A Lire Article The Future of Work Bersin
A Lire Article The Future of Work Bersin
A Lire Article The Future of Work Bersin
There’s a lot going on in this space. Vendors like Workday, Gloat, Avature,
and Phenom People are building Talent Marketplaces to make this easy.
Vendors like Degreed, EdCast, Eightfold.ai, and Filtered are building Skills
Clouds to help infer and identify skill gaps for development. And almost
every applicant tracking system vendor is now creating tools for internal
recruiting, enabling the talent acquisition leader to better source people
internally.
But what’s it really like to do this? How do you really build a program and
solution for internal career management that works?
Well one of the vendors that pioneered the internal mobility market is Fuel50, an
innovative software company (founded by two world-class career coaches)
that essentially defined the space. I spent several hours talking with two of
Fuel50’s customers (Vanguard and Ingersoll Rand) and I want to share
what I learned.
Fuel50: A Pioneer in Career Pathing and Mobility
Fuel50’s original idea was to build an end-to-end career development
platform for companies. The platform lets employees self-assess their
interests and capabilities, it matches them to jobs, and it facilitates the
creation of personalized career paths and easy to navigate job models that
make career management easy. In fact, it does just about everything you’d
want in a career management system, including matching people to
mentors and identifying development programs to help people with their
career growth.
In the early days, Fuel50 had to evangelize the market because companies
didn’t have a budget for this kind of system. Now, as almost every company
is struggling to hire and build skills internally, Fuel50 is a hot company.
I was at an HR offsite for a large bank recently and the team had a session
on HIPO development. The head of succession management got into an
argument with the head of talent acquisition and essentially said “stop
recruiting my HIPOs I have a plan for them.” The head of TA then replied
“well I have all the jobs they need and you don’t really know what they are.”
In other words, the disciplines of recruiting, succession management, and
L&D now have to be linked together.
The entire problem is multi-disciplinary. As the figure below points out, you
need a job architecture and clear set of open positions (often gigs or
projects), a way for employees to identify and assess their interests, a way
for the company to publish its strategic career and skills needs, and a way
for people to fulfill their personal mission at work.
There are major cultural issues to deal with as well. In many companies
there are internal cultures that hold back mobility; there may be an “up or
out” reward system; salaries and job levels prevent people from moving
without a promotion (a big problem); and managers aren’t sure if they
should facilitate people leaving their group, block it, or just stay out of the
way.
Well, the company has 70,000 employees and we found 96,000 job
descriptionsin the system. It’s insane, but that’s how companies grow. As I
describe it, this is the “entropy problem” in business. (Entropy is a term for
“the increasing randomness in the universe.”) Companies just get “more
random” every day.
Imagine if you’re looking for a new position in this company and you’re a
“marketing manager” now – you may find 50 different marketing manager,
senior marketing manager, product marketing manager, media marketing
manager jobs, and on and on. You get it.
Today, three years later, the internal hiring ratio has grown from 35% to
55% and the majority of internal mobility is lateral rather than vertical. By
the way this is a big issue to address: one of Silicon Valley’s most successful
companies told me that “internal mobility is completely blocked because
nobody will change jobs without a promotion.” No company grows forever
and this culture gets in the way of real personal growth.
The big lesson I learned from Mike is that this is not a platform problem. In
order to do what Ingersoll Rand has done you need to create a project team,
simplify your job architecture, and put in place a leadership-focused
program to teach managers and employees that development planning is
not an after-thought, it’s core to the company’s future.
While Mike may have not realized it at the time, his team was actually
preparing Ingersoll Rand for the future of work. Now that this program is
running, the company sees career development as core to its mission. It
helps people move to new opportunities and helps the company adapt as
automation and new jobs emerge.
As these companies told me, the essential challenges are three: (A)
simplifying job architectures so it’s easier than ever to see and find the next
opportunity in the company; (B) creating a set of skills assessments and
development planning tools for all employees and managers; (C) driving a
culture of internal growth, internal mobility, and focus on talent sharing
around the world.
Fuel50 is a vendor that has figured this out over a decade of effort. As we all
go out and buy fancy tools for skills ontologies and talent marketplace
solutions, let’s remember the basics and understand that we are really
changing everything when we start internal mobility. The role of individual,
managers, and executives will change.
It’s clearly the key to high performance in the future, and we will be
launching a whole new program on the Josh Bersin Academy later this year to
help.