In this episode of the ‘Ask the Expert’ podcast with Jeff Nugent, Co-Founder of the Contingent Workforce Institute, we delve deep into different approaches to contingent workforce strategies. 

During our conversation, I shared insights on how harnessing an organization’s brand can revolutionize the recruitment process for contingent labor. We also examine the parallels between RPO and Direct Sourcing discussing our collective view that Direct Sourcing should be viewed as Contingent Recruitment Process Outsourcing (CRPO), as well as the key factors that contribute to the successful implementation of such programs. 

Additionally, we reflected on the lessons learned from decades of experience in this field.

Our discussion sheds light on the importance of strategic workforce planning and the significant impact it can have on an organization’s ability to succeed in today’s dynamic business environment.

 

Watch the episode on YouTube.

 00:00 Introduction to Contingent Workforce Strategies

00:25 Defining Direct Sourcing and Contingent RPO

00:44 Guest Introduction: Mark Jones from AMS 

02:27 The Evolution and Importance of RPO

03:39 Direct Sourcing Misconceptions

05:41 The Role of Technology in Direct Sourcing

07:29 Procurement vs. Talent Acquisition

 12:20 Strategic Benefits of RPO

 19:09 Components of a Contingent RPO Program

25:13 Pricing Models and Cost Savings

29:06 Lessons Learned and Change Management

33:08 Conclusion and Final Thoughts

 

To learn more about Integrating contingent labor into strategic talent planning, click here.

To explore Contingent Process Outsourcing, click here.
 

What did I conclude from the recent SHRM ’24 Annual Conference & Expo? In the face of technological change, let’s not be fearful. Be aware of your company’s AI policy and thoughtful about change. Now is the time to iterate and create incremental changes that benefit your organization. Don’t be nervous about how tech and AI are transforming the hiring experience. 

If you missed our session, here are some key highlights: 

Automation vs. Artificial Intelligence 

In today’s world of changing technologies, there is often confusion between AI and automation. We clarified the difference and provided practical examples for the audience. For instance, a Domino’s Pizza Tracker is considered automation, while voice-to-text technology like Siri is considered AI. 

What’s Happening in the TA Tech Space? 

After exploring the nuances between AI and automation, we focused on the TA Tech space, outlining what is working and what isn’t. Below is a myth-busting diagram we shared: 

There was a lot of discussion about personalizing experiences and how technology can enhance the recruitment process. We highlighted the benefits of customization for candidates and hiring managers, emphasizing transparency. Just as consumers expect transparency, we aim to recreate that expectation in the TA space. 

Focus on Solving Problems to Foster Innovation 

Be inspired by the tools available. More than 50% of companies want their ATS to provide more capabilities than it currently does. The average number of tools managed by teams is around 10, specific to recruitment. Integration barriers present significant challenges for talent teams today. Additionally, an over-reliance on HRIS without sufficient workflow automation is problematic. If your HRIS lacks workflow capabilities, it’s time to explore new solutions. 

Identify granular use cases to address your challenges and assess which tools can help. Many tech companies claim to offer features, but they may not be applicable to your needs. Focus on the problems you are trying to solve, unpack the issues, and then explore different tools and recruitment experiences to identify key moments that matter. Determine if there are data points that can enhance these experiences and solve two or three specific issues. 

Moments that Matter 

We concluded the session by discussing seven steps to integrate automation and AI into your hiring decision-making process. A central point we emphasized is that it’s okay not to undertake an entire transformational change. Instead, incremental or selective changes are a great starting point. Maintaining an open dialogue within your organization about change and talent technology, testing creative approaches, and staying agile are key to progress and optimizing the hiring experience. 

According to the UK Government’s 2023 State of the Nation report, adults with lower working-class parents are about 3 times as likely – 30% against 11% – to be in a working-class occupation  compared to adults with higher professional parents. In education, people whose parents had degrees are far more likely – 64% against 18% – to get a degree than those whose parents had no qualifications.

Social mobility, officially recognized as an area of diversity, equity & inclusion (DEI) thanks to the UK Government’s Social Mobility Commission, is linked to equality of opportunity: the extent to which people have the same chances to do well in life regardless of the socio-economic background of their parents, their gender, age, sexual orientation, race, ethnicity, birthplace, or other circumstances beyond their control.

According to a report by the Institute for Fiscal Studies, UK social mobility is at its worst in over 50 years. Now is the time for businesses to fulfill their social and ethical obligations by promoting social mobility in the workplace.

According to the Sutton Trust, enhancing social mobility within UK businesses to align with the average level seen in Western Europe could potentially lead to a 9% boost in GDP. This increase is equivalent to £2,620 per person, or a total of £170 billion added to the UK economy annually.

What is Social Mobility?

Social mobility is the movement of individuals, families, or other social units between positions of varying advantage in the system of social stratification of a society. (International Encyclopedia of the Social & Behavioral Sciences, 2001).

Many sociologists have traditionally concentrated on examining mobility between occupational classes, specifically the types of jobs individuals hold. In contrast, economists have more recently shifted their focus toward analysing income mobility.

Social mobility and equality of opportunity can be measured in terms of occupation, income, or ‘social class’, but can also encompass other measurements of social well-being such as health and education.

