Download - People@ trends 2017
TALENT TRENDS 2017 19 people insights plus relevant data that can
tighten your talent strategy in a connected world
March 2017
– Lawrence Bossidy, GE
“The only vital valuean enterprise has is
the experience, skills,
– Leif Edvinssson, Consultant and Professorat the University of Lund
“If you run a business, put your employees on top, then your
customers and then your shareholders”– Richard Branson, Founder Virgin Group
– Steve Faktor, Workplace innovation expert
“Great visionwithout great people
is irrelevant” – Jim Collins, Good To Great
“I am convinced that nothing we do is moreimportant than hiring and developing people.
At the end of the day you bet on people, not on strategies”
“Businesses don’t create value, people do!”
– Dominic Bauton, ManagingDirector of McKinsey & Co.
“Company cultureis the single biggest
reason a person succeeds in one company and fails
in another”
innovation andits people’s insights”
Skillsdemandglobal
outlook
Ongoinglearning
Topemployee
perks
Sixcritical jobpositionsto secure
Productivitytools andHR KPIs
Millennialsand GenXworkforce
C-levelcompensation
Leadershipto drive
productivity
The newcorporate
DNA
Workspacelayout
Internaltalent
development
Crowdsourcingplatforms
HRSaaS
Drivers ofchange onemployee
skills
CEO’senhanced
skills
Skillsof thefuture
Employeeswork
reconfiguration
TALENTTRENDS
2017
Skillsshortage
by country
Peopleand
strategy
Source: KPCB, 2015.
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Performance
Culture + morale
ExecutionVision
Planning
Dreaming
Budgeting
People are for...Strategy is for...
Quality assurance
People are the most important drivers of successful strategy executions
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Source: Aaron Sachs & Anupam Kundu, “The Unfinished Business of Organizational Transformation”, November 2015.
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Most companies are adapting their DNA to foster collaboration and engagetheir people
From...
To...Transparency
Privacy
Empowerment
ControlHierarchies
NetworksNetworks
Profit
and purpose
and purpose
Experimentation
Planning
Companies must attract and retain new talents to stay competitive
Source: World Economic Forum, “The Future of Jobs”, January 2016.
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3
Technological
34%
26%
22%
44%
23%
23%
16%
13%
12%
14%
12%
9%
Mobile internet,cloud technology
Processing power,Big Data
Internetof things
Sharing economy,crowdsourcing
AI, robotics,autonomous transport
Changing natureof work, flexibility
Middle class inemerging markets
Climate change,natural resources
Consumer ethics,privacy issues
Young demogrphicsin emerging markets
Women´s economicpower, aspirations
Demographic and socio-economic
Employee Skills: Top Change Drivers into 2025(% of respondents)
New energysources
Source: Jacob Morgan, “The Future of Work: Attract New Talent, Build Better Leaders, and Create a Competitive Organization”, August 2014.
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4
Work anytime
Work anywhere
Use any device
Rely on collaboration technologies
Focus onadaptative learning
FUTURE
Technology and connectivity adoption has changed how employees work
PAST
Work 9-5
Work in a corporate office
Use company equipment
Rely on email
Focus on knowledge
Source: World Economic Forum, “The Future of Jobs”, January 2016.
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Business, finance, computer science, engineering and math are increasinglysought-after skills
Global Employment Skills Demand, 2015-2020(job changes, 000)
Decline Growth
-4,759 -1,609 -497 -151 -109 -40 +66 +303 +339 +405 +416 +492
Office andadministrative
Manufacturingand production
Constructionand extraction
Arts, design,entertainment,
sports and media
Legal Educationand training
Sales and related
Architecture andengineering
Computer andmathematical
Management
Businessand financialoperations
Installationand
maintenance
Security/compliance/governance 26%
Database administration 25%
Web development 26%
Help desk/tech support 35%
Mobile applications anddevice management 21%
Programming /application development 35%
Business intelligence/analytics 26%
Cloud/SaaS 26%
Big Data 25%
Project management 25%
Source: The Economist, “Lifelong Learning”, January 14, 2017 Edition. Thomas Friedman, “Thank you for Being Late”, 2016. Forbes, “Computerworld’s 10 Hottest Tech Skills for 2017”, December 27, 2016.
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New skill-sets become critical in the job market
Top 10 hot skills 2017(% of respondents that plan to
hire in the next 12 months)Must-have skills for everyone Most demanded skills in 2016
Dataanalysis+372% in 5 years
Datavisualization+2,574% in 5 years
CodingIn the US, 50% of the highest-paid job listings require coding skills
People skills(even for the geeks!)
