Talent retention is critical in today's market – and companies that increased their retention over the past three years were almost a fifth more likely to grow revenue.
Amidst increasing disruption and continuous innovation, talent is becoming a key differentiator in business – and employee retention the key to success. In fact, companies that increased their retention rates over the past three years were almost a fifth more likely to see growth.
How will the future of work dictate the future of your business? we find out.
#NEXTATWORK Starts here
Hybrid work is here to stay
Remote work is more than a trend. It represents a permanent shift in priorities and preferences of employees with the transition out of the office being led by executives.
Remote working will drive employee retention
65% of executives say they use this strategy to attract or retain employees. Companies that increased retention in the two years leading up to 2022 were almost a fifth more likely to have grown revenue and profits.
The best way to keep your employees on board: Go hybrid
Companies that offer their employees a mix of office space options and a hybrid mix of onsite and remote working options have seen an increase in retention rates. This is because today's workplace model is experiential and emotional rather than just about productivity.
Marika Arvelid
Head of Digital Empowerment Strategy & Engagement
1Organizations are increasingly turning to tools that enable real-time conversations, chat-based tools, and VR/AR tools
2Digital Tool Automation and modernization are executives' top investment priorities by value, and volume of workplace initiatives.
3 Businesses need to invest in virtual and digital rollouts – including providing the right hardware and infrastructure for seamless operation
3 Workplace digitization: Three waves, one future
Engaging employees in a changing environment can be challenging, but digital tools offer a way to simplify work and amplify effectiveness as well as convenience.
Wave 1: 2000 to 2020
Establishing Digital
- Early cloud adoption
- Advancement of email and collaborative tools
- Integration of mobile and BYOD
- Early steps in video conferencing
Wave 2: 2020 to 2022
Virtualizing Workplace
- Rapid expansion of video conferencing and visual collaboration
- Consumer applications adopted for communication
- Scaled hybrid working
Wave 3: 2022 to 2024
Human-centric
- Focus on the effectiveness and adoption of digital tools
- Expansion of metrics focused on productivity, usage and experience
- Increased tool automation and investment in modernization
Diversify your talent pool, and you'll bring new growth
Use of external skills marketplaces, universities, and community colleges links to $503 billion in revenue and $145 billion in pre-tax profit across large firms in the US, UK, France, Germany, Australia and New Zealand
Gig marketplaces link to 1.4 percentage point boost, universities 1.3 percentage and community colleges 1.2 percentage points
Employing community college graduates can increase revenue by 1.5 percentage point
The power of proper training
Typically, only 66% of new skills are being used in the workplace
A 20% increase in skills application links to revenue and profit uplift of 0.6 percentage points
This equates to a potential $66B revenue and $14B in profit uplift that can be realized through better training across large firms in the US, UK, France, Germany, Australia and New Zealand
The business of human-centricity
To keep pace with employees, companies should re-examine their employee relationships from a new perspective. They must deploy new tools and use them in new ways to foster a human-centric culture and succeed in the future.
Insights to light the way ahead
We see a future in which successful businesses will be the ones that are...
Flexible
To increase talent retention and leverage it for growth
Automated
To better manage and improve remote and flexible working outcomes with the help of digital tools
Hybrid
To think beyond the traditional office or home working binary
Diverse
To bring new growth while enabling new perspectives and ideas
Skills-first
To drive digital adoption and drive stronger growth
Experiential
Use digital tools to engage, enthrall, and attract talent
Download The Future of Work 2023 Report
To gain insights on how you can set your workforce transformation plan in motion