When an individual experiences a shift in their position, particularly in their occupation, without a change in social class, it is referred to as “horizontal mobility.” On the other hand, if the transition results in a change in social class, it is known as “vertical mobility,” which can manifest as either “upward mobility” or “downward mobility.” 

The key markers of social mobility are health, education, housing, income, race, and gender. 

In the workplace, social mobility pertains to an individual’s capacity to ascend or descend within the hierarchy or structure of a company or organization. It encompasses the progression a person’s career and enhancement of their job role, salary, and overall professional standing within their current workplace.

“This class pay gap is not just an indictment of professional employers. It is morally unjust and economically illiterate.” Alan Milburn, Social Mobility Foundation chair

Why is social mobility important?

People from disadvantaged backgrounds have fewer opportunities to climb the socio-economic ladder. The current economic situation in the UK is likely to exacerbate the UK’s social divides, limiting the career prospects of young people from disadvantaged backgrounds. 

Social mobility plays a crucial role in the health of the economy. 

In 2021, services industries in the UK contributed £1.7bn in gross value to the economy, 80% of the total figure. A recent report by the Law Society highlighted the importance of social mobility in the professional services sector, stating that a lack of it poses a significant threat to Britain’s competitiveness and productivity.

According to the World Economic Forum, the Fourth Industrial Revolution, characterized by rapid globalization and technological advancements, has resulted in a rise in inequality. For instance, the Forum highlights that the top 1% of earners in the United States saw their income increase by 158% between 1979 and 2018, while the bottom 90% experienced only a 24% increase. This disparity underscores the widening gap between the wealthiest individuals and the majority of the population, highlighting the urgent need for policies that address income inequality and promote economic inclusivity.

“As the hiring demands for tech skills in the UK continues to rise, organisations are finding it challenging to access the talent they need to innovate and progress. The UK government recognises the importance of the tech sector and tech skills for improving the UK economy, but also acknowledges there is a significant shortage of available candidates in the market.” Mel Barnett, managing director, Public Sector Resourcing

PwC’s Future of Government research asked 4,000 people across the UK about their concerns around social mobility and the actions that they think government and businesses should take in response. The polling revealed that business has a vital role to play in improving the social mobility of younger generations, with calls from the public for better access to opportunities, work experience, and career pathways, and greater investment in apprenticeships and skills.

Implementing a social mobility strategy is not only an ethical decision, but it also plays a crucial role in shaping a more skilled and prepared workforce for the future. It not only expands the talent pool for an organization, but also enhances its appeal to potential recruits, especially the influential Generation Z, who will soon comprise the majority of the workforce. It not only fosters growth and improves local economies where an organisation operates, but it also contributes to the development of more equitable and cohesive communities.

Promoting socio-economic inclusivity is also a strategic business decision. Diverse workforces have been proven to be more innovative, productive, and better equipped to navigate the challenges of the future. By embracing inclusivity, organizations can unlock new perspectives, ideas, and talents that drive success and growth.

PwC’s global 2022 Hopes and Fears survey revealed that employees expect their employer to have strong ESG credentials; three-quarters say that they want to work for an organisation that makes a positive contribution to society, and 54% say that transparency around diversity in their employer is extremely or very important to them.

Prospective employees and clients are increasingly seeking out companies that prioritize purpose, not just profit. By championing the social mobility agenda, businesses can effectively balance their commercial interests with making a positive impact and preparing their workforce for the future.

Where compares with the UK?

The social mobility geographical patterns in the UK are striking. People of a working-class background who grew up in Outer London (West and North) had a 46% chance of becoming professionals, while those growing up in Northern Ireland had only a 28% chance.

The first round of the government’s Levelling Up funding saw £1.7bn distributed among 105 UK towns and cities, with further plans to invest in skills training, in some of the UK’s most deprived areas.

Research from the Institute of Fiscal Studies suggested that on a wide variety of measures, regional disparities in the UK are greater than in most comparable countries.

In a study conducted by Wilkinson and Pickett, the results of which were initially published in 2009, an in-depth analysis of social mobility in developed countries was carried out. Among the eight countries examined – Canada, Denmark, Finland, Sweden, Norway, Germany, the UK, and the US – it was found that the US exhibited the highest level of economic inequality and the lowest level of economic mobility. Further research has consistently shown that the US has notably low mobility for individuals at the bottom of the socioeconomic hierarchy, with mobility gradually improving as one ascends the ladder. 

Research comparing social mobility across developed nations has shown that Denmark, Norway, Finland, and Canada have the lowest intergenerational income elasticity, indicating higher levels of social mobility. In these countries, less than 20% of the advantages of having a high-income parent are passed on to their children.

In countries like India, it is common for educated women not to use their education to move up the social ladder due to cultural and traditional customs.

Chile and Brazil, two countries characterized by high levels of inequality, also exhibit some of the lowest levels of social mobility.

Who are the key players?

The Social Mobility Commission (SMC) exists to create a United Kingdom where the circumstances of birth do not determine outcomes in life. The SMC’s State of the Nation report, is an annual report on social mobility in the UK, which sets out their views on the progress made towards improving social mobility in United Kingdom. 

