The next generation of talent management practices and solutions will be impacted by three major factors:
economic evolution
demographic changes
technology advancements
These factors are dramatically influencing the way people work, the way companies are organized, and the way talent is managed. This paper is the first of a two part series that will explore the changes needed in current business and talent management processes and technology to effectively deliver business value five to ten years from now. This first paper articulates and frames the key drivers of change. The second paper explores the resulting impacts to talent management processes and technologies.
The Path to Product Excellence: Avoiding Common Pitfalls and Enhancing Commun...
Future of talent management drivers and trends
1. FUTURE OF TALENT MANAGEMENT
Drivers and Trends
TA L E N T I N T E L L I G E N C E
David Wilkins
VP, Taleo Research
2. OUR AGENDA
›Economic drivers
›Demographic drivers
›Technology drivers
›Implications for Talent Management
practices and focus
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3. OUR RESEARCH
›All-in, we interviewed 50+
›Qualitative interviews with key thought
leaders in leading firms and recognized
industry experts
›Deep secondary research and analysis
›Not “survey research” – “sense-making”
research about key trends
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4. INTANGIBLES: 80% AND GROWING
Source: Deloitte, “Extracting Maximum Value from Intangible Assets”
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5. THE NEW COMPANY WALLS
Formal content
Social and informal content
Human capital
Workplace
Talent
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6. THE NEW COMPANY WALLS
Partner
Talent
Formal content
Social and informal content
Human capital
Workplace
Talent
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7. THE NEW COMPANY WALLS
Partner
Talent
Formal content
Customer
Social and informal content
Talent
Human capital
Workplace
Talent
Public
Talent
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9. INNOCENTIVE
› Total Registered Solvers
Approximately 250,000 from nearly 200 countries
› Total Solver Reach
More than 12 million
› Total Challenges Posted to InnoCentive.com
More than 1,200
› Total Solution Submissions
24,256
› Average Success Rate
50%
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11. “Besides the sheer thrill of seeing
the winner place first by mere
minutes after years of work, the
Netflix Prize competition has
proffered hard proof of a basic
crowdsourcing concept: Better
solutions come from unorganized
people who are allowed to organize
organically.”
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14. ANOTHER COMPANY VIEW
Company 30% of the
workforce is
contingent:
Contractors
Agency
Temp
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15. ANOTHER COMPANY VIEW
Company 30% of the
workforce is
contingent:
Contractors
Agency
Temp
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16. ANOTHER COMPANY VIEW
Company And growing…
50% of companies
plan to increase #s
One prediction?
Contingency will
equal 40% of the
workforce by 2020
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17. WHAT IT MEANS…
› Talent Management scope will expand
› Talent inside the company, as always
› Plus, contingent tracking, alumni, talent competitions
› Talent professionals will be expected to advise on a full
spectrum of talent options in a similar model to performance
consultants
› In other words, talent professionals will really start to own the
full talent ecosystem…
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19. “34 percent of CHROs in growth
markets say they anticipate
increasing headcount in North
America over the next three years,
while 37 percent plan additional
investment in Western Europe. This
includes companies from India,
where 45 percent of respondents
indicated they plan to increase
headcount in North America and 44
percent in Western Europe.”
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20. “34 percent of CHROs in growth
markets say they anticipate
increasing headcount in North
America over the next three years,
while 37 percent plan additional
investment in Western Europe. This
includes companies from India,
where 45 percent of respondents
indicated they plan to increase
headcount in North America and 44
percent in Western Europe.”
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21. WHAT IT MEANS…
› Talent is global
› Even local companies will be competing for talent globally
› It also means that local companies will need to defend their
talent pools, not just against local competitors, but global firms,
even ones from emerging markets
› Virtual work will continue to increase with software advances
› Local companies need to partner with universities to grow local
talent and differentiate through personal, in-person connections
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23. “Firms have jobs, but can’t find
appropriate workers. The workers
want to work, but can’t find
appropriate jobs. … Whatever the
source, though, it is hard to see
how the Fed can do much to cure
this problem. Monetary stimulus
has provided conditions so that
manufacturing plants want to hire
new workers. But the Fed does
not have a means to transform
construction workers into
manufacturing workers.”
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25. DEMOGRAPHICS Country % Growth
Russia -8%
›Summary
Population Growth 2010-2020
Japan -5%
–Slow growth, negative growth in developed world
Germany -4%
–Faster growth in developing world
Poland -4%
–In US, UK growth fueled through immigration
Italy -1%
–Less developed = more growth
Greece 0%
France 5%
›Implications UK 7%
–Leadership need is a global phenomenon China 7%
–Developing world all competing for same pool Brazil 13%
–As developing world matures, pressures from there USA 14%
–Reverse immigration to Poland, India, Mexico Mexico 15%
–Deep, narrow talent pools vs wide and shallow Turkey 17%
India 24%
Nigeria 46%
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26. BUT NO EASY ANSWERS…
› Countries in survey:
– BRIC countries
– Eastern Europe
– Asia Pac
– Poland
– Mexico
› Of 100 college grads…
– On average just 13 hire-able
– Lack of skills, culture fit
– Location to major cities
– Domestic competition
https://www.mckinseyquarterly.com/Sizing_the_emerging_global_labor_market_1635
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27. WHAT IT MEANS…
› Good people, even great people, are getting increasingly shut
out of the job market
› There are bargains to be had for those companies that know
how to discover fit and aptitude through better matching
› Investing in workforce development is no longer just a company
thing, it’s a country thing, an issue of global competitiveness
› Skill shortages are going to smack people in the face once the
economy rebounds – we’ve had a reprieve, but the War for
Talent will be significantly worse than pre-recession
› And traditional solutions, like importing labor, won’t be as simple
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29. VIRTUAL WORK, VIRTUALLY ANYWHERE
2010 1B
mobile workers
By 2013 1.2B
mobile workers
In the US75%
will be mobile workers
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30. WHAT IT MEANS…
› You need to support work styles that support your team
› Millenials and Gen X live on mobile devices
› (They even sleep with them…)
› Companies that support work models that support their teams
will attract better talent, tap into extra hours of productivity, and
increase engagement
› Also consider removing barriers to social networking… for most
companies that know how to manage performance, social
networking is the obvious pre-cursor to social sourcing and a
foundation for tapping external talent
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36. KEY TAKEAWAYS – THE BIG STUFF
› Combination of economic, technology, demographic changes
mean that businesses need better solutions to support:
– Talent Matching and Discovery
– Talent Agility and Mobility
– Talent Planning and Modeling
– Talent Ecosystem Management
› Business and talent management process and data are merging
› Personal empowerment means that core consumer of talent
solutions include candidates, employees, managers,
executives, and HR
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Number of teams: < 1000Number of countries: 100+
Slide 14The other complexity is global and more specializedWork from anywhereLast year global mobile topped 1B; by 2013 1.2B; in U.S. 75% workers will be mobileBlessing and a curse[Click]