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How to Build & Implement A Strategic Workforce Plan?

Published on October 30, 2024

Introduction 

Today we are seeing a fundamental change in the nature of work – humans and machines collaborate to make decisions. The future entails further technology integration into work and life, even to the point where ‘adaptive continuous intelligent systems take over decision‐making’. The result – uniquely human traits such as emotional intelligence, creativity, persuasion, innovation, become more valuable. We may eventually even reach a point where the ‘future of humans at work is questioned’!

This digital-led redesign of work is forcing organizations to relook at human capital and its linkage with business performance, with a new lens. A lens that focuses on building organizational capability to meet both current and future needs. It calls for a more strategic approach to workforce planning.

What is Strategic Workforce Planning? 

Strategic workforce planning is a continual process of identifying gaps in the workforce and developing a methodical people plan to ensure an organization has the employees, skills, and knowledge needed to meet current and future business goals. The goal of strategic workforce planning is outlined in the 7 Rs of strategic workforce planning :

  • Right size: The right number of people to do the job effectively and efficiently.
  • Right shape: Management structures, hierarchies, layers and spans, DEI focus, etc. which shape the organization to achieve the business goals.
  • Right location: The right location, geographically and structurally for best talent outcomes.
  • Right time: In today’s skill-based economy, deploying the “the right skills at the right time” is critical to organizational success.
  • Right cost: Financial costs, opportunity costs of talent decisions, and larger costs like cost-to-society.
  • Right risk: How decisions create or alleviate risks, be it people or business risks like compliance and regulatory.
  • Right capability: To arrive at the right capability for the organization, one must delve into aspects of Skills, Knowledge, Accreditation, Mindset, Physiology, and Environment. 

Why is Strategic Workforce Planning Important? 

The employer-employee relationship is changing, shaped by the Future of Work. On one hand, we see employees seeking more meaning and purpose from work. Tech advancement is creating a skills-shift and jobs-shift – 19% of the workforce could have over 50% of their tasks automated by AI. As a result organizations must build a forward-looking, skills-based talent strategy. The shift is already happening…

More organizations will prioritize skills-based hiring and upskilling to help widen their talent pools and find qualified workers.

Identifying one’s ideal workforce mix will help organizations build relevant future skills, such as agility, learning, innovation and resilience. It is the starting point to build effective capability and talent management practices that attract, engage, and retain the right-skilled talent. A great workforce strategy will help leaders be prepared for the future and drive sustained business growth. 

How to Build a Strategic Workforce Plan: A Detailed Guide 

A step-by-step detailed process will help arrive at your ideal workforce plan

  • Business Goals and Objectives: Any talent strategy must be designed in conjunction with the business strategy. It is critical to first define and understand the goals and objectives of the business, long term and short term. A great starting point is defining the Vision, Mission, and then the Annual Operating Plan.
  • Talent Supply Analysis: This is about understanding the organization’s current workforce status. A core question to ask is, “How well does the current workforce align/support your business strategy?”. Assess the current state of one’s internal workforce on each of the above 7Rs, and define the talent goals in line with the business goals.
  • Talent Demand Analysis: A demand analysis is about understanding the organization’s future workforce requirements. This includes workloads, staffing needs, and factors that affect workload such as technologies, policies, legalities and regulations, customer changes.  Leaders must use the power of predictive analytics and ascertain future needs by leveraging data sources such as labour market statistics, future of work trends, technological predictions, etc.
  • Gap Analysis: Assess the gaps between talent demand and talent supply and arrive at the best way to close the skills and capability gaps identified between supply and demand. One can use a framework such as the Kurt Lewis Model of Change to arrive at the current state versus the desired state, from both perspectives i.e. people and organization. These can be skills gaps, capability gaps, alternative talent pools, policies and processes, organizational structures and critical roles, compliance and legal, etc. One must prioritize the top gaps by assessing how much they impact overall organizational performance.
  • Action Planning: A concrete action plan stems from a holistic people strategy. HR and business leaders must together plan workforce interventions around organizational development, talent management, learning and development, talent acquisition, total rewards, etc. One can use Dave Ulrich’s five talent management levers – buy, build, borrow, bind and bounce – and two demand optimisation levers – bot and balance. Design of key talent interventions requires building clarity around operational aspects like budgets, manpower, and other resources.
  • Implementation: Taking design to actual delivery requires a strong commitment towards execution of people strategy. One can carve out a detailed RACI (responsible, accountable, consulted and informed) to outline who is responsible for which part of the workforce plan. A critical aspect is stakeholder management involving communication, governance, monitoring and reporting, and execution.
  • Monitor and evaluate progress: Defining the key success factors, outlining metrics, measuring and tracking them periodically is a must to maintain an ongoing commitment to the cause. It helps continuously improve the solutions to maximize their effectiveness. This is essential to highlight the ROI of the workforce planning initiatives, and maintaining a sustained buy-in from top leadership for the long term.

A strategic workforce plan will be effective only when backed by Right-Reliable-Valid data.  Unfortunately, there lies a deep gap here…

67% of respondents feel HR professionals are not effective at using data for workforce planning.

Strong data backing can help business leaders consider talent implications when making strategic business decisions by assessing current state, anticipating talent risks, and visioning future possibilities. 

Drive Your Business Forward With SolveCube   

The first step to workforce planning is to invest in a high quality Workforce Planning Intelligence solution. Best is a blend of tech and touch. i.e. deep domain expert-led services, along with next-gen HR technology and tools. SolveCube’s integrated talent platform offers this and much more…

  • Business-focused solutions, aligned with company goals and needs.
  • A multidimensional platform provides access to domain experts -an on demand talent pool of 20,000+ and an aggregated talent pool of 580+ millionAl engine which Sources, Searches, Indexes and Rank-orders the right talent match.
  • Cutting-edge tools like ice.cube, hr.ready and p.three to empower HR leaders and business leaders. ice.cube and p.three help diagnose people practices and devise workforce strategy, while hr.ready offers ready to use templates for HR policies.
  • Global reach and access
  • Innovative solutions tailored to organizations’ specific needs.

