As we look past 2021 and the pandemic, it has become apparent that we are entering 2022 with a completely different and equally challenging set of issues. For the past several years, the “talent war” has had a special emphasis on the demand for high-end digital talent. Today, the challenge to find talent has become widespread across industries and departments and has spiraled into rising attrition rates, higher internal salary demands from employees, and increasing billing rates across a range of job skill sets.
Access to future-ready, high-skilled large-scale talent has always been the bedrock of India’s GCC market. If cost arbitrage brought GCCs to India, the easy, high-skill talent proposition has made them stay and prosper. Now the Great Resignation and challenges in hiring and skilling are causing GCCs to rethink their approach to talent. Talent strategy has become a board room agenda item and is considered a competitive differentiator for GCCs.
Three attributes have differentiated trailblazer GCCs:
- Agility in refining talent strategy and fast-paced decision making with long term view
- A shift in thinking from the perspective of short term GCC-specific needs to anticipating and solving for future skill demand
- Focusing on creating talent solutions not just for the GCC but for the global enterprise
GCCs are realizing that classical attraction and retention strategies are now relegated to “common differentiators. Key initiatives being undertaken by best-in-class GCCs include:
Programmatic L&D initiatives: These could include identifying future business needs, mapping existing GCC skill inventory, and creating achievable roadmaps for skills development. Gamification and on-demand trainings are also becoming more prevalent, as well as critical success factors such as hyper-personalization of learning journeys, use of technology for scaled and speedy interventions, and appropriate incentives for employees
Diversity and inclusion: Diversity and inclusion have become a mission-critical piece of any GCC’s culture, HR policies, and efforts into modernizing the workplace. GCCs use this to improve their positioning as employers of choice and to tap into under-utilized talent pockets, such as returning-to-work mothers and rural workers
Out-of-the-box talent acquisition methods – Successful GCCs are hiring from alternative industries, hiring remote workers, partnering with the external ecosystem, and looking to acqui-hiring. Increasing virtual engagement with potential employees has also gained significant traction
Rigorous performance monitoring and reporting: Focus on inputs rather than outcomes when it comes to talent initiatives, as these initiatives often bear results in the long term
Leverage of next-generation technology tools and platforms: Finding the right balance between human and technology is critical. Best-in-class GCCs have leveraged in-house technology capabilities and the external ecosystem more effectively. More use of technology does not guarantee success, but – when done right – it certainly improves the chances of success
With the increasing talent wars, only companies that take the time to introspect, change, and refine their Employee Value Proposition (EVP) will have an edge in attracting and retaining talent. Often employees are tired and disengaged and need more than compensation change to reinvigorate them. For example, company offsites can help to revive their sense of purpose in their work. As you look to redefine your talent strategy, it is imperative you ask the following questions:
- Have we created and effectively communicated our strategy for the hybrid work environment?
- Do we have leaders with the right skills to motivate and lead teams in the new normal?
- How has our culture changed in the hybrid work environment?
- Have we empowered our employees?
- Do the employees feel valued? Or is work just a transaction?
- Are we providing the right career advancement to our employees?
- Are we a workplace or a community?
Click here to learn more about Everest Group’s research on GCC evolution and talent themes.
Author: Prashray Kala, Vice President, Everest Group (bio).