1. Does corporate philanthropy matter to employees? Troy Beaver Master of Business Communication University of St. Thomas December 16, 2004

2. Corporate Philanthropy The right thing to do? The profitable thing to do? Does it really make a difference to employees?

3. Bremer Overview $6 billion regional financial services company 100 locations and 1,800 employees Privately held by Otto Bremer Foundation and Bremer employees Unique ownership is only one of its kind in U.S.

4. Bremer Overview Significant portion of profits reinvested in the community Otto Bremer Foundation Grants to non-profit organizations ( $23 million in 2003 and $26 million estimated in 2004) Bremer Financial Corporate donations Employee volunteerism

5. Bremer’s Business Challenge Desire to grow and become more dominant force in Twin Cities A service industry like banking requires quality employees Significant competition for talent from much larger organizations

6. Research Question Does Bremer’s community involvement and charitable giving impact employee satisfaction, recruitment, and retention?

7. What we needed to know Measure overall employee satisfaction Measure impact of community involvement and charitable giving on employee Satisfaction Recruitment Retention

8. Methodology On-line survey of 17 questions All 1,800 employees surveyed 322 responses (18%)

9. Research Findings Satisfaction Recruitment Retention

10. Satisfaction with Employment 88% of respondents are either very satisfied or satisfied with Bremer 9 out of 10 respondents are willing to recommend Bremer as employer 94% estimate they will stay employed 1 year or longer at Bremer

11. Satisfaction with Community Support 75% believe Bremer’s community involvement and charitable giving is better than other organizations 84% indicate it has positive impact on their satisfaction with Bremer

12. Satisfaction Impact of Community Support However, community involvement and charitable giving are primary factors for only 27% of employees

13. Satisfaction Factors Primary Factors Secondary Factors

14. Recruitment 66% of new employees not even aware of Bremer’s community involvement Only 17% indicate it was an important factor in initially selecting Bremer

15. Retention 46% indicate it is an important factor in staying employed at Bremer Community involvement and charitable giving are primary factors for only 17% of employees

16. Retention Factors Primary Factors Secondary Factors

17. Research Question Answer Question Does Bremer’s community involvement and charitable giving impact employee satisfaction, recruitment, and retention? Answer Yes

18. Key Findings Summary Community involvement and charitable giving Does have a positive impact on employee satisfaction, recruitment, and retention However, it is only a secondary factor

19. Implications Bremer must be at least on par with other organizations on primary factors Benefits, Job Responsibilities, and Compensation

20. Implications Community involvement and charitable giving can and do benefit Bremer Unique differentiator “Tie breaker” with all else being equal

21. Recommendations Conduct additional research on Bremer’s competitiveness on primary factors New employee survey Exit interview survey Periodic employee survey

22. Recommendations Incorporate community involvement and charitable giving into communication strategy Strong support message behind Bremer’s competitiveness on primary factors Will help attract appropriate employees

23. Winning the War for Talent The combination of strong performance on employment fundamentals and unique community position can be a winning strategy for Bremer