The Social Mobility Index is a framework for measuring social mobility in the UK. It enables a systematic look at social mobility outcomes, as well as the drivers behind social mobility. It sets out a long-term vision for measuring and monitoring social mobility outcomes over the next 30 years across the UK. 

The Social Mobility Foundation is a UK-based non-profit organisation dedicated to advancing the social mobility agenda, by directly supporting young people through their Aspiring Professionals Programme and influencing employers to support people with potential in their professional progression. The foundation’s Employer Index is the leading national study analysing the efforts of employers to improve social mobility within the workplace.

The Sutton Trust champions social mobility through programmes, research, and policy influence through key priority areas; early years, schools, higher education, access to the workplace, and apprenticeships. According to the Sutton Trust, enhancing social mobility within UK businesses to align with the average level seen in Western Europe could potentially lead to a 9% boost in GDP. This increase is equivalent to £2,620 per person, or a total of £170 billion added to the UK economy on an annual basis.

The Global Social Mobility Index was created by the World Economic Forum in 2020 in response to the impact of globalization and technological advancements on social mobility worldwide. 82 countries were measured on five key metrics: education, access to technology, healthcare, social protection, and employment opportunities. The top 10 countries with the highest social mobility index scores are located in Europe, with the majority of those being Nordic Countries. Nordic countries lead the index for several reasons, including excellent job opportunities, social safety nets and high-quality education programmes. 

The highest possible score a country could receive was 100. 

(Source: World Population Review)

“When it comes to social mobility and sustainability, if we can support our customers’ goals in these areas, it’s a win/win. In the public sector, social value is a crucial factor, so being able to demonstrate our work in this area is incredibly important and we have a real responsibility to do the right thing.” Anna Crowe, client operations director, AMS

How can we promote social mobility?

How businesses address social mobility will play a pivotal role in fostering a thriving and prosperous UK. Developing an effective social mobility strategy is not a straightforward task. It necessitates a shift in mindset, wherein the entire organization re-evaluates its approach to talent acquisition and recruitment. Both public and private sector organisations have a role to play in advancing the social mobility agenda. 

Our recommendations for organisations looking to advance social mobility

Start with the data. Historically, organizations have neglected to collect socio-economic data on their workforce, resulting in significant gaps in knowledge regarding key challenges, effective solution targeting, and potential areas of impact. This oversight has also contributed to a lack of insight into the extent of socio-economic diversity within the workforce and the identification of potential barriers. For instance, it remains unclear whether these barriers manifest at various stages of the employee lifecycle (from recruitment to advancement), within specific business locations or functions, or in conjunction with other demographic factors like ethnicity and gender. Addressing these gaps in data collection and analysis is crucial for fostering a more inclusive and equitable workplace environment.

Increase upskilling and reskilling. Access to upskilling and reskilling opportunities is not evenly distributed. Leaders must establish inclusive opportunities by providing training and work experience to their employees as well as the broader community. This can be achieved through partnerships with educational institutions and charitable organizations.

Broaden your talent pool. Many businesses continue to view universities as their main source of talent, whether consciously or unconsciously, limiting their talent pool. PwC’s research indicates that 83% of the general public views access to local employment opportunities as a significant obstacle to achieving social mobility. Businesses have the opportunity to leverage virtual work arrangements to offer valuable work experience opportunities and expand their talent pool through targeted recruitment campaigns.

Review end-to-end recruitment process. Organizations should thoroughly review and analyze each step in the hiring process. This includes assessing job posting language to ensure it is inclusive and free from biases, expanding outreach efforts to reach a more diverse pool of candidates, implementing blind resume screening practices to remove any unconscious biases, providing equal opportunities for all applicants regardless of their background or education level, and setting clear diversity goals for hiring managers to follow. By taking a comprehensive approach to enhancing social mobility in recruitment, organizations can create a more equitable and diverse workforce that reflects the values of inclusivity and equal opportunity. 

Reassess procurement. This entails considering how vendor selection criteria can be adjusted to provide opportunities for historically marginalized groups, such as minority-owned businesses or those led by women or individuals with disabilities. By deliberately seeking out suppliers who prioritize social responsibility and promote workforce diversity, companies can not only make a positive impact on society but also benefit from a wider range of perspectives and expertise. Additionally, implementing measures such as supplier diversity programs or mentorship initiatives can help level the playing field and create pathways for underrepresented businesses to thrive in the marketplace. Through conscious efforts to reevaluate procurement practices, organizations can contribute to creating a more equitable and inclusive business environment while driving innovation and success.

Develop a strategy in line with your business and ESG objectives. Integrating social mobility efforts into ESG objectives demonstrates a commitment to addressing systemic inequalities and promoting sustainable practices. As businesses continue to prioritize diversity, equity, and inclusion in their operations, developing a tailored social mobility strategy is crucial in driving positive social impact while also achieving long-term business success. This may involve implementing initiatives such as mentorship programs, skills training opportunities, or flexible work arrangements to support employees from all backgrounds in advancing within the company.

“Social mobility is a key strategic enabler for AMS. Our business is all about talent and having a fair and level playing field which is open to all, including those of us who may be from lower socio-economic backgrounds.” Matthew Rodger, Chief Growth & Commercial Officer and ExCo sponsor for Social Mobility, AMS

 

Top tips to enhance social mobility through recruitment:

1. Collaborate with schools and community organizations to provide internship opportunities and develop talent pipelines that can help bridge the gap for underprivileged individuals seeking employment opportunities. 

