The New Face Of The American WorkforceThe New Face Of The American Workforce
why you’re doing workforce engagement all wrong
What We’ll Cover1. Why You’re Doing Engagement All Wrong
2. The New Face Of The American Workforce• The 5 ShiftsThe 5 Shifts• The 2 Disruptions• The 5 Key Findings
YOU’RE DOING ENGAGEMENT ALL WRONG
1. DISENGAGEMENT MEANS YOUR BUSINESS IS LOSING MONEYBUSINESS IS LOSING MONEY
Disengagement Costs Businesses $500 Billion Each Year!
YOU’RE DOING ENGAGEMENT ALL WRONG
2. PEOPLE CRAVE PURPOSE, CONNECTEDNESS & VISIONCONNECTEDNESS & VISION
More Than 50 Million Individuals Filed 1099’s Last Year
YOU’RE DOING ENGAGEMENT ALL WRONG
3. ENGAGEMENT CONNECTS PASSION WITH ACTIONPASSION WITH ACTION
70% of traditional W2 employees are disengaged from their daily workdisengaged from their daily work
93% of freelancers are committed to their & their clients’ success!
The New Face Of The American Workforce
S fThe 5 ShiftsThe 2 DisruptionsThe 2 Disruptions
The 5 Key FindingsThe 5 Key Findings
The Outsourcing Appetizer
The 5 Shifts1 The Outsourcing Appetizer
The Organization – Individual Inversion
1
2
The ICT Revolution
The Great Recession
3
4 The Great Recession
The Passion Culture
4
5
The 1st Shift
Outsourcing Whets Enterprise Appetite for External Expertise
The 1 ShiftThe Outsourcing Appetizer
• Talent Is Untethered From Geography Through Technology
• Just In Time Was Working Well for Supply Chain
On Demand
• Just-In-Time Was Working Well for Supply Chain
• Focus Shifts To Program & Process Management
Lower Overhead – Lower Cost
• Economic Differences Lower Operational Costs
• External Expertise Offloads Internal Overhead
The 2nd ShiftThe Enterprise Expertise Proxy Is Eroded By Actual Individual Experts
The 2 ShiftThe Organization – Individual Inversion
Specialized Solutions
• Institutional Knowledge
• Process & Technology Expertise
Individuals Are Requested Who Possess
Require Deep Insight
• Site & Solution Specific Insight
Elastic Expertise Becomes The Mode
• “One Throat To Choke” Models Resulted in Strangled Supply
• Direct To Expert Required More Responsibility
• Direct To Expert Delivers Better, Faster Results
Which Takes Time To Develop
That Companies Will Pay For Only
Once
The 3rd Shift
Communication & Collaboration Technology Brings Expertise Into The Room
The 3 ShiftThe Evolution Of ICT
• SOCIAL – powers individual expertise location
SO – MO - LO
• MOBILE – powers solution acceleration & expert ubiquity
• LOCAL – powers rapid consummation & community
LAST MILE EXECUTION
• Where offshore & electronic deliverables break down
• Rediscovery Of The Human Element At Point Of Delivery
The 4th Shift
A Perfect Storm Of Trends To Spur The Freelance Economy
The 4 ShiftThe Great Recession
TRENDS CONVERGE
• ECONOMIC – Boomers & Millennials Alike Turn to Freelancing
l d i b k l
SHORTER TERM PROJECTS
• ON DEMAND – cloud computing, Obamacare, consumer marketplaces
• DISENGAGEMENT – dissatisfaction grows as options emerge
• Projects & PMOs Go LEAN
• Project Lifecycle Shift Drive Up Reliance on Short-Term Contractors
The 5th Shift
Do What You Love Drives The Hunt For New Opportunity
The 5 ShiftPassion Culture
• WORK – already more than a place we go due to always on technology
• BLURRED BORDERS – between work & life due to shifting expectations
IF WORK IS YOUR IDENTY, YOU HAD BETTER LOVE WHO YOU ARE
BLURRED BORDERS between work & life due to shifting expectations
CONSPICUOUS SUCCESS OF PASSION COMPANIES
• Millennials enjoy massive success “doing what they love”
• Ideas are imbued with a new potential energy
• Ideas soak up capital fleeing traditional, recession afflicted, investment areas.
• Social proof and funding via kickstarters, angels & VCs become popular
Dissatisfaction Grows Among Traditional W2 EmployeesDissatisfaction Grows Among Traditional W2 Employees
The Disengagement DisruptionDissatisfaction Grows Among Traditional W2 EmployeesAwareness of the squeeze their companies are putting on them due to the recession & increasing visibility of conspicuous success by passion-based entrepreneurs feeds growing dissatisfaction.
Dissatisfaction Grows Among Traditional W2 EmployeesAwareness of the squeeze their companies are putting on them due to the recession & increasing visibility of conspicuous success by passion-based entrepreneurs feeds growing dissatisfaction.
