employee retention Archives - LMA-Consulting Group, a supply chain consulting firm https://www.lma-consultinggroup.com/tag/employee-retention/ Sat, 30 Mar 2024 06:35:24 +0000 en-US hourly 1 https://wordpress.org/?v=6.5 Skills Gap Challenge for Manufacturing Success https://www.lma-consultinggroup.com/skills-gap-challenge-for-manufacturing-success/ https://www.lma-consultinggroup.com/skills-gap-challenge-for-manufacturing-success/#respond Fri, 08 Mar 2024 16:35:53 +0000 https://www.lma-consultinggroup.com/?p=23530 According to a study by Deloitte and The Manufacturing Institute, 2 million jobs could go unfilled in the sector by 2030. The cost in 2030 alone could potentially total $1 Trillion.

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According to a study by Deloitte and The Manufacturing Institute, 2 million jobs could go unfilled in the sector by 2030. The cost in 2030 alone could potentially total $1 Trillion. Worse yet, the manufacturers surveyed said it is 36% harder to find the right talent than it was in 2018, and 77% of manufacturers expect to have ongoing difficulties attracting and retaining manufacturing employees.

As technology, automation, and artificial intelligence (AI) continues to gain steam, lower skilled jobs are automated, but higher-skilled jobs become critical. The gap is significant. Additionally, as reshoring gains momentum and manufacturing expansion becomes a priority with the rise of geopolitical risk and the rollout of government funded programs such as the CHIPS act, manufacturing will increase, and the skills gap will widen. Finally, by 2030, the youngest of the largest generation in history will be older than 65, further decreasing the workforce.   

Simply hiring a recruiting firm will no longer be sufficient. There simply are not enough manufacturing resources to fulfill the needs. Proactive executives will put an increased emphasis on training and development. For example, an aerospace manufacturer needed far more machine operators than they could find, and so the company set up a training facility and hired trainers to put new hires through a comprehensive training and development program. They went from constantly struggling to creating a pipeline of qualified candidates. Another client sent employees to a technical training center in the region to gain manufacturing skills.

Relying on your planners, buyers, and analysts’ college education and prior work history is no longer sufficient. At least 80% of clients are struggling to hire resources with the appropriate education and training. For example, two power systems and electrical equipment manufacturers serving different industries went live with an upgraded ERP system. Although they brought on significant support, both struggled due to lack of production planning and inventory concept education and training for their resources. Proactive clients are arranging ERP and MRP (material requirements planning) education for their employees. For example, a significant beverage manufacturer has been coordinating with a local supply chain education partner to provide practical education.

Turn traditional thinking on its head. Supplement your employees with consultants to upgrade processes and improve efficiencies (refer to our guide for hiring consultants), hire temporary employees to fill gaps, and partner with specialist resources such as engineering firms to make quicker progress. Appreciate different pools of talent such as veterans and retired workers and reexamine your qualifications. For example, a building products manufacturer eliminated its requirement for a college degree and replaced it with practical experience and/or approved skills training. Not only did they find additional candidates, but the candidates were a better fit for the role.

Leadership and culture will be vital to closing the skills gap. People do not follow companies; people follow leaders. The best employees expect leaders to have high expectations, to address poor performers, to face reality with tough topics, and to appreciate and recognize progress. For example, an industrial equipment manufacturer was able to find and retain employees in a small town with limited resources and a key competitor because employees knew that the leader would expect high levels of performance, push for excellence, and cared.

Attracting and retaining talent will be key to success in the manufacturing industry in the next decade (refer to our article for strategies). Proactive executives are developing creative alternatives to traditional hiring, retention, training, and development strategies. The best remain committed to leadership and culture to retain top talent and attract scarce talent.  

Originally published in Brushware, March – April 2024

 

If you are interested in reading more on this topic:
Where the Talent Has Gone & Strategies for Success

 

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The Resurgence of the Manufacturing Workforce https://www.lma-consultinggroup.com/the-resurgence-of-the-manufacturing-workforce/ https://www.lma-consultinggroup.com/the-resurgence-of-the-manufacturing-workforce/#respond Thu, 07 Sep 2023 13:49:03 +0000 https://www.lma-consultinggroup.com/?p=20634 Manufacturing is making a resurgence in the U.S. and other countries around the world. According to the U.S. Bureau of Labor Statistics, there is a shortage of 550,000 stable manufacturing jobs to be filled in manufacturing businesses nationwide.

