Tips to Building a Better On-Demand Workforce
Tips to Building a Better On-Demand Workforce
The right talent. In the right place. At the right time. That’s what dreams are made of these days for business leaders fighting the war for talent.
In a post-pandemic world filled with lackluster labor reports—we know all too well that workforce challenges won’t be yesterday’s news anytime soon.
But there’s a silver lining for businesses suffering from ongoing staffing shortages. One that McKinsey & Company says has the potential to deliver better productivity, lower costs and enhance resilience.
According to McKinsey & Company’s recent report, “The pandemic has forced companies everywhere to rethink their staffing models. Creative approaches to staffing, through internal as well as external gig workers, can pay off for many organizations—and employees—often in unexpected ways.”
But how do organizations looking to the gig economy get off the ground? Below are four tips that can help you build a better on-demand labor strategy.
1. Start Asking Questions
The key questions here are “Who do you have (supply)?” and “Who do you need (demand)?” McKinsey & Company says that understanding supply starts with taking stock of current talent and their skills. To understand demand, organizations must first establish a clear link between talent and their value agenda.
They point out that comparing talent supply and demand will clearly reveal the skill pools on which businesses are long and short—the competitive implications will be profound.
2. Align Top-Down and Bottom-Up
A recent survey of 700 US business leaders by the Harvard Business School showed that from the C-Suite on down, many are out of sync when it comes to acknowledging the effectiveness of their use of the on-demand workforce.
While 60% of CEOs claimed digital talent platforms were “very important” to future competitive advantage, less than 40% of senior management agreed. Meanwhile, CEOs were nearly twice as likely to report that use of new talent models would “increase significantly.”
The survey showed that some departments were only doing what they were tasked to do—and what was clearly being defined. In conversations with companies where on-demand workforces were being blended in successfully, it was because the organization as a whole was aligned on their labor strategy.
3. Identify Champions of Change
As talent platforms penetrate organizations, they have already begun to reveal the paradigm shift that is underway. Harvard Business School revealed that companies embracing the future of work in a digital era find they have to set aside rigid, historical practices for managing work developed in the industrial era.
However, companies are often reluctant to embrace the need for change, since it has implications for the way they structure themselves, populate their organization, manage people and most importantly, deliver value to customers and shareholders.
McKinsey & Company adds that, “Organizations that expect to benefit from a promising new strategy won’t get very far if they lack the people to bring the plans to life. What might seem like an irritating talent gap today could prove a fatal competitive liability in the not-too-distant future.”
4. Create a Gig-Friendly Culture
As businesses begin to understand the gig economy and the added benefits this talent channel brings to their workforce, Staffing Industry Analysts say leaders that clearly define and understand their culture can attract gig workers who will advance not just their business strategy and goals, but their business culture as well.
Deloitte adds: “Successful companies will make themselves a place where temporary workers want to work. This will require organizations to think more strategically about how work is done. Delivering a good experience to temporary workers increases their loyalty to the company and helps ensure that they will be available when needed.”
Many companies are now at a critical junction. Organizations that are able to crack the code and successfully tap into the growing on-demand ecosystem will gain a competitive advantage. One that’s needed to withstand the new labor landscape.
Need help building a better on-demand workforce stagey? Contact us today to get started.
