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Conduent Webinar Feb 2020: Skills, The Currency of the Future of Work

Two major shifts:
- Education went from being scarce to being abundant
- Technology outpaced the ability of humans to learn
- Created a massive global skills gap

CEO's reporting skills as a top priority, and lack of skills as a top threat to business
- Most companies cannot yet inventory skills
- Market is beginning to respond to meet this need
- Market maturity is highest around lifelong learning; medium around skills measurement; and nascent around skills gap analysis (informing what skills a company needs)

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Conduent Webinar Feb 2020: Skills, The Currency of the Future of Work

  1. 1. ++ WEBINAR | Feb 2020 SKILLS The Currency of the Future of Work David Blake Executive Chairman| Degreed Coauthor | The Expertise Economy
  2. 2. Imagine a documentary about what your team is accomplishing six months from now. What specific results do you see? How is the work different from today? Now think about the skills needed to make the images in the movie become reality. NETFLIX former Chief Talent Officer, Patty McCord Harvard Business Review, How Netflix reinvented HR, 2/20141
  3. 3. USS Gabrielle GiffordsJerry Useem | The Atlantic2
  4. 4. 3 Skills vs Titles / Roles
  5. 5. + 4 An Allegory: Trains vs Uber
  6. 6. 5
  7. 7. 6
  8. 8. 7
  9. 9. 8 Dozens of standard paths to billions of unique pathways
  10. 10. PwC, 22nd CEO survey, 2/2019 Lack of skills is already hurting your business 9 8-in-10CEOs say LACK OF KEY SKILLS is a serious threat to their company’s growth. 44% 44% 47% 52% 55% We are not able to innovate effectively Our quality or customer experience are impacted We are unable to pursue a market opportunity Our people costs are rising more than expected We are missing our growth targets
  11. 11. + General Motors is laying off 14,000 people as it refocuses its business on autonomous and electric vehicles. CEO Mary Barra says the restructuring is necessary “to ensure we have the right skill-sets to win today and in the future.” GM expects restructuring charges of $1B+. + 10 Do you have the skills to innovate?
  12. 12. Do you have the skills to reinvent? Kraft-Heinz learned to squeeze efficiency from its operations, but neglected the skills to appeal to retailers and consumers — innovation, marketing and merchandising. Meanwhile, sales are down by $229M+, and forecasts for future profits dipped 25%. 11 Knowledge@Wharton, Can Kraft-Heinz catch up with its changing market?, 3/209; S&P Capital IQ, Company report, 11/2019
  13. 13. + SAP is laying off 4,400 people as it repositions for AI, IoT, blockchain and quantum computing. CEO Bill McDermott says SAP is “getting the necessary skills on top of the growth opportunities… optimizing our workforce.” SAP expects restructuring charges of €800M+. + Do you have the skills to seize opportunity? 12
  14. 14. 54% of companies have no programs in place to build the skills of the future. Only 18% give employees the ability to actively develop themselves… DELOITTE Human Capital Trends Deloitte, Human Capital Trends 2018: From careers to experiences, 2/201813
  15. 15. Building capabilities is everyone’s job, not just HR’s or L&D’s Degreed + Harvard Business Publishing, How the workforce learns, 10/2019 Q: Which of the following did you consult for guidance or recommendations when you needed to learn something for your job or to career last year? 14 18% 26% 37% 33% 44% 45% 62% 53% 65% Specific websites (e.g. YouTube, Harvard Business Review...) Internet search engines (e.g. Google, Bing…) My professional network My manager or mentor My team or peers inside my company My company's learning systems or portal Online social networks or communities (e.g. Twitter, LinkedIn...) My company's HR, Training or learning team My company's social or messaging tools (e.g. intranet, Yammer, Slack…) Individual workers Managers and peers HR and L&D teams
  16. 16. Today’s workforce develops themselves for tomorrow Degreed + Harvard Business Publishing, How the workforce learns, 10/2019 Who we asked We surveyed 772 people in Q1 2019 to understand their learning habits and what they value. None work in L&D, talent or leadership development. Where they live 43% work in North America,31% work in Europe, the Middle East or Africa, 20% work in Asia or Australia, and 6% work in Latin America. What they do 21% are front line workers,34% manage a team, 36% lead a function or business unit, and 9% are C-suite executives. Where they work 65% work in organizations with 10,000+ employees, 35% in ones with 1,000 to 9,999. None are in organizations with <1,000 people. 15
  17. 17. People want guidance — but they’re not getting it Q: What are your biggest obstacles to job-related learning or professional development? Degreed + Harvard Business Publishing, How the Workforce Learns, 4/201916 0% 11% 14% 19% 20% 22% 30% 30% 43% I don't have (or make) the time to learn Lack of guidance or direction in learning My company doesn't recognize or reward learning My manager doesn't encourage or enable learning I am overwhelmed by too many choices The learning at work is not engaging The learning at work is not relevant I don't know where to find learning opportunities at work I am not interested in learning more 16
  18. 18. Managers don’t provide consistent guidance or support Q: Which of the following did your manager do to support your professional and career development last year? Degreed + Harvard Business Publishing, How the Workforce Learns, 4/201917 17% 20% 31% 38% 39% 63%Held an annual performance review Gave regular feedback on performance or skills Conducted periodic check-ins Offered projects or other development opportunities Recommended learning resources or experiences Helped create a plan or set goals for developing skills 17