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The Resurgence of the Manufacturing Workforce

Manufacturing is making a resurgence in the U.S. and other countries around the world. According to the U.S. Bureau of Labor Statistics, there is a shortage of 550,000 stable manufacturing jobs to be filled in manufacturing businesses nationwide. There is no doubt the Skills Gap is in full force if you observe manufacturers offloading, prioritizing customers, and struggling to fulfill demand because of a lack of people. In union industries, employees are threatening strikes and across the board, wages are increasing which leads to intense inflationary pressures. It is a tricky time to navigate yet the best will figure out how to scale successfully.

The Resurgence Will Continue

The manufacturing resurgence will continue as businesses address extreme supply chain risk, unpredictable costs, the need to meet changing customer needs, and U.S. incentives ramp up. For example, Joseph P. Quinlan, head of CIO Market Strategy at Merrill and Bank of America Private Bank has described the current environment in the U.S. in a June 2023 market outlook report, as “the early stages of a manufacturing supercycle pivoting around renewable energy, electrical vehicles and batteries/charging stations, and semiconductors, in addition to rising spending in more traditional areas like ports, highways, grids, airports and the like.” As of April, spending on manufacturing construction — new factories was tracking at a $189 billion annual rate, triple the average rate in the 2010s ($63 billion).

In consulting with manufacturers how to leverage SIOP (Sales Inventory Operations Planning), supply chain management, and ERP to scale successfully, it is clear that there is plenty of scrutiny on make vs buy decisions (reshoring, nearshoring, offloading, expanding capabilities), customer and product profitability analyses, and strategies to scale successfully to meet customers’ requests and expansion plans. The resurgence will continue yet talent remains scarce.

Fulfilling the the Need for Expansion & Scale

There are several strategies smart manufacturers are pursuing to fulfill the need for expansion and scale as it relates to talent. The most successful include the following:

  • Training & development: There is a renewed interest in training and developing employees to expand their skills and learn about new and advanced methods to perform their roles.
  • Mentoring: One of the best ways to accelerate the learning process is to find a mentor. Mentors bring experience to the table and provide insights that cannot be found in a book. Exemplars can show the way forward. If you can entice experienced employees and retired employees to provide guidance, progress will be robust.
  • Apprenticeship programs: Manufacturing thrives on apprenticeship type programs with on-the-job training with immediate feedback and corrective information.
  • Automation, robotics & digitization of the supply chain: Only the successful will look for ways to automate whatever is repetitive, use robots for those tasks that can run through the night without interaction, and digitize the end-to-end supply chain to bring efficiency and to more quickly meet customer needs.
  • 3D printing / additive manufacturing: Why produce what you can print upon demand? If an aerospace engine and a miniature house can be printed, what’s holding you back?
  • ERP & related technologies: Every client can better use their ERP system to achieve results and automate mundane tasks. Prioritize utilizing this already-existing asset and expand the use with related technologies such as artificial intelligence (AI), IoT (internet of things), digital twins, AV/VR (audio visual/ virtual reality), and much more.
  • Retention: Often, the most successful clients are simply those that retain key talent. It sounds easy, but it requires effective leadership, flexibility, investment into employees (training, cross-training, experiences, etc.), and competitive compensation. People follow people. People do not follow companies.
  • Supplement your employees: We are not the typical supply chain consultants as we will jump into the details with a client and partner with key resources to bring results to fruition. More and more clients are pursuing this type of strategy to supplement their workforce by providing support to key talent while advancing their capabilities and ensuring results. To learn how to select a supply chain consultant, read our article.

As the manufacturing resurgence accelerates, the need for talent will increase. Employ key strategies to fulfill this demand for talent and address the Skills Gap. Please contact us with your success stories and your questions for how to succeed during these volatile times. And, please keep us in the loop of your situation and how we can help your organization get in a position to thrive for years to come. Learn more about these topics in our blog and download your complimentary copy of our recently released special report: The Road Ahead: Business, Supply Chain & The World Order

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Northern Lights, Husky Sleighs, & Stacking the Deck for Success https://www.lma-consultinggroup.com/northern-lights-husky-sleighs-stacking-the-deck-for-success/ https://www.lma-consultinggroup.com/northern-lights-husky-sleighs-stacking-the-deck-for-success/#respond Sun, 26 Mar 2023 15:00:26 +0000 https://www.lma-consultinggroup.com/?p=18654 I went to Finland to see the northern lights, or the aurora borealis. Getting there is no piece of cake. We flew through London, took a 2-3 hour flight to Helsinki, Finland, and then took another flight to northern Finland (almost another 2 hours) and then drove 40 minutes to the resort (of course, north). It isn't for the faint of heart with temperatures in the negative numbers, requiring 6 or 7 layers minimum to allow you to stay outside for short bursts of time (although not very long as you'll start growing icicles), but the experience is worth it!

