in the hiring process to articulate your
EVP consistently, from recruiters to hiring managers, to potential teammates
and everyone a candidate encounters. Every one of the candidate
encounters should be able to clearly explain what makes your
(32:43):
company unique as an employer, and this consistency reinforces your
message and demonstrates that your EVP is not just a
marketing slogan, but a deeply embedded part of your company culture.
That is critical. Fifth, activate your current employees as EVP ambassadors.
Your existing team members can be the most powerful recruitment
(33:06):
channel if they generally believe in your employment experience. So
create structured programs that make it easy for employees to
share authentic content about their work experience on social media
and in professional networks. And a quick example of this
is a technology company created an employee Experience content series
(33:30):
where team members share specific stories about how the companies
supported their growth and their worklike balance and their unique needs.
And these are authentic posts shared on LinkedIn and other
platforms generated more qualified applicants than their paid recruitment advertising. Remarkable.
Speaker 3 (33:49):
So to wrap up this segment, what are two key
action items that you'd recommend for business owners?
Speaker 4 (33:55):
Well, the first action item, chicky, is to draft your
initial v statement using the template that I provided and
the example that I provided earlier. Stop by writing down
the most common frustrations that your research has on covet
about employers in your industry. Then articulate how your company
offers a fundamentally different approach with at least three specific
(34:19):
benefits or experiences that address their frustrations, and share this
draft with trusted employees for feedback on its authenticity and appeal.
And the second action item is to audit your current
job actually auditing your current job postings that you've actually
(34:40):
been marketing with and recruitment materials against your new EVP
and how well do they communicate your unique advantages. Revise
at least one job posting to leave with your EVP,
and restructure the content to focus on the opportunity you
are offering rather than just the requiredness that you have
(35:02):
for that particular position and test this revised approach against
your traditional posting and measure the difference in both quantity
and quality of applicants. And in our next segment, we'll
explore the third component of our framework, which is attraction
and retention systems, and show you how to implement specific
(35:22):
processes to find ideal candidates, efficiently convert them to employees,
and keep them engaged for the long term. So before
we continue this discussion, we're going to take a ninety
second break. Hey, their business owners, let me ask you something.
Are you tied of blending in with your competitors, frustrated
with slow growth and slim margins. Well, I've got news
(35:44):
for you. Everything you've ever learned about growing your business
is wrong. Don't worry. I'm here to let you in
on a secret weapon, your position of market dominance. It's
what sets you apart, makes you irreplaceable, and has customers
lining up at your door. My name is Michael Barber
Rita from Next Step CFO. I know what you're thinking.
(36:07):
Sounds great, Michael, How do I find my position of
market dominance? Well, that's exactly why we've created our game
changing implementation program called Next Step to Market dominance in
just ninety days. We'll guide you step by step to
a position of market dominance by uncovering your unique strengths
that competitors can't touch. By crafting a message that resonates
(36:28):
deeply with your ideal customer, by building a strategy that
turns you into the go to expert in your field.
Now this is in theory. These are battle tested strategies
that have helped businesses like you as double, triple and
quadruple their revenue. Don't let another quarter go by struggling
to standout. It's time to dominate your market period. Go
(36:50):
to NEXTSTEPCFO dot net forward slash contact. Fill out the
form and in the message section put the word dominate
or call us at seven and eight one three two
six three A two two. That's NEXTSTEPCFO dot net forward
slash contact or call us at seven eight one three
two six three A two two. Welcome back to powerful
(37:13):
business strategies. So so far, we've covered employee problem solution,
identification and employee value proposition development. Now let's explore that
third component of our Employer of Choice framework called attraction
and retention systems. And this is where we implement specific
processes to attract ideal candidates, officially convert them to employees,
(37:38):
and keep them engaged for the long term. Having a
great EVP isn't enough if your recruitment and management systems
don't effectively connect it with the right people and consistently
deliver on its promises. So let's start with attraction system.
So how do we find an appeal to your ideal employees? Well,
(37:58):
there are five key strategies that I recommend. First, develop
detailed ideal employee profiles. Just as marketers create customer avatars,
you should create detailed profiles of your ideal employees for
different roles, and these profiles should go beyond skills and
(38:21):
experience to include values, motivations, career aspirations, and cultural fit indicators.
For example, a software development company might identify that their
most successful developers value autonomy, continuous learning, and work flexibility
more than prestige or maximum compensation, and this insight would
(38:46):
shape everything from where they recruit to how they structure interviews. Second,
implement target sourcing strategies. Rather than using generic job boards
and hoping that the right people apply, proactively seek out
candidates who match your ideal profiles, and this might involve
(39:06):
industry specific forums and community communities, professional associations and events.
It might involve targeted social media groups, educational institutions with
relevant programs. And it also might involve companies with similar
cultures but different industries. So, for example, a manufacturing company
(39:29):
struggling to find production supervisors started recruiting from the military,
which provides extensive leadership training and in stills the discipline
and attention to detail that they value, and this targeted
approach yield far better results than generic job postings. Third,
create a referral system that leverages your EVP, so employee
(39:53):
referrals consistently produce the highest quality hires with the best
retention rate. So design are referral program that encourages current
employees to identify candidates who would particularly value your EVP.
