CorSource Blog

Why Staffing Lifecycle Management Is the Future of Hiring in Technology

by Andrew Hermann on January 16, 2018 in Hiring Trends, Staffing Lifecycle Management, Technical Staffing

Take a look at Google, Apple, or any other wildly successful company, and they’ll all have at least one thing in common: a history of adapting to changing market conditions. Organizations must evolve in order to stay successful, and that especially holds true for those looking to secure talent in the midst of a distinct shift in the tech industry. Successful hiring in the field is increasingly reliant on a more strategic and holistic approach that addresses the modern state of the market. That’s why Staffing Lifecycle Management, a holistic framework for businesses hiring in tech, is the key.
 

Understanding the New Talent Economy

The genesis of any viable hiring strategy must begin by understanding the emerging Talent Economy, where business leaders have to draw on internal, external, and remote resources to meet modern objectives. There are two factors that are driving the Talent Economy: Economic & Societal.
 
Economic: Currently, the national unemployment rate in tech is a very low 2.5%, underscoring the distinct skills shortage in the sector. In Oregon, job growth has slowed to its lowest rate in five years as a direct result of employers struggling to fill open positions. When most tech pros are happily employed, companies are forced to look for a new approach to meet talent’s modern needs.
 
Societal: The Talent Economy is also strongly tied to the rise of the gig economy in that worker preferences are evolving. The desire for contract and freelance work is on the rise, as many IT pros are finding benefits to working on shorter-term projects where and when they want to accept them. Furthermore, Millennial’s definition of employment (shorter 1-3 year employment “gigs”) are in stark contrast to Generation X and/or the Baby Boomers (5-10+ year careers).
 
With this changing dynamic in the marketplace, businesses that adopt a new methodology like Staffing Lifecycle Management are the ones that can fill vacancies most effectively.
 
For more on the Talent Economy, download the Staffing Lifecycle Management Guide here

 

Finding the Right Mix of Talent

Staffing Lifecycle Management addresses hiring within the Talent Economy by determining the right mix of resources required for a hiring manager’s unique organization. That requires starting with a strong assessment to find out how to balance internal and external resources like contract workers, direct-hire employees, and outside services in order to meet increasing technology demands while improving quality, efficiency, and agility.
 
There are several important questions that will help determine where each type of resource fits in your unique organization:

  • Is a certain role the backbone of your organization, relied upon for your core business expertise? Will it be needed on future projects? In these cases, consider permanent on-premise talent.
  • Are some roles dedicated to projects that can be broken into shorter time frames, or is niche expertise needed quickly? These positions may be best served by contractors.
  • Is an ideal technical skill set hard to locate in your market, or is there a more accessible price point elsewhere? If so, consider remote talent for the position.
  • Do non-core development needs need to remain in house, or can outside development services be leveraged to reduce costs while increasing efficiency?

 

A Holistic Approach Is Necessary

There are many factors to consider when hiring in the face of the new Talent Economy, and the Staffing Lifecycle Management framework is designed with this in mind. A viable strategy is one that can connect all stakeholders, remove operational silos, and streamline the hiring process from a high level. In short, a holistic, proactive approach is how companies continue to find the tech talent resources they need to execute initiatives despite the drastic skills shortage.
 
Organizations will often have reactionary hiring practices that have been in place, left unquestioned, for a number of years. A developer quits or retires, a job posting is placed, interviews are held once viable candidates are found, and finally, someone is hired in a permanent position. Unfortunately, this traditional strategy is increasingly inefficient and expensive, which is  why it costs an average of $4,129 to hire a new employee and takes an average of 42 days. With such a high cost-per-hire and time-per-hire, businesses must consider whether an open role is better served via a contractor, outside resource, or freelancer.
 
Today’s IT workforce is increasingly transient, with tech pros gravitating toward gig-based work while switching jobs more often. Due to this, the hiring rate for many companies is increasing and strategies must adapt accordingly. A truly holistic hiring strategy is one that takes these factors into account and aligns positions, departments, and business goals accordingly. When addressed with a big picture view of the organization as a whole, tech hiring can thrive in a proactive and cost-effective way.
 

The Tenets of Staffing Lifecycle Management

Sometimes, as a strategy gravitates toward a higher-level view, there is a danger that specificity in creating actionable decisions can be lost. This is why Staffing Lifecycle Management framework grounds itself in nine chronological tenets, or steps. Notably, these include an in-depth assessment, aligning staffing to business objectives, bi-directional transparency, and ultimately, informed decision making. These tenets can be found in full in the complimentary Staffing Lifecycle Management Guide.
 

The Future of Hiring in Technology

There’s no switch that can automatically make hiring in tech easier. For success in today’s Talent Economy, it takes strategic planning and adaptation, which is at the core of Staffing Lifecycle Management. Once adopted, this new way forward boosts recruitment, improves employee engagement, and helps the tech industry continue to grow. Best yet, once the cycle is in motion it results in continuous improvement, strengthening hiring with each passing quarter.
 

To learn more about how you can implement this holistic framework in your organization and improve hiring, download the free Staffing Lifecycle Management Guide today.