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I went to Finland to see the northern lights, or the aurora borealis. Getting there is no piece of cake. We flew through London, took a 2-3 hour flight to Helsinki, Finland, and then took another flight to northern Finland (almost another 2 hours) and then drove 40 minutes to the resort (of course, north). It isn’t for the faint of heart with temperatures in the negative numbers, requiring 6 or 7 layers minimum to allow you to stay outside for short bursts of time (although not very long as you’ll start growing icicles), but the experience is worth it!

We went on a snowmobile aurora hunting experience (and nearly froze but saw amazing lights) and went aurora hunting in a car (definitely more comfortable). Part of the reason for coming to Finland is to stay in igloos so that we could see them from the hotel as well! All I can say is I’m glad I chose to spend the extra money for the igloos attached to a cabin with a fireplace!! During the day, there are lots of unique options such as riding in a husky or reindeer sleigh. I thought the huskies were adorable and just never stopped running and so included a view from my sleigh. Thanks to Paul for steering us through the course!

Northern Lights Husky Sleighs

Stacking the Deck for Success?

You cannot control everything; however, you can stack the deck so that you can be more likely to succeed. Seeing the aurora borealis is hit and miss since it is up to nature; however you can stack the deck. Go to the artic circle to one of the best places to see them (such as Finland). Visit during the time of year you are more likely to see them (November through March). Stay for at least 3 nights to have a better opportunity of avoiding cloudy nights. Go to a place where they will wake you up when the northern lights are visible. And, you will have stacked the deck in your favor. It isn’t guaranteed but it is more likely. Luckily, we saw them!

It is hard to control variables in business. In today’s volatile business environment, there are simply too many issues that could arise. For example, the collapse of Silicon Valley Bank causes uncertainty in the financial markets and increased the need for liquidity. Additionally, Russia, China and Iran (let alone North Korea) are creating instability throughout the world, impacting exchange rates, ease (or lack thereof) of doing business, causing shortages of key commodities and more. Train derailments and other supply chain challenges. And, new technologies like ChatGPT are transforming industries. Instead of waiting for one of these many issues/ disruptions to arise and disrupt your business, stack the deck in your favor. You will be more likely to succeed.

How to Stack the Deck in the Current Business Environment?

Given everything going on in the world, a few priorities to help you stack the deck for success include the following:

  • Maintain liquidity: Ensure you have access to liquidity. There will be more opportunities than ever before to invest as the proactive companies grow and the weak diminish.
  • Right-size inventory: As goes hand-in-hand with maintaining liquidity, right-size your inventory to free up cash flow yet service customers. Utilize best practice demand and supply planning processes and implement SIOP (Sales Inventory Operations Planning) processes to ensure success. Get your complimentary copy of our new release, SIOP: Creating Predictable Revenue and EBITDA Growth to learn how to achieve success.
  • Retain key talent: The successful are those with access to key talent to best navigate these tumultuous times and take advantage of critical opportunities. Know your A players and treat them as your most important asset. You’ll find that there is nothing more important.
  • Take control of your manufacturing: Do not leave your manufacturing in countries that can be considered our enemies. Who do you think they will prioritize when something goes wrong in the world or if there is a shortage of supply of a key material?
  • Be resilient: How can you respond to changing conditions quickly? Should you manufacture closer to your customers? Should you have backup sources of supply? Should you dual source critical materials?
  • Be technologically astute: Roll out the appropriate technology to allow you to attract and better serve your ideal customers in a way that is more efficient, productive and profitable.
  • Pay attention to data: If you pay attention to changing circumstances and trends in your data and utilize predictive analytics, you can steer proactively instead of driving by looking in your rear-view mirror.
  • Process upgrades: Utilize best practices, tailor to your organization, and educate and engage your organization.

Please keep us in the loop of your situation and how we can help your organization stack the deck to not only survive but also to be prepared to take advantage of the vast opportunities to come in the next several years. One great way to start your journey is to roll out a SIOP process to better navigate the volatility and uncertainty. Learn more about how to use SIOP to succeed during volatile times in our new eBook SIOP (Sales Inventory Operations Planning): Creating Predictable Revenue and EBITDA Growth. Download your complimentary copy.

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Why People Matter https://www.lma-consultinggroup.com/why-people-matter/ https://www.lma-consultinggroup.com/why-people-matter/#respond Thu, 15 Dec 2022 15:19:54 +0000 https://www.lma-consultinggroup.com/?p=18222 Most clients do not have as much talent as they need (at least in key roles or sites). Similar to inventory, many clients might have talent but do not have the type of talent in the right place (or available) at the right time. Classic challenges!