SolveCube’s suite of Advisory, People Strategy and Blended Workforce Solutions solves for a wide range of workforce challenges, revolutionizing the talent and business strategy for the better. 

Strategic Workforce Planning is not just an HR prerogative, it is a business priority at the CXO level. To gain the required buy-in and support of the CXO Suite, it is critical for HR leaders to build a business case for workforce planning. This will help integrate strategic workforce planning into the business planning process, and pre-empt any potential challenges on bringing the people strategy to life. Such a talent strategy will help unlock business success.

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The Great Firing: The result of a slapdash workforce planning strategy?

Published on August 12, 2024

COVID was boomtime for some business sectors, resulting in mass hiring to meet service demand.

On the face of it, the assumption appeared to be that the pandemic would permanently change the way business was conducted. It also presumed that business would continue to grow at the Pandemic Pace.

Hence, a hiring spree to service pandemic-level, and possible post-pandemic demand. But now that the dust has settled and a new rhythm and balance has set in, we see the aftermath: The Great Firing.
So, it begs the question – were those hiring decisions presumptuous or preemptive?

So what went wrong?

Mass firings are happening across business sectors, even those that did well during the pandemic or that continue to do well even now. The justifications appear just as fast as the firings themselves: the great firing phenomenon is being explained as a shift in post-pandemic business priorities – trimming the fat to direct investment away from unproductive resources, and towards strengthening innovation, or, supporting activities that will make management smarter, or ,investing in knowledge and technology that will help the business stay ahead of the curve. Regardless of reason, undoubtedly, resource redirection will impact employment as much as other spending. The result: a freeze on hiring and an increase in firing, as we have witnessed over the last few weeks. Needless to add, the responsibility of forward-thinking workforce planning strategy to curtail en mass firing rested then, and as it does now, with business and HR managers.

As providers of talent solutions on an AI talent marketplace platform, we see things from the outside in. So our understanding of what went wrong on the people front relates to an imbalance in business needs and talent hiring strategy: while technological innovation and adoption has grown by leaps and bounds, and while the mindsets on what ‘valuable’ products and services are has changed drastically in the past three years, strategic workforce planning has, for the most part, not kept pace. The creativity needed to meet business demand during a pandemic required a change not just in the working process, but also in workforce planning itself.
The exception is those companies who adopted an integrated workforce strategy.

Would an integrated workforce strategy have prevented The Great Firing?

Firstly, what is an integrated workforce strategy? In the past five years we have seen a huge push for the demand in cost-effective workforce planning from our clients. And with the support of our marketplace platform, one of the ways we protected them from the ups and downs of business was through strategic resource allocation – accounting for the longevity of business planning by employing a hiring mix of permanent, short term, fulltime and part time talent resources rather than merely reacting to market demands; and, balancing people costs in tandem with business development and strategy rather than simply giving in to current market scenarios.
So would an integrated workforce strategy have prevented The Great Firing? The answer is a resounding yes!
Simply put, integrated workforces are agile, prudent and keep pace with current business needs as well as future strategy. This is primarily because an integrated workforce strategy is founded on the principle of “fix the core and flex the non-core”. With a core set of permanent employees that represent the strategy, governance and overall business continuity, the more flexible or less regular tasks are done with a set of non-core specialists who have the talent, expertise and experience to take the business forward, but are not (or may not be) required on a permanent basis. Simple examples of this strategy include annual financial reporting, or payroll accounting: tasks that are fundamental to business but do not require a permanent employee. When applied across functions and across the board, to roles like Part-time CFO for a growth stage company; an interim CHRO to design and implement a people strategy over a 12 month period; Recruiter on Demand rather than on a permanent role to support surges in hiring. By its very nature, an integrated workforce strategy gives organizations the space to test the waters, challenge needs versus wants, and decide whether they are ready to commit to permanent employment in the space.

Why will an integrated workforce strategy work?

Arguably, the practice of integrated workforces is not new. The hospitality, IT, healthcare sectors, and to an extent, the HR and marketing functions have been using it successfully for a long time under the label of outsourcing. But integrated workforce strategy is about expanding this thinking to technologists, strategists, expensive domain expert managers and cyclical management activities to all functions within an organization. It takes into consideration the growth stage of an organization, including unexpected circumstances and growth spurts.
The key to a successful integrated workforce strategy is to identify what the core and non-core activities are. Essentially, distinguishing between what a business needs from what it wants, and taking a calculated risk on the people front.

From an organizations point of view, it is a cost-effective way to manage talent resources. From an employee’s perspective there is a clear indication of what to expect from the type of employment being offered.
For both, it provides a strong sense of security and protection: loyalty is harder to question when you know you are in something together. Indeed, perhaps what integrated workforce strategy brings is a more sensitive way to manage employee expectations and morale. And, perhaps our next people management phase will be a Great Redress instead.
Get in touch with our team at SolveCube now to learn more.

Frequently Asked Questions

What led to the phenomenon known as 'The Great Firing'?

“The Great Firing” refers to mass layoffs across various sectors following an initial hiring spree during the pandemic. Companies overestimated the permanence of pandemic-driven demand, resulting in a misalignment between workforce planning and actual business needs.

How did the pandemic impact workforce planning strategies?

During the pandemic, many businesses quickly expanded their workforce to meet increased demand. However, as the situation stabilized, it became evident that workforce planning had not adapted accordingly, leading to mass firings to correct overstaffing.

Why is it important to distinguish between core and non-core activities?

