Transcript World of Work Trends Global Sales Forum

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The world of work is changing…
We can help.
{We’ve been experts for 6 decades}
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Winning in the
changing world of
work requires A
New Way
of thinking
about and
approaching
your workforce.
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Drivers of Change in Today’s Uncertain World
The Talent Mismatch is deepening as the working age
population declines and the nature of work changes.
Individual Choice will be exercised by those with
the skills that are most in demand.
Technological Revolutions have the power to
change where, when and how we work.
Rising Customers Sophistication requires businesses
to work in a new way, driven by innovation and
delivering greater value and efficiency
World of Work Trends: Talent Mismatch
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A Less-Fluid Workforce
Manufacturing Heyday
Knowledge-Based Jobs
Dominant management model, circa 1959
Growing workplace reality, circa 2009
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Many jobs require similar skills
Workforce skills are well matched to the
workplace
Workforce mobility is increasing
Competition for jobs is high as
population booms
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Many jobs require specialized skills
Many people who want jobs lack
the appropriate qualifications
Many people with appropriate qualifications
are in the wrong geographic location
Despite high levels of unemployment
broadly, competition for qualified people
grows
The economy has changed faster than
the workforce can or has adapted
World of Work Trends: Talent Mismatch
Talent Mismatch
The skills mismatch will
intensify as pressure to find
the right skills in the right
place at the right time will
increase as working age
populations decline,
economies rebound,
emerging markets rise, and
the nature of work shifts.
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World of Work Trends: Talent Mismatch
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The Talent Mismatch
Demand
for skill
Supply
of skill
Lack of resources
creates tension
on the high-skills
market
Oversupply of
low or wrongly
skilled resources
generates underemployment and
unemployment
Source: Confronting the Talent Crunch:
2007, A Manpower White Paper
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Talent Mismatch: Top 10 Global Hardest Jobs to Fill
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Skilled Manual Trades
Sales Representatives
Engineers
Drivers
Accounting and Finance Staff
IT Staff
Management/Executives
Teachers
Administrative Staff
Machinists
30% of employers worldwide
indicated difficulty filling positions
Source: Manpower Inc. Talent Crunch White Paper www.manpower.com/researchcenter
World of Work Trends: Talent Mismatch
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On-Going Paradox: Open Jobs . . . and Unemployment
Source: Business Week, based on data from the
Bureau of Labor Statistics as of 09-09
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World of Work Trends: The Talent Mismatch
Global Working Age Population Data
• Number of People 65+ years:
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Year 2000 – 35 Million
Year 2010 – 40.2 Million
Year 2020 – 54.6 Million
Year 2030 – 71.5 Million
Year 2040 – 80 Million
Year 2050 – 86.7 Million
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World of Work Trends: Talent Mismatch
Broadening the Search for Talent
Engage an aging workforce
– Only 14 % of employers
have specific strategies
in place to recruit older workers
– Only 21% of employers have strategies in place to
retain their older workers
Invest in young workers
– Customized work experiences that leverage the
unique attributes of Generation Y will increase
their contribution and engagement
Sources: Manpower White Paper
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World of Work Trends: The Talent Mismatch
Prevalence of Disability by Age Range
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15-24 Years – 10.5% have a disability
25-44 Years – 11.1% have a disability
45-54 Years – 19.4% have a disability
65-69 Years – 38.4% have a disability
70-74 Years – 46.9% have a disability
75-79 Years – 53.9% have a disability
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World of Work Trends: The Talent Mismatch
Demographics
• 51.2 million (18.1% of the US population) have a
disability
• The next largest minority is the Hispanic population
(13.3% of the US population)
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World of Work Trends: Talent Mismatch
Broadening the Search for Talent
Pave the way for women
– In 2008, the International Labor Organization
found that the global employment-to-population
ratio was 49.1% for women in 2007 compared to
74.3% for men.
– Around the globe, more women than men are
graduating from college
Consider talent migration
– There are over 200 million immigrants in the
world today– about 3% of the global population
– Emigration rates tend to be highest in the most
educated segments of the population
– Move Work to People Virtually and People to
Work Geographically
Source: Education at a Glance: 2007, OECD 2007.