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Meeting of Three Successful Buisnesspeople

I participate in a group of CEOs, a group of the top consultants throughout the world, a group of supply chain professionals, a regional economic partnership, industry groups, and with clients in the Americas, EMEA and APAC, and the only thing in common is the critical importance of people.

Most clients do not have as much talent as they need (at least in key roles or sites). Similar to inventory, many clients might have talent but do not have the type of talent in the right place (or available) at the right time. Classic challenges!

Others are concerned about employee engagement, talent retention, and development. Many are concerned about how to provide flexibility yet ensure results and how that relates to virtual vs in-person. Many are starting to think about how they can use consultants to fill a gap (supplementing their team) while developing a better path forward as it kills 3 birds with 1 stone (fills gap, builds the future, short-term so they don’t have to hire long-term support with pending recessions). Others are experiencing issues because their suppliers or customers have talent shortages. Thus, orders are delayed, meetings postponed, etc. There are countless issues, but the bottom line is talent is top of mind.

Pertinent Examples

In a building products manufacturer, although they tried many different approaches to finding manufacturing talent, they simply couldn’t find enough people to run the full schedule during peak season. This is a compelling example as the leaders were solid and it wasn’t in the middle of nowhere (as most of our clients’ facilities are located in Timbuktu), yet it was still impossible to fill the entire schedule. Thus, they prioritized customers and extended lead times to make it through peak season and decided to build ahead for the next peak season if conditions didn’t change.

In a life sciences manufacturer, growth was limited by lack of talent. In this situation, there were concerns about spending money until the specific product mix was known (thereby dictating the specific skills required). Unfortunately, it was a catch 22. By the time the product mix was known, there wasn’t enough time. In working together, we developed a demand plan and SIOP (Sales, Inventory & Operations Plan) process that enabled us to gain executive alignment to transfer, cross-train, and hire the appropriate people to address near-term concerns while ramping up a new facility so that the aggressive growth targets were fulfilled.

In a food manufacturer, they didn’t have the supply chain talent to work with customers and Sales to develop a demand plan, translate the volume into a master production schedule, get enough materials on order to supply the production schedule with extended lead times, and address changing conditions on a daily basis with the production schedule. Thus, they asked us to jump into the planning process, working in conjunction with their overloaded resources to navigate current conditions and stabilize while upgrading the process and use of systems to create a sustainable process going forward. This solution bridged the gap.

And, in an industrial equipment manufacturer, their growth was limited by engineering talent. They worked with the schools in the area to hire new grads and provide internships. They even jumped on manufacturing day with high school students to introduce them to the profession. They also looked at process and system upgrades to increase efficiencies, supplemented talent from other facilities to fill gaps, and put extensive efforts into HR and recruiting efforts. Although still challenged, they were able to meet the increased volume.

Fast Forward to the Future

Clients are starting to worry about the likely recession (while still dealing with inflation) and what that will mean to their growth plans. Of course, it makes sense to reevaluate customer conditions and reorganize, reallocate, and reshape to meet the new forecasts. On the other hand, our most successful clients are NOT jumping to layoffs. Most likely, there are temporary employees that will provide some ability to ramp up or down rapidly. Clearly, overtime can be reduced. But, be cautious about cutting back and limiting growth potential.

We see a reshaping of the future of supply chains in the horizon. Companies are reshoring, expanding capacity, finding new partners, rethinking market and growth strategies, and much more. I think there will be more opportunity for the forward-thinking, nimble companies than at any other time in history other than during the Great Depression. As family-owned businesses retire, get absorbed into larger companies, and/or decide to close up shop or not serve certain markets due to changing conditions, supply chains will change. As companies reshore, nearshore, friendly-shore and build duplicate capacity to ensure customer success, supply chains will change. As employees retire and decades of experience walk out the door, supply chains will change. As technology gains, supply chains will change. RETAIN your key talent, do not retain your problem employees dragging your best talent down (it is surprising how many companies keep these known challenges), keep your eye out for talent (as you think about needs 2 years out) as weaker companies suffer, and find opportunities to develop and utilize your talent and set your company up for success for decades to come.

Please keep us in the loop of your situation and how we can help your organization get in a position to thrive for years to come. Several of these types of topics will be included in our forthcoming book, SIOP (Sales Inventory Operations Planning): Creating Predictable Revenue and EBITDA Growth.

