Did you know that there is a significant gender divide when it comes to AI usage and adoption?
Forbes writes: “Artificial intelligence has a gender issue, and it’s not just about the images it creates or the biases that models may include”.
Overwhelming statistical research shows that women use generative artificial intelligence tools less than men do. Surprisingly the gap is biggest among the youngest workers, a new survey from Slack finds. It includes results from a survey of more than 10,000 “desk workers” and found that Gen Z men are 25% more likely to have tried AI tools compared to Gen Z women.
The Kenan Institute has established that nearly 80 per cent of today’s female workers are in jobs exposed to automation via generative AI, compared with 58 per cent of men. These jobs will not be replaced by artificial intelligence, but by people who have mastered AI. And in the current landscape, that means men.
Lack of diversity in AI development
Another factor gives cause for even greater concern. According to a training expert on the Coursera platform, women are underrepresented in the development of AI-related skills. In fact, three times as many men as women sign up for the most popular AI training courses on this platform.
This is not breaking news – a BBC article at the end of 2023 addressed this very issue. They interviewed AI expert Jodie Cook who says there are deeper, more ingrained reasons why women are not embracing the technology as much as men.
“Stem fields have traditionally been dominated by males,” says Ms Cook, who is the founder of Coachvox.ai, an app that allows business leaders to create AI clones of themselves.
“The current trend in the adoption of AI tools appears to mirror this disparity, as the skills required for AI are rooted in Stem disciplines.”
And then there’s the matter of the low representation of women in senior management positions in the fields of science, technology, engineering, and mathematics, and consequently, in AI.
“This is something that we should be keeping an eye on,” says Christina Janzer, head of Slack’s Workforce Lab. “My hypothesis is that the people who are using it today are the people who are going to help shape the future of it. We want those people to be representative of our entire population. That’s not what we’re seeing today. This is a big opportunity for leaders to understand that and to course-correct.”
Psychologist Lee Chambers says that typically female thinking and behaviour may be holding some women back from embracing AI.
“It’s the confidence gap – women tend to want to have a high level of competence in something before they start using it, ” he says. “Whereas men tend to be happy to go into something without much competence.”
Mr Chambers also says that women may fear having their ability questioned, if they use AI tools.
“Women are already discredited, and have their ideas taken by men and passed off as their own, so having people knowing that you use an AI might also play into that narrative that you’re not qualified enough. It’s just another thing that’s debasing your skills, your competence, your value.”
I was interested to see what AI itself had to say on the matter. I asked Copilot “why are women less likely to use AI”? This was the response:
Trust and Reliability Concerns: Some women may find AI tools less reliable or trustworthy. For instance, errors in AI outputs can lead to skepticism about their accuracy.
Perception of Competence: Women often feel the need to emphasize their credentials more to demonstrate their expertise. Using AI might be perceived as undermining their qualifications.
Safety and Ethical Concerns: Women tend to be more concerned about the ethical implications and safety issues related to AI, such as biases in AI algorithms and the potential misuse of AI-generated content.
Personalization and Authenticity: Many women prefer to maintain a personal touch in their work, feeling that AI might strip away the authenticity and personalization they value.
Lack of Awareness or Training: There might be less exposure or training opportunities for women in AI, leading to lower adoption rates.
Then I asked, “What can be done to encourage more women to use AI”? Its response was:
Encouraging more women to use AI involves a multifaceted approach. Here are some effective strategies:
Early Education and Outreach: Introducing AI concepts and technology to girls at a young age through educational programs, workshops, and coding classes can ignite interest and build confidence.
Role Models and Mentorship: Highlighting successful women in AI and providing mentorship programs can inspire and guide aspiring female AI professionals. Seeing relatable role models can make a significant difference.
Inclusive Work Environments: Promoting inclusive and supportive work environments where women feel valued and respected is crucial. This includes addressing biases and ensuring equal opportunities for advancement.
Upskilling and Training Programs: Offering upskilling programs, internships, and gamified challenges can help women develop the necessary skills and confidence to succeed in AI.
Community and Networking: Creating communities and networks for women in AI can provide support, resources, and opportunities for collaboration and growth.
Addressing Stereotypes and Bias: Challenging stereotypes and biases that discourage women from pursuing AI is essential. This can be done through awareness campaigns and by promoting positive narratives about women in tech.
There are several successful initiatives aimed at promoting women in AI – AI4ALL; IBM’s Women Leaders in AI; Women in AI (WAI); Algorithmic Justice League; and Women in Machine Learning (WiML) but more must be done.
So why is it important?
