There is fierce competition for talent. More and more companies are actively seeking young candidates who have a natural understanding of complex systems and problems. But in the midst of the search for new talent, are you also remembering to develop the talent you already have?
Many leaders are familiar with the concept of "Employee Value Proposition" or EVP, which is: what employees get for what they give.
What employees get can be many things, including:
In short: If your company's Employee Value Proposition is stronger than your competitors', you will be able to attract and retain the best talent. But in a sea of interesting Employee Value Propositions, where should your company focus?
In 2012, McKinsey published an updated version of a comprehensive research report titled "McKinsey Global Survey: War for talent". The report addressed companies' ability to attract talent and their ability to subsequently retain that talent.
An illustration from McKinsey's research tells us that one of the four elements below should be a distinctive feature of any company that wants to attract talent:
However, it is very clear that one element scores higher than the others, namely "Great leaders". This defines what it means to be a good leader as the leader being: "inspirational, supportive, empowering and focused on development".
Although this survey is 10 years old, there is considerable evidence to suggest that the focus talent places on their opportunity to develop is still absolutely central when the most capable young candidates choose to seek, or leave, a job.
When Statista in 2015 investigated the question "Which working benefits do millennials value most?", they likewise concluded that "Training and Development" ranks first.
So what can business leaders take from this comment? In my view, it is quite simple: if your organisation becomes known as a place that manages to give its employees the experience of being developed, then you will attract the strongest talent. Rather invest money in leader and employee development than in large bonuses and extravagant Christmas gifts. For many young people, consumer-oriented culture is retreating anyway, whilst self-realisation is surging forward as a common concept in everyday life. Just look at the booming market for mindfulness, or the explosion of young Danes walking the Camino. It is development they are seeking. It is development that talent wants!
So make sure your company creates a strong offer of development for your employees – and deliver!
It's time to re:lead.