  19. 19. Tiffany & Co., Q1 2019 earnings call The Skills Tiffany & Co. plans to grow 18 BUILDING BRAND RELEVANCE BRING NEWNESS TO THE PRODUCT RANGE NEW ONLINE AND IN STORE SHOPPING EXPERIENCES BETTER CLIENTELING AND CUSTOMER SERVICE FOCUS ON KEY MARKETS WITH COST DISCIPLINE CREATE AN AGILE, ALIGNED ORGANIZATION social media marketing rapid prototyping engineering coaching data science experiential marketing customer focus supply chain management process automation store leadershippeople analytics DO YOU HAVE THE SKILLS YOU NEED? storytellingcuriosity risk management
  20. 20. Amazon, Upskilling 2025: About our changing workforce, 7/201919 An inventory of how Amazon’s workforce is evolving highlighted growing demand for skills in everything from logistics, robotics, and cloud technology to user experience design, marketing, and HR.
  21. 21. ++ Medium, Scaling Airbnb with Brian Chesky, 11/2015 If you think you know everything, you can’t scale. AIRBNB Co-founder and CEO, Brian Chesky 20
  22. 22. every day every week every month every quarter less often The Consumerization of Enterprise Degreed + Harvard Business Publishing, How the workforce learns, 10/2019 Q: How often do you undertake the following learning activities? Ranked by weighted averages. 21 Search Articles Videos Books Podcasts Mobile apps Feedback from team or peers Coaching from managers or mentors Professional networks or meetings Online courses (at work) Online courses (on my own) Live classes (on my own) Live classes (at work) Conferences or seminars Certificate or certification programs Intheflow ofwork Outsidethe flowofwork 50% 90% used last year to develop my skills Social networks Webinars and webcasts
  23. 23. The Future Organization, Unilever’s Chief Learning Officer on how to foster curiosity and a hunger to learn, 7/201822 At Unilever, individuals are responsible for their own learning, but line managers are responsible for supporting them to build the capabilities they need. Company’s job is to create the learning culture.
  24. 24. The workforce knows what’s in it for them Q: How strongly do you agree or disagree with the following statements? Degreed + Harvard Business Publishing, How the Workforce Learns, 4/201923 AGREEDISAGREE NEITHER 39% 21% 8% 7% 5% 21% 14% 10% 8% 5% 40% 66% 82% 85% 90% I know what skills I need to perform better in my current role I know where I have skills gaps today I know what skills I need to advance my career My manager knows what skills I have My manager helps me understand what skills I need to advance my career 23
  25. 25. The workforce chooses how they learn Q: Which of the following activities have you undertaken at least once in the past year for learning? Degreed + Harvard Business Publishing, How the Workforce Learns, 4/201924 86% 79% 63% 59% 58% 53% 52% 47% 45% 44% 43% 36% 31% 25% 25% 24
  26. 26. The workforce wants guidance on what to learn Q: Which of the following would be most helpful in making your learning more relevant to your job or career goals? Degreed + Harvard Business Publishing, How the Workforce Learns, 4/201925 3% 3% 8% 14% 17% 17% 18% 33% 42% 48% 61% None of the above Aligning learning to my skill gaps Assessments to find out where I need improvement Providing opportunities to apply what I've learned Specifying my interests / building my own profile My choice of content formats (e.g. courses, videos, articles, podcasts...) Learning paths or playlists suggested by my company Recommendations based on my professional network's activity Recommendations based on my personal activity history Game mechanics (e.g. competition, leaderboards, rewards or badges) Remembering where I left off 25
  27. 27. Remove obstacles Q: What are your biggest obstacles to job-related learning or professional development? Degreed + Harvard Business Publishing, How the Workforce Learns, 4/201926 -30% -20% -10% 0% 10% 20% 30% 40% 0% 10% 20% 30% 40% 50% POTENTIAL“LIFT” (detractorslesspromoters) POTENTIAL “IMPACT” (% citing obstacle to learning) Lack of guidance or direction in learning My company doesn't recognize or reward learning My manager doesn't encourage or enable learning I don't have (or make) the time to learn
  28. 28. Activate managers Q: Which of the following did your manager do to support your development last year? Degreed + Harvard Business Publishing, How the Workforce Learns, 4/2019 27 0% 5% 10% 15% 20% 25% 0% 20% 40% 60% 80% 100% POTENTIAL“LIFT” (promoterslessdetractors) POTENTIAL “IMPACT” (% who did not get…) Offered projects or other opportunities to develop new skills Helped create a plan or set goals for developing specific skills Recommended learning resources or experiences Conducted periodic check-ins Gave regular feedback on your performance or skills
  29. 29. Enhance connections Q: Which of these did you consult for recommendations for learning in the last 12 months? Degreed + Harvard Business Publishing, How the Workforce Learns, 4/2019 28 -10% 0% 10% 20% 30% 40% 0% 20% 40% 60% 80% 100% POTENTIAL“LIFT” (promoterslessdetractors) POTENTIAL “IMPACT” (% who did not use…) My company’s intranet, social or messaging tools My company's HR or learning team My company's learning systems or portal My team or peers My manager or mentor
  30. 30. ++ Paul Graham, How to be an expert in a changing world, 12/2014 When experts are wrong, it's often because they're experts on an earlier version of the world. Y COMBINATOR CO-FOUNDER, PAUL GRAHAM
  31. 31. 30 Questions?

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