Who develops AI, and what kind of data it is trained on, has gender implications for AI-powered solutions. It mirrors the biases that are present in our society and that manifest in AI training data. In a rapidly advancing AI industry, the lack of gender perspectives, data, and decision-making can perpetuate profound inequality for years to come.
Sola Mahfouz, a quantum computing researcher at Tufts University – “When technology is developed with just one perspective, it’s like looking at the world half-blind,”
As an opportunity, one of the most interesting aspects of the gen-Ai ‘revolution’ is the recognized requirement for a range of soft skills in employees within the field. These skills include critical thinking, problem-solving, and collaboration alongside the ability to communicate the strengths and weaknesses of using artificial intelligence, as well as when not to use it.
Qualities like creativity, persistence and decision-making will grow more and more important as AI and the very nature of the professional world continues to evolve. While technical skills will always prove important, intangibles like these can often make the difference between two equally skilled candidates.
In conclusion, the AI field needs more women, and that requires enabling and increasing girls’ and women’s access to and leadership in STEM and ICT education and careers. Understanding and bridging the AI gender gap is essential for ensuring equitable access and representation in the burgeoning AI landscape.
AI itself says “By implementing these strategies, we can create a more inclusive and diverse AI ecosystem”.
The landscape of tech talent acquisition isn’t just shifting; it’s doing a full-on metamorphosis, like a caterpillar into a butterfly, but with more data and fewer wings.
Economic pressures, tech leaps, and workplace evolution have joined forces like an Avengers team-up, creating a recruitment battlefield where only the sharpest strategies will survive.
To not only survive but thrive in this environment, companies must adopt forward-thinking strategies that resonate with the unique needs and aspirations of today’s tech professionals. In this exploration, we’ll dive deep into the forces reshaping tech talent acquisition, offer thought-provoking insights, and provide actionable strategies for staying ahead of the curve.
Evolving Market Dynamics: Adapting to New Realities
In today’s tech landscape, demand for talent is as relentless as a developer in crunch mode, even with the economy playing hopscotch. However, the profile of the ideal tech candidate and the methods to attract them have transformed significantly.
Economic Pressures and Job Security
The tech industry, once the golden child of stability, has hit some turbulent times, with layoffs and restructures shaking up the job market. This instability has shifted candidate priorities. Today’s tech professionals aren’t just chasing the highest salaries; they’re after roles that offer job security, meaningful work, and alignment with their personal values. Companies that can clearly communicate their commitment to these attributes stand out in a crowded market—just ask Gartner, who’s been preaching this for years.
Supporting this, LinkedIn’s 2024 Workforce Trends report shows a marked increase in the importance of job security and alignment with personal values, especially among younger tech pros. GitHub’s 2024 State of the Octoverse echoes this, highlighting that developers are increasingly drawn to companies with strong remote work policies and transparent communication practices. If your company isn’t on board with these evolving expectations, you might find yourself waving goodbye to top talent.
Workplace Evolution: Beyond Remote and Hybrid
The pandemic might have been the catalyst for remote and hybrid work models, but the conversation has since evolved. The future workplace is shaping up to be a blend of physical and digital environments, where flexibility is the rule, not the exception.
Companies that create work environments integrating autonomy with connectivity are attracting top tech talent like bees to honey. Much like how Google and Microsoft have pioneered flexible work environments, companies embracing similar models see a 22% spike in retention, according to LinkedIn’s 2024 Workforce Trends. If these tech giants are the trendsetters, following suit might not just be a good idea—it could be a survival tactic.
Recent research from Deloitte backs this up, noting that over 50% of tech talent prefers a remote-first model, with many willing to leave their current roles if this flexibility is revoked. Additionally, meaningful work has become a non-negotiable for retaining top talent. Promoting the purpose behind the work itself, rather than just the work, is increasingly crucial—because today’s tech talent isn’t just working for a pay check; they’re working for a cause.
Technological Advancements: The New Frontier in Recruitment
Emerging technologies like AI, VR, AR, and the Metaverse are not only shaping the types of roles in demand but are also fundamentally transforming how companies connect with potential hires.
Harnessing the Power of Emerging Technologies
As companies seek innovative ways to attract and engage tech talent, they’re increasingly turning to a blend of cutting-edge technologies and creative platforms. In-game advertising and platforms like Twitch are becoming powerful tools for reaching potential candidates in their natural habitats. By placing job openings within popular games like Fortnite or sponsoring streams, companies can connect with a younger, tech-savvy audience in a non-intrusive way—perfect for roles that demand a deep understanding of digital culture.
Simultaneously, AI and machine learning are revolutionizing recruitment by enabling more accurate and efficient candidate matching. Gartner reports that organizations using AI-driven recruitment tools see a 30% improvement in hire quality and a 25% reduction in time-to-fill.