EmpathyCreativity
Problem solving
Communication
Quick learningcurve
Strong fundamentalsin writing, reading,coding and math
Critical thinking
Virtual collaboration(work productively with virtualteams / collaborate with technology)
Entrepreneurshipand improvisation
Lifelonglearning habits
Top10 Countries Facing the Skills Shortage, 2014
of core skills will changebetween 2015 and 2020
of jobs will require some typeof technical training by 2020
Source: World Economic Forum, “The Future of Jobs”, July 2016. The Economist, “Lifelong Learning”, January 14, 2017 Edition.
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Many countries are feeling a workforce squeeze
35%
75%
Brazil 63%
Australia 40%
Greece 41%
India 64%
Italy 34%
Japan 81%
Mexico 44%
Turkey 63%
United States 40%
Germany 40%
Source: People@ analysis, 2017.
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Six critical positions need to be filled to better prepare companies forthe future
Head ofTechnologyand Information
Strategy | Recruitment | Training | CompensationWorkspaces | Internal Communication
Best Place to Work StandardsProduct Design | Profitability | Digital
Social | Mobile | Loyalty
Governing Protocols | Structure DesignM+A | Modeling | Project Management
Database Management | Predictive Analytics Data Gathering + Visualization | Tools (Tableau…)
Zero-Based Budgeting | eProcurementFull IT Back-Office | CRM Traffic | Data Analytics
Hardware | Software | Data Warehousing - DBASecurity | Mobile Technology | Cloud Computing
Head ofTalent
ProductDevelopment andPerformanceMarketing
Strategy +New BusinessDevelopment
BusinessIntelligence
Data-DrivenFinanceManager
Source: PwC, “20th CEO Survey”, 2017. Thomas Friedman, “Thank you for Being Late”, 2016.
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CEOs need enhanced skills to attract, lead, motivate and monitor talentwhile accelerating value creation
of CEOs worry skillsshortages could impairtheir companies’ growth
The role of a leader is to help people facereality and mobilize them to change
as their environment transforms −to ensure thesecurity and prosperity of their community
Tomorrow’s business leaders will need to collaborate widely and embracedecentralized decision-making
77%Data-driven decision-making agility
Forward and innovational thinker
Inspirational with clarity
Adaptability / open to change
Tech-savvy
Risk taker
Capacity to attract and retain top talent
Source: World Economic Forum, November, 2016. www.entrepreneur.com - “The Difference Between a Leader and a Boss”, December, 2016.
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Good leadership drives emplyee motivation and productivity
BOSS LEADERVS.
“People leave managers,not companies”
70% of an employee’smotivation is influenced
by his manager
Motivated employees are31% more productive
Drives employeesDepends on authorityInspires fearPlaces blame for breakdownKnows how it’s doneTakes creditCreates followersSays “Go!”
Coaches employeesDepends on goodwillGenerates enthusiasmFixes the breakdownShows how it’s doneGives creditCreates leadersSays “Let’s go!”
Outsource tools and creativity for speed, freshness and savings
Business expert solutions bidding platform • Over 25K business experts• Top talent from MBA professionals• 99% avg. satisfaction rate
Translations by native speakers worldwide• 20K native speakers in 140+ countries• Translated 130M words across 35+ languages• 95% of orders are started within 120 minutes and completed on avg. in 1 hour
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11Source: People@ research on each platform, 2017.
Crowdsourcing platform for computer programming• Community of 1M+ design and technology experts • 7K+ crowdsourcing challenges per year• $80M annually to the community
Global freelancingmarketplace
• 12M registered freelancers• 3M jobs posted annually, generating $1B+ USD• 5M+ registered clients
Community of creatorssolving brands’ challenges• 374K creative individuals from 174 countries• 117K ideas submitted in 1,097 contests• $7M Euros awarded in prizes
Graphic design hub (logo, web)• Submit a project, then designers compete to work on it• Community of 1.1M+ designers• 365K customers
Largest freelancer marketplace• 23M registered users• 11M total jobs posted
Increase C-level share of performance-based compensation
2015
Annual bonus
Stock awards
Stock options
Other2010
30.7%
18.6%
31.4%
11.6%
35.0%
21.6%
20.9%
12.8%
7.7%9.7%
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12Source: The Conference Board, “CEO and Executive Compensation Practices”, 2016 Edition, May 2016. Note: Based on Russell 3000.
PerformanceBased
Base salary
Source: Glassdoor, “Q3 2015 US Employment Confidence Survey”, 2015.
