The Impact of Employment Trends on Employers...

18
The Impact of Employment Trends on Employers 2020 18/4/17

Transcript of The Impact of Employment Trends on Employers...

Page 1: The Impact of Employment Trends on Employers 2020employment.jdc.org.il/sites/default/files/knowledge... · means of bridging gaps Employees in the organization differ according to:

The Impact of Employment Trends on Employers 2020 18/4/17

Page 2: The Impact of Employment Trends on Employers 2020employment.jdc.org.il/sites/default/files/knowledge... · means of bridging gaps Employees in the organization differ according to:

© 2016 Brightman Almagor Zohar & Co. 2

Trends are naturally continuous, with varying power and

characteristicsThe work refers to significant trends within the given time frame- until 2020

2015 2020 2025 2030

A trend that has begun and is expected to strengthen during the analysis

A new trend to be developed during analysis

A stable trend but significant during the analysis

An Existing trend that is expected to change characteristics

Analysis Frame

Page 3: The Impact of Employment Trends on Employers 2020employment.jdc.org.il/sites/default/files/knowledge... · means of bridging gaps Employees in the organization differ according to:

3

Methodology: examination of global trends and unique characteristics of the Israeli employment market to formulate number of core trends, while examining the relevance to unique populations

Identifying leading world trends

Addition of unique characteristics of the Israeli employment market

Formulating the core trends that influence the Israeli employment market in 2020, while examining

the relevance to unique populations

Global Trends

Local Characteristics

Core Trends

Validation by employers

Interviews with Israeli organizations to

examine how they cope with these core

trends

Page 4: The Impact of Employment Trends on Employers 2020employment.jdc.org.il/sites/default/files/knowledge... · means of bridging gaps Employees in the organization differ according to:

4

Trends DescriptionRelevance to

specific populations

Continuous Skill Improvement and

Innovation

• Requirement for technological skills and information usage • Global organizations that require international cooperation

• Rapid change of professions and tasks- the need for continuous learning

• Enriching employees as a source of innovation

Diverse Employment Market

• Maximization of potential inherent in diversity employees for innovation and creativity in business

• Meeting the unique needs of unique populations

• Coping with gender gaps- quality jobs for • Second/Third careers –

o Increase in life expectancy led to adult employment

o Adult employments is sometimes a response to gaps in the workforce

Employee Engagementas a Key to a Thriving

Organization

• Balancing work and family life • Feedback to employees and manager-worker relations

• A strong sense of purpose, organizational culture that encourages excellence

• Customizing conditions and tasks according to the needs and abilities of workers

The Need for Development

Opportunities and Professional Adaptation

• Development tracks for attracting employees

• Identification of potential managers and outstanding employees on an early stage and their development

• Learning (training)

Change of the Traditional Work

Structure

• Teamwork and project work, employee mobility • Decentralization of the workplace and work-hour flexibility • Technology that changes the nature of work e.g. remote access • Design of the physical work environment (e.g. open space)

Classification of various changes in the employment market into categories and analysis of their relevance to the integration and advancement of unique populations (1 of 2)

Page 5: The Impact of Employment Trends on Employers 2020employment.jdc.org.il/sites/default/files/knowledge... · means of bridging gaps Employees in the organization differ according to:

5

Trends DescriptionRelevance to

specific populations

Change in Recruitment Processes

• Proactivity in employee recruitment, competition for employees

• Proper management of temporary employees to increase productivity

• Smart use of information to understand employees needs and to shape their experiences

• Frequent recruitment cycles and coping with gaps in manpower

Information Based Work Processes

• Information based decision making (Big Data)• Advanced information systems

Coping with Economic Changes that Affect

Employment

• Reducing man-power due to economic crisis and technological developments

• Reforms to increase competition- short-term harm to workers• The emergence of new industries

Classification of various changes in the employment market into categories and analysis of their relevance to the integration and advancement of unique populations (2 of 2)

Page 6: The Impact of Employment Trends on Employers 2020employment.jdc.org.il/sites/default/files/knowledge... · means of bridging gaps Employees in the organization differ according to:

6

Core trends that were formulated by composing global trends and unique characteristics of the Israeli employment market, while examining the relevance for unique populations