And rather than just offering a generic referral bonus, create
(40:14):
materials that would help employees explain your unique advantages to
potential referrals. For example, so a healthcare company created conversion
I'm Sorry conversation cards that highlighted their three key EVP
elements with specific examples, and employees use these cards when
(40:35):
talking to potential referrals, resulting in a sixty eight percent
increase in qualified referral candidates. Fourth, design a candidate experience
that showcases your EVP. So every touch point in the
recruitment process should demonstrate your employment value proposition in action.
(40:56):
If your EVP promises exceptional respect for worklifelence, don't schedule
interviews outside business hours or expect immediate responses to communications.
So a client in the professional services industry redesigned their
interview process to demonstrate their commitments to professional growth, and
they replaced traditional grilling interviews with collaborative problem solving sessions
(41:22):
that showcase how the firm approached professional development. And it's
changed not only improved candidate experience, but also provided better
assessment of capabilities. And Fifth, you leverage content marketing to
attract passive candidates, so most high value employees are actively
(41:46):
job searching. Create content that addresses the professional challenges and
interests of your ideal candidates, positioning your company as a
thought leader, and subtly communicate your EVP. For example, a
marketing agency created a series of agency life remaged articles
(42:09):
and videos showcasing how they had eliminated common industry pain
points like unpredictable hours and last minute fire drops. Now
this content attracted interesting prospects were frustrated with traditional agency environments,
but weren't actively job hunting. So chicky, there's a question
(42:35):
listener to wrap up this segment.
Speaker 3 (42:39):
Yeah, so my understanding was that we would power through.
But yeah, let's get to that. So to wrop up
this segment, I mean, what are two of the most
important action items that you'd recommend for business owners.
Speaker 4 (42:54):
Well, the first one is to audit your current onboarding
process through the lens of your EVP, So you'll lit
each element of your EVP and evaluate how well your
onboarding experience demonstrates and reinforces these elements. For example, if
your EVP promises exceptional professional development, does your onboarding include
(43:19):
a structured career planning session? If it promises work life
balance on new employees given reasonable workloads and clear boundaries,
identify at least three specific improvements you can make to
align your onboarding more closely with your EVP promises. And
the second action item is to implement quarterly stay interviews
(43:42):
with key employees, and these structured conversation should focus on
understanding what they value most about working for your company,
what frustrations they're experiencing and what would make their experience
even better, and use these insights to continuously refine retention
strategies and address issues before they lead to turnover, and
(44:06):
document patterns across multiple interviews to identify system systemic opportunities
for improvement. So, as we wrap up today's episode on
becoming the employer of choice in your industry, that's similarize
the key elements of our framework and how they work
(44:28):
together to transform your ability to attract and retain top talent. Now,
we began with the employee problem solution identification, deeply understanding
the specific problems and frustrations that your ideal employees face
with typical employers in your industry and developing innovative solutions
(44:50):
to these problems. Now, we discussed research methods like stay interviews,
exit data analysis, industry research, and compare editor reviews to
uncover these insights. Next, we explored employment value proposition development,
creating and articulating a compelling statement that clearly communicates how
(45:13):
your company solves employee problems and delivers unique benefits that
they can't find elsewhere. We provided a template for your
crafting your EVP statement and strategies for effectively communicating it
to a perspective employees. And finally we covered attraction and
retention systems, implementing specific processes to find the ideal candidates,
(45:38):
efficiently convert them to employees, and keep them engaged for
the long term. And we discussed targeting sourcing referral program
We discussed targeted sourcing referral programs, candidate experiences, onboarding growth paths,
and systematic listening mechanisms. So the power of this framework
(46:03):
comes from implementing all three components together and understanding employee
problems without developing solutions won't improve your position. Having a
great EVP without effective attention, attraction, and retention systems won't
translate to results. The businesses that truly become employers of
(46:24):
choice of those that excel in all three areas. Remember
that becoming an employer of choice isn't about copying what
large companies do or offering the highest compensation. It's about
deeply understanding what matters most to your ideal employees and
creating an experience that there lives exceptional value in those
(46:47):
specific areas. And this approach allows even small businesses to
compete effectively for talent against much of the logic organizations
and so to get a copy of the book Powerful
Business Strategy, simply go to our website www dot NEXTSTEPCFO
dot net. It's totally complimentary and until next Monday at
(47:11):
noon Eastern time for Chokey Obio. My name is Michael Baberita,
and remember, don't keep doing what your competition is doing.
Speaker 2 (47:22):
You have been listening to Powerful Business Strategies finding out
that everything you ever learned about growing your business is wrong.
Tune in next week and every week at noon Eastern
time on W four CY Radio with your host Michael
Barbarita of Next Step CFO and moderator Chukey Obio
The topics and opinions expressed in the following show are
solely those of the hosts and their guests and not
those of W FOURCY Radio. It's employees are affiliates. We
make no recommendations or endorsements for radio show programs, services,
or products mentioned on air or on our web. No
liability explicitor implies shall be extended to W FOURCY Radio
or its employees are affiliates. Any questions or comments should
be directed to those show hosts. Thank you for choosing
(00:21):
W FOURCY Radio.
