The Herman Trend Alert
July 18, 2018
The Shifting Future of the Workforce Part 2
Last week, we addressed the shifting workforce skills needed as we approach 2030, outlined in the recent McKinsey study The Shifting Future of the Workforce Part 1 . This week, in Part 2, we look at the organizational transformation companies will undergo to remain viable. The Washington Post tells us that 71 percent of today's workers (in the United States) are looking for new jobs. On top of that, thousands of baby boomers are retiring every day.
Organizational changes needed to stay competitive
To stay competitive, companies will need to make significant organizational changes to address these skill shifts. What's needed is an emphasis on "continuous learning" for all workers and a transition to more "cross-functional and team-based work". Moreover, companies will need to become more agile, in part by encouraging independent work.
Other shifts needed by HR and leadership
Leadership and human resources will also need to adapt to the changing workplace: almost 20 percent of the companies surveyed said their executive teams lacked "sufficient knowledge to lead adoption of automation and artificial intelligence". Over 30 percent expressed concern about lacking the skills they needed for automation adoption which would hurt their future financial performance. They are right to worry!
Tightening labor markets for high-skilled workers
While low-skilled workers will continue to lose their jobs to automation, competition for high-skill workers will increase. This trend that has aggravated income inequality and reduced the number of middle-wage jobs. The McKinsey study reported that high-skill workers were the most likely group to be hired and retrained---and see their wages rise.
Slower adopters will struggle to attract talent
Slower adopters will have more limited options. Nearly half of the companies surveyed believe all of the groups involved, including employers, communities, and workers, will need to cooperate to manage the large-scale retraining required to transition in the years ahead. Long overdue is the collaboration between firms and educators to reshape school and college curricula. (We have been promoting this collaboration for years.) There are also roles for industry associations and labor unions to help build talent pipelines and promoting cross-sector mobility. Governments will need to think about providing safety nets for transitioning workers and not penalize mobility, by encouraging the shift to portable benefits. This portability of benefits could be very meaningful in helping employers to best utilize the talents and skills of workers across sectors.
Organizations of the Future
Firms that listen to this good advice will be rewarded with profitability; those that ignore it may not make it to 2030.
To read the entire McKinsey study, visit here.
© Copyright 1998-
by The Herman Group, Inc. -- reproduction for publication is encouraged, with the following attribution: From "The Herman Trend Alert," by Joyce Gioia, Strategic Business Futurist. 336-210-3548 or https://hermangroup.com. To sign up, visit https://HermanTrendAlert.com. The Herman Trend Alert is a trademark of The Herman Group, Inc."
HOW DOES SHE DO IT?
Our author Joyce gets quoted in TIME Magazine and other national media on a regular basis. You can, too! Sign up for ExpertClick.com. You will be found by the news media and in Google search: 1. Through your personal search-engine-optimized press room by 39 topics you choose; 2. By news releases pushed out 10 ways including Google News; 3. Be found in the 2020 printed Yearbook of Experts, Authorities & Spokespersons. Save 15% when you register by October 31st @ http://www.ExpertClick.com/Discount.
APF'S FUTURES FESTIVAL IN 3 DAYS: ONLINE OCTOBER 24TH: FULL SPECTRUM FUTURES
The Association of Professional Futurists proudly presents its annual online learning experiences on Full Spectrum Futures. Network with leading futurists from all over the world. And best of all, it's free to attend, though contributions are encouraged to help defray costs. For more information, visit here.
OUR VERSATILE TRANSLATOR ROCKS!
Excellent translation services from English, French, or German into Spanish. Especially well-versed in medicine/pharma and automobile industries. 5-year Bachelor Degree in Translation. Also editing and proofreading of all kinds of Spanish language documents. Flexible rates, depending on number of words, degree of difficulty/technicality, and turnaround. For an instant quote email Mariana Campora Lesti at email@example.com or contact her on SKYPE at marianacampora.
To read this Herman Trend Alert on the web: https://hermangroup.com/alert/archive_10-21-2020.html.
Herman Trend Alerts are produced by the Herman Group, strategic business futurists, Certified Management Consultants, authors, and professional speakers.
New subscribers are always welcome. There is no charge for this public service. The Herman Trend Alert is read by over 30,000 people in 90 countries, including other websites and printed periodicals. Click here to sign up for the Herman Trend Alert.
Do you enjoy receiving this weekly e-mail update? Contact us about our co-branded Herman Trend Alert service.
Subscribe or Unsubscribe to weekly Herman Trend Alert
View this week's Herman Trend Alert
Archived Weekly Herman Trend Alerts