Way back in 1998, a year-long study conducted by a team from McKinsey & Co. found that the most important corporate resource over the next 20 years would be talent: smart, sophisticated businesspeople who are technologically literate, globally astute, and operationally agile. And even as the demand for talent went up, the supply of it would go down. They called this study the ‘War for Talent’.
The McKinsey study had predicted that with the equalizing power of capital availability and technological development, talent would be the most critical competitive advantage for companies. Today, this has been confirmed repeatedly by Talent and Business Leaders alike.
But talent keeps entering the market, and with 90% of professionals passively interested in new opportunities, why is it so hard for companies to find relevant, quality talent?
Diminishing Returns on Inbound Hiring
Inbound hiring is great, but it doesn't give you control over quality or quantity... The ability to proactively find and engage top talent is the single most important skill Talent Acquisition needs today.
Most companies, tech companies in particular, never had to look past traditional methods of finding talent for a very long time. Especially in a country like India with a healthy STEM- inclined education system, tech talent could be easily accessed through inbound methods like job boards, career pages, etc. The power remained with companies to pick the cream of candidates from their overflowing hiring pipeline.
However, this isn’t the case anymore. With the millennial workforce having more options than ever before, tech talent is in demand across enterprises and startups, in almost every industry and capital availability encouraging many bright minds to start up on their own - companies can no longer sit back and wait for the right candidate to walk through the door.
Businesses and Talent Acquisition are aligned
We have a partnership with business, so even before the projects come in, we start identifying skills required and where they are available. This interaction with business - where we showcase the available talent even before the hiring process begins, is critical to our success.
Business and Talent Acquisition can no longer survive independent of the other. In the McKinsey study mentioned above, when senior executives were asked “Does your company make improving its talent pool one of its top three priorities?” In many companies, only 10% or 20% of corporate officers said yes.
In comparison, a 2016 study found that the biggest priority, and concern, for business leaders in 2017 will be retaining employees in a competitive talent marketplace. So the shift in mindset from seeing Talent Acquisition as a traditional cost centre into a strategic partner is critical to a company’s success.
In our interviews with some of the country’s top Talent Leaders, we’ve found that the best relationships between TA and Business Leaders are created when TA is able to bring data-backed insights of the talent market, proactively keeps abreast of industry trends, and is actively involved in business strategy so they can begin their forecasting and preparations at the earliest.
Data is now available and easy to access
Today we are looking at a Cold War with regard to talent, and data is our secret weapon to be prepared for it.
Every business decision today needs to be based on data. The potential for efficiency in time, cost and human effort is so high that Talent Acquisition leaders can’t afford to make decisions without reaching for the data first.
And this data isn’t out of reach. It’s critical for every recruiter and recruiting leader hoping to be a strategic business partner to understand and get insights from their own data and from market research.
From a business perspective, answers to questions like - What is the number of iOS developers available in Bangalore with 3 years of experience, what is the salary expectation of a Program Manager with 7+ years of experience, which institutes have we had the most successful hiring drives at - can influence key business decisions.
Not to mention the fact that it will help build trust with key stakeholders and move TA from a support function to a partner.
The technology has come together
In the 1990s, hiring meant laying out large scale advertisements in India’s major newspapers. Advertisements and classifieds took a major wallet share of hiring budgets and were primarily aimed at raising awareness of opportunities amongst job seekers.
Recruitment then moved to using online job boards, and with the advent of Web 2.0 around 2004, we saw the rise of specific talent communities come to life. Sites like LinkedIn, Ryze and Xing brought in the concept of professional networking and gave rise to a whole new way of recruiting.
The introduction of SMAC—social, mobile, analytics and cloud, led to a new era of tech-savviness in talent management being ushered in. HR tools and techniques that are driven by these technologies have been regarded as the “future of HR”.
Today, new age technology like automation, Artificial intelligence and Machine Learning are now empowering recruiters to spend less time on monotonous processes and instead, spend their time improving candidate experience, employer branding and internal efficiency.
The Future of Recruitment = Outbound
In order to win this War for Talent, HR and business leaders need to fundamentally re-evaluate their talent acquisition strategy - moving from the traditional inbound method of hiring to the future of recruiting - Outbound hiring.
Outbound hiring fundamentally flips the inbound recruiting funnel. Instead of waiting for the best talent to wander in, outbound recruiters proactively engage the right people at the very start by using social talent data and predictive analytics. Businesses save hundreds of recruiting hours that are otherwise wasted on marketing, filtering and screening unqualified candidates. And because outbound hiring delivers a personalized candidate experience at every stage, recruiters and hiring managers see far higher engagement and join rates from candidates.
You can now #GoOutbound too with our Outbound All-Stars Recruiter Series: a first-of-its-kind program designed to help you master the art and science of data-driven Outbound Hiring.
Cutting across 5 live webinars with the who’s who of Talent Acquisition and HR, the All-Stars program dives deep into actionable Outbound recruiting tactics, processes and metrics you can use to hire great talent and demonstrate impact.
Follow the link below to find out more about the entire #OutboundAllStar series, get an overview of each webinar and check out some of our amazing speakers!