 Identifying core versus non-core activities helps organizations focus on essential functions that require permanent staff while utilizing flexible resources for essential but continual tasks. This strategic approach enhances operational efficiency and cost-effectiveness.

What lessons can businesses learn from the Great Firing?

Businesses can learn the importance of proactive workforce planning, flexibility in staffing approaches, and the need for ongoing evaluation of workforce strategies to avoid similar pitfalls in the future.

What should companies consider when developing an integrated workforce strategy?

Companies should evaluate their core and necessary  and essential but continual – functions, assess market conditions, identify skills gaps, and consider the long-term goals of the organization. It’s also important to incorporate employee feedback into the planning process.

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Food for Thought

Published on July 11, 2024

What is the best workforce mix for you?

Opening Lines

In recent years, traditional talent models have been challenged, as organizations and workers grapple with greater degree of discontinuity and disruption than never before *1 . Organizations must experiment, pilot and innovate to define new work fundamentals *1 in today’s boundaryless world. And leaders must give more strategic thought to build a future-ready organization that harnesses the power of both tech and touch. Here is how.

New Realities to Ponder Upon…

According to a PwC Future of Report *6 , the way technology shall progress….

Today Emerging Future
Automating repetitive,
standardized or
time‐consuming tasks and
providing assisted
intelligence.		 Fundamental change in the
nature of work. Humans and
machines collaborate to
make decisions.		 Adaptive continuous
intelligent systems take over
decision‐making.
Result: Hence Increased
demand for STEM skills to
build new tech ecosystem.		 Result: Hence uniquely
human traits – emotional
intelligence, creativity,
persuasion, innovation,
become more valuable.		 Result: The future of humans
at work is questioned.

There exists an impending dichotomy – on one hand, technology shall shrink certain jobs as repetitive processes are being automated. On the other hand, new technologies are automating and augmenting work done by humans, and enhancing human and team performance *1 . As a result, we see two polarized reactions to this technological advancement

73% think technology can never replace the human mind. *6

37% are worried about automation putting jobs at risk – up from 33% in
2014.*6

As a result, business owners and CXOs must deeply understand how technological advancement and adoption shall impact business transformation and employment. Here are some perspectives:

  1. Deep-dive into technological implications:

    The below statistics *8 , 2023-2027 ranks technologies by the share of organizations surveyed who are likely or highly likely to adopt this technology over next 5 years:

     

    Deep-dive into technological implications

    Some key points to ponder:

      • The advent of Generative AI, 19% of the workforce could have over 50% of their tasks automated by AI45 and job losses making headlines 

      • Large Language Models can already automate 15% of tasks.

      • When combined with applications which can correct known issues with existing Large Language Models, this share may increase to 50%. *8

    Thus, automation will result in a massive reclassification and rebalancing of work. Some sectors and roles, even entire sections of the workforce will lose out but others will be created.*6

  2. Understand today’s talent needs:

    Today’s talent seeks self-determination i.e. ‘meaningful choice and influence over the work they do (how, when and where they work)’ and activism i.e. ‘alignment of their organizations’ values, strategies, policies, and actions with their own personal values’. They want remote working opportunities combined with genuine flexibility; learning and career growth; strong financial incentives and above-average benefits *3 .

    49% of Gen Zs and 62% of millennials say work is central to their identity and work-life balance is something they are striving for *7

    46% of Gen Zs and 37% of millennials have taken on either a part-time or full-time paying job in addition to their primary job. (+3% versus last year for Gen Zs and +4% for millennials) *7

    The underlying talent-psyches that have transformed talent-needs are – peoples’ ability to live life on their own terms agnostic of societal expectations, ambition to continue learning new skills, willingness to continuously reinvent and inherent passion for their work itself. Theseneeds cannot be met with traditional employment models. Naturally, talent models are evolving, with interest in part-time jobs on the rise. In fact, 60% survey respondents think ‘few people will have stable, long-term employment in the future’. This is the Future of Work and Future of Workplace. As a leader, the sooner you adapt to this reality, the better you may be able to build a talent- advantage.

  3. Comprehend skill dynamics:

    The above two factors, combined with the impending skill shortage creates a skill-dynamic in which that exceptional talent is in high demand. Hence, organizations must look at building the optimum talent-mix. The futuristic talent strategies shall revolve around building a ‘core group’ of pivotal high‐performers (by offering excellent rewards), and buying-in flexible talent and skills as and when needed. This will mean ‘retainer and call‐up’ contracts are frequently used for rare skills *6 .

How can you decide your ‘ideal workforce mix’?

59% of respondents expect to focus on reimagination in the next 2-4 years,
a 2X increase from pre-pandemic (2021) levels *1 .

– Deloitte Human Capital Trends Report 2023

A blended workforce is definitely the way ahead, but the moot question remains, “What blend is best?”. “How do you decide what talent model works for your business?”

Only about 30% of an organization’s talent holds the intellectual property (IP) of the company, and the balance of talent can be contingent (Akshaya Garg). But should you blindly follow this mode? Here is a checklist to brainstorm and arrive at your optimum workforce mix, to build a present-savvy and future-ready business.

  • Does your talent mix meet client-needs and talent needs?
  • Do you have adequate talent-access?
  • Do you, as an organization, embrace values such as growth, innovation, agility? 50% survey respondents believe that enabling a culture of organizational agility was of key importance, only 19% believed they had the current capability for this – a 31% gap *3.
  • Are you able to mitigate talent shortages? Focusing on skills helps alleviate talent shortages by providing a more expansive view of work people are able to do *1.
  • Do you have or wish to build a culture of meritocracy-based talent growth?
  • Do you accept moonlighting, from an ethical standpoint?
  • Do you espouse DEI as a culture? 80% of organizations reported purpose, DEI (and equity in how organizations access talent), sustainability and trust as top focus areas *1.
  • Are you able to quickly fill talent-gaps without the worry of what to do with your hire when their specialized skills are no longer required?
  • When refilling top talent, are you able to mitigate the risks?
  • Are your talent costs optimized?

