With today’s workforce challenges, the key to finding talent in the future may very well require competitors within the same industry to share talent pools. A new approach to hiring is needed, one in which talent has the opportunity to develop and thrive in agile environments while enabling growth-oriented companies to maximize available talent.
An approach like this also means that employers will need to find ways to share the limited pool of talent available.
ManpowerGroup Solutions, the world’s largest RPO provider, today released a new white paper, “Collaborating with Competitors: Sharing Talent Pools to Meet Workforce Challenges,” which explores the benefits of creating talent pools that are shared amongst competitors in the same industry.
“Companies may be in hiring mode, but the harsh reality is there is not enough talent to meet demand,” said Amy Doyle, Vice President of Strategic Client Solutions, ManpowerGroup Solutions. “With the shortage showing no signs of easing, and skills needs changing faster than ever, meeting growth objectives requires new ways of thinking, behaving and hiring.” Critical to that will be an evolution in the way collaboration occurs.
Four critical factors are to be considered when developing shared talent pools, they are:
“Better prepared and better organized candidate pools can work,” Doyle added. “Companies willing to explore new workforce models, to collaborate in new ways with talent and with competitors, may find that long-term success lies in sharing the right talent.”
See: Eighty-Five Percent of Companies in Asia are Building Workforce Analytics Capabilities: Report
How does the Shared Talent Pool Concept Work?
Companies within the same industry requiring similar skills will collaborate and hire from one shared pool. At the same time, talent within the pool has the flexibility and opportunity to move from one company to another.
From the employer perspective, rapidly changing technology and skill needs have changed the nature of the employer-employee relationship. What used to be a long-term relationship between employer and employee is probably going to be a much shorter affiliation.
Employees cite many reasons for changing jobs — from seeking development and advancement opportunities to improved culture. Money is also a key motivator, particularly since employees who change jobs every few years are likely to earn far more over a lifetime than those who do not.
In response to changing market context, companies are starting to shift how they think about job roles. For example, LinkedIn CEO, Reid Hoffman, has written about “tours of duty” that expect employees to be in a role for a fixed period (usually a few years). Hoffman advocates it as a way for employees to get the experience and development they need and for employers to structure their organizations around current and future realities.
According to ManpowerGroup’s tenth annual Talent Shortage Survey, 38% of global employers report difficulty filling jobs due to the lack of available talent.xv This is the highest rate since 2007, and trends suggest more of the same can be expected for the foreseeable future.
One of the great ironies of the talent shortage is that the vast majority of employers are looking to grow – or attempting to do so. In fact, nearly nine in 10 global CEOs say growth is their top priority, while almost eight in 10 say they expect to be in a hiring mode over the next several years.
Finding the right talent will only get more difficult if current workforce models continue to be utilized. The real conundrum is how to develop a talent pool that can be shared, and drawn upon as needed, by multiple companies. And additionally, retain the best talent for the amount of time they are needed.
There is an opportunity to move from ad hoc approaches (temporary staffing in nursing, for example) to formalized, strategic models that competitors would literally co-design and influence. On the supply side, talent would be able to access career development and guidance while moving seamlessly from one company to another and back again as needed.
While this model does not yet exist in a strategic, formalized way, market conditions suggest the time is ripe for proof of concept. This model would allow both employers and talent to capitalize on shared labour pools before the aforementioned challenges worsen.
Also read: Where are the Most Satisfied Workforces in Asia?
Image credit: manpowergroupsolutions.com