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World of Work Trends: Talent Mismatch
Broadening the Search for Talent
Make versus buy
– Hire at skill levels below the anticipated need
– Invest in development and retention
Do more with less
– Increase productivity through higher levels of
employee engagement
– Create a compelling employee experience
Share scarce skills
– Contract with key individuals on an as-needed
basis
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World of Work Trends: Talent Mismatch
Implications
Talent Mismatch
Critical shortages will intensify in key skill sets
Many options will exist for building the workforce
Demographic shifts will increase the pressure to use the talents
of all individuals
Divide between the skilled and unskilled workforce is accelerating
Continuous training and development of the workforce will be
required in order to maintain a job-ready workforce
Organizations need an agile talent strategy to attract, engage
and retain the talent required to execute their business strategy
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World of Work Trends: Individual Choice
Individual Choice
People with skills that are
most in demand will exercise
choice in selecting work
arrangements that best suit
their values and preferred
“one- size-fits-one “ work
experiences.
Organizations will be
challenged to customize
flexible work practices that
attract, motivate and engage
multiple generations in the
workforce.
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World of Work Trends: Individual Choice
Drivers of Demand for Choice
Technology-enabled work options
– New technologies are making it easy to
accomplish the same workload from anywhere
and at any time
Leverage in critical skill sets
– Individuals with key skills will be increasingly able to
dictate terms
Changes in expectations
– In many societies, social norms have
been changed to encourage individuals to
choose careers that work for them
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World of Work Trends: Individual Choice
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A Look at Four Generations
65-82
46-64
30-45
15-29
Traditionalist
Boomer
Generation X
Generation Y
Born 1928-1945
Born 1946-1964
Born 1965-1979
Born 1980~1995
Each generation has different assumptions about how the
world works and is currently in a different life stage that will
affect what they demand from work.
World of Work Trends: Individual Choice
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Why Flexibility Matters?
76% of organizations say flexible work
arrangements boost employee morale and
64% believe these policies
increase retention rates.
Today’s student will have 10–14
jobs by the age of 38.
Source: Manpower, “Talent Crunch: 2008”, United States Department
of Labor, HR Management, Institute for Corporate Productivity,
World of Work Trends: Individual Choice
What Kind of Flexibility?
Flexibility in how and where work
gets done
– Skilled workers will desire the ability to perform
their jobs where, when, and how they want
Flexibility in how work is compensated
– Skilled workers will demand a holistic approach
to compensation, with valued compensation
ranging from more money, to more time off, to
more time to innovate and create at work
Flexibility in career choices
– Skilled workers will define accomplishment
beyond the traditional measures of career
success, and they will expect their employer to
accommodate and encourage life priorities
outside of work
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World of Work Trends: Individual Choice
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Meeting the Demands of Skilled Workers
Compelling leadership and strategy
– Clearly defined and communicated
– Aligned around your company’s mission and impact
Collaborative, flexible, and innovative work culture
– Leveraging new technologies
– Team-based and outcome-oriented processes
Engagement
– Know your employees and the reason for their commitment
– Understand their life priorities and challenges
– Create work practices that meet them where they are in life
World of Work Trends: Individual Choice
Implications
The Individual Choice
Skilled individuals have a wide variety of work preferences, needs
and expectations
Companies need work practices and employee experiences that will
attract and engage talent who will like working in your organization
Individuals will take greater “ownership” of their careers and
development
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World of Work Trends: Technological Revolutions
Technological
Revolutions
Technological developments
allow new ways of getting work
done – increasing the
importance of coordination and
collaboration.
Rapid and unfiltered
communication via online
communities increases the
importance of reputation
management for all
stakeholders.