If your answers to the above questions are “No” while hiring talent, bringing on a full-time employee can be wholly unnecessary *8. You may want to devise a talent mix that fits the real-world talent pool by ‘renting’ the skills and experience you need to achieve a specific objective, rather than locking in for the long term. In fact, there is a strong business case for effectively matching workers to work:

unnamed

Look-outs while designing the talent mix

A blended talent strategy has its own risks. When tapping into the blended workforce model and hiring contingent talent, it is advisable to think through these look-out areas:

  • Socio-cultural acceptance:

    Similarly, from an organizational-perspective, adopting a blended workforce strategy demands a future-forward mindset. For example, only 17% of organizations are ready for worker agency, and 16% for worker ecosystems*1. Similarly, non-acceptance of different work formats by leaders and managers across levels is an issue. A case in point – when managers use the contingent workforce to work around headcount and labor spend controls, driving increases in baseline costs, with no discernible increase in value *1.

  • Resistance:

    Similarly, from an organizational-perspective, adopting a blended workforce strategy demands a future-forward mindset. For example, only 17% of organizations are ready for worker agency, and 16% for worker ecosystems*1. Similarly, non-acceptance of different work formats by leaders and managers across levels is an issue. A case in point – when managers use the contingent workforce to work around headcount and labor spend controls, driving increases in baseline costs, with no discernible increase in value *1. Similarly, from an organizational-perspective, adopting a blended workforce strategy demands a future-forward mindset. For example, only 17% of organizations are ready for worker agency, and 16% for worker ecosystems *1. Similarly, non-acceptance of different work formats by leaders and managers across levels is an issue. A case in point – when managers use the contingent workforce to work around headcount and labor spend controls, driving increases in baseline costs, with no discernible increase in value *1.

  • Lack of an integrated workforce management strategy *4:

    Even when organizations are willing to adopt blended workforce strategies, the lack of robust infrastructure at the demand and supply end abound. This makes blended workforce management a logistical hassle.

  • Poor data management, inadequate technology*4:

    The lack of a tech-led, intuitive, intelligent and integrated talent marketplace that brings together contingent talent and contingent employers, poses operational challenges. For example, how do organizations access contingent workforce data to be able to harness its true potential?

  • Business continuity:

    Contingent workforce always poses the question of longevity and loyalty. Somewhere at the back of one’s mind, there is the question, “Will this person leave midway?”, hampering business continuity, especially in C-suite and turnkey roles.

  • Legal, regulatory and IP risks:

    The expanding use of contingent workers can expose companies to competitive risk from the loss of trade secrets, intellectual property, and organizational knowledge. Poor management of contingent workers can lead to legal and regulatory challenges due to misclassification of contingent workers. This can lead to significant penalties, fines, and legal costs*4.

  • Human risks:

    Organizations need to move from a lens of potential risks that talent poses to organizations, to a broader view of how risks affect humans at large. These risks have a material effect on a company’s long-term viability, and must be understood by all executives, with ultimate accountability sitting with the board *1.

Closing Lines

Evolving the talent ecosystem is a journey, not a destination. Organizations must mitigate the risks and create the applicable model for ownership and accountability. This starts with first assessing the current state using the right diagnostic tools to unveil your talent DNA. SolveCube tools such as p.three and hr.ready enable this.  Leaders must not shy away from asking the hard-hitting questions, starting with…

“How do we design the workplace to best support the work itself?*1“

“Are we ready?” OR “What is our Readiness gap? *1”

Then, define the principles of what can and cannot be contingent, using skills, not jobs as the baseline workforce decisions*1. Create a new ownership model focusing on ‘how’ work gets done, not ‘where’. And then design the approach to bring transparency to their contingent workforce spend and management*4.

All this should tie in to…

“What is the ultimate purpose?”

Be sure to measure the impact on communities, governments, global coalitions, and society at large. 75% executives say that hiring, promoting and deploying people based on skills helps democratize and improve opportunities *1.

It is up to today’s leaders to use tech to help humans become better versions of themselves, leading the intersection of ESG and human risk with workplace design.

 

If you’re interested to know more about on-demand recruitment, we can provide tailored solutions to fit your needs.

Frequently Asked Questions

What is a blended workforce?

A blended workforce is a mix of full-time employees, fractional, contingent and interim workforce. This model allows organizations to combine the expertise of in-house employees with the flexibility and specialized skills of external talent.

Why is a blended workforce model important in today’s business environment?

The blended workforce model is essential due to changing skill requirements, skill shortages, and changing talent workstyle preferences. It offers businesses the ability to adapt quickly to market demands, access a broader range of skills, and optimize costs by leveraging contingent talent.

How can businesses determine the ideal workforce mix?

Businesses should consider factors such as client needs, talent access, alignment with organizational values (e.g., agility and innovation), the ability to mitigate talent shortages, and the cost of talent. Leaders must also assess whether their current talent strategy is future-ready.

What are the key factors to consider when designing a workforce mix?

Key factors include:

 

  • The ability to meet client and talent needs.
  • Access to necessary skills and talent.
  • Organizational culture that embraces innovation and flexibility.
  • Mitigation of talent shortages and cost optimization.

Acceptance of diverse work formats, including part-time and freelance roles.

What are the risks of a blended workforce strategy?

Some risks include socio-cultural resistance to contingent workers, lack of integrated workforce management, poor data management, potential legal and IP risks, and concerns about business continuity when using temporary talent.

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A Workforce Strategy to stay indomitable

Published on May 27, 2024

Staying Resilient before, during and after a crisis

If one takes a peek into those companies that have been down the path of negative economic shocks, and recessions for a 100 years and thrived, the common thread between them simply put is resilience.

