Over five years ago, Ardent’s research discovered that the contingent workforce market was becoming more “talent-led” than “commodity-led,” translating into the need for contingent workforce management (CWM) programs to effectively balance the financial and procurement aspects (that they had been leveraging for so long) with the necessary human capital management (HCM) strategies and approaches that were better fits for “people management.”
As discussed in the State of Contingent Workforce Management research study, the depth and quality of talent remains the number-one element in this evolving world of work. Combined with the continued focus on how talent is engaged and acquired, it makes perfect sense that the human resources (HR) and HCM functions play pivotal roles in how the contingent workforce is globally managed. In fact, businesses today already anticipate an uptick in the use of “advanced” CWM capabilities that fall within the HR purview.
The strategies highlighted below all revolve around the key element in the changing world of work: talent. In fact, these advanced, human capital-led competencies are planned to be leveraged to not only improve how the modern business engages and sources its workers, but also how it integrates that talent into the greater organization:
- A formalized “agile talent” strategy (expected to be leveraged by 74% of businesses in two years) is the precursor to building a truly agile workforce, and entails engaging multiple key stakeholders across the organization in an open discussion of their needs, requirements, and expected/planned utilization of specific skillsets for upcoming projects. The agile talent strategy is built from these collaborative efforts and is a robust means of developing the best-fit plan for which staffing suppliers to leverage, the digital options available (i.e., online staffing providers), and how knowledge workers may be integrated in and out of the organization in a flexible manner. The real pursuit of the agile workforce begins with this basic understanding and is strategically developed into a realm of talent can be leveraged dynamically.
- An integrated talent acquisition strategy (planned to be in place in 66% of organizations within the next two years), which is a formulaic foundation to the concept of total workforce management, involves the standardization and centralization of enterprise-wide talent engagement approaches to facilitate superior control and visibility into the totalized business workforce. This integrated talent acquisition strategy (which shares the same blood as what is commonly known as “total talent acquisition”) is ideal for those organizations that desire true agility in how they leverage their total talent pool for critical business objectives. This strategy is crucial in executing the best-possible match between a new project and the ideal talent-based resource.
- The concept of “culture” is a pivotal idea in the changing world of work. One of the underscored benefits of the Gig Economy is the notion that more and more independent professionals are sought-after to address project-based needs. Thus, it is crucial that businesses not only embrace the external workforce, but also attempt to blend these workers into the very cultural fabric of the organization (as 61% of businesses plan to do over the next two years). In an age when collaboration and quality of work are top-of-mind, this forward-looking concept is important in ensuring that both FTEs and non-employee workers coordinate their efforts in a “team-based” manner for the good of projects and initiatives.
- In the “war for talent,” businesses are reimagining their brand (58% over the next two years) to appear more attractive to potential candidates (both traditional and non-employee). As professionals, especially independent workers, judge their next short-term engagement, aspects such as an employer’s brand, its cultural impact, and public perceptions/personas play essential roles. Organizations must think about aspects like its social media presence, how it portrays and promotes its workforce culture, and how diverse and inclusive its hiring processes are.
Check out Ardent’s annual State of Contingent Workforce Management study (or the industry’s only dedicated weekly podcast, Contingent Workforce Weekly) to learn more about the major transformations happening in the world of work.
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