13 Perks drive employee engagement and productivity
Healthcareinsurance
40%
Tuitionreimbursement
Employee developmentprograms
Vacation /Paid time off
37%
Performancebonus
35%32% 31%
Paid sickdays
Employeediscounts
19% 19% 18% 17%
Flexibleschedule
Office perks(i.e., free lunch, casual dress)
30%
Retirement Plan/Pension
13
Perks Employees Prefer over Pay-Raises (% of respondents)
of employees would trade a salary increase for certain perks56%
Source: Upwork, “The 2015 Millennial Majority Workforce Report”, USA, October 2014. HR, “6 Millennial Retention Strategies to Adopt in 2015”, January 2015.
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expect to stay in a jobfewer than 3 years
NarcissisticI only think of myself
Open to change
Creative
MillennialsMillennials... (16-34)
Confident
Team player
Money driven
would rather spend money on an event than a purchase
will choose workplaceflexibility over pay 27%
46%
80%
72%
66%
65%
91%
78%
45%
Generation X(35-55)
20%
28%
34%
35%
73%
54%
54% have already started their ownbusiness or want to start one
Younger generations have new ways of working and a different set ofexpectations and motivations
Source: The Economist, “Lifelong Learning”, January 14, 2017 Edition.
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Ongoing training and learning is key to marketplace relevance
Online Courses and Registered Users(in millions of users)
Cumulativenumber ofcourses
Courses by Subject (2011-2017)
1 310
18
36
57
1,300
1,200
700
650
650
620
450
450
500
250
Business and management
Computer science and programming
Science
Social sciences
Humanities
Education and teaching
Health and medicine
Art and design
Engineering
Math
2011 2012 2013 2014 2015 2016
6.8K
Source: Cornerstone onDemand, “The ROI of Talent Management”, 2013.
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HR SaaS adoption supports life-cycle management
Onboarding
SpecializedRecruiting Tools
Succession
PermanentLearning
Compensation
PerformanceDatabase
Communication(bi-directional)
Source: Kronos, “Top Workforce Trends for 2017”, January 2017.
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Business analytics are a must when it comes to turnover, engagement,customer satisfaction and productivity
Typical HR KPIsProductivity Tools
Info Sharing
Communication Project Management
Customer RelationshipManagement (CRM)
Social Media
Turnoverrate
Reasons for leaving
the company
Happiness/satisfaction
index
Cost perhire
Employeeengagement
rate
Salaries benchmark vs. competitors
Productivityrate
Performance(% of employees below standards)
Training costper employee
Onboardingtime/cost
First-year voluntary
termination rate
Avg. time to fill job vacancy
Pay
Source: Wharton, People Analytics online course in 2016. Cornerstone onDemand, 2016.
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New hires...Employee Turnover Predictors (inverse correlation)
Are more likely to performworse than internallypromoted employees 270% more likely to get lowest rating
Supervisor relationshipJob satisfaction / Role conflictPromotion opportunitiesCo-worker satisfaction / Stress
Require three years to reach internally-promoted-employee performance levels
Receive 18% more compensation over those promoted internally (7 years required to close pay gap)
correlation+
correlation-
6 months’ salary for low-train positions / 12 months for high-train positions!
HIRINGCOST
COST OF TURNOVER TRAINING OPPORTUNITY
COST= + +
0.25
0.22
0.16
0.13
0.11
Internal talent development –instead of new-hires– provides greatercorporate value
Plants andgreenery
Natural light
Temperatureand air quality
Private spaces(to support focused work)
Brightcolors
Lounge areasfor causalinteraction
Outsideviews
Source: PSFK, “The Future of Work”, 2013. Forbes - Entrepreneurs, 2013. Photo WeWork.
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Office layout supports different work styles and boosts productivity
9 out of 10people believe their workspace
quality affects attitudes and increases productivity
Open spaces(to promote teamworkand communication)
ABOUT : we build your future skills
People@ is a leading consulting firm specialized in human capital development within a connected world anda ever-shifting marketplace.
With 15+ years of proven experience, our skills include robust strategic planning and executive search backgrounds.We focus mostly on industries such as: legal, media, technology, energy, hospitality, financial and services.
Our mission is to become the #1 human capital partner for our clients, while helping them aggregateand nurture the right structure and skills.
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EXECUTIVESEARCH
MANAGEMENTASSESSMENT OUTPLACEMENT
Candidate profiling and optimal job design
Key personnel industry mapping
Search, filtering, reference checking and assessments
Inbound process and training
Structure assessment, design and recommendations
Talent skills and human capital process assessment
HR systems and mapping reports
Outplacement strategy
Outbound office services
Individual coaching
Contact+52 (55) 5280 [email protected]
Julio Verne # 89-303, Polanco Reforma, C.P. 11550 Miguel Hidalgo, Mexico Citywww.peopleat.net