However, Otta’s latest analysis points out that while these innovative platforms are gaining traction, traditional recruitment channels like LinkedIn and Stack Overflow still dominate when it comes to sourcing senior and specialized tech roles. The takeaway? Use these new tools to enhance, not replace, your existing recruitment strategy.
Gamification and hackathons are also rising stars in the recruitment process. By integrating gamified challenges or hosting hackathons, companies can identify top talent and assess how candidates tackle real-world problems. However, it’s crucial to ensure these challenges are appropriately designed for the audience. If a task is too simple, it may insult the intelligence of experienced candidates; if it’s too complex, it could alienate less experienced participants.
To strike the right balance, tailor your challenges to match the skill levels you’re targeting, offering different levels of difficulty or focusing on specific competencies. LinkedIn notes that 65% of tech professionals are more likely to engage with companies offering such innovative recruitment processes. So, if you’re not gamifying your recruitment yet, you might want to level up—but remember, the key to success is hitting the sweet spot in challenge design.
Redefining the Tech Candidate Persona: Understanding the New Tech Professional
Today’s tech professionals are more diverse, values-driven, and experience-focused than ever before. To attract and retain this new breed of talent, companies must go beyond traditional recruitment approaches and truly understand the evolving personas of tech workers.
Diverse Backgrounds and Unique Expectations
The tech workforce is becoming increasingly rich in diversity, with growing representation from women, ethnic minorities, and neurodivergent individuals. This expanding diversity brings a wealth of perspectives and values that strengthen the industry. For instance, LinkedIn research highlights that women in tech often prioritize flexible working conditions and a supportive company culture, while men may place greater importance on salary.
These are not just expectations but core values that shape how individuals choose where to work. Embracing and understanding these differences is essential for developing recruitment strategies that resonate—because in today’s tech landscape, one-size-fits-all just doesn’t fit anymore.
Additionally, Stack Overflow’s Developer Survey underscores the importance of work-life balance and the desire for continuous learning opportunities, especially among developers. Companies that can offer growth opportunities alongside a balanced work-life experience are more likely to attract and retain top talent in this competitive landscape. So, if you’re not already offering this, you’re missing out on a significant chunk of the talent pool.
Experience Over Education
The shift from valuing formal education to prioritizing practical experience and demonstrable skills is reshaping tech recruitment. This skills-based hiring approach is gaining traction across the industry, with companies increasingly assessing candidates through real-world tasks rather than relying solely on traditional qualifications. Everest Group’s research shows this trend is particularly evident in roles like DevOps Engineers and Data Analysts, where practical expertise is paramount. In other words, if you’re still asking for degrees over demonstrated skills, you might be sifting out your best candidates.
Values-Driven Employment
Tech professionals today seek more than just a paycheck—they want roles that align with their personal values. Diversity, equity, inclusion (DE&I), sustainability, and ethical business practices are central to their decision-making process. Companies that can authentically demonstrate their commitment to these values will stand out in the competitive tech talent market.
A recent report by SourceCon found that 78% of tech professionals wouldn’t consider a role at a company whose values didn’t align with their own. So, if your company’s values aren’t front and center, it’s time for a rebrand—because today’s talent wants to know what you stand for.
Emerging Trends in In-Demand Tech Roles for 2024
The tech job market continues to evolve, with specific roles in high demand as organizations navigate the complexities of digital transformation. According to Staffing Industry Analysts (SIA), roles such as DevOps Engineers, Solution Architects, and Cloud Engineers are among the most sought-after, reflecting the ongoing shift towards cloud-based infrastructure and the need for seamless IT operations.
Additionally, as noted in recent SourceCon reports, emerging roles like AI Ethics Specialists and Data Privacy Officers are becoming critical as companies navigate the ethical implications of AI and data usage. The demand for Data Engineers and Data Analysts remains robust as companies increasingly rely on data-driven decision-making to guide their business strategies.
Continuous Workforce Planning
A critical development in tech talent management is the shift towards continuous workforce planning. Traditional, static approaches are being replaced by dynamic models that leverage predictive analytics to forecast talent needs. This approach not only helps in anticipating and addressing current skill gaps but also positions companies to better meet future challenges. If you’re not already using continuous workforce planning like industry leaders Google and Amazon, you might be setting yourself up for a rude awakening. These strategies are not just enhancing productivity by 10%—they’re redefining what efficient tech talent management looks like.
Conclusion: Shaping the Future of Tech Talent Acquisition
With tech giants constantly upping their game, the competition for talent is more intense than a coding hackathon. The strategies of yesteryear? As outdated as floppy disks. The future belongs to those who innovate, predict trends, and aren’t afraid to break the mould—just ask the folks at Stripe and GitHub, who are already shaping tomorrow’s workforce.