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SAC: Start at the Top to Retain Millennial and Gen Z Talent https://www.lma-consultinggroup.com/sac-start-at-the-top-to-retain-millennial-and-gen-z-talent/ https://www.lma-consultinggroup.com/sac-start-at-the-top-to-retain-millennial-and-gen-z-talent/#respond Thu, 01 Dec 2022 22:01:56 +0000 https://www.lma-consultinggroup.com/?p=18424 Lisa Anderson was quoted in the Society for the Advancement of Society's press release on retaining top talent and what that means for the millennial and Gen-Z generations. As Baby Boomers continue to retire, this has become a continuing hot topic.

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Lisa Anderson was quoted in the Society for the Advancement of Society’s press release on retaining top talent and what that means for the millennial and Gen-Z generations. As Baby Boomers continue to retire, this has become a continuing hot topic.

 

CLAREMONT, CA—Leaders play a critical role in attracting and retaining skilled talent, which is especially true during periods of talent shortages, according to The Society for the Advancement of Consulting® (SAC). Many managers waste time complaining about Millennial and Gen Z behaviors, instead of looking at how their own actions impact their teams, and focusing on developing a healthy company culture to keep the best young talent.

The Talent Pivot that Businesses Need to Thrive

“People leave people, not companies,” points out Lisa Anderson, president of Claremont, CA-based LMA Consulting Group, Inc. and manufacturing expert known as the Strongest Link in Your Supply Chain™. “Instead of recruiting, figure out how to attract your stars and the rest will follow.

“Stars expect leaders to deal with poor performers, provide interesting work and opportunities, care, and have high expectations. Companies with superior leaders retain their stars and are better at attracting key employees. In addition, younger generations expect significantly more flexibility and short text communications. Businesses will have to pivot to thrive,” she adds.

Younger Talent Responds Positively to Character and Competence

“Millennials and Gen Z are the same as any other generation. Skilled workers in every generation want the same thing—honest and forward-looking senior managers,” points out Steven Hunt, founder of Steven Hunt & Associates, and an expert advisor to top management on how to close the gap between strategy formulation and implementation in global companies.

“The big change is that younger talent doesn’t stick around if senior managers fail to deliver,” he adds. “Loyalty wavers when the company culture is toxic.

“To win over and keep talent,” Hunt says, “top managers need character more than charisma. That’s leadership with backbone, principles, and substance. Forget the charm offensives. Drop the addiction to flash-in-the-pan ideas. Companies need to prioritize having competent managers at the top, not confidence-tricksters or, worse, narcissists and damaged egos. Get the culture right and talent retention follows.” 

Listen More and Hold off on Making False Judgements

“In order to attract the best Millennial and Gen Z talent, promote your employer brand with a strong social media presence and careers page. Make sure you clearly communicate the values, purpose, and culture of your company.” says Dr. Maynard Brusman, a San Francisco Bay Area consulting psychologist and executive coach.

“Listen closely to what they say, and refrain from making judgments about their ideas, values, and behaviors,” explains Dr. Brusman, “They often do things differently, and may have different values and perspectives on their future.

“To win the hearts of younger workers, companies and employers must highlight their efforts to be good global citizens,” Dr. Brusman. “Actions speak louder than as sustainability, climate change, and diversity.”

The More Things Change, The More They Stay the Same

Generational suspicion and distrust has been with us since at least the days of Socrates, according to Linda Popky, president of Redwood Shores, CA-based strategic firm marketing firm Leverage2Market Associates, and author of the book Marketing Above the Noise: Achieve Strategic Advantage with Marketing That Matters.

“Today’s more seasoned managers need to remember they, too, were once in the position of not fitting in with their older leaders,” Popky says. “The crucial difference today is the technology that not only offers many more ways to communicate, but provides a platform for anyone with a mobile device to tell the world exactly what they think at that moment.

“The key to success is to not focus on what’s different, but to identify where the commonalities are,” she adds. “People of all generations want to feel part of the team and appreciated for their contribution. The question is how to do that effectively with team members of diverse backgrounds and talents.

The Right Question for Today’s Talent

“You have to ask the right question first: Does the talent have to be replaced?” said SAC Founder Alan Weiss, PhD. “Don’t mindlessly replace people who were doing yesterday’s work for tomorrow’s needs.”

 

Originally posted on SAC website: December 1, 2022

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Post Pandemic Skills Gap https://www.lma-consultinggroup.com/post-pandemic-skills-gap/ https://www.lma-consultinggroup.com/post-pandemic-skills-gap/#respond Tue, 29 Jun 2021 13:36:51 +0000 https://www.lma-consultinggroup.com/?p=14864 According to Prudential’s latest Pulse of the American Worker Survey, one in four workers plan to look for a job a different company once the pandemic has subsided. Additionally, a recent Robert Half survey found that 38% of workers feel stuck in their careers, and an EY survey found that more than half of employees [...]

