What were the key findings?
The annual survey of 522 organisations across the private, public and voluntary sectors provides HR professionals with key benchmarking data around recruitment, talent management and employee turnover.
All sectors reported more difficulties this year compared to last, particularly at senior level. As in previous years, the main reason for recruitment difficulties was lack of necessary specialist or technical skills. Lack of relevant sector/industry experience was also an issue.
71% of respondents said there’s been an increase in applications from unsuitable candidates. Three fifths said that competition for talent is greater than ever.
Overall, 47% of organisations revealed the economic climate has had a negative impact on resourcing budgets for 2012-13. However, almost half (49%) said that the current economic situation has led to a focus on talent management.
38% of employers reported that candidates were looking for higher pay than they could offer, and a fifth said that candidates were reluctant to move in the current climate.
Why is time to hire so long?
One in three (33%) organisations reported that they had lost potential hires due to the length of their recruitment process. This is particularly problematic for larger companies (59% of those with more than 5,000 employees).
There’s a stronger focus on developing more talent in-house, retaining rather than recruiting and redeploying people into new roles. On the other hand, potential job seekers are nervous about moving. Employers are doing less volume recruitment so their processes are not as efficient. Some are also not being flexible with their person specification – waiting for their right match without considering alternatives such as candidates from other sectors.
What can HR do to redress the balance?
Look at the market from a strategic perspective and demonstrate your broader commercial awareness and business acumen. Succession planning can help redress the balance and ensure the people requirements for your business are being met.
Fish in different talent pools. There’s good available talent that with broader thinking could provide the solution for your organisation.
How can HR upskill?
- Understand niche HR areas: such as pay & reward and employment law, because you are accountable for these teams
- Lead with solutions: work closely with the MD and other senior leaders – aspiring HRDs need to use their HR knowledge and wider business skills to come up with solutions to support business objectives
- Demonstrate return on investment: what’s your impact on the business, in % savings or improved productivity?