Speaker 2 (00:27):
Welcome to Powerful Business Strategies, where you will find out
that everything you have ever learned about growing your business
is wrong. Finally, a show where you'll learn the right
way to grow your business by learning business and financial
strategies that your competition isn't doing. And now here is
your host. President of Next Step CFO Michael Barbarita and
(00:51):
joining Michael for today's show as an executive moderator is
chooky obia.
Speaker 3 (01:00):
Yes, this is shookey, and I believe that gratitude is
undefeated and growth is about the next step. It is
an honor for me to moderate today's discussion with my
good friend Michael.
Speaker 4 (01:11):
Michael, how are you fantastic, Choky? Thank you, and my
name is Michael Baberia, President of Next Step CFO, and
next Step CFO is a fractional CFO and strategic implementation firm.
Business owners hire us to double and triple their profit
using business and financial strategies that their competition isn't doing,
and our vision is to ensure that overwhelmed business owners
(01:34):
achieve consistent profits that leads to time, freedom to build
a legacy and the life that they desire. Our mission
is dedicated to guiding small business owners to leveraging their time,
exploding their profits, and building a meaningful legacy. And they
show powerful business strategies and our book of the same
name is a step toward accomplishing that vision and mission.
(01:57):
So with that, I'd like to hand it back to
my co author and modern for the showy obio, Michael.
Speaker 3 (02:03):
I am particularly inspired by today's episode The Talent Revolution
how to become the Employer of Choice in your industry.
So before we jump in, folks, Michael and I are
both affiliated with a number of different organizations and I
currently serve as the managing director of business development for
Better Price, a global business focused law firm in addition
(02:25):
to that, it's truly an honor to collaborate with Michael
and modeling these great business roundtables where we document insights
as part of our book called Powerful Business Strategies. But
please note that the views expressed on this show are
personal views based on those successful roundtable experiences and beyond.
(02:46):
And my mission as a fearless moderator is to ask
the right questions to help you, the listener, learn the
best business strategies that the competition isn't doing.
Speaker 4 (02:56):
Michael, back over to you, Thank you, Chokey. So before
we dive into to any critical topic, I do want
to share something you know. As business owners, we often
focus intensely on binding customers, managing operations, and driving profits.
But there's a fundamental truth that many of us learn
the hard way, and our business will never outgrow the
quality of our team, the people we bring on board,
(03:20):
the culture we create, and how we develop talent ultimately
determines whether our vision becomes reality or remains forever out
of reach. And the most successful businesses that I've worked
with don't just have great products or clever marketing. They've
created workplaces where exceptional people want to be Today We're
(03:43):
going to show you how to do exactly that, how
to become the destination workplace in your industry. Attracting people
will help you take your business the heights you haven't
even imagined yet, because when you get the people pot right,
everything else becomes fit infinitely easier. So today we're tackling
(04:06):
one of the most persistent challenges facing businesses of all sizes,
how to attract and retain top talent in an increasingly
competitive labor market. And I want to start by challenging
a common misconception that most that cost most business owners
millions in wasted recruiting expenses and loss of productivity. That
(04:28):
misconception is that talent shortages are primarily about money, that
if you just pay more than your competitives, you'll win
the talent war. That reality is far more complex and
provides tremendous opportunity for businesses willing to think differently. And
I've worked with companies across dozens of industries, and I
(04:51):
see and consistently see that employees make decisions based on
much more than just compensation. And yeah, yes, pay needs
to be fair and competitive, that's for sure, but beyond
a certain threshold, other factors become far more important in
attracting and keeping good people. So think about it your
(05:14):
own experience. Would you take a job that paid ten
percent more but required working for a toxic boss? Or
would you stay at a company that offered good benefits
but no flexibility or growth opportunities? See, most people wouldn't,
and the data confirms this. Studies consistently show that after
(05:35):
basic financial needs are met, factors like purpose, growth opportunities,
work environment, and leadership quality matter more than additional compensation.
This is actually good news for small to medium sized
businesses competing against larger companies. With those big budgets, you
(05:56):
could create advantages in these other critical areas that make
you the employer's voice in your industry, even if you
can't match the highest salaries.
Speaker 3 (06:07):
You know, Michael, that's an interesting perspective. But with unemployment
rates relatively low and skilled workers in high demand, when
you say that most businesses are forced to compete primarily
on wages store track talent.
Speaker 4 (06:21):
Well that's a great question, Choky, But you know the
current labor market is indeed challenging. You know, I heard
it recent statistic in the construction industry that's every year
or I'm sorry. Every month, five people retire and only
two people come into the labor market. So that's a
depleting statistic for sure. And that's what business owners are
(06:45):
up against in a lot of industries, not just the
construction industry, but competing primarily on wages is actually a
losing strategy for most businesses, especially smaller ones that can't
win a bidding war against the larger competitors. And here's
the reason. That's a good point. We know, when you
attract people primarily through high compensation, you create three significant problems. First,
(07:10):
you essentially attract mercenaries. These are people who will leave
the moment someone offers them slightly more money. Second, you
create unsustainable compensation structures that hurt profitability. And third, you
miss out on attracting people who are looking for more
than just a paycheck. And by the way, these end
up being the most dedicated, creative and productive employees. Instead,
(07:35):
smart businesses are implementing what I call the employer of
choice framework. And this approach recognizes that employees, like customers,
have specific problems they're trying to solve and outcomes they're seeking.