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According to Prudential’s latest Pulse of the American Worker Survey, one in four workers plan to look for a job a different company once the pandemic has subsided. Additionally, a recent Robert Half survey found that 38% of workers feel stuck in their careers, and an EY survey found that more than half of employees globally would quit their jobs if not provided post-pandemic flexibility. Clients and colleagues are starting to see a surge of employees “on the move”. What are you doing to retain your top talent and attract new talent?

There is no doubt that clients and colleagues are seeing a surge of employees “on the move”. For example, a few clients had employees leave because they decided to transition careers as the pandemic made them rethink their goals. Several clients and colleagues had people leave to retire early; they reevaluated their life and decided they had enough money saved or the stress was no longer worth it. Other clients had employees leave for more attractive jobs since they were less dependent on geography with remote work opportunities. It also made people re-think what is important and re-evaluate companies, managers and careers. From that point-of-view, progressive manufacturers gained in popularity as people saw additional value in essential businesses.

The pandemic also brought up the issue of proximity, and so manufacturers quickly redefined work to meet social distancing guidelines and re-configured spaces to account for new requirements. In addition, the use of technology has increased significantly as employers are looking for ways to automate key processes and better support continuous manufacturing with fewer quality and supply issues. With the increased use of technology in manufacturing, the need has increased for high-skilled resources to install, maintain and improve these systems yet there are limited resources available.

Thus, we have entered a new era of the skills gap. Scarce resources have become the norm. As more and more baby boomers retire, significant knowledge gaps are occurring. Because executives have been running at a break-neck pace with little to no time for transition, career development and cross-training, this gap will only widen. Similar to backup suppliers, backup resource plans were largely in name only, and so executives are suddenly ill-prepared to maintain customer service during high levels of transition and turmoil. On the other hand, those executives who are willing to take on risk and hire additional talent are gaining an advantage over their competition.

For example, a client had a key employee decide to retire. Instead of simply replacing that employee with someone to take over his current responsibilities, they decided to reevaluate the role and what would help them succeed. After assessing the situation, the client decided to redirect consulting attention to design an upgraded process and hire two resources. Since the client had significant growth opportunities, it made sense to hire a high-skilled resource to upgrade the processes to get ahead of the customer growth opportunities as well as a second resource to support those efforts and make sure the systems were prepared for growth. If they could successfully meet the volume and simultaneously upgrade the processes and use of technology, they would scale the business, further solidify a strong relationship with customers and drive exponentially more profit to the bottom line.

There is a war on talent. Only those companies with the best talent will thrive. The key question is whether you will think proactively, evaluate the smartest path forward, take on risk where it makes sense and create a culture that retains your best employees and attracts top talent to your business. What is clear is that the skills gap will drive significant opportunity for manufacturers ahead of the curve in thinking proactively about talent and technology.

 

As originally published in Brushware Magazine on July-August 2021

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SAC: Acquiring and Retaining Talent Takes on Added Importance Post-Pandemic https://www.lma-consultinggroup.com/sac-acquiring-and-retaining-talent-takes-on-added-importance-post-pandemic/ https://www.lma-consultinggroup.com/sac-acquiring-and-retaining-talent-takes-on-added-importance-post-pandemic/#respond Mon, 01 Feb 2021 18:49:16 +0000 https://www.lma-consultinggroup.com/?p=14770 CLAREMONT, CA—As the world begins to rebound from COVID-19, a major re-think of talent strategy is happening in the top-performing companies, according to The Society for the Advancement of Consulting® (SAC). A closer connection to strategy, customization for top talent, revitalized rewards, and increased use of data analytics are all underway now. Revitalize Your Reward, [...]

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CLAREMONT, CA—As the world begins to rebound from COVID-19, a major re-think of talent strategy is happening in the top-performing companies, according to The Society for the Advancement of Consulting® (SAC). A closer connection to strategy, customization for top talent, revitalized rewards, and increased use of data analytics are all underway now.

Revitalize Your Reward, Recognition, and Accountability Systems

“Executives must be an employer of choice to retain and attract top talent during and post COVID,” points out Lisa Anderson, president of Claremont, CA-based LMA Consulting Group, Inc. and manufacturing expert known for creating supply chain resiliency. “As employees have additional choice and are rethinking career paths, they will flock to leaders and opportunity.”

“Normal is gone,” says Anderson. “On the other hand, as executives look to the next normal, they must re-think in-person, virtual, and hybrid models, and rethink how they’ll create engagement, foster collaboration, and monitor progress to objectives in this new environment. The most successful organizations that attract top talent will have clear accountability systems as well as reward and recognition programs.”

