Workforce 2010 – Lessons from the first movers

There will undoubtedly be winners and losers as we move through the economic recovery. In most instances, the winners will be those who invest in growth as close to the bottom of the economic cycle as possible. These ‘first movers’ will have a decisive competitive advantage in 2010.

Over the past three months, the ‘first movers’ have started identifying focus areas that will form the trends of 2010. These trends are based on observations gained after having worked with over 80 per cent of the Fortune 500 and 70 per cent of the Global Fortune 500 companies to help them grow talent, reduce costs, accelerate performance and realise business goals.

In reality these trends will become the foundations for growth, and to accelerate growth in 2010 we need to look to what the ‘first movers’ do, and focus on the following: 

1.    First movers are aligning talent plans with the new environment 

A new world order is developing. All countries, all Governments and all organisations, big or small, are in the process of defining their new position in the post-recession global environment. Government debt has ballooned, stimulus packages are tapering and currencies are being revalued. 

The skills shortage will re-emerge and we have not stopped getting older in the past 2 years. Staff turnover will accelerate as ‘post restructure prisoners’ stop thinking about changing employers and start acting. 

2.    First movers are figuring out how their people are feeling 

In the past year, many organisations have restructured, downsized, right sized or rebalanced. Some things went well, some things not so well, but one thing is certain, the employer/employee relationship has been impacted. 

In order to move forward and ‘re-engage’ their workforces, first movers are acting on the outputs – good and bad – of exit interviews, employee satisfaction surveys or employee engagement surveys. In many instances, this means running a survey which had been cut as a cost-saving move during the economic downturn. 

3.    First movers are re-defining leadership  

Leadership has always required a socially, economically, and business-aware mindset. Now, the breakneck pace of change, increasing numbers of direct reports and ‘flatter’ organisational structures demand a new type of leader: one who can drive, lead and navigate change. 

First movers have recognised that every people leader, from the CEO to Contact Centre Team Leader, from Director of Sales to Foreman, must be ‘change agile’. ‘Change Tool Kits’ have been developed and ‘change agility’ has become an assessment criterion when promoting, recruiting or redeploying. 

4.     First movers are developing ‘healthy employee engagement’ 

What is the role of business in addressing chronic disease? There is a rising concern within Government and business about the rapid increase in chronic diseases associated with a lack of physical activity, poor nutrition, weight gain, alcohol use, tobacco use, stress and lack of sleep.

 Employers focused on driving employee engagement (to increase customer satisfaction, revenue and profits) need to consider health as well. Is high engagement enough, if you have a workforce at high risk of chronic disease?  Will the employee engagement be sustainable? 

First movers have identified that they need ‘healthy engagement’ and starting to implement strategies to address chronic illness. These employers aren’t simply offering a ‘Wellness Program’, but assessing how their culture, values, strategy, structure, leadership and systems support a ‘healthy’ workforce. 

5. First movers are focusing on doing the business basics well  

Personal accountability is back on the agenda.  A ‘back to basics’ sentiment is creeping back into business – how to run an effective meeting, how to run an inspirational performance discussion, how to help direct reports manage their careers and how to have real performance management conversations. 

First movers have recognised that some of the basics have been forgotten during 2009.  They are rolling out development activities to drive strategy execution. 

The 2009/2010 budget cycle has seen many support functions (for example, HR, IT, Sales) stripped of budget in support of short-term profitability. This is playing out in two ways: business initiatives focused on cost reduction are prioritised, while decisions to invest in talent are delayed. 

There will be winners and losers as we move through the economic recovery. In most instances, the winners will be those who invest as close to the bottom of the economic cycle as possible. The question is, which companies are making decisions and investing resources like a first mover?

Bridget Beattie is Regional General Manager for Right Management, Australia/New Zealand