This current pandemic has more than ever opened our eyes to the stark reality of our interconnectedness as people, economies, and nations. if we are to stay strong and emerge thriving, whatever shape and form the “new norm” may take, it will need to have resilience at the core. For this to happen resilience needs to be embedded into the constitution of the way a business is run.

[Part 3] A workforce strategy to stay resilient before, during and after a crisis

The RICAP Framework for Resilience

The RICAP Framework (©iCube Consortium April 2020) is an approach to embedding resilience into the very core of a company’s way of functioning. Central to the understanding of resilient organizations are 5 principles Relationship, Innovation, Collaboration, Agility, and Prudence, that influence the way an organization functions through the 5 pillars of structure, strategy, process, people management and technology.

The question therefore is how does this fit into a running enterprise?

The RICAP framework Matrix – which is the application of the RICAP Framework- provides direction to decisions on managing a running business to stay resilient, and thriving.

Ricap Framework Matrix

Applying the RICAP Framework Matrix to re-imagine workforce strategy

Relationship:
  • Do the workflow processes
    promote collaborative work between the onsite, offsite and contingent
    workforce?
Innovation:
  • How do you create and
    leverage centers of excellence (hubs) & shared business services?
  • How can you include
    freelance experts as extended capacity for your business?
  • If you have excess capacity,
    how can you benefit from sharing resources with external partners and
    alliances?
Collaboration:
  • How do you create
    self-organizing structures, shared resource pools, and a lean expert core?
  • What secure technology is
    needed to support remote working teams and a collaborative workflow?
Agility:
  • What activities form the
    business core that needs stability and continuity and what part of your
    workforce can be flexed?
  • What roles can be powered by
    a freelance workforce?
  • What is the percentage of
    fixed and contingent workforce will support business agility?
Prudence: 
  • What people costs can be reduced without affecting morale and productivity?
  • What are the pet projects, structures or products that can be eliminated?
  • What when restructured will help eliminate between 15-20% costs more permanently?

Circumstances have forced increased adoption of digital technology which has helped immensely in continuing business activity remotely. The comfort in addressing the needs of a new norm has got us thinking about the changes we can make to the way we work. While it has forced business leaders to deal with more unsettling thoughts about what is going to change in the workplace and the impact on jobs, it has also built confidence in optimizing digital technology to experiment with new ways of working and creating new workflow processes that are cost effective, agile, and make businesses resilient. The 5 principles of the RICAP Framework is not a one-time-activity, but allow CXOs to continually test for resilience in the way a business is managed.

Go ahead and Download the RICAP Framework Poster here

If you’re interested to know more about on-demand recruitment, we can provide tailored solutions to fit your needs.

Frequently Asked Questions

What is a resilient workforce strategy?

A resilient workforce strategy involves planning and actions designed to maintain and adapt workforce operations effectively before, during, and after a crisis, ensuring business continuity and stability.

Why is employee well-being important in a crisis-resilient strategy?

Employee well-being is essential for maintaining morale, productivity, and engagement. Supporting employees through crises helps them cope better and contributes to overall business resilience.

How can businesses ensure that their workforce strategy remains flexible during a crisis?

Businesses can ensure flexibility by regularly reviewing and updating their strategy, incorporating feedback from employees, and being prepared to pivot as new information and situations arise.

How can businesses build a more adaptable workforce?

Build adaptability by investing in employee training, encouraging a growth mindset, promoting cross-functional skills, and creating a flexible, agile workforce strategy that can quickly respond to changing needs.

How can businesses support remote workers during a crisis?

Support remote workers by providing necessary technology and resources, ensuring access to company systems, maintaining regular communication, and addressing any issues related to remote work conditions.

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How to Build an On-demand Workforce: Key Decisions

Published on May 23, 2024

Uncertainty and dynamism mark today’s macroeconomic landscape. Geo-political outages, economic ramp-ups and ramp-downs, technology-driven transformations, and skill shortages are a daily conundrum businesses must override. Only those businesses that are nimble and responsive to sudden shifts, can survive and thrive. Moreover, the workforce dynamics are changing with new-age skills, interests, aspirations, preferences and potential, changing the rules of workforce management. The rise of the gig economy is proof enough, as more and more experienced professionals prefer Flexible work to avail freedom and to make a deep impact in their high-skilled domains. An agile workforce calls for agile talent management.

60% participants think ‘few people will have stable, long-term employment in the future.

Organizations that adapt their strategies and practices to fit this real-world talent pool, which is far more complex and increasingly composed of non-traditional ways of working, will gain access to skills and experiences to accelerate growth, innovation and agility. To tap into this budding yet hidden contingent talent pool, organizations must embrace a skills-first hiring approach.

79% of business leaders say leveraging top-level contractors can yield key competitive advantages

Challenges in On-demand Workforce Management

A blended workforce may lead to disparate management approaches, directly impacting the organizational strategy, leadership, and culture. This is because the present workforce management systems are not designed to bridge the management gap between internal and external contributors. In fact, only 16% organizations are very ready to inclusively lead an expanding workforce, including those inside and outside the organization.

86% of believe that effective management and orchestration of external contributors is now critical to their organization’s performance. But only 33% believe their organization is sufficiently preparing to manage a workforce that will rely more on external contributors.