As you move forward, remember: staying ahead of the curve isn’t just about keeping up with trends—it’s about setting them.
The winners in this tech talent arms race won’t just be the ones who adapt—they’ll be the ones who make the rules. Companies must continuously reassess their talent acquisition strategies and be open to adopting new technologies and approaches as the landscape continues to evolve.
Because in the world of tech, if you’re not setting trends, you’re following them, and no one ever became a leader by playing follow the leader.
To thrive in the evolving tech landscape, companies must not only adapt to the present but actively shape the future by embracing innovation, flexibility, and purpose-driven strategies that resonate with today's tech professionals
Imagine talent acquisition as a vast ocean, teeming with potential and possibility. But here’s the catch: the most valuable treasures don’t simply wash ashore—they’re hidden deep beneath the surface, in the currents and caverns of passive talent pools.
To thrive in this environment, you can’t rely on chance encounters or the occasional fishing expedition. You need to cultivate a sustainable talent ecosystem—a dynamic, ever-evolving community that not only attracts the best candidates but also nurtures and engages them long before they’re ready to make a move.
In today’s hyper-competitive landscape, where the race for top talent has never been fiercer, traditional approaches to Talent Communities are the equivalent of casting a net and hoping for the best. But what if, instead of merely fishing, you could create your own thriving marine reserve? A place where talent grows, flourishes, and becomes deeply connected to your brand before ever stepping through your door.
According to Bersin the linear career paths of yesteryear have given way to a landscape where experiences, purpose, and company culture are king. Deloitte goes further stating, the allure of a compelling mission and purpose now outweighs mere job titles for many top candidates, especially in the tech industry. It’s not just about filling positions; it’s about aligning with the values and aspirations of the talent you seek to attract.
This is the promise of a well-crafted Talent Community—an intricate, living system that, when managed properly, ensures your organization is never short of skilled, engaged candidates.
Let’s dive into the depths of Talent Communities, exploring how they transform the way we think about talent acquisition, making your organization not just a destination, but a journey that top-tier talent wants to be a part of.
Defining Talent Communities
So, what exactly is a Talent Community? Picture it as a thriving coral reef, teeming with diverse, passive talent that’s carefully nurtured over time. Unlike traditional talent pools that merely serve immediate hiring needs, Talent Communities are the deep-sea currents, constantly moving and evolving, designed to cultivate a rich pipeline of candidates who are primed and ready when the right opportunity arises.
These communities are strategically segmented by demand, enriched with personalised content, and sustained by continuous engagement, making them a vital asset for any organization looking to navigate the ever-changing tides of talent acquisition.
Key Characteristics of Talent Communities:
Demand-driven segmentation: Talent Communities are meticulously segmented by job families and geographic regions, ensuring every interaction is relevant and targeted.
Curated nurture journeys: Each segment receives a bespoke journey—think exclusive videos, content that shows what life is really like in the business and virtual events—that immerses them in your company’s culture and opportunities.
Dynamic engagement: Far from static, Talent Communities are living ecosystems where ongoing interactions keep candidates engaged and ready for the right opportunity.
Strategic asset: These communities are not just about filling vacancies; they are about cultivating a loyal network of brand advocates who will champion your organization long before they join it.
Brand advocacy: Members of your Talent Community become ambassadors, spreading the word about your company’s values, culture, and career opportunities to a wider audience.
Talent Community Dependencies
Building a thriving Talent Community requires more than just good intentions; it demands the right tools, the right people, and a strategic approach. At the heart of any successful community lies a powerful CRM system—a hub that not only organizes and tracks candidate interactions but also drives the entire engagement process.
Technology: Configuring Success
A CRM system is much more than a database; it’s the nerve centre of your talent strategy. Industry leaders like Avature, Phenom, and Beamery offer platforms that do it all—from evaluating candidates to automating workflows and even providing insights through sophisticated analytics. But the technology is only as good as the strategy behind it. A seamless integration between your ATS and CRM, combined with tailored nurture journeys for each talent segment, is key to building a community that thrives. (See AMS Verified for an easy way to compare CRM’s)
Success in this realm also requires constant monitoring and tweaking. Governance is essential, as is a team of dedicated professionals who can translate the raw data into actionable insights. KPMG advocates for treating talent pools like supply chains—planned and cultivated well in advance, rather than sourced in response to immediate needs.
Personnel: Driving the Talent Community Strategy
Behind every successful Talent Community is a team of specialists working in harmony to execute the strategy. Whether it’s a Talent Community Specialist, Talent Intelligence experts, or Talent Attraction professionals, each plays a critical role in ensuring the community’s health and effectiveness.