When you understand these deeply, uh, you know these issues
deeply and position your business as a solution. You can
(07:57):
attract better talent even without paying those premium wages. So
let me share a quick example. So a manufacturing company
was struggling to find skilled technicians, and they were competing
against larger manufacturers offering higher wages and losing most candidates
as a result. And when they analyzed the situation, they
(08:18):
discovered that many experienced technicians in their industry were actually
frustrated by rigid shift schedules that interfeared with family life
and personal interests. So this company introduced a flexible scheduling
system that allowed technicians to create their own schedules within
certain parameters, and they didn't increase their wage rates, but
(08:39):
they promoted this flexibility very heavily in their recruiting messaging,
and within three months, their applications rates tripled and they
were able to fully staff their operation with qualified technicians,
many of whom came from those higher paying competitors. And
this example illustrates the power of understanding what potential employees
(09:03):
really want beyond just compensation. And the company identified a
significant problem that these technicians had with traditional employers, and
they position themselves as the solution to that problem, and
our Employer of Choice framework helps businesses replicate the success
through a systematic approach with three key components. First, employee
(09:28):
problem and solution identification deeply understanding the specific problems and
frustrations that your ideal employees face with typical employers in
your industry and developing innovative solutions to these problems. Second,
employee value proposition development, Creating and articulating a compelling statement
(09:54):
that clearly communicates how working for your company solves these
problems and delivers unique benefits that employees can't find elsewhere.
And Third, attraction and retention systems implementing specific processes to
attract ideal candidates, efficiently convert them to employees, and keep
(10:16):
them engaged for the long term. So I introduced our
Employer of Choice framework and the importance of understanding what
employees truly value beyond just compensation. So let's dive into
the first component of the framework, which is employee problems
solution identification. This is about deeply understanding the specific problems
(10:40):
and frustrations that your ideal employees face with typical employers
in your industry and developing innovative solutions to these problems. Now,
most business owners approach hiring with a self centered perspective,
here's what we need from employees. Now. The employer of
(11:01):
choice framework flips that around to an employee senate perspective. So,
here's what employees need from us is the shift and thinking,
and that shift opens up tremendous opportunities to differentiate your
company in the talent marketplace. So how do you identify
(11:21):
these employee problems and frustrations? Well, there are four primary
research methods that I recommend. First, conduct what I call
stay interviews with your best current employees. So unlike exed
interviews that happened too late to retain talent, stay interviews
focus on understanding what keeps your top employee and top
(11:44):
performance engaged and what might cause them to leave. So
you would ask questions like, what do you enjoy most
about working here? What frustrates you about your job or
our company? What would what would make your work experience better?
Have you ever considered leaving and if so, what prompted that?
(12:06):
And what would another company have to offer to entice
you away? And these frank conversations often reveal very surprising
insights about what your employees truly value and what problems
they're experiencing that you might not be aware of. Second,
analyze data from former employees, whether it's reviewing exit interviews,
(12:30):
resignation letters, departure patterns to identify recurring themes. Why did
people leave? Was it always for more money or were
there other factors like a lack of flexibility or a
lack of growth opportunities or management issues. Third, research your
industry's specific pain points. Different industries and roles have very
(12:53):
unique frustrations. For example, retail employees often struggle with unpredictable scheduling,
I TAM professionals frequently cite lack of development opportunities, and
healthcare workers report burnout from administrative burdens. So understanding the
common pain points in your industry provides a starting point
(13:14):
for differentiation. Four. Monitor online employer reviews on platforms like Glassdoor,
and indeed, look at reviews of both your company and
your competitors. What patents do you see that in these
negative and any negative reviews? What do employees consistently praise
(13:35):
or criticize. These public forums often contain candid feedback that
you know that wouldn't be shared directly, So let me
share a real example of how powerful this research could be.
So if business in the accounting industry was struggling to
attract and retain skilled professionals, and that's another industry with
(13:57):
a retirement rate is a lot faster than the incoming rate.
And through state interviews and industry research, dis accounting for
discovered three primary frustrations among accountants. Number one was the
traditional busy season created extreme work life and balance for
several months each year. Second, most firms provided limited client
(14:22):
interaction for junior staffs, longing professional development, and remote work
flexibility was inconsistent or non existent at many firms owned.
With this knowledge, they completely reimagined their employment model to
address these specific pain points, and they implemented year round
(14:43):
tax planning to flatten workloads. They created client exposure opportunities
for all staff levels, and adopted a remote first approach
with optional office space. So these changes they did require
pa higher salaries. In fact, they were able to offer
slightly below market compensation while still becoming a preferred employer
(15:07):
in the region, and within a year they reduced turnover
by sixty two percent and built a waiting list of
qualified candidates refer it by existing employees.
Speaker 3 (15:18):
Michael, it's always interesting to gauge the amount of engagement
that we have. So we've got a good number of
listeners today. We do have one question from a listener,
and I'll go ahead and sort of ask that question, Michael,
if you've got a minute. So look, I imagine here's a question.
I imagine many business owners might worry about the cost
of implementing these kinds of solutions. Michael, how do you
(15:40):
even sure that becoming an employer of choice remains financially viable.
Speaker 4 (15:47):
Well, that's a critical concern about cost. You know, the
goal isn't to create employee benefits that bankrupt the business.
