Two of the issues that have repeatedly come up in the debate on the world of work concern the growing problem of internal workforce management and the search for new employees capable of taking companies into an increasingly sophisticated scenario. On the one hand, there is the persistent problem of finding skilled workers, while on the other, approaches are needed to retain them.
Hence the need to implement internal policies within the organization capable of addressing these challenges. In what is only an apparent paradox, greater use of technology and radical transformations in the organization of work correspond to the ever-increasing importance of the human factor.
A radical challenge
In recent years, challenges related to technological progress and the lack of available skills were already present, but we know that since 2020, these same challenges have evolved more rapidly, making it vital for companies to address them in order to survive in a labor market that leaves no room for random choices and the absence of carefully planned strategies, at least for those who want to focus on long-term goals. In this sense, it is important to reflect on the opportunities offered by marketing and technology to address these issues.
In this regard, the topics on the table for discussion in the field of human resource management in organizations have increasingly been the same as those debated in the sociology of work: the gap between vacant positions and skills, which is addressed through the use of technology to solve the difficulty of finding qualified personnel; the ability of organizations to attract and retain their employees; the aging and increasingly rapid updating of skills; and the management of personnel costs. All of these issues have gone from being topics of debate to matters of real survival for companies. These issues are only apparently related to simple HR functions: a product alone is no longer enough to guarantee good economic and commercial performance; it is teams, people, and talent that make the difference in business performance, and this is becoming increasingly clear.
Essentially, we can now say that companies that manage to secure the best resources will also manage to secure the best performance.
Communicating the company
Given this scenario, attracting talent is becoming increasingly important, turning it into a financial, commercial, and marketing issue. On this last point in particular, the most forward-thinking companies have been investing heavily for some time: employer branding in marketing and HR departments is discussed at least as much as product promotion; the company itself, understood as a workplace, becomes a product to be promoted.
Although we have discussed this at length, it should always be remembered that it was the pandemic that accelerated these processes, representing a point of no return: much debate has surrounded the phenomenon of the 'great resignation', which occurred on a widespread basis in the United States and to a lesser extent in Europe and Italy. Initially interpreted by some as a stance taken by certain segments of the workforce, others saw it as the manifestation of a more complex phenomenon, which simply emerged in 2021 but is set to continue, linked to rapid changes in the labor market.
Today we can say that it was indeed a symptom of a radical change underway, the effects of which were destined to remain with us.
The legacy of the "new world"
Another dimension, no less important, that emerges in this labor market scenario is purely economic: a different structure in the organization of work is obviously capable of having an impact on the economy and markets, so observing the evolution of the system becomes crucial in order to try to imagine what new developments the future may bring. Three trends that emerged in 2020, which have accelerated and are likely to persist for some time, with various implications for work, were highlighted in the report published in February 2021 by the McKinsey Global Institute, "The future of work after COVID-19." We are now seeing these trends evolve as the pandemic comes to an end:
1) Hybrid working. It is now clear that hybrid remote working is here to stay: the possibility of working from home three to five days a week remains highly sought after. Obviously, this is limited to computer-based office work, but demand for these conditions has not fallen since 2020. Some organizations have leveraged this point, trying to reduce this component, but it will be difficult to eliminate it entirely. It has gone from being a necessity, due to COVID-related closures, to a benefit that affects work-life balance with very important repercussions on quality of life, and it is difficult to believe that candidates do not consider this point when looking at a company.
One of the effects of investing in remote working policies is that, at least in theory, over time, demand for public transport, restaurants, and retail in urban centers could be permanently reduced, changing business models and therefore professional profiles. Candidates have expectations in this regard and also evaluate companies for their choices in this direction.
According to research by the Smart Working Observatory at the Politecnico di Milano, 2023 saw a consolidation of the smart working phenomenon: there were a total of almost 3.58 million agile workers, a slight increase compared to 3.57 million in 2022 (and +541% higher than pre-pandemic figures). In 2024, the number of agile workers will stand at 3.55 million.
2) Delivery economy. As a result, the growth in e-commerce and the "delivery economy," which exploded in 2020, is likely to be steady and continue for a long time to come. This trend has had a significant impact on jobs in the travel and leisure sector and has accelerated the decline of low-wage jobs in physical stores and restaurants, while increasing jobs in distribution centers and short-range deliveries. This is changing the face of cities, not only for those who live there but also for those who work there. A growing sector absorbs labor and influences the formation of professional profiles. At present, the phenomenon appears to be slowing down significantly, but it is a model that is here to stay.
3) Automation and artificial intelligence. Companies have used automation and artificial intelligence to cope with COVID-related closures and have accelerated their adoption for years to come, introducing more robots into production, warehouses, and food processing, changing the need for skilled labor. If we had not witnessed the major closures linked to pandemic containment policies, the same phenomena would probably have occurred more slowly. Today, we know that investments in AI are substantial and that within a few years, all sectors will be affected by this revolution.
These are just a few aspects that clearly show how scenarios have a significant impact on organizations. By moving away from the organizational dimension of these phenomena and their implications, it is possible to identify actions and strategies for future scenarios. The crucial issue is that the relationship between organizations and the workforce has changed, shifting horizontally, meaning that today the two parties are engaged in a dynamic of constant negotiation, going well beyond a mere job interview. Although the dynamics of this "new world" are understandable to us, it is still an unprecedented scenario, and we have yet to understand its possible developments. If we consider that demographic projections in Europe will lead to an increasingly reduced workforce and that only a portion of that workforce will be qualified and ready to respond to the challenges we face, we can understand, once again, how the ability to attract talent is a real matter of survival.