Talent Community Specialist:
These professionals are the gardeners of your talent ecosystem. They segment the talent pool, monitor its health, and ensure that every candidate is on a tailored journey that aligns with your brand’s values and objectives.
Talent Intelligence:
With their fingers on the pulse of the talent market, these experts provide insights into the size and location of talent pools, helping to refine and optimize your community over time.
Talent Attraction:
Crafting the content that fuels engagement, Talent Attraction specialists ensure that every communication resonates with the intended audience, keeping your community vibrant and active.
Sourcing:
These individuals are the frontline, growing your Talent Community by identifying and nurturing candidates who may not be actively seeking new opportunities but are open to the right offer when it comes.
Content: The Cornerstone of Engaging Talent Communities
Content is the heart of your Talent Community, transforming passive candidates into engaged participants. Authentic, personalized, and value-driven content can turn a community into a powerful brand advocacy engine. Deloitte references that almost a third of new workers leave their jobs within the first 90 days due to unmet expectations on Culture (Deloitte) Many Industry experts are beginning to note this change in what candidates expect, with Bersin and also SIA recently referencing the need to engage with talent in a more thoughtful way (SIA 2023)
Personalized Content:
Candidates crave content that speaks directly to them—their goals, their interests, their aspirations. Whether it’s virtual coffee chats, industry insights, or exclusive events, personalized content keeps your community engaged and loyal.
Diverse and Multi-Format Content:
In today’s digital age, content must be versatile. Text, video, audio—each format has its place in delivering a rich, engaging experience that resonates with different segments of your community. Remember, 86% of candidates read company reviews before applying, making it crucial to present a diverse and authentic portrayal of your company culture. (Glassdoor)
Keys to Successful Content
Success in Talent Communities hinges on collaboration, strategy, and authenticity. A well-rounded content strategy that includes everything from newsletters to exclusive VIP content ensures that candidates remain engaged and connected. Authenticity is key—your content must genuinely reflect your company’s culture and values, fostering a deeper connection with potential candidates.
Anticipated Outcomes
When done right, Talent Communities can dramatically influence direct hires, reduce time-to-hire, and improve the ROI of your recruitment channels. Moreover, by maintaining a robust, engaged talent pool, you’ll see long-term savings and a more consistent candidate experience, ultimately enhancing your ability to attract and retain top talent.
Through our experience we have noted the following:
Talent Community Influence: AMS data reveals that 10-20% of direct hires can be directly traced back to these thriving ecosystems. In industries as varied as Defence, Energy, Professional Services, Banking and Pharmaceuticals, Talent Communities have proven their worth, shifting the hiring landscape. Although external benchmarks are scarce, a 2022 poll by Recruiter.co.uk found that inhouse recruitment teams across the UK credited Talent Communities for about 20% of their direct hires, showing that when communities are nurtured right, they deliver results.
Speeding Up Success: In the race to secure top talent, time is everything. AMS’s success stories highlight that implementing a robust Talent Community strategy can slash time-to-hire by 15-20%. With candidates already engaged and primed, you’re not just speeding up the hiring process—you’re doing it with precision.
Maximizing ROI: Tracking the origins of your hires is like finding the golden thread that ties your recruitment efforts together. By pinpointing the original source of each hire, organizations can refine their strategies, doubling down on what works and eliminating what doesn’t. The result? A smarter, more efficient investment in the channels that yield the highest returns.
Strategic Cost Savings: One long-term AMS client saw a remarkable 90% reduction in media spend by building a strategically focused Talent Community. By prioritizing targeted content and effectively utilizing CRM across all channels, they didn’t just reduce costs—they enhanced efficiency, demonstrating that a well-maintained talent pipeline is a smart investment for sustained savings
Crafting Positive Candidate Journeys: Not every candidate will be the right fit, but with a nurturing strategy, even those who don’t make the cut leave with a positive impression. By sharing culture-rich content that resonates with your core values, you attract candidates who are not only skilled but also aligned with your company’s ethos—boosting productivity and retention rates along the way. (Deloitte)
Championing Diversity: A well-maintained Talent Community isn’t just a reservoir of skills—it’s a gateway to diverse talent. Through targeted engagement and thoughtful nurturing, these communities become a magnet for candidates from a variety of backgrounds, ensuring that your future workforce is as diverse as it is capable.
AI and The Future
Artificial Intelligence is no longer a futuristic concept; it’s a game-changer in the realm of talent acquisition. As AI continues to integrate with CRM systems, it promises to revolutionize how we manage Talent Communities. From automating tasks to providing deeper insights into candidate behaviour, AI is set to enhance every aspect of your talent strategy, enabling a more proactive and efficient approach to building and maintaining talent pipelines.