Some workforce planning pointers to manage highly skilled contingent talent: 

  • Define clear roles & responsibilities between internal and external contributors across business owners, HR, and all other functions. 
  • Continuously drive and measure the value of this ‘fluid’ on-demand talent 
  • Manage the large volumes of contracting & compliance to ensure scalable talent
  • Checks and balances to manage data security and privacy
  • Devise new and modern models of collective bargaining
  • Mitigate competitive risk from possible losses of trade secrets, intellectual property, and organizational knowledge.
  • Address labour-related legal and regulatory mandates to prevent penalties and fines. 
  • Cultivate an enterprise-wide culture of collaboration

First Steps to Kickstart an On-demand Workforce Strategy

Now is the time for business leaders to tap into ‘the rise of the pivotal talent, to leverage people with critical skills. Here is how: 

  1. Align with business strategy: Define your organisations’ approach and principles regarding the workforce mix and make a solid business case for the “Why”. Analyse your business dynamism, business continuity and business criticality, capabilities and competency gaps, intellectual property rights management, costs and financial impact, etc. from an outside-in perspective. The “Why” can be one immediate need, for example, driving efficiency and turning profitable through a turnkey project by a curated specialist, or making forays into a new market by a seasoned marketing industry veteran. Or it can be a blend of reasons. Assess the impact on the business, for example, hiring a contingent workforce may lead to shorter delivery times on critical projects due to the quick access of the right temporary resources. So how does this talent-dynamic impact your business outcomes? 
  2. Define a successful contingent workforce strategy for the overall talent strategy: Don the talent lens and study the talent demand-supply, benefits of contingency, policies and processes, measures to attract-engage-develop-retain, integration with the larger organization, collaboration and partnering mechanisms, cost-benefit monitoring mechanisms, compliance and regulatory checks, and degree of digitization of HR systems and HR technology etc. Develop a detailed talent management strategy for the contingent workforce, including talent acquisition, performance management, engagement, learning, rewards, and exits. 
  3. Decide on the optimum workforce blend: With the plethora of options in the contingent workforce market, it is important to assess what works best for the business’ needs. Decide on the mix of FTE versus contingent, generalists versus on-demand domain experts. Select the right type of contingent workforce based on the business size, stage, strategy. From task-based, time-based, location-based engagements, from consultants to coaches to fractional executives to crowdsourcing, there are different types of contractual arrangements, each with its specific uses. 
  4. Set goals and success measures: A contingent workforce management strategy must be measured and assessed time to time, to ensure it is working well for the business. Clearly define KPIs, collect feedback (both qualitative and quantitative) to assess whether your contingent experts are adding value. 
  5. Implement apt processes and technology: Create standardized, cross-functional business processes, policies, and roles across business units and regions, supported by a single information technology platform. Since much of contingent hiring happens through relationship-building with senior level professionals, a personalized talent acquisition approach will help build a connection. Sometimes, creating such an in-house HRMS may not be feasible, it is then best to outsource the contingent hiring needs to an external specialist for optimizing the process. 
  6. Cultivate a conducive culture: To enable a culture of acceptance and integration, on-role employees must be educated and coached about the what-why-how of a contingent workforce, especially when starting out. Train employees on the new tools and processes, build a collaborative and community mindset, time-and-schedule management for flexi-boundaryless working, enable influencing without hierarchy, and uphold DEI for a contingent workforce. This shall ensure the team spirit and cohesiveness prevails for internal and external contributors. 

Here is a Snapshot of some recent instances of how SolveCube helped organizations carry out contingent hiring

  • Hired a C-suite HR expert for a turn key assignment with a global conglomerate in India. The task was to recommend, design and guide the implementation of the revised strategy for the group. 
  • Found CISO talent for a consulting firm in Singapore to advise on setting up and maintaining Data and Cyber security.
  • Brought in a Fractional CFO for a well-funded  startup in Singapore in the healthcare domain,  to work towards getting it listed in Nasdaq- Singapore and India. 
  • Enabled 2- 4 Executive Coaches hiring for a consulting firm in Malaysia to bring in program management – project management experience. 
  • Enabled 3 Digital Transformation Leaders for a consulting firm in Singapore to mentor and coach the participants of a Government sponsored programme to drive Transformation and Innovation in their respective organisations.
  • Helped a manufacturing firm in Australia enhance their sustainability initiatives by bringing on board a Sustainability Advisor. 
  • Fostered growth for a high-growth BFSI startup by hiring 5 Strategic partners in the form of mature experts, leveraging their networks for Business development/client origination. 

How to Decide your “Ideal Talent Mix”

The talent acquisition strategy must outline the choice of contingent engagement, which in turn depends on the business needs: 

  • Task-based: Project-by-project work is a rising trend for the C-Suite. For example, due diligence for an acquisition, creating a DEI strategy, creating an investor deck for fundraising, or other turnkey projects of strategic significance. 
  • Time-based: Full-time or part-time based on the scope and extent. They can be advisors, coaches, interim managers, or fractional executives. 
  • Geo-location based: Brick-and-mortar companies, especially in traditional sectors may require on-site involvement for a ground-level view of the business. Or maybe geo-location agnostic for new-age businesses.   
  • Consultant based: These can be of various types and may work on any of the above models. For example, a company may contract independent directors on their Board of Directors for 1 -2 years, rather than for lifetime. Other types of consultants are: 
    • Coaches and Advisors: CEO coaching has become prevalent to help founders and CXOs navigate new situations and challenges, through various stages of the company’s growth. Coaching is more about showing direction, while advisory may be more functional in nature. 
    • Fractional Executives: Fractional executives take up regular executives roles, either full-time or part-time. This is usually preferred by smaller companies who may not afford a full-time professional, or till they are able to hire a FTE. Part-time fractional executives may parallelly work with more than one client, and may bring in their own team for operational implementations. 
    • Interim Managers: In the eventuality of a leadership exit, recruiting the right talent takes time. To fill in the skill and leadership gap on short notice, companies may hire interim independent domain experts. Eventually, if found a good fit and willingness to join, the interim leader may take on the role full-time. This ‘try before you buy’ model works well for both organization and executive. 
  • Crowdsourced based engagement: Best suited for idea-generation and task-completions in the technology or product space, often referring to niche skills. 
  • Contractor engagement: Labour is ‘contracted’ out to a company for a finite amount of time listed by a contract, and can be full- time or part-time work. The advantage is that usually such talent can be scaled up and down on demand. 