Customization is a New Magnet for Talent

“The pandemic has allowed professionals to step back and determine if they really like what they do,” says Kathleen McEntee, President of Kathleen McEntee and Associates, Ltd, (KMA), a full-service marketing firm that provides companies with expert support in reaching their target markets with the right message, through the right media, for the greatest impact.

“Many professionals have assessed the effects of their workload, their employer’s support, and their individual contributions,” adds McEntee. “While some have had to scramble due to a job loss, the silver lining of the pandemic has been time to assess their skills and how these fit with their personal goals.

“There is considerable movement in the workplace with a shortage of professionals,” she explains. “Employers need to understand what motivates top performers and what they consider to be success. One size no longer fits all. Employee experience needs to be customized, like customer experience has been personalized. Technology advances require professionals to be in constant learning mode. It’s about the right fit—for the employee and for the employer.”

The Need for Kind Leaders

“There’s no question that 2020 was a year like no other. Most leaders and managers are eager to put it behind them. Yet, we’re not out of the woods,” says Dr. Maynard Brusman, a San Francisco Bay Area consulting psychologist and executive coach. “A culture of kindness will make the process easier.”

According to Dr. Brusman, “Researchers have found that kindness is associated with better and stronger physical and mental health; relationships, teams, and communities; life satisfaction, and even economics. Kind managers increase morale, decrease absenteeism, and are better able to attract and retain talented and beloved employees.”

Dr. Brusman advises his executive coaching clients to ask if their organizations are led by kind leaders. Work to improve the lives of others as a servant leader. How? First, cultivate feelings of kindness with empathy. When kindness is our North Star, compassion, generosity, and forgiveness become natural, and spread exponentially, reinforcing your employees’ self-worth.”

Dreams Still Drive Top-Achievers

“In the past month, I’ve noticed a significant uptick in the number of people on LinkedIn announcing the acceptance of new positions,” points out Roberta Matuson, president of Matuson Consulting, MA-based strategic talent firm Matuson Consulting, and author of six books, including Evergreen Talent: A Guide to Hiring and Cultivating a Sustainable Workforce. “I’m seeing this trend with my private coaching clients as well. Most of these people are currently employed.”

“I’m advising my corporate clients, who are looking to retain their superstars,” Matuson explains, “to have a conversation with their people and ask them three questions. What were your hopes and dreams when you took this job? Do you feel you are getting closer to achieving those dreams? And how can I help? Then take action.”

Talent Retention Requires Autonomy with Action

“Whenever possible, encourage autonomy,” advises Diane L. Garcia of Lorraine Consulting, LLC, an expert in operations and supply chain management. Diane applies cutting edge supply chain optimization knowledge and implements best practices with manufacturing and distribution companies in North America.”

“Ask employees for new ideas to develop key business processes,” explains Garcia. “Encourage them to take improvement actions and control around their day-to-day activities. The more this mindset is a priority, the happier your employees will be. That means they are more likely to stay put. Word will spread.”

Global Companies are Getting Predictive and Personal

“Talent tracking in global companies is vital,” says Steven Hunt, of Steven Hunt & Associates, an expert in global leadership and accelerating collaboration in international companies. “In most large corporations, the talent is already there but it’s not being tracked.”

“Global companies already do an excellent job of tracking their inventory,” Hunt points out. “The best companies track their top talent, too, using a mix of predictive data analytics and personalized, one-to-one contact. These companies already retain more top talent than underperforming competitors, which cuts both recruitment time and costs.”

Be the Company Where Employees Want to Work

“Now, more than ever, it’s critical for companies to ensure they clearly communicate their brand promise to employees and potential hires,” says Linda Popky, president of Redwood Shores, CA-based strategic firm marketing firm Leverage2Market Associates, and author of the book Marketing Above the Noise: Achieve Strategic Advantage with Marketing That Matters.

“Great employees want to be associated with great employers. It’s not just creating a strong brand statement, but ensuring that the organization is clear about how they live these values on a day-to-day basis,” she notes. “That includes articulating how the company is committed to supporting employees through the turbulence that is sure to continue through 2021 and possibly beyond.”

The New Way Starts with What

“The first order of business is to decide WHAT talent you want to retain or attract or both,” says SAC Founder Alan Weiss, PhD. “Pre-pandemic strategies are as worthless as coal burning furnaces. Create your new, relevant strategy first.”