2. When evaluating entry-level candidates, contextualise their academic achievements to create a more level playing field for all applicants.

3. Eliminate bias in the hiring process by implementing blind recruitment practices and ensuring that all candidates are evaluated solely based on their qualifications and merit. 

4. Offer mentorship programs and professional development opportunities to help individuals from disadvantaged backgrounds navigate the corporate world more successfully and advance in their careers.

5. Transition away from competency-based models that solely focus on candidates demonstrating specific skills, which can be influenced by their access to extracurricular activities or job opportunities. Instead, consider adopting strength-based models that incorporate interviews and scenario testing to assess an individual’s abilities and potential more effectively. This shift will allow for a more comprehensive evaluation of candidates, leading to better hiring decisions and improved organizational outcomes.

6. Provide additional job opportunities in areas outside of major cities to reduce the burden on candidates who may be reluctant to relocate. Leveraging remote or hybrid working is key.

7. Creating employee resource groups around social mobility. Establishing employee resource groups focused on social mobility is essential for promoting socioeconomic inclusion and ensuring a diverse representation of the communities we serve. These groups aim to support the professional advancement of employees from various socioeconomic backgrounds.

8. Relax the requirements for bachelor’s degrees where possible. This could potentially open up more opportunities for individuals seeking to advance their education and career prospects. By re-evaluating the criteria for earning a bachelor’s degree, we can create a more inclusive and accessible educational system that benefits a wider range of individuals.

The Social Mobility agenda at AMS

We are honoured to be recognised as a top 75 employer in the Social Mobility Foundation’s Employer Index

In September 2023, we officially launched its partnership with Movement to Work (MtW), a not-for-profit coalition of UK employers, youth-outreach organisations, training providers, and government – all aiming to level the playing field for young people, aged 16-30, who are not in employment, education, or training. 

MtW works with employers, free of charge, to design and create vocational workplace opportunities and work experience placements either in-house or through its recommended training providers. MtW counts some of the biggest UK employers among its members including Accenture, BAE Systems, Tesco, BT, Barclays, M&S, Marriott, The Department of Work and Pensions and the British Army.

Measures taken by AMS in recent years include increasing partnerships and collaboration with key social enterprises, charities, and small businesses as well as a renewed focus on data collection allowing AMS to understand the socio-economic makeup of their colleagues based in the UK&I region.

AMS Talent Lab, provides expert training to help organisations turn people with the right potential and aptitude into people with the right skills. Whether it is upskilling or reskilling existing tech talent or developing a recruiter team from scratch. Every element of Talent Lab is designed to enhance social mobility, tapping into the potential that exists in all corners of our society, from attraction to assessment, training, and ongoing support.  AMS Talent Lab enables organisations to gain a competitive edge and benefit from a diverse viewpoint. 

AMS’s Public Sector Resourcing (PSR) service provides more than 19,000 skilled workers across the UK government at any one time, meeting contingent resourcing demands on large projects including Brexit and the pandemic. PSR formed its Social Value Model and strategy to align with the challenges facing the public sector and works collaboratively with clients. 

The Social Value Model was built to address five key themes that include Equal Opportunity, Tackling Economic Inequality and Fighting Climate Change each with subsequent policy outcomes. On the PSR framework we have projects and programmes aligned to each of these areas to drive positive change, as well as repurposing initiatives already in place at AMS to make them applicable to our public sector customers.

We introduced a new service line in PSR, called ‘Recruit, Train, Deploy’, to bring in trainees from under-represented or those from lower socio-economic backgrounds, upskill them and then place them in a client organisation, providing both commercial and social value. Our partnerships with inclusive recruiters like Recruit for Spouses, Auticon, and Bridge of Hope help to provide opportunities to individuals who might not think public sector roles are for them.

“Since its inception in 1996, social mobility has been part of AMS’s DNA. We believe that we can further help ourselves and our clients who wish to diversify their talent pipeline by creating opportunities for candidates from underrepresented talent groups and if needed training them with in-demand skills.” Matthew Rodger, Chief Growth & Commercial Officer and ExCo sponsor for Social Mobility , AMS

AMS is committed to driving the dial forward on social mobility and championing change to level the playing field for the world of work.  

 

Interested in learning more about how your organisation can advance social mobility? 

Contact Fionuala Goritsas, Head of Analyst Relations & Global Co-Chair for Social Mobility, or myself.

Figuring out what your next 6-12 month hiring roadmap looks like can be daunting. So many variables to consider, so many new technologies, you might feel pulled in various directions. The key is not to become overwhelmed by the array of twists and turns in the HR arena, but rather to lean-in to where you see your workforce in the future and plot the steps to get there. 

With every industry showing unique needs and changes, here’s a snapshot of some of the interesting directions companies are headed in the coming months.  

Energy, Engineering and Industrials 

With a shift towards green energy, new legislation in this sector will promote more green skills as workforces evolves to become sustainable and decarbonized.  

Investment Banking 

As banks consider their internal structure, they are analyzing how technology will provide more agility to their hiring decision making. In highly regulated environments there is more of a hesitation around new technologies like AI. But some are interested in piloting technology and new tools to drive efficiencies where it is seamless to do so.  

