IN OUR talent-shy economy, small businesses are having to go head-to-head with their larger counterparts to attract and retain high-calibre employees. And while they may not have as many resources at their disposal, SMEs can trade on their unique positioning through effective employer branding.
Hilton Brown, CEO of Adcorp Talent Resourcing, defines employer branding as the experience candidates enjoy — or do not enjoy — as they engage with an organisation, from the marketing of a vacancy right through to the organisation being able to deliver on its promises.
 
The first step in developing an effective employer brand is defining what differentiates it from other employers competing for the same talent pool. Increasingly, companies need to find ways to distinguish themselves in a sea of sameness where, traditionally, remuneration has been the sole differentiator, Brown says.
 “There is no question organisations should remunerate at a competitive level, but once in the race remuneration becomes more of a hygiene factor. This is particularly true of Y-generation professionals. Unlike boomers, who approach work from a fairly cold, contractual perspective, younger professionals are looking for organisations that will engage with them at a different level.”
Martin Westcott, MD of P-E Corporate Services, says that remuneration does matter, but the structuring of the package is more important.
 “SMEs can capitalise on their flexibility to shape packages around entrepreneurial and wealth-creation opportunities, whereas large and intermediate companies, of necessity, have to be more rigid.”
Generation Ys want a flexible environment where they can add tangible value, Brown says. “If that isn’t there, they feel marginalised or remote from the heart of the business. And that’s when they move on.”
 

But what about attracting and retaining black talent? For equity candidates, competition is clearly more acute, but the same rules apply, Brown says.
“Whatever your definition of scarce skills is — whether rare or specialist skills or equity demographics — you may want to agree on a different package in order to be competitive. But once competitive, the same principles of engagement apply.”
Westcott says flexibility is the watchword, particularly with  policies and their application .
 “SMEs attract a person with entrepreneurial flair, a person who wants a piece of the action, both in terms of participation and remuneration. If, as an SME, you have a star performer or rainmaker, you will need to give them a stake in the business — a highly geared package with a serious incentive component.”
 
Brown says: “The employer-employee relationship is on a much more equal footing than ever before. Organisations that are equipped to deliver on that two-way street are more likely to succeed in attracting this emerging professional population, provided they communicate their intentions.”
 

An SMME’s culture, incorporating its value system, should form the basis for the look and feel of all communications, says Brown. “When a company advertising a vacancy claims to have a certain value system, people will look at how those values or characteristics manifest in the day-to-day behaviour of the business.
“What does mutual respect look like when the pressure’s on, when deadlines are looming? Does the executive come down with a heavy hand and operate in an autocratic manner?
“Or are they still respectful of the individual who, having tried his best, may have made a mistake?” he asks.
“And if a company is advertising for innovative people, what does that look like when they get into the business? Are they  allowed to express themselves or are they thrust into the corporate straightjacket?
 “The maxim that people join organisations and leave managers is absolutely true. The boomer leadership ethos was less about the person and more about input and output.
“That’s not to imply that leaders today should take a soft line. Clearly, commercial viability demands optimal performance. But the underpinning principle is that if I’m comfortable, empowered, invested in, and skilled in an organisation to which I feel loyal or committed, my performance will reflect that.”
Historically, attraction and retention have been seen as administrative or process-led interventions. While the processes and the administration underpinning these need to be more efficient and more effective than ever, the success in attracting and retaining talent is more in the customer engagement than in the administrative process, says Brown.
 “It’s about the touch points that build that relationship.”