It's a design and employment experience that attracts and retains
talent while remaining financially sustainable. And there are three key
approaches to achieving that balance. First, you focus on value creation,
(16:10):
not just cost. When evaluating potential solutions, consider both the
cost and the financial benefits, because you've got to consider
that reduce turnover. That reduced turnover alan can save substantial money.
The fully loaded cost of replacing an employee typically ranges
between fifty percent and two hundred percent of their annual salary,
(16:31):
after your account for recruiting, training, loss, productivity, and customer impact.
For example, the company in the IT services industry implemented
a four day work week for their technical staff, and
while this represented a theoretical theoretical twenty percent reduction in
available billable hours, the reality was far different. Turnover decrease
(16:55):
from twenty eight percent to nine percent that was on
an annual base, saving tremendous replacement costs, and then productivity
during the full working days increased, and their improved reputation
as an employer led to higher quality applicants, further enhancing
productivity and client satisfaction. Second, design solutions around trade offs
(17:20):
rather than just pure digit So instead of simply adding
benefits on top of current operations, look for creative restructuring
that delivers value to employees without significantly increasing the costs. So,
for example, a healthcare provider found that their clinical staff
strongly valued scheduled predictability, so rather than hiring additional staff,
(17:45):
which would have been prohibitibly expensive, they redesigned their scheduling system.
So they offered slightly lower hourly rates for shifts scheduled
two months in advance, with premiums for last minute coverage.
So the staff could actually we choose their preference, creating
a win win scenario because employees who valued predictability got
(18:06):
guaranteed schedules and those who valued higher pay had opportunities
for the premium shifts. And Third, carefully phase implementation based
on financial impact. So start with solutions that have the
highest impact to cost ratio, and then reinvest the benefits
from reduced turnover and improve productivity into the additional improvements
(18:28):
and benefits. So a manufacturing company began with low cost,
high impact changes like creating transparent career paths and implementing
peer recognition programs, and as these changes reduced turnover and
improve productivity, they reinvested a portion of these savings into
more substantial benefits like skills based pay increases and educational assistance.
(18:55):
And this phased approach allowed them to become an employer
of choice while actually improving their overall financial performance. So
the most important point is that becoming an employer of
choice doesn't necessarily mean having the highest cost. It means
understanding what truly matters to your ideal employees and designing
(19:18):
an experience that delivers exceptional value in those specific areas.
Even if you make trade offs in other areas.
Speaker 3 (19:27):
So to wrop up this segment, what are two key
action items that you would recommend business owners implement right away?
Speaker 4 (19:35):
Well, the first action item is to schedule those stay
interviews that I talked about with at least five of
your best performers in the next couple of weeks. Prepare
specific questions about what they value most about working for
your company, what frustrates them, and what would make their
experience better. And the key is to listen without defensiveness.
(19:56):
We business owners have a tendency to be defensive in
these in these conversations and look for patterns across different conversations.
These insights will form the foundation for your employee problems
solution identification. And then the second action item is to
conduct a competitor analysis with an employment perspective. So review
(20:20):
at least ten online reviews of your top competitors on
platforms like Glassdoor and Indeed, and note what employees consistently
praise or criticize about these companies, and then assess your
own company against these findings. Where do you potentially have
advantages where you're vulnerable? And this analysis will help you
(20:42):
identify opportunities for meaningful differentiation in the talent workplace. And
in our next segment, we're going to explore that second
component of our framework, employment value proposition development. We're going
to show you how to articulate your unique advantages in
a way that resonates powerfully with your right deal employees.
(21:03):
So before I continue this discussion, we're going to take
a ninety second break. Hey there, business owners, let me
ask you something. Are you tied of blending in with
your competitors? Frustrated with slow growth and slim margins? Well,
I've got news for you. Everything you've ever learned about
growing your business is wrong. Don't worry. I'm here to
(21:24):
let you in on a secret weapon, your position of
market dominance. It's what sets you apart, makes you irreplaceable,
and has customers lining up at your door. My name
is Michael Babarta from Next Step CFO. I know what
you're thinking. Sounds great, Michael, How do I find my
position of market dominance? Well, that's exactly why we've created
(21:46):
our game changing impleitation program called Next Step to Market Dominance.
In just ninety days, we'll guide you step by step
to a position of market dominance by uncovering your unique
strengths that competitors can't touch, by crafting a message that
resonates deeply with your ideal customer, by building a strategy
that turns you into the go to expert in your field.
(22:07):
Now this is in theory. These are battle tests and
strategies that have held businesses like yours double triple and
quadruple their revenue. Don't let another quarter go by struggling
to standout. It's time to dominate your market period. Go
to NEXTSTEPCFO dot net forward slash contact. Fill out the
form and in the message section put the word dominate
(22:31):
or call us at seven eight one three two six
three A two two. That's next STEPCFO dot net forward
slash Contact or call us at seven eight one three
two six three A two two. Welcome back to Powerful
Business Strategies. And remember you could catch any of our
episodes at Powerful Business Strategies dot com. So before the break,
(22:54):
we discussed employee problem solution identification. How to uncover and
address the specific frustration it's your ideal employees face in
your industry. Now let's explore that second component of our
Employer of Choice framework, employment value proposition development. This is
(23:16):
about creating and articulating a compelling statement that clearly communicates
how working for your company solves employee problems and delivers
unique benefits they can't find anywhere else. Now, your employment
value proposition or EVP is essentially your promise to employees
and answers the fundamental question why should a talented person
(23:40):
choose to work for your company rather than any option
available to them? So powerful EVP has five key characteristics,
and we're going to give you a little later on.