Construction, Healthcare, Retail 

In high volume, hourly hiring – such as in the construction industry – there is a focus on leveraging a skills-based approach to determine the best fits for roles. Quality of hire remains supreme in this area of sourcing and recruiting.  

Organizations will be looking to hire more contingent labor workers as they bounce back from lower hiring volumes. A continued uncertain economic landscape across many sectors is creating a greater focus on creating flexibility in their employee make-up. 

Food and Hospitality 

In California there has been a new minimum wage applied to the fast food sector, now at $20 per hour. An interesting development that will likely have consequences to other sectors and parts of the country. This presents an additional layer of complexity to an already evolving talent acquisition landscape. 

Technology 

Companies are exploring how to source talent for supporting and driving AI technologies. There has been an increasing interest in looking into the architect and planner roles involved in implementing and setting the stage for new AI technologies. Establishing a gameplan ahead of AI usage is a strategic step that is critical to ensure compliance is met and tools are utilized properly. 

Pharmaceuticals and Life Sciences

Organizations are looking to their location strategy to reduce cost and drive scalability/agility – with India being an area of interest for some employers. 

An important thing to think about on your talent road ahead is what your destination will look like. With every hiring destination looking a little different, each industry is going to require different TA needs and will need to adjust to the changing economic and technological landscape differently.  

Last week I had the absolute pleasure of facilitating my first roundtable at this year’s SIA CWS Summit on the topic of ‘Transitioning your MSP’.  

With roundtable delegates representing a number of large blue chip organisations, we discussed the most important factors and key considerations in a transition from one Managed Service Provider to another.

It was fascinating to hear the different experiences as some of the delegates shared their own successes and challenges on already having transitioned from one MSP to another, whilst others were about to embark on a selection/procurement process for a new MSP and we heard from others who were just about to commence on this journey.

 

Some of the key takeaways from the session:

We agreed that the starting point of considering any transition is to ask yourself “what are we trying to achieve” from this change of provider? Is it about innovation, cost savings or even improved technology?  Once you are clear on this objective there are a number of other key steps that businesses can be taking to prepare, such as:

Data – ensuring you have up to date and correct data with details such as source mix, worker pay rates, tenure etc. This information will be crucial to a smooth transition to a new provider and overall experience for the hiring manager and contractor whilst ensuring that there is no disruption to the payment or extension cycle.  

Agree a date for a data freeze  – when does the cut off take place between existing and new provider?  This will ensure that there is a clean transfer of data but also support the work in progress, agreeing owners and stages of cut off and transfer.

Technology – whilst there are lots of considerations when it comes to technology, future technology and ownership of the tech etc, some key areas to focus on should include; highlighting any integrations that are currently in place as these will need to be identified for the change of tech.  Any impact on wider teams to support the facilitation of the finance or HR process and ensuring that the full tech stack including integrations is taken into consideration.

Change and Comms – it is important to have a strong communication plan that includes identifying all service users who will need to be informed of the changes and progress updates. This should include hiring managers, contractors and suppliers but don’t forget other areas that touch the process including Finance, Tax and HR teams.  Overall, a robust comms plan will support the change management programme and experience for all users.

Some further learnings I took from the session, firstly all delegates said their number one priority was business continuity. Having minimal to no disruption to their hiring managers and in turn to any critical projects or programmes is incredibly important, particularly ones heavily supported by contingent workers.

Innovation was another key call out, customers wanted to ensure that innovation was being brought by the new provider, particular when it came to technology which supported the solution, with a real mix of organisations who had procured their own VMS or planned on using the MSP’s technology. 

I thoroughly enjoyed chairing this incredibly insightful roundtable and hearing from this diverse group of delegates from all different sectors, calling out the benefits of change and sharing their successes and challenges. 

Learn more about integrating contingent labor into strategic talent planning here.

All delegates said their number one priority was business continuity. Having minimal to no disruption to their hiring managers and in turn to any critical projects or programmes is incredibly important, particularly ones heavily supported by contingent workers.

Graduating with a degree was once considered key to kickstarting a prosperous career and many recruiters would typically filter shortlists by removing applicants who weren’t degree qualified without any discussion. This is a traditional and aged way of hiring, posing a barrier for employers who aim to build diverse and inclusive workforces for many reasons. Unfortunately, the practice still exists today and can be one of the methods that employers find the most difficult to ditch.

Interestingly, this article from the Harvard Business Review shares that the practice took off in the early 2000’s with a significant number of employers adding degree requirements to the descriptions of jobs that hadn’t previously required degrees, a trend that became particularly pronounced after the Great Recession of 08-09 and commonly referred to as ‘Degree inflation’.

The same article recognises that skills-based hiring is on the rise which will open opportunities to a large population of potential employees who in recent years have often been excluded from consideration because of degree inflation. More and more employers are recognising that the qualifications available don’t always fully match the needs of their businesses now or in the future with 45% of employers saying an applicant having a degree is ‘not important’ according to an article written by PeopleManagement.co.uk. 

It’s also reported by the Mirror that in 2023 that less than half of graduates were working in a career that related to their degree. Even the universities minister, Michelle Donelan, acknowledges that “higher education is not necessarily the best route to get to where you want in life” and that that true social mobility is about improving outcomes rather than university placements as reported by the Guardian.