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World of Work Trends: Technological Revolutions
Rapid Growth in Social Technologies
Linkedin
founded in
2002
Flickr
founded in
2004
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World of Work Trends: Technological Revolutions
Connecting is Easier Than Ever
More than 50% of the world’s
population uses a mobile phone
The number of people in the
world with access to the Internet
is up over 300% since 2000
There are over 100,000 web sites that invite
individuals to post their opinions about
companies
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World of Work Trends: Technological Revolutions
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Business is Just Beginning to Harness the Power of Web 2.0
Despite their growing use and social importance,
Web 2.0 technologies are often viewed as a distraction
rather than a productivity tool
Even for those companies that have recognized
the potential of 2.0 technologies, implementation
and adoption have proven difficult
However, to effectively manage and engage today’s
skilled workforce, Web 2.0 must be utilized to foster
collaboration and creativity
World of Work Trends: Technological Revolutions
World of Work Technology Revolution
Collaborate to Innovate
– Innovation and creativity
can come from anywhere
New Employee Practices
– Attract, select, train, and “retain”
in a whole new way
The Transparent Brand
– Managing your reputation
in the age of social networks
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World of Work Trends: Technological Revolutions
Implications
Technological Revolution
Technology is changing how we communicate,
collaborate and innovate
Rapid, transparent links among individuals increase
productivity and scrutiny of both individuals and
corporations
For some, technology is changing the definition of
work from a “place to go” to an “activity” we do
anytime, anywhere, anyplace
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World of Work Trends: Rise of Customer Sophistication
Rise of Customer
Sophistication
Customers’ expectations around
value will rise. Customers are
more global and sophisticated,
increasing the complexity of their
relationships with organizations
and the specificity of their value
demands.
Customers have increased access
to information, to networks of
experts, to lower cost channels
which increases pressure on
companies to deliver value –
faster.
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World of Work Trends: Rise of Customer Sophistication
Customer Generated Content
Apple, iPhone
Amazon.com
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World of Work Trends: Customer Sophistication
Changing Challenge: From Scale to Intelligence
Twentieth Century
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Industry leaders developed, improved and
distributed products in scope and scale
never imagined
Work is divided across hierarchical
boundaries and managed through
bureaucratic systems
Job descriptions are clear and consistent
and reward tied to loyalty – “gold watch”
Careers are managed by employers
Twenty-First Century
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Industry leaders are transforming
products to customized services and
innovating faster than ever imagined
Teams are formed and mobilized
around knowledge and purpose rather
than boundaries
Career management is outsourced to its
owner
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World of Work Trends: Customer Sophistication
It’s a Mindset Change
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Bureaucratic
Rigid
Product
Managed
Replicate
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Collaborative
Flexible
Knowledge
Transparent
Innovate
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World of Work Trends: Customer Sophistication
It Requires a Behavioral Shift
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Mobilizing work
Directing workers
One size fits all
Manage people
Task alignment
Tightly defined jobs
Inside – out
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Mobilizing knowledge
Engaging colleagues
One size fits one
Manage outcomes
Conceptual alignment
Flexible purposeful teams
Outside – in
World of Work Trends: Rise of Customer Sophistication
Implications
Rise of Customer Sophistication
Companies’ practices are under increased scrutiny; therefore,
they must stand up to total transparency
Intensified price / value compression puts increased pressure
on the productivity of a company’s workforce
Responses and solutions to the market will need to be:
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Faster
More agile
Differentiated
Global
Companies’ success is no longer only based on access to
capital – now, talent has become a key differentiator
The ability to mobilize intelligence, manage in a complex environment, and
continuously improve core businesses will be key to capitalizing on trends
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World of Work Trends: The Big Picture
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The Big Picture
The world of work is
changing faster than ever.
Companies need a
deliberate workforce
strategy.
World of Work Trends
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Discussion Topics:
• Which of these trends is having the most impact on your
organization currently?
• What are your key workforce challenges?
• How do these trends challenge legacy mindsets in your
organization?
• How does your current talent strategy reflect the
changing world of work?
• What do you need to do to ensure leadership is aligned
around the key workforce challenges required to drive the
desired business results?
• What do you need to successfully drive a talent strategy
that sustains the business now and in 5 years?