While hiring for an alternative or contingent workforce was once considered, “good to have,” today, there are many companies that are supported entirely by outsourced teams, crowd networks and freelancers.
As of 2017, about 57 million members or 36.8% of the American workforce were known to be part of this gig economy. That number is expected to grow to over 87 million or 50.9% of the U.S. workforce by 2027.
Millennials, who make up more than one-third of this expanding segment of the workforce are more interested in freelancing and contractual work than full-time jobs. Global talent trends in 2020 suggest similar shifts in employment models, worldwide.
To help tackle the growing shortage of skilled full-time workers, companies are engaging their non-permanent staff in a new recruitment approach known as total talent management (TTM).
What is Total Talent Management?
The TTM approach bridges the gap between traditional full-time employees and various kinds of agile talent (consultants, temporary workers, on-demand staff, and contractors) that work with an organization.
The trend can be traced back to the 2008 recession that saw a huge rise in freelance and consulting opportunities as a result of company cut-backs and shifting business demands.
By 2016, over 93% of companies were using a blended workforce model to keep up with the changing shape of employment.
Benefits of Total Talent Management
The benefits of TTM are numerous. They include:
Cost Savings — Companies achieve more efficient workflow and save money by:
- Cutting down on engaging top full-time talent
- Avoiding inefficient and expensive hiring practices
- Enabling precision planning and faster recruitment
- Improving access to a higher-quality talent pool
Total Talent Management and the blended workforce model often brings a new kind of diversity when traditionally-recruited employees team up with freelancers. This recruitment approach allows each non-permanent worker to bring a unique perspective that complements the knowledge of full-time employees.
Improved Trust in the Brand
According to the 2018 PWC survey, 65% of CEOs are concerned about shifting workforce dynamics and hiring and retaining staff with the right skills. Total talent management addresses these issues by bringing HR and procurement departments together, creating a more unified and effective organization and positive employer brand.
Challenges That Hinder the Adaptation of the TTM Model
Implementation of the TTM model has complex challenges standing in the way:
- Finding the right mix of employees, temporary workers, independent contractors and freelancers may not be possible in the absence of guidance from corporate leadership.
- Organizational silos and a lack of an overarching talent strategy can make the adaptation, difficult.
Developing a TTM Strategy for Your Company
As business cycles and workforce needs emerge at an accelerating pace, talent managers and organizational leaders must take on a more integrated and agile talent management approach.
Here’s how you can implement a TTM strategy in your organization in three stages:
- Prepare the company for a shift. Recognize the need to acquire alternative workers for various roles and help others understand it. Since constant change is becoming the new normal, educate your talent leaders on the potential value that a TTM strategy brings.
- Identify the best strategies to hire a highly-skilled workforce. Given the dearth of new digital, technical and soft skills in the business-critical workforce, global companies are investing in retraining and upskilling programs; however, only 18% of CEOs have reported significant success.
By implementing a total talent approach to your hiring processes, you can find the expertise that perfectly fits your workforce.
This is where a recruitment process outsourcing (RPO) provider can help you take advantage of their industry insights, best hiring practices and valuable analysis.
- Firms that provide end-to-end total talent management services like Alluvion can help you find the right talent using the latest recruitment technology tools and techniques.
- As outside experts, such companies offer fresh perspective while taking great care to understand your specific blended model requirements and workplace culture.
- They help you identify and execute the best-suited strategic approach for your brand to hire an integrated total talent workforce that delivers optimum results.
- Especially for projects when time is of the essence, RPO partners can find you the on-demand talent that can get on board, without the need for investing in learning and development programs.
Just as total talent strategies evolve, RPOs are continually innovating intelligent solutions to tackle the hiring challenges of the changing workforce.
- Create a value proposition for your newly hired talent. Integrating the on-demand alternative workforce into your company is crucial, as it establishes trust among the both the new hires and your permanent employees. Creating a value proposition for these new workers can help promote collaboration between various departments and individuals, helping the organization to succeed as a team.