How does ‘Degree Inflation’ impact social mobility, you ask? It’s widely reported that individuals from a lower socio-economic background are less likely to attend or complete a university course but that doesn’t mean that this group of people are less competent or capable. The Social Mobility Commission shares thoughts from the former CEO of Personal Banking at Barclays, Steven Cooper, who left school at 16 and became a bank teller. Steven has faced many barriers over his 30-year career namely promotions hinging on a specific level of qualification or assumptions that he should be in a clerical role given his background however he’s managed to overcome this and enjoy a career that has taken him to the most senior levels.

 It’s a fascinating story but unfortunately not the case for so many others.

Society is moving in the right direction but there is still more to be done. According to LinkedIn, there were only 30% of jobs posted that don’t require a degree in 2022. It would be interesting to know how many advertisements that required a degree qualified individual had actually stated which course or topic the individual should be qualified in as far too often the specialism isn’t declared leaving room for speculation if a degree level qualification is required at all. 

To promote, enable and accelerate social mobility and create inclusive workplace and hiring practices, organisations should think harder and smarter about talent attraction and retention. Shifting focus from rigid degree requirements to a skills-based hiring approach levels the playing field and provides opportunity for individuals from all backgrounds to thrive.

Skills-based hiring will open opportunities to a large population of potential employees who in recent years have often been excluded from consideration because of degree inflation

At first glance, hiring a painting contractor and managing campus recruiting seem worlds apart. Yet, dive a bit deeper, and you’ll find they share a core principle that’s surprisingly universal. Intrigued? Let me share a story.

After moving into our new home, with the holidays fast approaching and my to-do list overflowing, the walls still needed painting. Despite my DIY enthusiasm, time was not on my side. Reluctantly, I called in a commercial painter. To my amazement, they transformed our home in a day, allowing me to focus on what truly mattered – welcoming family.

This experience was a lightbulb moment, mirroring a concept well-known in business: outsourcing, or specifically, Recruitment Process Outsourcing (RPO) in talent acquisition. In our everyday lives, we do this everywhere – we outsource our car repairs to trained mechanics, healthcare to medical professionals, gardening to lawncare professionals, and the list goes on. But when it comes to recruiting, especially campus recruiting, we seem to forget help is available in the form of RPO. 

Let’s explore why handing the brush (or the resumes) over to the experts might just be the smartest play you make this season.

Quality:

Quality isn’t just about getting it done but getting it done so well, people can’t help but notice. It’s like comparing walls and trim painted by a seasoned painter to your first attempt at painting; the difference is night and day. Outsourcing campus recruiting throws professional expertise into the mix, ensuring that the job isn’t just completed, but it’s done with a level of polish and finesse that only comes from years in the game. As an example, AMS supported an aerospace client in the redesign of their global engineering program, providing market best practice, insights, structure, and the delivery of a new assessment process. Results: We conducted over 2K final round interviews resulting in female hires increasing from 28% to 42% and had less than 2% written offer declines.  

Cost:

Now, let’s talk dollars and sense. Economies of scale? Check. Lower opportunity costs because you’re not tied up doing something outside your wheelhouse? Double-check. Leveraging a professional’s access to significant and varied expertise?  Triple-check.  But it is not always about saving money. In some cases, it’s about creating better outcomes in the long-term that translates into high-quality hires, improved DEI outcomes, and improved retention, among other things. But make no mistake, administrative aspects of a campus program are the ideal areas to consider outsourcing as cost savings are extremely likely. 

Time:

Time is that one thing we’re always running out of, and let’s be honest, spreading ourselves too thin is a recipe for disaster. Handing off aspects of your campus recruiting program can free your experienced team members up to execute where it makes a difference or tackle big-picture projects that really move the needle. It’s about playing it smart and making every second count.

Expertise and Specialization:

There’s something about someone who knows their stuff inside out that just inspires confidence. Whether it’s the pro painter who knows exactly how to bring your vision to life or a talent acquisition expert who can navigate the campus recruiting scene like a boss, that level of expertise is a game-changer. It means better outcomes, less fuss, and a whole lot of impressed onlookers.

Risks and Challenges:

Sure, handing over the reins comes with its own set of worries. Will the service provider get it? Can they deliver to your standards? It’s like letting someone else cook your signature dish for a big party. The trick is in the vetting—checking out their past work, talking to references, and making sure they’re the real deal. Consider AMS: With a 97% client retention rate, a unique specialization in campus recruiting, over 100+ years of campus leadership experience, choosing us isn’t just a safe bet—it’s a strategic advantage.

Benefits and Drawbacks:

The upside? Think potential cost savings, top-notch quality, and the freedom to dive into work that really makes an impact. Not to mention, the ability to scale up or down as your business ebbs and flows. The downside? Costs may add up, building trust takes time, and you might miss having those extra hands for odd jobs.

Conclusion:

The moral of the story? Whether it’s ensuring your home looks its best or sculpting a top-tier early career recruiting program, smart outsourcing is your strategic ace. It’s not just about delegating tasks; it’s about empowering your organization to excel at what it does best, unlocking potential and efficiencies along the way. Ready to play it smart? Let’s chat: Connect with a talent acquisition expert.