Conclusion
In 2024, Talent Communities are no longer just ripples in the ocean of talent acquisition—they’re the undercurrents shaping the entire seascape. As the tides of the talent market continue to shift, those who harness the power of these communities will find themselves not merely staying afloat but navigating with precision.
By fostering deep, meaningful interactions and crafting personalized nurture journeys, Talent Communities become the lifeblood of your organization’s future. They transform brand advocacy into a tidal force, guiding the most sought-after talent straight to your shores.
In an increasingly competitive environment, Talent Communities aren’t just a strategy—they’re the sustainable course to long-term success.
"It’s not just a job they want—it’s a job with purpose, and leaders are trying to meet that expectation."
Earlier this year AMS asked talent leaders across the globe their opinions on the ‘green skills’ crisis. Shockingly, 84% of respondents said something needs to be done urgently to address the green skills gap, but only 7% think something will!
I was expecting this headline to be part of the new whitepaper around green skills we have developed on the basis of our outreach and research, but actually seeing it brought to life through real data was certainly a sobering thought.
We also asked our respondents what the barriers are to bridging this gap and what needs to be done, to get to where we need to be. The insights that followed were fascinating and revealed that whilst a lot of work is required, optimism still remains among those tasked with creating the strategies for global talent in their organizations.I would encourage anyone who has an interest in talent strategies to help us achieve our sustainability imperatives to download the whitepaper here.
HR and talent leaders are uniquely positioned to be a powerful force in closing the green skills gap and supporting sustainability efforts and our whitepaper shines a light on some of the areas that could make a real impact.
We conclude our whitepaper with the following recommendations;
Embrace a long term mindset
Champion collaboration
Apply green skills with a fresh lens
Let your green show
Prioritize specialized training and development
‘Green skills’ apply to every industry in the global economy and all organizations will have to adopt a green skills talent strategy at some point in the near future. Those looking to secure a strategic competitive advantage will act now!
If we want to address the green skills gap, we need to understand that all future job roles will require green skills.
Earlier this week, I was delighted to host a number of Human Resources and Talent Acquisition leaders to discuss insights from the latest report in our Talent Climate Series – Talent Acquisition at a Crossroads – alongside Josh Bersin, Global Industry Analyst and CEO of the Josh Bersin Company.
The Talent Climate Report
This report, for anyone who hasn’t yet read it, makes for fascinating and important reading, highlighting that the Talent Acquisition (TA) industry is at a critical pivot point with most TA Leaders not only identifying skills shortages as one of their top issues but also adding that they are under tremendous pressure to improve the efficiency of their recruitment processes. With many leaders feeling that they require more training, while also struggling with a lack of strategic direction and support from other leaders in the business; something has to give.
Talent and skills within an organisation, impacts everyone within that organisation. Regardless of role or level, we all need talent and skills to deliver, innovate, and drive high performance. So, whilst this report focuses on the perspective of TA and HR Leaders, this critical pivot point that the industry finds itself at, is most definitely not exclusive to TA or HR departments.
This, and much more, was discussed in what was a fantastic evening welcoming leaders with a diverse range of perspectives into AMS’s new 60 London Wall Office.
So, what were my key takeaways from the session?
1 | Positioning TA as a Strategic Business Partner
Having worked across various industries and observed talent and skills from a TA and wider business perspective, I wholeheartedly agree that businesses need to place emphasis on effective strategic partnering with their TA Leaders. The reports shows that only a third of TA Leaders surveyed said they were involved in any strategic planning. Even likening themselves to being “an Amazon fulfilment centre for humans”.
If TA do not have a seat at the table, then businesses are missing a critical opportunity to set themselves up for success. However, this works both ways and we cannot always wait quietly for an invitation, instead this is a wake-up call for TA Leaders – do we want to be a fulfilment centre or a strategic partner?
We must be bold, confident in our expertise, and ask the right, often challenging, questions of the business. Tell people what you do and how you can best support the organisation.
2| Culture is Key
On the topic of what makes a high performing company, over and above understanding your company’s financial or operational goals – do you fully understand and feel comfortable articulating the company mission, vision, purpose, and value proposition? A mixture of tangible and intangible things that when lived and breathed across an organisation create a strong culture of engaged, motivated, and passionate people all working towards a common purpose.
If companies don’t get this right then how can they retain talent, and importantly from a TA perspective, how can we understand in those early stages whether someone who wants to work with you will ultimately help to build or lower your talent density?