Whatever be the contingent workforce model selected, it is critical to handle the entire contingent talent lifecycle, from talent sourcing to talent engagement, to exit management and possible future re-engagements. This begins with an omni-channel talent acquisition strategy. Some companies may not have the inhouse bandwidth or capability to build such an integrated workforce strategy and may avail the expertise on-demand, of  a contingent hiring and management specialist firm or a talent aggregator: 

  • Better equipped to advise on strategic choices suited to the business and industry
  • Global connectedness and reach for talent
  • Market know-how about compensation and benefits for this workforce
  • AI-powered recommendations help tap talent deeply and widely
  • Possess the right technology, structures and procedures for firms to plug-and-play into their talent strategy.
  • Knowledge advisory on the softer aspects, for example on how to cultivate a culture which backs the contingent-operating model
  • On-demand access to contingent talent basis business ramp-ups and ramp-downs, with options to hire, re-hire, let go
  • Minimizes legal and compliance risk due to third-party-deployment model
  • Single ownership and accountability to ensure the desired value is created
  • Offer protections to contingent talent, such as establishing policies, protocols, community standards, customer support, training and wellbeing opportunities, etc. 

Final Thoughts

In a survey of C-suite executives worldwide, 60% predict that the number of interim experts in their companies will substantially increase within the next three years.

To build a strategic intent and integrated workforce management strategy, one must first seek strong leadership buy-in. This will fuel end-to-end commitment. Companies must invest in integrated cross-functional processes, technologies and align stakeholders across functions and the business to drive ownership and accountability for this blended workforce. Such a tailor-made people strategy will help strike the right balance between control and flexibility, between risk and returns, and eventually make talent work towards surpassing business needs. 

We are here to share our experience and expertise in talent discovery. 

We would love to hand-hold you & enable a blended workforce strategy curated to your business

Click here to leave a message or email us @ [email protected]

Reference Sources: 

*1 Workforce of the Future Report, PwC

*2 Talent on Demand, Odgers

*3 New fundamentals for a boundaryless world, Deloitte’s 2023 Human Capital Trends

*4 Managing the extended and connected workforce, Deloitte Insights

*5 Working Without Borders: The Promise and Peril of Online Gig Work, World Bank

*6 HR functional perspectives: Contingent Workforce

*7 The Rise of the Fractional CXO: The Gig Economy Goes Executive, Medium

*8 The Return of the Gig Economy, Russell Pearlman

*9 The Future of Recruiting 2023, LinkedIn

If you’re interested to know more about on-demand recruitment, we can provide tailored solutions to fit your needs.

Frequently Asked Questions

What is an on-demand workforce?

An on-demand workforce consists of temporary, freelance, or contract workers who are hired to meet specific business needs as they arise, offering flexibility and scalability for companies.

Why should companies consider building an on-demand workforce?

An on-demand workforce allows businesses to quickly adapt to changing demands, reduce costs, and access specialized skills without the long-term commitment of traditional full-time employees.

What are the challenges of managing an on-demand workforce?

Challenges include maintaining clear communication, managing remote work dynamics, ensuring data security, and integrating on-demand workers into the company’s culture and processes.

How does SolveCube ensure the right match between businesses and on-demand talent?

SolveCube’s platform uses advanced technology and matching algorithms to connect businesses with qualified talent based on their specific project needs and requirements.

How do companies maintain long-term relationships with their on-demand workforce?

By building trust, providing fair compensation, and offering repeat business, companies can foster strong, long-term relationships with top on-demand talent who are valuable for future projects.

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How to emerge stronger as a workforce after a crisis[Part 1]

Published on April 9, 2024

A process to reduce some costs immediately and others permanently (without laying off people).

When you review your cost lines threadbare every month, you can eliminate at least 15% of wastage permanently. Yet, research reveals that only 15% of CEOs do so as a matter of routine!

With the COVID-19 crisis looming large, our company – an SME in Asia- recently reviewed our cost lines threadbare. We managed to temporarily park 22% of costs until normalcy returns; identified 28% that can be further reduced if the situation worsens; and as an added bonus, eliminated 15% of wastage permanently!

In Part 1 of this series, we share with you a step wise process to analyse the major cost lines typical for most enterprises. Viz. people; premises & infrastructure; technology; marketing & sales; travel; entertainment; and telecom.

Step 1
  • Engage leadership team to analyse all cost lines and discuss possible solutions
Step 2 
  • Focus on cost drivers that represent 80-90% of costs to run the business.
    1. Use company bank statements, credit card statements all accounting systems
    2. Examine auto debits in detail
    3. Look at payroll and benefits
    4. Examine cost patterns for the last 12 months
  • Understand which costs are disproportionately growing compared to the revenue lines by business or product.
    1. Analyse costs vs revenue trajectory
    2. Ask the question “have the costs grown at the same pace as revenue? Are they higher or lower?”
  • Review the costs of all support functions in greater depth
    1. Identify support cost silos that exist between businesses/products
    2. Ask the question “can they be hubbed?”
Step 3
  • Identify immediate costs that can be saved from all of the above. Divide into:
    1. Stop now
    2. Stop permanently
  • Set cost reduction targets based on Severity of impact on business ratings – high, medium, low
Step 4
  • Sign off and Communicate the decisions across the team
Step 5 
  • Set up / change process of approvals across the company
Why it works…

In a business as usual scenario most CEOs believe some costs do not exist, or more accurately should not exist, because there are processes and people to manage them, but in reality they do. Here’s a list of typical expense cutting hotspots

Technology infrastructure:

Cloud storage, unused licences, storage of archived files, auto debits for tech solutions etc. It’s amazing how these costs can creep without us realizing it. Cut them off ruthlessly! If paid in another currency sometimes just the exchange rates are a big saving.