“Master your strengths, outsource your weaknesses.” – Ryan Khan

Talent community engagement and the use of CRM technology within talent acquisition is nothing new, but it is something that many organisations struggle to do well. Why? 

All too often the business case for the CRM tech is approved and a shiny new tool is purchased, but what it takes to establish, engage and nurture talent communities is not fully considered. The result? The tool becomes a holding pen for candidates and a tumbleweed of generic newsletters follows, potentially leaving that talent with a tainted perception of the company’s employer brand. 

Something needs to change… enter the Content Strategist and the Content Creators. Wait, what? This is TA not TikTok. No this, in fact, is Talent Marketing. 

To drive the potentially unrealised value in CRM, employers must not only invest in the right tech solution but also the right creative skillsets to bring their employer brand to life in a way that is meaningful and personalised to each talent community. 

But let’s start at the beginning…

What is a CRM?

CRM systems serve as a vital tool for automating engagement workflows, effectively segmenting candidates, and tracking candidate interactions. This leads to increased efficiency in the recruitment process; saving time and resources. It’s a win-win!

In parallel, the creation of a vibrant talent community can provide a readily available pool of interested candidates – expediting the hiring process and contributing to more efficient recruitment. 

Sounds good, but where does content come in?

Beyond the technical aspects, developing a compelling content strategy is critical for engaging these talent communities. Content that resonates with potential employees can instill a sense of community and connection.

A robust content strategy can also enhance the company’s employer brand and reputation. Sharing insightful content that showcases the company culture, values, and opportunities can attract a diversified talent pool. This leads to an improved candidate experience, as potential employees can gain a deeper understanding of the company before applying. Furthermore, engaging content increases candidate engagement levels, making them more likely to apply and stay connected with the company.

Not only that, a well considered and well executed content strategy can help when engaging critical skills talent or under-represented groups. 

How is it achieved? 

Essentially, any effective CRM implementation needs to make provision for content strategy and content creation. Those skillsets can sit in-house or can be outsourced, but will require a strong partnership between TA, Employer Branding, HR, Marketing and Comms. From defining the strategy, identifying the stories, creating the content, managing the campaigns, analysing the effectiveness and refining the strategy over time. 

How will we know it’s working? 

Done well, your investment talent pool engagement will significantly improve hiring outcomes and foster long-term loyalty towards an employer brand.

Don’t believe us? 

Ask our Financial Services client who’ve been able to reduce their external media spend by 90% by investing in talent community engagement over several years. In 2023, one blog article featured in a newsletter achieved more apply clicks than any other external piece of paid or social media. 

When it comes to investing in CRM, think tech and content as two sides of the same coin. Only then will you realise the benefits. 

I had the pleasure of hosting a panel discussion with three of our AMS clients, Barclays, Deutsche Bank and GSK at the 2024 Institute of Student Employers Global Conference last week.

Our panel are tenured Global Early Careers Leads and run recruitment campaigns and programmes across EMEA, the Americas, APAC and India.  It was fascinating to get under the skin of some of the benefits, challenges and regional complexities.
 

What are the advantages and disadvantages of running programmes globally?

My first question to the panel was around the benefits and disadvantages of running Early Careers programmes globally.

We heard about how a global Early Careers programme can provide the c-suite with a global lens on skills, diversity, and other key business drivers.  Bringing in an annual intake to pivot on skills shortages can provide strategic advantage and boost workforce planning efforts.  Different regions and locations bring different skills and the ability to leverage multiple regions and feeding this knowledge into the bigger picture is transformational.  For example, the growing trend of recruiting apprentices in the UK across back and now front office investment banking roles, and the strong growth of technology hubs in India.  

We know Generation Z are globally mobile and expect to be treated like consumers so selling a global product and introducing them to a global network resonates. There are also cost efficiencies around managing partnerships globally, streamlining resources more effectively and using tools and technology at a greater scale. 

Disadvantages mentioned were the time spent on the internal politics and complexity.  HR will drive for global consistency, but the business will often want the opposite so finding that ‘glocal’ approach can be a challenge.  Additionally establishing a global footprint will come with global risk exposure, particularly in the finance sector where managing risk is critical. This can be time consuming to get right and consistent governance and controls will need to be in place and regulated.   

From a marketing perspective, within countries, global brands can be diluted, for example the top ten organisations regularly appearing in the highfliers research are often those with a strong in country focus such as the big 4, NHS and BBC. A brand will have different levels of employee attractiveness across the regions.

 

What are the operational challenges?

I then asked the panel about the operational challenges of running a global early careers campaign.  We covered off multiple factors.  The fact that different universities have different approaches.  For example, some of the legalities in EMEA where universities can dictate salaries to be paid and the complexity of how campus recruiting works in India in conjunction with the campus placement officers.  

Assessment also is different per region so establishing a one size fits all is often not possible. For example, online testing in the US comes with its own legal complexities.  Another challenge is the ease of hiring and retaining the campus recruiter skill set in some countries where is has not been delivered as a specialism previously. 

Furthermore, with the number of stakeholders involved and the interconnection required, it can be complicated to get stakeholders to align and to make decisions.  Data is one of the key benefits of a global campaign but agreeing what to measure can be a complex and needs to have some consistency across an often-divergent process.  

