Greatness and Limits of Employer Branding as a Human Resource Strategy for Nonprofit Organizations

Table of contents

List of abbreviations

List of Figures

List of Tables

1 Introduction
Theory of Employer Branding
1.1 Essentials
1.2 Positioning
1.3 Implementation of Employer Branding Strategy in Companies and Organizations
1.3.1 Analysis Phase: Target Group Needs
1.3.2 Planning Phase: Employer Value Proposition
1.3.3 Determination of the Employer Brand
1.3.4 Implementation Phase: Internal and External Communication

2 Theory of Nonprofit Organizations
2.1 Positioning
2.2 Internal Organization Structure
2.3 Objectives
2.4 Challenges and Issues of the Nonprofit Sector With Respect to Human Resource - and Marketing Management

3 Employer Branding in Nonprofit Organizations
3.1 Limits
3.2 Greatness

4 Conclusion

List of literature

List of abbreviations

Abbildung in dieser Leseprobe nicht enthalten

List of Figures

Figure 1. Key dimension, which should be considered by determining the EVP. (Data from “Impact Rundum: Wirkungsfelder,” Deutsche Employer Branding Akademie, accessed July 2, 2015, http://www.employerbranding.org/wirkungsfelder.php.)

Figure 2. The three-sector model in the context of nonprofit organizations (Data from Bernd Helmig, Kapitel 1 - Grundlagen des Nonprofit Management, University Hamburg, April 5, 2011, 8:09 m film, Lehrbuch Non Profit Management, MP4 video, https://lecture2go.uni-hamburg.de/veranstaltungen/-/v/12122.)

Figure 3. Largest nonprofit marketing challenges in North America in 2014, only five of eleven challenges were chosen from the original chart, to demonstrate the relationship between Marketing and Human Resource Management. Following challenges were omitted: 1. Measuring content effectiveness = 52 %, 2. Producing engaging content = 49 %, 3. Producing content consistently = 43 %, 4. Producing a variety of content = 37 %, 5. Technology-related challenges = 35 %. (Data from: “Largest nonprofit marketing challenges in North America as of August 2014,” The statistics portal, accessed July 3, 2015, http://www.statista.com/statistics/372490/nonprofit-content-marketing-challenges-in- north-america/.)

List of Tables

Table 1. Classification of Brands

1 INTRODUCTION

This assignment is organized as follows. The first chapter discusses the employer branding implementation strategy going through four phases. Each step includes an instrument, for a better understanding. Bases on the fact that in each source has different explanations, the author tried not to rely so much on them. Logical thinking was a large help to complete this assignment.

The next chapter discusses the positioning of nonprofits as well as their organizational structure. After defining the backgrounds some of NPO’s main objectives have been determined.

Due to the research of employer branding and NPO’s the author could put the topics together and determine greatness and limits of implementation employer branding to NPO’s

From the beginning of the assignment the author tried to implement the strategies to her own nonprofit organization. Based on this fact, the conclusion include aouthor’s own opinion about the implementation of EB to NPOs.

THEORY OF EMPLOYER BRANDING

1.1 ESSENTIALS

Demographic change and international perspective such as heterogeneous labor markets as well as cultural and national differences of applicants brings new challenges when recruiting skilled labor.¹ Considering data from different sources, authors talk about “The War for Talents (…) in order to keep the pipeline full of talented people, almost all of the companies are starting to take non-traditional approaches to recruiting."²

To avoid a real war between employers, the theory of Employer Branding (EB) can be used to attract skilled and professional applicants as well as increase employees’ career and self-realization opportunities. Based on this statement the employer places EB and targets employees (internal), applicants (external) as well as establishing himself as “The Employer of Choice”.³

1.2 POSITIONING

There are different opinions about the placement of EB. Some name it a “buzzword”; others place it as a concept of strategic marketing. Inherently EB is a key function of Human Resource Management as well as a part of brand management, which belongs to Marketing Management

1.3 IMPLEMENTATION OF EMPLOYER BRANDING STRATEGY IN COMPANIES AND ORGANIZATIONS

It is very interesting to consider how the Employer Branding can be implemented in a company or organization; therefore, the author decided to show the different phases involved in the process of implementation. There is a total of four phases listed.

