According to ManpowerGroup, 75% of employers are finding it difficult to fill job vacancies. The labor market is tightening, with the number of employers reporting shortages almost doubling since 2015. Nearly 46% of professionals around the world are considering quitting within the next year, more than the people who quit during the ‘Great Resignation’.
So, what does this mean for your business? For starters, optimizing workforce staffing has become a lifeline for businesses to survive a dog-eat-dog environment. This blog will guide you through five effective workforce optimization strategies that will help make your staffing processes foolproof in the face of any uncertainty.
Tip 1: Use Data to Your Advantage
While many companies recognize the importance of people analytics, with 71% listing it as a high priority, only 22% are actively applying it in their HR processes. This gap shows an opportunity for businesses to use data in their operations. A recent PwC CEO survey revealed that 77% of CEOs see the shortage of key skills as the number 1 threat to their businesses. There are certain inherent skills like problem-solving and leadership that are not only hard to find but even harder to define in applications, which has forced CEOs to turn to data for help. This has led to CEOs discovering how insights from data analytics can solve issues with workforce staffing and optimization.
A shrinking pool of skilled candidates is creating intense competition where every business wants to get its hands on the best talent. Workforce optimization insights from data can help your organization create a strong candidate pipeline so you can react proactively to a shifting market. You can’t predict the future of staffing optimization, but you can certainly prepare for it.
Tip 2: Use a Flexible Staffing Model
If you want to optimize your workforce staffing, the answer might lie in a flexible staffing model. Let’s say your business faces seasonal peaks or there is a special short-term project that requires a special set of skills, you can bring in additional help without committing to permanent hires. This flexible strategy helps to make your workforce staffing easy on the pocket.
So, how do you implement this workforce staffing model? Take a look at your existing team and identify roles that could benefit from part-time or temporary workers instead of permanent ones. Then separate those tasks that can be managed easily by freelancers or gig workers.
Flexible staffing is one of the best workforce optimization strategies that help manage labor costs because you’re only paying for the work when you need it.
Tip 3: Employee Development is a Necessity, not an Option
A survey suggests that when companies offer space for professional growth to employees, they see a 34% increase in employee retention and a 15% boost in engagement. From the employee’s perspective, 86% of professionals agree that they would switch jobs for a company that offers better development opportunities.
Start by offering development right from the beginning of the onboarding process with different activities like personality assessments and interactive sessions. This early focus on growth helps new employees connect with their roles and understand how their work fits into the company’s mission. This workforce staffing optimization approach helps boost confidence in your employees and makes them feel committed to their role from day 1. Hold training programs and workshops so your employees can gain new skills or improve their existing ones.
Tip 4: Add Tech to Your Onboarding and Recruiting Processes
Adding technology to the recruitment mix can dramatically change how you attract, hire, and retain new employees. These could include different tools that can help you improve candidate experience and create a smooth transition for the new hires.
At the beginning phases of recruitment, make use of AI-powered AT to help you screen hundreds of resumes based on the job criteria to shortlist a few top, saving time wasted doing this manually. Then use virtual platforms for onboarding to host the perfect orientation for the new hires. Go for a platform that has features like virtual tours, quizzes, and learning tools. Instead of forcing employees to travel all the way to your location for interviews, use video interviewing tools to make the process remote. This saves time for both parties and opens you to a wider talent pool, which will ultimately help in workforce staffing in the future.
AI chatbots and Virtual Assistants are becoming more common than you think, and you will find them on almost every career page of a business’ website interacting with candidates in real-time. These chatbots can answer common questions, provide updates on application status, and guide candidates through the application process. Industry giants like Hewlett-Packard and General Motors are already using VAs to turn job seekers into applicants and, eventually, an important part of your team. This is workforce optimization at its best.
Tip 5: Focus on Pay Transparency in Your Organization
Pay transparency and performance-based rewards is a great staff optimization technique that builds trust and motivation in your team. Throughout the history of the corporate world, salary discussions have always been a hush-hush matter and compensation details a well-guarded secret. New laws and social movements like MeToo and BLM have pushed for more openness on pay transparency. Openly sharing salary ranges and pay structures helps your employees understand that they are fairly compensated for their jobs, making the culture positive and not toxic.
Research the industry salary benchmarks and current packages. Share the salary ranges you have deduced from this data for different open roles. Use company-wide meetings, internal documents, or the employee handbook to clearly communicate these ranges so everyone stays on the same page.
Wrapping Up
Today’s workforce staffing optimization will help you stay prepared for any unexpected changes in the job market. Assemble your dream team with the help of AI-driven recruitment, use flexible staffing to save business costs, and keep a steady pipeline of good talent on standby.
Partner with ROI Staffing to optimize your workforce staffing with tailored solutions and cutting-edge technology.
FAQs
How do you optimize staff?
Optimizing the staff starts with analyzing your current team. Find gaps and areas for improvement, and use a flexible model to hire talent only when required. Relieve your HR of the pains of manual recruitment and use AI-powered ATS software and VAs. Lastly, be transparent about your salary ranges and benefits.
What is staffing optimization?
Staff optimization makes sure that your workforce is in line with your business goals, works efficiently, and saves unnecessary costs.
How do you optimize a workforce?
To optimize your workforce, try:
- Decide on what your company is set to achieve.
- Hire top talent and retain them
- Offer development chances for the team to grow and give back to the company