Continuous skill improvement and innovation

Diverse employment market

Change in traditional work structures

Need for opportunities for employee development and professional matching

Employees engagement as key to a thriving organization

Changes in the recruitment processes

Page 7: The Impact of Employment Trends on Employers 2020employment.jdc.org.il/sites/default/files/knowledge... · means of bridging gaps Employees in the organization differ according to:

7

The modern work environment, which includes technology, globalization and innovative work structures, requires constant updating of skills of all employees

Sources :Skills for a Digital World, OECD, 2016Deloitte Global Human Capital Trends 2016

Appropriate skills are needed to integrate digitization into work, even in jobs that do not

require high skills (blue collar). However, ICT skills are insufficient and employees need

additional skills, such as the ability to work collaboratively and flexibility

Continuous updating of employee skills, strengthening basic

education, providing incentives for further learning and improving

training programs for the unemployed

Improving the organizations

performance and increasing

competitiveness while reducing

inequality among employees

Encouraging innovation through dialogue between employees and

managers, obtaining opinions from all levels of the organization,

supportive management that recognizes innovative employees and

space for initiative and employee innovation

Signs to shift from a worker focus to an innovation worker focus: a worker who is creative, agile and

committed to continuous learning

• In most OECD countries, about 95% of employees in large companies and 65% of small business employees are

required to use the Internet

• About 25% of the average workers in the OECD are engaged in jobs in which a large part of the tasks will become

automatic and they will be required to perform more complex tasks using modern technologies

• In Israel, 57% of the population have no ICT skills or only basic skills (compared to an average of 50% in the OECD)

• In Israel, only about 10% of those aged 55-64 have advanced ICT capabilities. Employees with advanced ICT

capabilities are expected to earn 27% more

Technology becomes an integral part of the modern working environment

Page 8: The Impact of Employment Trends on Employers 2020employment.jdc.org.il/sites/default/files/knowledge... · means of bridging gaps Employees in the organization differ according to:

8

Providing appropriate conditions and responding to the needs of unique populations in order to integrate them into the employment market in a way that will enable increased productivity and efficiency

Sources: Fostering Diversity in Public Service, OECDBecoming Irresistible, Deloitte (2015)

Perception of diversity as an asset rather than a problem

DiversityResponding to

employees needs

Efficiency and

increased output

organizations that provide social benefits (like transportation),

accommodations between the work environment and cultural needs and

means of bridging gaps

Employees in the organization differ according to: age, religion, gender, education, language

Improving efficiency and

effectiveness along with

understanding the population

needs and responding to the

employees professional

expectation

• Management of diverse employees is essential for implementing effective management in an organization

• In order to accommodate diverse employees, managers should be prepared to make changes

• Employee diversity requires more than the creation of equal employment opportunities. It requires

creating dialogue between employees (e.g. staff meetings), providing mentoring and escorting

employees , adapting the work environment and its conditions to the needs of employees, fighting

discrimination and exclusion

Responding to

recruiting

difficulties

Increasing

engagement

Improved

customer

service

Involvement in the

community as a

potential for locating

new employees,

donors and investors

Leveraging

innovation and

problem solving

skills

Promoting

organization

values

Advantages of employee diversity for employers

Organizations with diverse employees culture are expected to perform 80%

better than their colleagues

Page 9: The Impact of Employment Trends on Employers 2020employment.jdc.org.il/sites/default/files/knowledge... · means of bridging gaps Employees in the organization differ according to:

9

perceiving the employee as a customer to increase employee engagement

Sources: Employees as Customers, Deloitte 2016Becoming irresistible A new model for employee engagement, Deloitte, 2015

perceiving the employee as a customer by responding to its needs as a key to improving professional / business

results and employee experience

A new career model to attract and engage employees, with an emphasis on employee making • Employee segmentation

• Journey mapping and

participative platforms

• Personalization – analysis of

personal data for better

decision making

• Ethnographic research and

participative platforms

Tools for example:

The main factors for employee engagement

Significant workFlexible work

environment

evaluation of

employees(feedback, worker-

manager relations)

A diverse organization

were people feel

comfortable being

'themselves'

Development

opportunities and

mentoring

employees

Deloitte's study shows that:

• While 81% of the companies measure and analyze the customer experience, only 31% measure the employee

experience

• While 90% of organization managers understand the importance of employee engagement, only 50% know how to

develop it

Page 10: The Impact of Employment Trends on Employers 2020employment.jdc.org.il/sites/default/files/knowledge... · means of bridging gaps Employees in the organization differ according to:

10

Learning opportunities, professional development and career advancement are key drivers of employee satisfaction

Source: Becoming Irresistible, Deloitte (2015)

• Providing new and varied tasks for the development of employees

• Using data analysis and online tools to identify outstanding employees

• Intra-organizational mobility of employees

Studies and surveys conducted by organizations around the world show:

Employee development

• Enables the organization to differentiate itself from its competitors

• Responding to the need of the current generation of employees for personal development

• The contents of the study are available both internally and externally to the organization and digitally

• Continuous process

• Interactive training (includes video and simulations, for example)

A learning environment

Organizations with strong learning culture are 92% more likely to

develop new products and processes and are 52% more productive

The degree of employee commitment and the ability to keep them in the

organization that has a strong learning culture is 30%-50% higher

The main factor that will lead to the departure of workers is the lack of

career development

Organizations with a strong learning culture are more profitable in 17% of

their competitors

Page 11: The Impact of Employment Trends on Employers 2020employment.jdc.org.il/sites/default/files/knowledge... · means of bridging gaps Employees in the organization differ according to:

11

Changing the traditional work structure and emphasizing employee mobility, while enabling remote work and flexibility in working hours

Source: Deloitte Global Human Capital Trends 2016

• Enables employee mobility (selecting the right employee for each task) according to the needs and abilities of the employees and the integration of freelancers into specific tasks that are usually not in the core of the organization

• A network of small and powerful teams is made possible by empowering employees and providing responsibility, strong communication between employees, and rapid information flow

• Other possible organizational structures: Boundaryless structure, virtual collaboration, matrix of functionality and mission, ...

• Examples of applications include: shared and dynamic work spaces and project work

Work anywhere and anytimeOrganizational flexibility

More attractive jobs that allow flexibility between family and work and increase the engagement to the organization

Difficulty managing employees in different places and under different contracts

A traditional functional hierarchical structure

A network of task-focused teams

Decentralization workplace benefit and the employees - conditions for success:

• Work that can be done independently

• Technology is available to perform remote work

• Productivity measurement capability

• Using the Internet as a platform for social interaction that will lead to innovation and creativity

• Quality management skillsA global survey conducted by Deloitte shows that only 24% of large companies remain in

a traditional organizational structure

Page 12: The Impact of Employment Trends on Employers 2020employment.jdc.org.il/sites/default/files/knowledge... · means of bridging gaps Employees in the organization differ according to:

12

Changes in recruitment as a result of an increase in temporary employees, data-based decision-making capabilities and the changing needs of employees

Sources: HR Technology Disruptions for 2017: Nine Trends Reinventing the HR Software Market, Deloitte, 2016Deloitte Global Human Capital Trends 2016

• Coping with an increase of temporary workers

(freelancers, part time employees) by formulating an

appropriate employment model and using systems and

technologies

• Employing temporary workers as an opportunity for

increased efficiency and productivity by outsourcing of

non-core activities and focus on core activity by full

time job employees

• Designing the employee and candidate experience to

increase the employees engagement to the organization,

using data to understand the employees needs

• Coping with more frequent recruitment cycles by

identifying employees who are expected to be more

loyal

• Using data analytics to make smarter hiring decisions

while understanding the employees needs

• Data analysis will enable understand when and why the

employees will leave the organization, the reasons for

joining the organization, etc

• Data analysis is based also on external data (e.g from

social networks) to generate forecasts of trends in the

labor market and to identify potential employees

The role of human resources extends to the role of innovation consultants who are responsible for

designing, improving and simplifying the experience of the candidate and the employee in the

organization

• Adapting the recruitment process to the characteristics

of the Y and Z generations, which aspire to a quick,

transparent and digital recruitment process

• Competition for employees, even in jobs that do not

require high skills, which requires a shift to proactive

recruitment, including the use of social networks

Temporary employeesDesigning candidate experience

Fast and proactive recruitmentData analysis

Page 13: The Impact of Employment Trends on Employers 2020employment.jdc.org.il/sites/default/files/knowledge... · means of bridging gaps Employees in the organization differ according to:

13

Case Study Analysis: how do selected companies in the industry deal with the identified core trends?