1.3.1 Analysis Phase: Target Group Needs

In the first phase of the implementation, the employer must target applicants’ needs applying for instance the innovative, brain-researching instrument of neuromarketing, the so-called “Limbic Map”;⁴ companies and organization are trying to clarify how the human brain works and how people face purchase decisions. On the one hand the implementation of the Limbic Map can save time caused by extensive employee surveys, on the other hand it involves very high costs. As for the theory of Dr. HansGeorg Häusel, who is the inventor of the Limbic Map, purchase decisions are driven by the feelings of the buyer rather than by the rational brain part.⁵

Additionally, the employer has to target the needs of his employees; therefore he has the opportunity to conduct internal surveys, but they are, as already mentioned very time-consuming. The most appropriate decision is to take the Limbic Map for both groups: internal and external.

1.3.2 Planning Phase: Employer Value Proposition

After targeting the needs of the internal and external groups, the employer refers the results to the Employer Value Proposition (EVP). To define the EVP the employer should consider five dimensions (fig. 1), which will build the value for the employer and applicants.

Considering current conditions establishing at the enterprise and the desired state, the employer can measure all five dimensions. The first dimension is defined as “Employee Loyalty”⁶ Authentic Communication is the internal as well as external identity-based development of a company or organization positioning the employer is as a trustworthy and attractive entrepreneur.⁷ This dimension is defined as “Employee Recruitment” in Figure 1. “Performance & Result” of an enterprise can be measured by accounting or quality management, although it is not fitting in the context of the before mentioned soft skills and values, many of the employees and applicants measure success by wages.

Abbildung in dieser Leseprobe nicht enthalten

Figure 1. Key dimension, which should be considered by determining the EVP. (Data from “Impact Rundum: Wirkungsfelder,” Deutsche Employer Branding Akademie, accessed July 2, 2015, http://www.employerbranding.org/wirkungsfelder.php.)

The last two dimensions of EVP, as shown in Figure 1, are defined as “Corporate Culture” and “Corporate Brand”. Both are related to the culture of the company or organization as well as practiced management principles. A strong corporate brand has a huge impact on company’s mission statement and hence also on company’s value.

1.3.3 Determination of the Employer Brand

Companies usually assume if their sales are good, consequently their brand is strong. But, a brand is a social capital and can be measured in terms of cash. Often companies do not understand the values that drive brand and sustain long-term profitability. To position the Employer Branding Table 1 gives an overview of various brands. The Employer brand is therefore targeting employees and applicants, is positioned on the labor market. The activity field of the employer brand’s target group is serve in a business for an employer, in contrast to the product brand and corporate brand, which have different target groups as well as other positions and activity fields.

Table 1. Classification of Brands

Abbildung in dieser Leseprobe nicht enthalten

As a result of the before passed phases, the employer can now determinate his own Employer Brand. The key goal of the employer brand is its feature to be unique. Since the employer brand is successfully established on the market, the goal to stand out from the competition is achieved.⁸ Nevertheless it is important to have a sustainable brand. The brand has to be proofed by employees and applicants.

[...]

¹ Stefan Heinemann, “Excurse Employer Branding” (working paper, FOM Hochschule fuer Oekonomie & Management, Essen, 2015).

² Ed Michaels, Helen Handfield-Jones and Beth Axelrod: The War for Talents (Boston: Harvard Business School Press, 2001).

³ Maria Weber, Employer Branding: Erfolgsfaktoren im Bereich der Social Media (Hamburg: Diplomica Verlag, 2012), 5.

⁴ Hans G. Häusel, “Die wissenschaftliche Fundierung des Limbic Ansatzes,” Gruppe Nymphenburg: Brand & Retail experts (2011): 4-5,

http://www.haeusel.com//tl_files/haeusel/download/wiss_fundierung_limbic_ansatz.pdf.

⁵ Ibid., 54.

⁶ “Impact Rundum: Wirkungsfelder,” Deutsche Employer Branding Akademie, accessed July 2, 2015, http://www.employerbranding.org/wirkungsfelder.php.

⁷ Armin Trost, Talent Relationship Management: Personalgewinnung in Zeiten des Fachkräftemangels (Berlin: Springer-Verlag, 2012), 151 - 52.

⁸ “Impact Rundum: Wirkungsfelder.”