From small local businesses to global Fortune 500 companies, employers are confronting an evolving workforce that looks very different from those of the past in three key ways:
- Companies are integrating a greater mix of full-time, part-time and contract employees.
- The working population in the U.S. is growing younger. According to a Pew Research Center analysis of U.S. Census Bureau data, more than one in three American workers were millennials (adults ages 18 to 34 in 2015). And the same year, millennials surpassed Generation X to become the largest share of the American workforce.
- Finally, workforces will continue to become more culturally diverse as well. In the past five years, more than half of newly arrived immigrant workers have been millennials, adding to an already growing mix, particularly in large metropolitan areas.
FACTORS SHAPING A
NEW WORKFORCE PROFILE
Many factors are at play in shaping this new workforce profile, including unprecedented political and economic uncertainty around the world accompanied by stock price volatility and an unexpectedly sustained period of suppressed oil prices. In the U.S. in particular, there is, of course, the anxiety that precedes any presidential election cycle (this time perhaps on steroids), minimum wage increases and rising health care costs.
Companies are also faced with an increasingly aggressive competitive landscape, which requires leaders to continually create greater value at lower cost ”” for the benefit of both customers and investors. Advances in technology and robotics are also replacing the need for large numbers of low-skilled employees in favor of smaller numbers of more highly trained and educated professionals.
INTRODUCING THE GIG ECONOMY
The Intuit 2020 Report shows that about 40 percent of Americans will be part of the gig economy by 2020. Although this shift means many are trading off the relative security of a single full-time income source, the freelance economy offers benefits to both employers (allowing them to lower overhead costs by hiring on-demand) and employees (enabling them to curb recession risks by providing access to “side-gigs” and flexibility).
Whatever the reasons, technology is of course the great enabler of the gig economy, allowing millions to access work anytime, anywhere.
How can companies create and maintain a cohesive and compelling culture?
The answer is by doing what we”™ve always done ”” and then some. Here are four ways to maintain competitive advantage through a cohesive workforce culture.
KEEP THE ORGANIZATIONAL STORY FRONT AND CENTER. The company”™s story is its north star: It provides context about its history and legacy, establishes priorities for the future and tells employees what is expected of them.
To develop this story, we help clients to create a message platform ”” a sort of compass that identifies an organization”™s strategic mission, critical priorities and supporting business actions. When any communication ties back to some element of this framework, over time a consistent sense of what we are trying to accomplish begins to form across the population, as well as the role each individual plays in the overall strategy.
When all workers ”” regardless of their status ”” are anchored to the organizational story, they are able to see more clearly how their efforts lead to success for the customer and ultimately for the whole organization. A brand is only as strong as a customer”™s experience. It doesn”™t matter whether that experience is delivered by an Apple Genius or an Uber driver. In both cases, the customer will form or enhance an impression of the company based on their direct experience.
CREATE A COLLABORATIVE AND ENTREPRENEURIAL ENVIRONMENT (THINK CO-CREATE). Companies should allow for and encourage more flexible pathways for associates to work together and produce results ”” outside of the hierarchical structure.
We have seen many companies redesign their workspaces to support more flexibility and the increasing entrepreneurial drive of its workers. Companies like ADP, PepsiCo and Novartis have invested in workspaces that are multipurpose, open, flexible and offer a variety of environments for both formal and informal meetings.
Ultimately, humans are social animals. Companies that support people working together in a variety of ways will likely find both engagement and productivity gains.
ENCOURAGE OPEN AND HIERARCHY-FREE DIALOGUE. Tools such as Yammer, Jive, Chatter, and Slack ”” as well as the external platforms of Facebook, LinkedIn and Twitter ”” are presenting opportunities for employees and contractors at any level to interact with even senior executives. Serving as an interim communication leader for a Fortune 500 client who was on maternity leave, one of my colleagues noted that she received an instant reply to an IM chat with a business leader, after several emails requesting the same information went unanswered.
MINIMIZE THE DISTINCTION BETWEEN TYPES OF WORKERS. If you”™re on the team, you”™re on the team. What most companies and employees are after is a workplace that is fair, productive and fulfilling. The onus is on managers to ensure that outcomes, expectations, accountabilities and values are clear across the board.
According to The Millennial Generation Research Review, “The No. 1 reason that this age group leaves a job is directly related to a boss.” Moreover, “both millennials and their bosses see necessary growth in areas such as communications as well as the ability to give and receive criticism.” This places increased pressure on companies to train their managers and frontline supervisors in the skills required to communicate openly, effectively and frequently with their teams. Ultimately, this matters more to workers than whether a colleague is a full-timer, part-timer or contractor.
As flexibility becomes an increasingly important value for employees, leading effectively comes right back to the basics: Start with a solid anchor on the mission, plan, implement, listen and adapt.