The final challenge discussed was around diversity, equity and inclusion which has different meanings in different countries.  We discussed the focus in India, on gender and disability which is different to the US and UK so trying to find alignment in focus and reporting can be involved. 

What advice would you give to organisations looking to set up a global campaign?

The third question I asked the panel was about advice they would offer for organisations who are looking to set up a global campaign. And the main advice was that no one size fits all.  Consequently, it is key to focus on where your organisation want to be consistent and where it need to be different.  Bringing local embedded subject matter experts together as a global team with a common purpose will be a great starting point.  Matrix ownership can be beneficial i.e., the US regional lead also manages attraction globally, the APAC regional lead also looks after data. 

Alignment is of course valuable, but it is not necessary to shoe-horn countries into a global approach e.g. diversity will always need to be regionally sensitive.  Also, a reminder not to under-estimate the basics e.g. time zones for meetings, and networking events.  We also talked about the importance of working through the balance between cohort hiring and ad hoc hiring as you gradually create some cohesion across the global offering.  

As ever in the world of talent acquisition it is a challenge to balance the needs of the business and what works in recruitment however bringing early careers hires together in centrally managed cohorts rather than on an ad hoc basis does provide the ability to space hiring out.  Moreover, creating greater definition across the application process start dates and deadlines will come with benefits as we increasingly see early careers recruitment stretching across the whole year.

I would like to reiterate my gratitude to our panel members for spending time with us and helping grow our knowledge around global early careers programmes.

At AMS we support over 30 early careers and campus programmes, some global and some regional and have supported with over 28,000 hires this season.  If you would like to talk to us about how we can support you, contact us.

What a whirlwind underway in Austin, TX! As South x Southwest kicked off, people and talent professionals had a day of engaging, innovative presentations of their own to attend – at the TalentNet Live event held last Friday March 8th. TA practitioners, recruiting thought leaders and HR Tech SMEs poured into town to share the latest trends in recruiting and how to stay ahead of the curve.   

Here are my top takeaways from this collaborative meeting of the minds:  

  1. Changing at the speed of light! Here I think I am well-versed in talent tech and relevant use cases. Well, I was surprised at how much new thinking is out there around the application of TA tech. Not to mention, how lightweight the applications are getting, making it easy to dabble.   
  2. Back to basics. There was consensus across our panel Practical AI for Employers, facilitated by Kyle Lagunas – Head of Strategy, Aptitude Research, Nick Livingston – CEO, Honeit, and Allie O’Banion – Seekout, and myself. While there is great interest in bringing AI into the recruiting process, there is also significant apprehension of risk, and frankly a need for education. Education around what can automation do, what is RPA, when to integrate and when to keep tech lightweight, and perhaps most importantly, education around why and how to get out of the Excel workbooks and manual trackers and get data where it belongs – in the ATS or “system of record.”  From there, go beyond the basics, and consider the role of AI as an employer, and how to use it in a manner that enhances user experience, eliminates friction, reduces bias, and makes the recruiting and hiring process fairer and more inclusive. 
  3. First education, followed by disarming the fear surrounding AI.  Robots won’t replace recruiters. This is a people business at its core. And the use of AI doesn’t necessarily increase an employer’s risk profile. In fact, bias can be managed via AI, and increase consistency in the recruiting and hiring process. Consistency doesn’t mean boring and bland. Much of the AI embedded in today’s TA tech can be leveraged to bring brand voice to life while delivering meaningful EVP vignettes across the moments that matter!  
  4. The highest and best use of us humans. Recruiters can be fully present now, in their intake sessions with hiring managers and in their phone interviews with candidates.  Recruiters at their core enjoy engaging with people. You could say a recruiter is part matchmaker and part salesperson.  When assessing your recruiting and hiring processes, or evaluating your tech stack, consider the recruiter persona, as well as your candidate and hiring manager personas. Look at ways to remove friction for all parties, and how to maximize the impact and reach of personal interaction. For instance, the application of AI to recorded transcriptions of intake sessions. No note taking needed, and the recap is likely more comprehensive. Similarly applied to a candidate interview, with the same benefits plus along with highlighting the intersection between the two. 
  5. Authenticity is changing the game. Authenticity in talent attraction includes a peek into a day-in-the-life, realistic job previews, amplification of employee advocacy testimonials, and even leveraging social influencers to drive candidates to jobs.  Authenticity also means  “flawsome” as I like to call it, or imperfectly awesome! Share “the good, the bad, and the ugly…” In fact, this resonated with me when the CEO of Flockity, Tracy Parsons, summed it up with: “Ugly is in the eye of the beholder.” when thinking about whether candidates will be drawn to or repelled by what the job entails in real life.  Or as my grandma used to say, “There is a lid for every kettle.” It’s all about making the match. Borrowing from this popular phrase when talking tech, it’s a feature not a bug.  

All around, Craig Fisher’s TalentNet Live is a not-to-miss for learning, inspiration, and comradery. Yes, tech was a big focus, but tech that enables us to be present and engaged with candidates and hiring managers in this people business we are in. Humanity is shining through more than ever, amidst all the tech. Until next time, TalentNet Live.