Innovative start up Uber has seen plenty of press since their inception in 2009. Connecting drivers with people needing a lift in a cutting edge way, the Uber app was initially thought to be a clear winner as a taxi alternative service. The technology was cool and investors showed their love for the concept through their wallets.
Despite extraordinary growth and recent conjecture about a public offering, this up and comer has seen a shadow cast on their innovative solution as a growing number of negative reports have caused media, consumers and investors to question the organization’s staying power.
Business Models Must Consider Employer Brand Impact
It takes guts to bring a game changing solution to market. Executing a bold vision to transform an industry requires a heaping dose of confidence and the wherewithal to make tough decisions in order to win. While a certain amount of swagger comes naturally to startup culture, critics have called Uber arrogant and many feel they are shirking their responsibilities as the business has methodically chosen to distance themselves from the very drivers who represent their brand.
When your front line representatives are operating as individuals disconnected from core organizational values, the business suffers. By creating a massive network of drivers who have no allegiances to Uber, they have developed a business model that fails to account for employer branding. As the technical components of their solution have been quickly duplicated by competitors, Uber has been defenceless to differentiate based on the most critical aspect of their service offering – their drivers. Sure, the app may be cool and the technology works seamlessly, but none of that matters if the Uber conversation is about poor customer experiences, discontent drivers and brash leadership.
When an organization grows at a rate such as Uber has experienced over the last few years, culture and employer brand fractures are exposed and magnified. While the startup focused on building the corporate brand, Uber would have been well advised to simultaneously develop their employer brand and align their leadership team to a well-defined employee value proposition. Instead, Uber clearly illustrates what can happen when executives ignore this critical piece of business strategy.
In the current business environment, more and more organizations find themselves grappling with how to manage employer brand strategy in the face of vendor relationships and third party service execution. Uber is a prime case study which clearly illustrates how a lack of focus on employer branding and executive alignment can damage an organization, even one with a strong corporate brand image.
If you want to build a world class corporation that is ready to compete in the billion dollar enterprise world, invest in an employer brand and leadership brand strategy from the onset. Great companies are always built on great people aligned with a common purpose.