After I go over these characteristics, we're gonna give you
a little template and an example. So first, the first
(24:00):
key characteristic, it's authentic. It must be based on real
strengths and benefits. Your company can consistently deliver. Exaggerated claims
quickly lead to disappointment and high turnover, and you'll be
in last place very quickly. Second, it's distinctive. It clearly
(24:21):
differentiates your company from typical employers in your industry by
addressing specific problems or frustrations. Third, it's specific rather than
generic claims about being a great place to work. It
identifies concrete benefits and experiences employees will receive. Fourth, it's relevant.
(24:42):
It focuses on what matters most to your ideal employees,
not what you think should matter to them. And fifth,
it's compelling. It creates an emotional connection by addressing deep motivations,
not just rational considerations. So let me walk you through
a process for developing your EVP that ensures you hit
(25:05):
all five of these characteristics. So Step one is to
consolidate your research findings from the problem solution identification work
we discussed in this per A segment. Then review the
patterns you've discovered in stay interviews, exit data, industry research,
and combetitor analysis. What problems have you identified? What solutions
(25:27):
have you developed or could you develop? Step two is
to identify your authentic employment strengths. These are aspects of
your employment experience that number one, you currently deliver consistently.
Are you valued by employment? You know what you're valued
by employees or what your employees value currently a relatively
(25:52):
unique to your industry. That could be those experiences or
experiences that you can sustain over time. And be honest here,
you know it's to have a few general, genuine strengths
that a long list of aspirational claims that you can't
deliver on. Step three is to craft your EVP statement
This is a concise articulation of your employment promise that
(26:15):
typically follows a specific structure. It starts by acknowledging the
problem or frustration that employees face in your industry, then
presents your company as the solutions to the problem through
specific benefits or experiences. And this is the exact format
of your position of market dominance for attracting customers. Now
(26:38):
I'm going to go through I'm going to attempt as
best I can to describe a template that you can use,
and then I'll follow it up with an example to
help you provide more clarity. So, while most type of companies,
that's so you start out with while most and then
(27:00):
you insert the type of company that you are in
your industry expect, and then you insert the pain point
and the frustration at whatever your company name is. We
believe the alternative philosophy is what you insert, and that's
(27:21):
why we and you insert a specific solution benefit one,
a specific solution benefit two, and a specific solution benefit three.
Now let me share an example of that template. So
this is a real example from a company in the
healthcare industry. Their EVP reads as follows. While most healthcare
(27:46):
facilities expect clinicians to sacrifice work life balance and professional autonomy.
At ABC Healthcare, we believe exceptional patient care begins with
exceptional provider well being. That's why we guarantee predictable schedules
(28:06):
announced three months in advance, limit administrative tasks to twenty
percent of your worktime, and provide every clinician with a
dedicated professional development fund for continuing education of your choice. Now,
notice how this statement acknowledges common industry frustrations, presents an
(28:27):
alternative philosophy, and then backs it up with specific tangible
benefits that address those frustrations. Michael, that's a powerful example.
Speaker 3 (28:38):
And I do have a question related to this. So,
once a company has developed their EVP, how did they
effectively communicate that's a prospective employees and one of that So,
is it seems like you know this would require a
different approach than traditional job postings.
Speaker 4 (28:54):
Yes, oh, absolutely, Effectively communicating this EVP required a fundamentally
different approach to recruitment marketing because most job postings focus
on what the company wants from candidates specific qualifications, experiences, responsibilities.
These line listings of things they need to do and
(29:16):
need to have, need to qualify an EVP senate approach
just flips that narrative. This is to focus on what
the company offers candidates and that's the key difference. That's
the key differential. And here are five strategies for effectively
communicating your EVP to prospective employees. First, change your job
(29:39):
posting into job postings into opportunity announcements. Traditional job postings
read like you know demands. For example, you know you
have you must have this, or you will do that.
And instead, structure your postings to lead with your EVP
and the uniquemployee experience that you're going to be offering,
(30:03):
and then connect specific job responsibilities to meaningful outcomes and
growth opportunities, not just tests, they that the employee needs
to perform. For example, a company in the professional services
industry changed their job postings from standard lists of requirements
to opportunity focused messages that began with are you tied
(30:27):
of firms that promise work life balance but expect seventy
hour weeks during busy seasons. At Johnson Partners, we're reinventing
the traditional accounting model to ensure that you can thrive
both professionally and personally. And this approach immediately speaks to
the common frustraction and positions the company has as a
(30:50):
solution attracting candidates will experienced those specific pain points, and Second,
leverage employee testimony onials that validate your EVP. This exists
is real powerful perspective. Employees are naturally skeptical of company
claims and authentic stories about current employees who have experiences
(31:13):
the experience the benefits that you promise carry a lot
more weight than corporate statements. So collect specific stories that
illustrate your EVP in action, not just generic endorsements. You know,
for example, rather than this is a great place to work,
seek testimonials like after working at three other firms where
flexible scheduling was just a recruiting phase, I was amazed
(31:36):
when my manager here actually helped me design a schedule
around my family commitments. Two years later, they've honored that
promise consistently. And then, third, showcase your EVP prominently in
recruitment materials and your website's career page. And don't bury
your employment advantages, deepen your website or mention them only
(31:58):
in job interviews. You know, make your EVP the centerpiece,
the centerpiece of your recruitment marketing and create dedicated web
content that expands on each element of your EVP with
specific examples, employees, stories, and tangible evidence, and use visuals
and video to bring these elements to life authentically. And four,
(32:22):
train everyone involved in the hiring process to articulate your
EVP consistently, from recruiters to hiring managers, to potential teammates
and everyone a candidate encounters. Every one of the candidate
encounters should be able to clearly explain what makes your
(32:43):
company unique as an employer, and this consistency reinforces your
message and demonstrates that your EVP is not just a
marketing slogan, but a deeply embedded part of your company culture.
