The business world is changing. Seemingly by the day, new technologies and strategies are redefining how work is done by pushing today’s enterprises into exciting territory as they seek competitive advantages and fresh sources of business. Within this scenario, the very notion of “talent” is actively shaping how far enterprises can go in terms of innovation, growth, and ultimate business expansion. Talent is today’s most valuable commodity, and as globalization takes its hold on businesses across the world, the dynamics around talent are being revolutionized.
To get a better understanding of this talent and how it is accessed, managed, and optimized in today’s business world, Field Nation contributed to the underwriting of a report conducted by Ardent Partners on “The State of Contingent Workforce Management 2015-2015: The Future of Work is Here.” This report covers the evolution, assessment, performance, and recommended strategies for contingent workforce management leaders so they can improve overall customer workforce management operations and results.
Last week, we looked at the balancing act that today’s contingent workforce management programs need to maintain in order to drive visibility and intelligence, maintain compliance, and improve cost reductions. We also identified two challenges that are actively shaping how executives structure their CWM programs.
The State of Contingent Workforce Management… and the Future of Work (cont.)
The “Balancing Act” in Today’s CWM Programs
This is a continuation of last week’s entry and expands upon the challenges that are actively shaping how executives structure their CWM programs:
- Pressure to reduce and/or improve savings. “Talent” may be the new focus for enterprises today as it relates to contingent workforce management, but the spend management approach to this industry (or categories of spend) will never be forgotten. Growing usage of non-employee labor and the emergence of new talent sources will drive more spending, necessitating a traditional blend of spend and supplier management capabilities and competencies designed to ensure cost control and improve overall savings across the entirety of non-employee talent.
- Enhancement of talent engagement processes and strategies. The “future of work” is founded on the notion that talent can be engaged in real-time from on-demand sources with alignment of project requirements and the necessary skillsets as a core focus. This shift in the industry will, of course, force today’s CWM programs to enhance their greater talent engagement and management processes to account for this evolution.
Contingent Workforce Insight #1: Growth without Control
No matter the size of a business or its core industry, non-employee talent shapes how work is done. Ardent Partners has discovered that nearly 70% of enterprises today expect their contingent workforce to grow steadily in the 12 months ahead; as on-demand sources of labor revolutionize the way talent is found, engaged, and sourced, it is no surprise that the average contingent workforce will rise in the years to come. However, on average, only roughly half (51%) of all non-employee labor is formally accounted for in corporate planning, budgeting, and forecasting, proving that although the vast majority of businesses expect this industry to grow in the future, the bulk of this workforce (49%) will be absent from critical executive development and oversight.
Coming Up: We look at the evolution of contingent workforce management programs and why they need to be developed for the effective maintenance of costs, quality, and compliance.
- Read Part 1 of The State of Contingent Workforce Management… and the Future of Work
- Read Part 2
- Read Part 3
- Read Part 4
- Read Part 5
- Read Part 6
To read the full report, download it now.