Posted in Human Resources Articles, Total Reads: 1313
, Published on 06 October 2012
The Condition of the World Economy is not hidden from anyone today. The traditional super powers of the West and Europe have been going through turbulent times while there Asian counterparts have performed better. There is comparatively lesser difference between East and West now. At such times all the Organizations of the West have only one growth strategy, Go Global. Globalize not only in terms of their products and services by focusing more on their businesses in Asia but also by looking to Globalize in their Employment Strategies.
“Talent acquisition, transformation and management are critical anchors for the growth of the industry.” – Nandan Nilekani
The importance of Talent Acquisition is as clear as water today.For an organization at any stage of its growth, finding the right people to fill in the right roles remains one of its biggest challenges. Taking up the challenge of Globalization of the Workforce remains the priority task for the Talent Acquisition & Strategy unit of any company in the coming years.
In the following few paragraphs, we shall aim to look upon this and various trends in Talent Acquisition in today’s economy
1) Preparing a Global Workforce – For any of the top Companies today,3M to Motorola, the basic factor hindering them growing truly global is the challenge of balancing a Global Workforce. Finding the right combination between local and foreign employees is a much bigger problem than it actually sounds. Gone are the days when it was easy for Western Companies to hire employees from Asia, the precarious economic conditions in the West have reduced the gambling power that these traditional powerhouses possessed.
Take an example of Infosys a sizable chunk of their employees at their Mysore training campus are actually employees hired from the rest of the world to work in various Infosys work centres located throughout India. Ensuring that these employees fit in culturally remains a key challenge and will always be so due to the differences between the culture of India and the West. Also there is a huge Skill Gap prevalent in the Market. A vast majority of the companies recruiting from Top B Schools in India complain that the students aren’t ready to take up white collar jobs as of now. This has increased the desire to hire from Abroad. Another factor which needs to be considered over here is the Increased Job Specialization. With clear cut job roles finding the right person with all the necessary qualities is a humongous task if one restricts their hiring options to the local market.
2) Outsourcing is here to stay – For long we have heard the Guru’s State, the Outsourcing Industry is on the verge of a meltdown, the new US President is going to develop laws to prohibit outsourcing to Indian Companies, none of which has happened so fast. Hence the old age problems of high attrition rates in the outsourcing Industry remains. To tackle the dynamic nature of the Outsourcing Industry, the Companies are looking for pro-active managers capable of working in such a challenging environment. Hence the formidable task of finding such individuals from the job pool is presented to the Talent Acquisition Department
3) The Growing Advent of Social Networking – Facebook, Twitter, LinkedIn and now as we speak Tout! This is surely the era of Social Networking. The ability of companies to find and hire high quality talent in the following years will surely develop on their ability to exploit the social networking site. These websites present with a vast abundance of prospective employees, the challenge for the Talent Acquisition Department lies in finding the cream from the rest and also presenting the company online in a way to attract this cream. With prospective employees having multiple profiles on these different networks, distinguishing the real side of an individual from their virtual side to form a correct opinion before hiring them is of impeccable important. How companies reinvent themselves to take up this journey of dealing with Social Networks will surely be a trend to follow
4) Evolution of Training – With the evolution of Company needs evolves the requirements of training, gone are the days when training needed to be focused merely on the job skills, now days training is designed to get employees acquainted to the company culture far more than their job role. Infact a lot of employees form their opinion about their workplace in the initial training phase only. A lot of dis-satisfied employees end up quitting the company even prior to the completion of the training. Add to it the complexity of a lot of training being prescribed online. This leads to the need of high quality trainers capable of conducting these trainings, a few companies prefer to develop these trainers from their existing employees, some completely outsource the training but a huge chunk still prefer to hire their own trainers. A growing trend for the Talent Acquisition department to tackle is to find and attract these highly in demand trainers to their respective organizations
5) Usage of Mobile Platforms – Besides the growing usage of Social Networking , the Talent Acquisition Teams of major organizations will have to deal with another aspect of Technology , that of Mobile Platforms. The percentage of people owning Smart Phones or Tablets is has grown phenomenally in the last couple of years and is expected to do so in the near future. A lot of Job Portals are expected to release applications for mobiles soon. Hence in the near future it will be of prime importance for Talent Acquisition across organizations to hire people capable of working on such mediums
6) The Era of Employee Engagement – Recent studies have revealed that low pay is the least important factor behind employees quitting organizations. A far more important factor is the lack of Employee Engagement activities across workplaces or employees who are not interested in them. Hence sooner rather than these employees tend to get bored by their work and look for opportunities outside their current organization. Although a lot of the organizations have year round events related to Sports, Corporate Social Responsibility etc to keep the employees engaged, a large proportion of the employees do not participate in them unless forced by their reporting managers. Hence the need of the hour for the Talent Acquisition team in the near future is to identify and hire employees which not only can be developed into future leaders but also employees who have diversified interests which can be channelled through the Employee Engagement activities of the firm.
7) Hiring focused on Retention – With unemployment rates in various markets being lower than they have been in the recent past, the need for retaining of the top talent across industries has increased. A new school of thought has developed which believes Retention of an employee begins even before he has been hired by the organization. This is possible through various psychometric tests which reveal how much the employee actually wants the current job and his probability of sticking to it in the future. Also various other factors such as the employment history of the employee are being given far more importance than they were in the past. The Talent Acquisition Department will be required to incorporate a reliable psychometric test in the Hiring Process to gauge the long term credibility of the employee.
8) Increased dependency on HR Analytics: A new stream of HR which is gaining prominence these days is HR Analytics, or the usage of Statistics to resolve HR related problems. The final outcome is increased focus on taking decisions based on facts and figures and decreasing the involvement of ‘guts and feelings’ in taking key decisions. The Talent Acquisition team would be required to develop strategies to increase the usage of HR Analytics in the recruitment process to have more reliable and accurate decisions.
Besides all of the above issues a lot of other issues such as Mass recruitment, recruitment at industry levels, using softwares to determine nearby located prospective employees, hiring of contingent workers etc will also gain prominence in the near future.
Taking a look at all of the above changes it is easy to assume that Talent Acquisition will be amongst the most highly evolving and changing units of any organization in its future. Focusing on the strengths and correcting the weakness of its Talent Acquisition & Strategy team is crucial for any organization aiming to remain competitive in the market
To do this, above all the Top Management of each organization needs to integrate the HR Function with the other key functions of an organization. It needs to be treated as a primary function just like Finance, Production; Marketing etc are and not be treated as a support function. Doing this will ensure that the Talent Acquisition team has the backbone support to face up to the vast bouquet of challenges it faces in the coming few years.
This article has been authored by Abhishek Manroa from Goa Institute of Management.