Loss of Visibility Of PurposeLoss of Visibility Of Purpose
01cause
01cause
01cause
Loss of Visibility Of PurposeEmployee visibility of purpose is comprised of 3 elements:1. A thriving relationship with the immediate supervisor2. Belief in senior leadership3. Pride in working for the company.Loss of these sets employees adrift and spurs disengagement
Loss of Visibility Of PurposeEmployee visibility of purpose is comprised of 3 elements:1. A thriving relationship with the immediate supervisor2. Belief in senior leadership3. Pride in working for the company.Loss of these sets employees adrift and spurs disengagement
02cause
02cause
02cause
Erosion of Connectedness At WorkCulture abhors a vacuum. With increasingly fractured teams and absent an intentional focus on connectedness, belief in Sr. leadership erodes which causes satisfaction and engagement to plummet.
Erosion of Connectedness At WorkCulture abhors a vacuum. With increasingly fractured teams and absent an intentional focus on connectedness, belief in Sr. leadership erodes which causes satisfaction and engagement to plummet.
03cause
03cause
03cause
pp
Gallup’s Global Disengagement FindingsDisengagement is a global problem• 87% Global Disengagement• 70% U.S. Disengagement
Gallup’s Global Disengagement FindingsDisengagement is a global problem• 87% Global Disengagement• 70% U.S. Disengagement
04cause
04cause
04cause70% U.S. Disengagement
• $450 – 550 Billion in losses in the U.S.70% U.S. Disengagement
• $450 – 550 Billion in losses in the U.S.
HELLO BUSINESS?
THIS IS YOUR WAKEUP CALL
one sector consistently outperforms others on engagement…
Image via Flickr User Claire Sutton
The Freelancer Disruption
34%• 53 million freelancers in the U.S.
• Increasing spending on contractors
2014
and freelance
• 18% of total workforce – 20% in 2
years. (SIA)
• Technology allows direct engagement 36% of Businesses Plan towith experts anywhere the work
requires.
36% of Businesses Plan to increase spending on contingent workers in 2015
40%• 60 million + freelancers 2020
contingent workers in 2015 (up from 24% in 2014)-TEKsystems nov 6, 2014
The 5 Findings1 Opt-In Freelancing1
2
p g
Regular Income
3
4
Entrepreneurs & Owners
Committed to Success4
5 Overwhelmingly Satisfied
Methodology
“Field Nation Provider Engagement Study”
Conducted Fall 2014
N=847
Modelled On Gallup Employee Engagement Survey
Measured self typing, engagement and satisfaction with freelancing
Correlated engagement factors such as autonomy competence and relatedness to responsesCorrelated engagement factors such as autonomy, competence and relatedness to responses
All responses were anonymous
Finding 1Freelance Contractors Who Selected The Lifestyle
vs Those Who Felt They Had No Other Options g
Freelancers Chose Freelancing
88SIGNAL:
• Strong Autonomy
88%Strong Autonomy
• Strong Sense Of Purpose
Opted In Forced In
Finding 2Contracting Income gFreelancing Provides An Important &
Regular Income Stream
96%OUTER RING:
• 96% Contracting / Freelancing is Regular Income96% INNER RING:
• 73% Contracting / Freelancing is Primary Income
SIGNAL:
• Strong Competence
• Strong Engagement
Finding 3How Freelancers See Themselves gIndependents See Themselves As
Entrepreneurs
52%THE MAJORITY
• 52% Consider Themselves Entrepreneurs & Small
Business OwnersBusiness Owners
THE MINORITY
• 45% See Themselves As Independent Contractors45%SIGNAL:
% p
THE EXCEPTION
• 3% View Themselves As Temporary Help
• Strong Competence
• Strong Autonomy
Finding 4Success Focus For Customers & Self gCommitment To Success
93%OUTER RING:
• 93% Committed to the Success of the Customer93% INNER RING:
• 90% Committed to the Success of Their Business
SIGNAL:
• Strong Relatedness
Finding 5Daily & Overall Satisfaction gSatisfaction
97%OUTER RING:
• 97% Satisfied Day-to-Day97% • Of Those, 63% Replied “I love what I do.”
INNER RING:
SIGNAL:
• Strong Engagement
• 95% Satisfied Overall with Their Freelance Career
Strong Engagement
The Conclusion
1 Opt-In Freelancing: Autonomy1
2
p g y
Regular Income: Competence
3
4
Entrepreneurs & Owners: Relatedness
Committed to Success: Competence4
5 Overwhelmingly Satisfied: Engagement
The Shifts The Disruptions The Findings
The Outsourcing Appetizer
p g
11 The Disengagement Dilemma Opt-In Freelancing1 The Outsourcing Appetizer
The Organization – Individual Inversion
1
2
1
2
The Disengagement Dilemma
Freelance Disrupts Fulltime
p g
Regular Income
1
2
The ICT Revolution
The Great Recession
3
4
Entrepreneurs & Owners
Committed to Success
3
4
The Passion Culture
4
5 Overwhelmingly Satisfied
4
5
We Are Breaking The Barriers To Work
We Are Helping YouWe Are Helping YouGet Work. Done.Get Work. Done.