Page 14: The Impact of Employment Trends on Employers 2020employment.jdc.org.il/sites/default/files/knowledge... · means of bridging gaps Employees in the organization differ according to:

14

a leading organization in the food industry - main activities in relation to core trends

Continuous skill improvement and

innovation

Diverse employment

market

Change in traditional work

structures

opportunities for employee

development and professional matching

Employees engagement as key to a thriving

organization

Changes in the recruitment processes

Ongoing training in response to the upgrading of the technological environment

Diversity of employees to fill

positions in which there is a

shortage of manpower

Preventing exclusion

mechanisms, listening, and

creating a critical mass of

optimal diversification

Creating motivation to work

in the organization through

a "experiential economy"

Emphasis on dialogue-based

work methods and

implementation of team work

Connection between

diversity and recruitment

mechanisms

Page 15: The Impact of Employment Trends on Employers 2020employment.jdc.org.il/sites/default/files/knowledge... · means of bridging gaps Employees in the organization differ according to:

15

a leading medical organization - main activities in relation to core trends

ongoing training as an

organizational,

technological and

professional need

Creating the conditions that

will enable diversity as a

social (and possibly

economic) value

Customer Journey - in

recruitment process and

during employment

Continuous skill improvement and

innovation

Diverse employment

market

Change in traditional work

structures

opportunities for employee

development and professional matching

Employees engagement as key to a thriving

organization

Changes in the recruitment processes

Page 16: The Impact of Employment Trends on Employers 2020employment.jdc.org.il/sites/default/files/knowledge... · means of bridging gaps Employees in the organization differ according to:

16

a leading organization in the high-tech industry - main activities in relation to core trends

focusing on maintaining employees in the organization rather than creating motivation

Expansion of the company through branding and proactive recruitment

The employee is responsible for learning and development

Continuous skill improvement and

innovation

Diverse employment

market

Change in traditional work

structures

opportunities for employee

development and professional matching

Employees engagement as key to a thriving

organization

Changes in the recruitment processes

Page 17: The Impact of Employment Trends on Employers 2020employment.jdc.org.il/sites/default/files/knowledge... · means of bridging gaps Employees in the organization differ according to:

17

Bottom lines

There is a wide range of possible

actions to deal with the core

trends

It seems that not all employers

recognize the business value of

diversity and that the efforts

made in recruiting unique

populations have not yet produced

significant results

Advanced technology does not

necessarily lead to layoffs if the

organization takes responsibility

for updating skills and training

employees (technology can be

leveraged to increase productivity

rather than reducing labor costs)

Rapid technological changes in

traditional industries place the

employer in a more significant role

in the aspect of training and

updating employees skills

Changes in the traditional work

structure enable employee

mobility through new options

of development (professional and

managerial); for example, working

in teams enables exposure to

other professions and roles

Measuring the employee

experience in the organization

is not on the spotlight in most

of the organizations, despite the

increasing relevance of the subject

to the ability to to retain

employees and create motivation

for work

Continuous skill

improvement and innovation

Diverse employment

market

Change in traditional work

structures

Opportunities for employee

development and professional matching

Employees engagement as key to a thriving

organization

Changes in the recruitment processes

Page 18: The Impact of Employment Trends on Employers 2020employment.jdc.org.il/sites/default/files/knowledge... · means of bridging gaps Employees in the organization differ according to:

www.deloitte.co.il

Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee (“DTTL”), its network of member firms, and their related entities. DTTL and each of its member firms are legally separate and independent entities. DTTL (also referred to as “Deloitte Global”) does not provide services to clients. Please see www.deloitte.com/about for a more detailed description of DTTL and its member firms.

Deloitte provides audit, tax, consulting, and financial advisory services to public and private clients spanning multiple industries. With a globally connected network of member firms in 150 countries and territories, Deloitte brings world-class capabilities and high-quality service to clients, delivering the insightsthey need to address their most complex business challenges. Deloitte’s more than 225,000 professionals are committed to becoming the standard of excellence.

Brightman Almagor Zohar & Co. (Deloitte Israel) is the member firm of Deloitte Touche Tohmatsu Limited in Israel. Deloitte Israel is one of Israel’s leading professional services firms, providing a wide range of world-class audit, tax, consulting, financial advisory and trust services. Through 83 partners and directors and approximately 1000 employees the firm serves domestic and international clients, public institutions and promising fast-growth companies whose shares are traded on the Israeli, US and European capital markets.

©2016 Brightman Almagor Zohar & Co. Member of Deloitte Touche Tohmatsu Limited.