That is critical. Fifth, activate your current employees as EVP ambassadors.
Your existing team members can be the most powerful recruitment
(33:06):
channel if they generally believe in your employment experience. So
create structured programs that make it easy for employees to
share authentic content about their work experience on social media
and in professional networks. And a quick example of this
is a technology company created an employee Experience content series
(33:30):
where team members share specific stories about how the companies
supported their growth and their worklike balance and their unique needs.
And these are authentic posts shared on LinkedIn and other
platforms generated more qualified applicants than their paid recruitment advertising. Remarkable.
Speaker 3 (33:49):
So to wrap up this segment, what are two key
action items that you'd recommend for business owners?
Speaker 4 (33:55):
Well, the first action item, chicky, is to draft your
initial v statement using the template that I provided and
the example that I provided earlier. Stop by writing down
the most common frustrations that your research has on covet
about employers in your industry. Then articulate how your company
offers a fundamentally different approach with at least three specific
(34:19):
benefits or experiences that address their frustrations, and share this
draft with trusted employees for feedback on its authenticity and appeal.
And the second action item is to audit your current
job actually auditing your current job postings that you've actually
(34:40):
been marketing with and recruitment materials against your new EVP
and how well do they communicate your unique advantages. Revise
at least one job posting to leave with your EVP,
and restructure the content to focus on the opportunity you
are offering rather than just the requiredness that you have
(35:02):
for that particular position and test this revised approach against
your traditional posting and measure the difference in both quantity
and quality of applicants. And in our next segment, we'll
explore the third component of our framework, which is attraction
and retention systems, and show you how to implement specific
(35:22):
processes to find ideal candidates, efficiently convert them to employees,
and keep them engaged for the long term. So before
we continue this discussion, we're going to take a ninety
second break. Hey, their business owners, let me ask you something.
Are you tied of blending in with your competitors, frustrated
with slow growth and slim margins. Well, I've got news
(35:44):
for you. Everything you've ever learned about growing your business
is wrong. Don't worry. I'm here to let you in
on a secret weapon, your position of market dominance. It's
what sets you apart, makes you irreplaceable, and has customers
lining up at your door. My name is Michael Barber
Rita from Next Step CFO. I know what you're thinking.
(36:07):
Sounds great, Michael, How do I find my position of
market dominance? Well, that's exactly why we've created our game
changing implementation program called Next Step to Market dominance in
just ninety days. We'll guide you step by step to
a position of market dominance by uncovering your unique strengths
that competitors can't touch. By crafting a message that resonates
(36:28):
deeply with your ideal customer, by building a strategy that
turns you into the go to expert in your field.
Now this is in theory. These are battle tested strategies
that have helped businesses like you as double, triple and
quadruple their revenue. Don't let another quarter go by struggling
to standout. It's time to dominate your market period. Go
(36:50):
to NEXTSTEPCFO dot net forward slash contact. Fill out the
form and in the message section put the word dominate
or call us at seven and eight one three two
six three A two two. That's NEXTSTEPCFO dot net forward
slash contact or call us at seven eight one three
two six three A two two. Welcome back to powerful
(37:13):
business strategies. So so far, we've covered employee problem solution,
identification and employee value proposition development. Now let's explore that
third component of our Employer of Choice framework called attraction
and retention systems. And this is where we implement specific
processes to attract ideal candidates, officially convert them to employees,
(37:38):
and keep them engaged for the long term. Having a
great EVP isn't enough if your recruitment and management systems
don't effectively connect it with the right people and consistently
deliver on its promises. So let's start with attraction system.
So how do we find an appeal to your ideal employees? Well,
(37:58):
there are five key strategies that I recommend. First, develop
detailed ideal employee profiles. Just as marketers create customer avatars,
you should create detailed profiles of your ideal employees for
different roles, and these profiles should go beyond skills and
(38:21):
experience to include values, motivations, career aspirations, and cultural fit indicators.
For example, a software development company might identify that their
most successful developers value autonomy, continuous learning, and work flexibility
more than prestige or maximum compensation, and this insight would
(38:46):
shape everything from where they recruit to how they structure interviews. Second,
implement target sourcing strategies. Rather than using generic job boards
and hoping that the right people apply, proactively seek out
candidates who match your ideal profiles, and this might involve
(39:06):
industry specific forums and community communities, professional associations and events.