Technology resources:

Take a closer look at all outsourced services, resources from vendor partners, internal resources who can be redeployed for product development or improvements.

Telecommunication costs:

Hang on! Technology has actually brought a dramatic reduction in our personal telecom bills. So, have the company’s bills reduced too? Now is the time to cast a critical eye on the details in the bills! Watch out for Data plan creep, mobile usage reimbursements, use of direct calls vs internet calls; review the number of people who need to be given company mobiles.

Travel, stay and entertainment:

This cost line could represent almost 30% of a company’s costs. They should be zero now during COVID. More importantly, rethink and prepare for new ways of working. Take advantage of the paradigm shift in work culture. Do you really have to travel to meet people or clients or events? Which ones are really essential? Do open up this expense tab and look at policy change for the future. There is potential for a more permanent reduction

Premises:

Consolidate premises costs

  1. Evaluate seat utilisation rate (normally ~1.3-1.5 per seat);
  2. Hand over premises not required based on potential new ways of working arrangements;
  3. Explore the possibility of working in shifts permanently

Benefits: 

Many employee benefit policies do not get reviewed once activated.  Review the policies and ROI on benefits. By simply changing the nature of benefits, and withdrawing those that don’t provide any real benefit, it is possible to generate real savings without affecting employee morale.

Marketing and sales: 

Often the least tampered with of all costs because of the fear of impact on revenue. But, a change in tactic may be more relevant for the moment, cost less and prepare you for the upturn. So, take a peep, don’t be shy, the possibilities may surprise you!

People:

Trust the assumption that in a downturn people would rather have the safety of a job, than be laid off. Besides, when you are back on the upturn you need to be prepared to go full steam ahead. Some best practices that we have observed in Asia are:

  1. Stop promotions and increments for 6 months
  2. Reduce pay starting at the top with lower reductions at lower levels
  3. Consider paying 50% of salary for next few months and then ramp up after
  4. If you must lay off people, you still have to bear the costs of notice pay and redundancy. Agree to pay in installments every month. It helps in financial planning.

At a point of crisis all enterprises embark on a cost reconciliation exercise to survive.  However, every crisis changes the way work is done, what is relevant and important, and provides opportunity not merely to survive but thrive!

If you’re interested to know more about on-demand recruitment, we can provide tailored solutions to fit your needs.

Frequently Asked Questions

What is the first step to reduce business costs during a crisis?

The first step is to engage the leadership team to analyze all cost lines and discuss potential solutions. Focus on major expenses like people, premises, technology, and marketing.

Which cost drivers should be prioritized during cost-cutting exercises?

Focus on the cost drivers that represent 80-90% of the business expenses, such as payroll, benefits, technology infrastructure, travel, and telecom.

How can marketing and sales costs be adjusted during a downturn?

While marketing and sales are typically left untouched, a shift in tactics may reduce costs while maintaining revenue generation. Exploring more cost-effective strategies can prepare the business for future growth.

How can companies adapt employee benefit policies to save costs?

Regularly reviewing employee benefit policies can identify which benefits provide real value and which do not. By adjusting or eliminating non-essential benefits, companies can save costs without impacting employee morale.

What changes in business operations can emerge after a crisis?

Crises often lead to a reevaluation of business operations, driving permanent changes in work culture, technology use, and cost management. Embracing new ways of working, like remote operations, can lead to more sustainable business practices and cost savings.

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We need a ‘Great Rethink’ to match the ‘Big Quit’

Published on March 24, 2024

‘Big Quit’ – Employees are rethinking their relationship with work 

Employers all around the globe are dealing with a historic shift in the workforce’s thinking. 4.5 million people are known to have resigned of their own volition last November, reaching a 20 year high in the US alone, of which millennials with more than 5 years of work experience are the highest on the records. A Research Centre survey cites the primary reason for this as:

  • Low pay & No opportunity for advancement (63%)
  • Feeling disrespected at work (57%)
  • No flexibility to choose when they put in their hours (45%)

Exhaustion and grief being cited as the primary as per Mckinsey research, employees seek a renewed and revised feeling of purpose in their work, with fair remuneration, respect, recognition, significant encounters & interactions with peers and superiors, and not merely business transactions. Since the pandemic, job satisfaction is no longer just a fancy buzzword.

Organizations need to exercise a ‘Big Rethink’ in response

The pandemic led labor shortage has exhausted the employee and has got businesses concerned with issues of survival, growth, productivity, and related costs. Employees are revaluing their engagement with work and their relationship with employers. We believe that the only direction forward is a creation of a new work order reflecting a balance of employee and employer needs.

The time to ‘rethink’ a win-win approach to achieve the ‘great result’ is now!

  • From flexible working to flexible earning ‘Flexible working’ needs to expand beyond hours and hybrid work, to include flexible earning; hold multiple work positions simultaneously;
  • Workforce strategy and employment relationship
    1. Role sharing to create more opportunities for career development and growth
    2. Classifying work as core and non-core that includes permanent and non-permanent work opportunities
    3. A culture where the ownership of time belongs to the employee and output to the business
    4. Refocus performance in relation to effective task completion
    5. Embrace work without geographic boundaries
    6. Workforce strategies that provide work opportunities, by way of assignment based full time, part-time work rather than traditional job opportunities

In Conclusion

The Big Quit can’t last forever as the Great Re-think is already happening. We at SolveCube, are at the forefront of working on workforce strategy solutions, specifically its Blended Workforce Strategy, with our clients to support the Great Rethink.

Please visit us at www.solvecube.com to know more. For On-Demand recruitment service contact us today.

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