7 Employer branding metrics you should be using
With your employer brand affecting your ability to attract and hire the best talent, you want to make sure you're getting it right. Employer branding is an on-going process and you need the right metrics in place to monitor and evaluate your Employer Brand. It allows you to see what works and where you need to improve.
However, measuring employer brand remains a difficult task, for several reasons. There are many elements to an employer brand and many variables. For example, the number of applicants or quality of applications are directly affected by the job description (tone and style of the text), required and preferred skill set as well as the current supply and demand of the skill set in the market. Another reason is that often we fail to measure the impacts of employer branding on overall business performance and the direct effects of any money invested in EB.
Here are seven employer branding metrics you should be using.
1 - Quality of Hire
Basically, Quality of Hire defines the value a new employee brings to the company by performing and improving tasks and helping others. It is one of the most important metrics but may just be the hardest to measure.
It's a good indicator for the effectiveness of your employer brand because we could say that the value or performance of an employee generally drops when he/she is dissatisfied with their employer and job. Is your EB accurately reflecting what it's actually like working for you? If not, this will lead to dissatisfied and less productive employees who will not stay with you for long, meaning Quality of Hire is low.
2 - Job Offer Acceptance Rate
Keep track of how many applicants reject your job offers and ask for feedback why you're not their employer of choice. Also try to find out which company they have chosen instead and note at what stage of the process they drop out.
3 - Employee Referral Rate
Employees recommending you to their family, friends and network as a great place to work means they have positive feelings about you and like your Employer Brand. Employee referrals are a great source of talent but according to a study, only 7% of applicants have been referred. Yet employee referrals generate more than 40% of new hires! Is it time for you to set up a formal referral programme?
4 - Employee Retention Rate
There is no such thing as a static workforce and one day or another, employees will leave. However, the lower your voluntary attrition rate, the better because employees want to stay and keep working for you. A good indicator for a strong employer brand. Be sure to conduct exit interviews for valuable feedback about your EB.
5 - Giveaway/Takeaway Ratio
This measures how many of your applicants come from direct competitors and how many of your current employees leave to join the competition. It's a good direct comparison of employer brands.
6 - Hiring Manager Satisfaction
Companies often overlook the hiring managers but their feedback is very valuable in determining how strong your employer brand is and the type of candidates it attracts. Are they satisfied with the number and quality of applicants, their fit with role expectations and company culture? These are just some questions to ask.
7 - Number of Open Applications
Open application are those received for no specific job opening but more to express interest in the organisation: Candidates are applying to you as a company because they feel there is a good cultural fit. Thus, a high amount of open applications indicates a strong employer brand.