It might involve targeted social media groups, educational institutions with
relevant programs. And it also might involve companies with similar
cultures but different industries. So, for example, a manufacturing company
(39:29):
struggling to find production supervisors started recruiting from the military,
which provides extensive leadership training and in stills the discipline
and attention to detail that they value, and this targeted
approach yield far better results than generic job postings. Third,
create a referral system that leverages your EVP, so employee
(39:53):
referrals consistently produce the highest quality hires with the best
retention rate. So design are referral program that encourages current
employees to identify candidates who would particularly value your EVP.
And rather than just offering a generic referral bonus, create
(40:14):
materials that would help employees explain your unique advantages to
potential referrals. For example, so a healthcare company created conversion
I'm Sorry conversation cards that highlighted their three key EVP
elements with specific examples, and employees use these cards when
(40:35):
talking to potential referrals, resulting in a sixty eight percent
increase in qualified referral candidates. Fourth, design a candidate experience
that showcases your EVP. So every touch point in the
recruitment process should demonstrate your employment value proposition in action.
(40:56):
If your EVP promises exceptional respect for worklifelence, don't schedule
interviews outside business hours or expect immediate responses to communications.
So a client in the professional services industry redesigned their
interview process to demonstrate their commitments to professional growth, and
they replaced traditional grilling interviews with collaborative problem solving sessions
(41:22):
that showcase how the firm approached professional development. And it's
changed not only improved candidate experience, but also provided better
assessment of capabilities. And Fifth, you leverage content marketing to
attract passive candidates, so most high value employees are actively
(41:46):
job searching. Create content that addresses the professional challenges and
interests of your ideal candidates, positioning your company as a
thought leader, and subtly communicate your EVP. For example, a
marketing agency created a series of agency life remaged articles
(42:09):
and videos showcasing how they had eliminated common industry pain
points like unpredictable hours and last minute fire drops. Now
this content attracted interesting prospects were frustrated with traditional agency environments,
but weren't actively job hunting. So chicky, there's a question
(42:35):
listener to wrap up this segment.
Speaker 3 (42:39):
Yeah, so my understanding was that we would power through.
But yeah, let's get to that. So to wrop up
this segment, I mean, what are two of the most
important action items that you'd recommend for business owners.
Speaker 4 (42:54):
Well, the first one is to audit your current onboarding
process through the lens of your EVP, So you'll lit
each element of your EVP and evaluate how well your
onboarding experience demonstrates and reinforces these elements. For example, if
your EVP promises exceptional professional development, does your onboarding include
(43:19):
a structured career planning session? If it promises work life
balance on new employees given reasonable workloads and clear boundaries,
identify at least three specific improvements you can make to
align your onboarding more closely with your EVP promises. And
the second action item is to implement quarterly stay interviews
(43:42):
with key employees, and these structured conversation should focus on
understanding what they value most about working for your company,
what frustrations they're experiencing and what would make their experience
even better, and use these insights to continuously refine retention
strategies and address issues before they lead to turnover, and
(44:06):
document patterns across multiple interviews to identify system systemic opportunities
for improvement. So, as we wrap up today's episode on
becoming the employer of choice in your industry, that's similarize
the key elements of our framework and how they work
(44:28):
together to transform your ability to attract and retain top talent. Now,
we began with the employee problem solution identification, deeply understanding
the specific problems and frustrations that your ideal employees face
with typical employers in your industry and developing innovative solutions
(44:50):
to these problems. Now, we discussed research methods like stay interviews,
exit data analysis, industry research, and compare editor reviews to
uncover these insights. Next, we explored employment value proposition development,
creating and articulating a compelling statement that clearly communicates how
(45:13):
your company solves employee problems and delivers unique benefits that
they can't find elsewhere. We provided a template for your
crafting your EVP statement and strategies for effectively communicating it
to a perspective employees. And finally we covered attraction and
retention systems, implementing specific processes to find the ideal candidates,
(45:38):
efficiently convert them to employees, and keep them engaged for
the long term. And we discussed targeting sourcing referral program
We discussed targeted sourcing referral programs, candidate experiences, onboarding growth paths,
and systematic listening mechanisms. So the power of this framework
(46:03):
comes from implementing all three components together and understanding employee
problems without developing solutions won't improve your position. Having a
great EVP without effective attention, attraction, and retention systems won't
translate to results. The businesses that truly become employers of
(46:24):
choice of those that excel in all three areas. Remember
that becoming an employer of choice isn't about copying what
large companies do or offering the highest compensation. It's about
deeply understanding what matters most to your ideal employees and
creating an experience that there lives exceptional value in those
(46:47):
specific areas. And this approach allows even small businesses to
compete effectively for talent against much of the logic organizations
and so to get a copy of the book Powerful
Business Strategy, simply go to our website www dot NEXTSTEPCFO
dot net. It's totally complimentary and until next Monday at
(47:11):
noon Eastern time for Chokey Obio. My name is Michael Baberita,
and remember, don't keep doing what your competition is doing.
Speaker 2 (47:22):
You have been listening to Powerful Business Strategies finding out
that everything you ever learned about growing your business is wrong.
Tune in next week and every week at noon Eastern
time on W four CY Radio with your host Michael
Barbarita of Next Step CFO and moderator Chukey Obio
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