Interestingly, although unsurprising to me knowing the wealth of talent we have at AMS, one company did an analysis of what makes great performers within their organisation and found that the Recruiter was the common denominator. It is the Recruiter and their human touch of knowing all about the DNA of the company and what makes people successful there that made all the difference.
3| Internal Mobility and People Development
Related to culture and high performance is the subject of Internal Mobility, which was an interesting point of discussion, as when talking about TA it can be easy to focus on bringing new talent into organisations from the external market but it’s critical that we also place importance on strong internal mobility to recognise, develop, and retain the talent businesses already have.
It is shown that organisations with a strong focus on internal mobility, perform better. While it seems like this should be straightforward, in practice, many factors can challenge or hinder effective internal mobility that meets both business needs and the employee’s career aspirations, sense of value, and engagement.
Managers naturally want to keep their talent within their own team, Recruiters have a tendency to want to look externally, and if the cultural storytelling around how to grow and build your career within the organisation isn’t quite right then employees lack clarity and motivation.
We need to boldly make it clear to managers that it is their job to develop people, they aren’t just “looking after” employees for the organisation, they have a responsibility to contribute to the growth of talent and the shared success that will bring. This could include evaluating managers based on whether their team members receive promotions or make successful strategic lateral moves, whether they have development plans in place, and the increased value they provide to the organisation.
It’s all about taking the manager population on a journey, helping them see their own development potential and value, and crucially, help theming feel that they all work in the talent management business, every hire and every individual’s development is and should be strategic.
This is just a snapshot of the many relevant topics we discussed. The conversation concluded with thoughts on the future outlook: all businesses are experiencing change, transformation, or evolution, which naturally impacts hiring. The market remains challenging, and workforces will continue to be more demanding.
However, it was positively acknowledged that Talent Acquisition is one of the most important roles in the business and will become increasingly strategic, if we as a collective focus on what needs to be done to get there.
A huge thank you to Josh and everyone who attended, each bringing their own wealth of knowledge and expertise to our discussions. I can’t wait for the next opportunity to connect and continue these vital conversations.
In the meantime, we’ll be keeping a close eye on these themes and continuously improving our services across AMS to ensure we remain the best strategic partner to our clients.
One of the most prevalent questions that hiring leaders ask my team is something to the effect of, “What talent technologies should we use?” When probing a bit further, the question usually turns to how to decrease cost, increase speed, drive efficiencies, improve speed to productivity, and/or increase quality.
Ultimately, the underlying question is, “How can we create better hiring experiences that result in significantly better business outcomes?”
Historically, we may have said that HR, and more specifically Talent Acquisition, is a laggard when it comes to having access to great technology compared to other parts of an organization. That’s no longer the case. The technology exists, but the lag now is in putting the right solutions together and orchestrating the experiences. This means that we can now lead the hiring experience design, particularly in high-volume hiring, based on technology first.
Instead of trying to determine what recruiting teams will do and then plugging in enabling technologies based on gaps or manual tasks, lead with the technology and then determine where and how people should be activated into the experience to achieve better outcomes.
If we look at the common challenges in high-volume hiring, they are generally around high no-show rates, low retention, and a mismatch of candidate and company expectations. So, what roles should exist in a high-volume recruitment team if you already have a technology-led experience that enables application to offer in a matter of minutes?
Insights and Success Project Managers: Team members that are looking at sentiment analysis and performance metrics across all personas in the hiring process, identifying early indicators, and creating action plans. These roles would be highly skilled in using AI and insights-based data and analytics to develop systematized action plans that guide Brand and Attraction Strategists, Digital Experience Analysts, Recruiters, and other team members on where to focus. Think about these individuals as having a Scrum Master-like role.
Brand, Content, and Campaign Strategists: Team members that deeply understand personas and localized nuances, focusing on leveraging the company’s EVP to develop and execute content and marketing strategies through multi-channel approaches. These roles are highly skilled in leveraging technologies such as content management systems, programmatic advertising, and social listening.
Digital Experience Analysts and System Administrators: Individuals who focus on creating the experience and optimizing digital interactions while also ensuring the core recruiting platforms are configured in a way that optimally supports the process. These individuals will collaborate cross-functionally with Employer Brand/Recruitment Marketing, Recruiters, Analysts, TA leaders, and TA technology partners to evolve the experience, perform system configuration, develop prototypes for evolved experiences, and provide overall project management to execute iterative changes.
Experience Agents: Experience agents are team members that ensure candidates do not get stuck or slip through the cracks. While Digital Experience Analysts will undoubtedly focus on ensuring candidates are cared for through strong technology configuration and design, there may be times when a candidate needs an off-ramp, or a person needs to step in. These roles are like customer service representatives that we may experience in our consumer life when the self-serve or digital assistant just can’t quite resolve the situation for us.
