• Transform magazine
  • December 13, 2018

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Employer brand's impact on corporate reputation examined

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The employer brand is of untold value to corporate reputation. By crafting an employer brand that is not only able to build awareness of a company, but to effectively communicate what it offers to employees – and perhaps other stakeholder groups – companies can see a positive impact on their reputation.

To understand this better, the Reputation Institute has unveiled its first ‘Employer of Choice’ RepTrak index. In this study, it examines reputation by asking the public if they have a ‘willingness to work for’ a certain company. The 230,000-strong results elucidate the world’s most reputable employers.

Among the top pick is none other than Post-it purveyor themselves 3M. The legend of the Post-it probably helped propel the company to the number one spot in that it represents a culture that is open, innovative and portrays a leadership that listens to its employees. Others in the top 10 are perennial consumer favourites like Canon, Lego, Netflix and Disney. But it's Google that ranks highest, as it does on most rankings. Its employer brand is one of the most prominent, well-aligned and distinctive, lending it the reputational clout to draw in the world's best and brightest young talent.

But the results also show that for companies to be an employer of choice, they should stand for something in terms of culture, sustainability or ethics. “The employer rulebook is quickly shifting. To be relevant as an employer of choice today, you need to be a progressive company with a moral conscience,” says chief reputation officer at Reputation Institute, Stephen Hahn-Griffiths.

The top 10:

  • Google
  • The Walt Disney Company
  • Microsoft
  • Lego
  • Bosch
  • Canon
  • Intel
  • 3M
  • BMW Group
  • Netflix
“To become an employer of choice a company should be innovative, deliver a high quality product experience at a good value, be ethical, environmentally conscious, and positively mindful of societal influence, in addition to having an appealing leadership.”

The study also reveals the impact that poor press can have on a companies reputation as an employer. Though Google reigns, it suffered from the recent sexual harassment issues that were reported in the media. Amazon too, failed to make the top 10, likely due to its poor working conditions and the flagging image it has as an employer.

Hahn-Griffiths says, “To become an employer of choice a company should be innovative, deliver a high quality product experience at a good value, be ethical, environmentally conscious, and positively mindful of societal influence, in addition to having an appealing leadership.”

To find out more about what helps an employer brand have a positive impact on corporate reputation, attend this year’s Employer Brand Management conference on 4 December.