Recruiters: I hope you did not think I was going to say that Recruiters do not have a role in technology-first high-volume hiring! At the end of the day, we are all people who crave human interaction, including the most introverted individuals. Even with the best technology, there is a level of trust and encouragement that only human-to-human interaction can deliver. Recruiters have a critical role in high-volume hiring to have consultative conversations with managers and handle the important touchpoints that it may take to convert and retain candidates in an organization.
Now the roles may not be labeled exactly as these titles or there will be some nuances in the skills and roles for your specific business. When you have successfully designed and activated a technology-first high volume solution, you likely will not need as many people.
However, the roles and type of the work being done by people is increased in strategic value and, overall, the solution should yield materially improved business outcomes. These outcomes should be measured through sentiment analysis, time, quality, and speed, as well as linked to overall business outcomes such as productivity and sales metrics.
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 Nationreport, 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 Indexis the leading national study analysing the efforts of employers to improve social mobility within the workplace.
The Sutton Trustchampions 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.
AMSTalent 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 likeRecruit 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.
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.
Artificial Intelligence (AI) is revolutionizing the TA landscape, promising increased efficiency, reduced costs, and a more nuanced approach to hiring. A McKinsey & Company study states that 40% of recruiting tasks could be automated, while current estimations suggest as much as $5,000 to $10,000 per hire could be saved using Generative AI (Gen AI). This transformation will allow TA and HR professionals to focus on strategic business issues, enhancing the quality of hires and building better teams. However, AI is difficult for companies to navigate, and many companies are still establishing their AI policies.
Speed of AI adoption is unprecedented
The rapid adoption of AI technologies underscores the public’s readiness to embrace intuitive and versatile technology. Gen AI, subset of AI technology that can generate new written, visual, and audio content by using datasets it is trained on. Gen AI also offers dynamic problem-solving capabilities and heightened personalization.
Current AI capabilities in TA
Gen AI is already enhancing efficiency and candidate experiences in several areas:
Create targeted job descriptions
Create online advertisements
Write copy for candidate outreach emails
Summarize feedback after an interview
Conduct interviews with candidates
These AI applications allow TA and HR professionals to focus on more impactful work. We believe AI will unleash a productivity boom, freeing recruiters from time-consuming repetitive tasks so they can focus on what they do best – building connectivity with candidates.
Barriers and challenges to AI adoption
The fluid regulatory landscape poses challenges for AI adoption. Laws such as the NYC Bias Audit Law (effective July 2023) mandate independent audits of AI in decision-making, creating constraints for companies. Multinational firms face additional complexity with varying regulations across regions.
Enterprises buy new technology slowly. The necessary rigor around the deployment of AI tools in companies clashes with the start-up culture of the Silicon Valley. Implementing this new AI technology in organizations takes time. There is a lag between AI capabilities and when companies and their employees are willing to embrace the new technology.
Responsible AI is crucial
Responsible AI is the practice of developing and deploying AI in a fair, ethical, and transparent way. Companies have a responsibility to ensure that AI systems are aligned with human values and do not harm individuals or society. The use of AI in talent acquisition raises ethical challenges around bias, discrimination and transparency that must be carefully monitored and addressed.
How companies are implementing AI
Companies have three primary approaches to adopt AI
Buy AI Solutions: Fast implementation but limited customization and bespoke features.
Build AI Solutions: Full customization but high development costs and maintenance responsibilities in perpetuity.
Outsource AI Solutions: Cost-efficient with expert support but less control over the AI development process.
Partners with global reach and ongoing investment in AI capabilities can provide on-demand access to advanced AI tech, helping organizations navigate the evolving landscape. Companies that decide to build their own AI tools will need AI engineering capability and integration resources. As AI tech evolves, continually testing for bias performance and other issues will also be required. Any company contemplating building AI tech in-house should be prepared for this level of commitment and expense. For most firms, this is impractical as their primary business endeavors consume most of their tech resources.
Future state
The future of work will be digitally driven, beginning with TA. AI will enable new ways of working, improving efficiency and candidate experiences. TA and HR leaders must prepare for a future where AI is integral to TA processes, ensuring their organizations remain competitive and attractive to top talent.
AI’s transformative power in talent acquisition is undeniable. TA and HR leaders must act now to implement AI strategies or risk falling behind. Partnering with AI experts can provide the necessary support to navigate regulatory challenges, manage ethical considerations, and realize AI’s full potential. By embracing AI, organizations can enhance their TA processes, driving success and innovation in the digital age.
We believe AI will unleash a productivity boom, freeing recruiters from time-consuming repetitive tasks so they can focus on what they do best – building connectivity with candidates.