 

Originally published on SAC, February 1, 2021

 

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Are Your Employees #1? https://www.lma-consultinggroup.com/are-your-employees-1/ https://www.lma-consultinggroup.com/are-your-employees-1/#respond Wed, 22 Jul 2020 22:13:03 +0000 https://www.lma-consultinggroup.com/?p=10486 During this crisis, what we do and how we handle our employees will make our future success. I’ve heard stories of small businesses that closed and didn’t even communicate to their employees. Conversely, I’ve heard about companies taking great care of their employees. Which will turn into long-term success? Who Should We Retain? If there [...]

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During this crisis, what we do and how we handle our employees will make our future success. I’ve heard stories of small businesses that closed and didn’t even communicate to their employees. Conversely, I’ve heard about companies taking great care of their employees.

Which will turn into long-term success?

  • Who Should We Retain? If there ever was a time to make sure you keep your best and most valuable employees, it is NOW. Make sure you find a way to take care of your “A” critical players.
  • How Do We Handle the Shutdown? -There are lots of resources on our coronavirus webpage and upcoming webinars on how to handle the organizational development, as well as the HR and compliance aspects of a shutdown. Stay up to date.
  • How Do We Maintain Safety for Those Working? Of course, we have all heard about social distancing but how do we implement these changes in our facilities? We should be thinking and implementing whether we are running or shutdown because this pandemic is not going to be over quickly. What else should we do to ensure safety? Again, refer to our coronavirus resources webpage for ideas.
  • How Do We Ensure the IT capabilities and security required? Hopefully you have already had a top-notch partner to assist. If not, contact one rapidly. Check out our trusted advisor resources for suggestions. There is much to think about to ensure your employees are able to work, are able to work securely and can still collaborate successfully. 
  • How to Go Beyond the Basics? Again, these types of articles and resources are on our coronavirus blog articles and trusted advisor resources webpage. We MUST get beyond the basics to how we successfully navigate this pandemic and emerge rapidly to success. This will be the focus of our upcoming e-book as well.

Put your employees at the top of your to-do list and keep it there so employees remain a top priority.

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What’s Going on with Your People? https://www.lma-consultinggroup.com/whats-going-on-with-your-people/ Thu, 09 Jul 2020 15:23:44 +0000 https://www.lma-consultinggroup.com/?p=9103 Do You See People as Assets or Costs? Your people know what you really think. Do you value them? Even though there has been a sharp spike in unemployment, good talent isn't easy to keep! Multiple clients have lost talent to better opportunities since COVID-19 started. People are on the move. Are You Attractive to [...]

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Do You See People as Assets or Costs?

Your people know what you really think. Do you value them? Even though there has been a sharp spike in unemployment, good talent isn’t easy to keep! Multiple clients have lost talent to better opportunities since COVID-19 started. People are on the move.

Are You Attractive to Potential Employees?

Top talent will not sit idle. A colleague and former client who is an excellent find for any manufacturer found a new job in a matter of a few weeks when downsized during COVID-19. It was an exciting opportunity, and she was attracted to the potential in the new job. I am 100% confident they will pat themselves on the back for snapping her up.

Several CEOs have mentioned that they are taking the opportunity to look for talent to fill key roles during the pandemic. They are being selective on the roles but they are taking that step forward during these uncertain times. Remember, good people attract good people!

My Favorite Client Story of Relevance to the Topic of Talent

At the bottom of the Great Recession, the CEO of an outdoor lighting manufacturer had no need for additional employees. In fact, the CEO was experiencing the same issues as everyone else. His competitors cut salaries and let people go. Instead of following the herd, he went in the opposite direction. He hired one of the engineers cut by a competitor even though he had no immediate work for the engineer. In another situation, a job seeker stopped by the facility. The CEO was so impressed with this candidate’s go-getter attitude that he hired him on the spot and figured he would find a good spot for him. Fast-forward several years, and he was #1 in his industry and getting ready to introduce a new product lineup to a secondary industry (designed by the engineer) and ready to make a significant shift from engineer-to-order towards configure-to-order with an ERP upgrade that would prepare him for success for many years to come. None of this would have been possible without valuing people.

Read our eBook, Future-Proofing Manufacturing & Supply Chain Post COVID-19 to hear about additional strategies to lead, keep your teams moving forward, and engage your people in the future. Please send your feedback, stories and ideas. We believe manufacturers have a unique opportunity for growth and success if they innovate and focus on the opportunities during COVID-19. To achieve this potential, you have to start with your people.

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Are You Retaining Top Talent? https://www.lma-consultinggroup.com/are-you-retaining-top-talent/ https://www.lma-consultinggroup.com/are-you-retaining-top-talent/#respond Fri, 19 Jul 2019 21:49:05 +0000 https://www.lma-consultinggroup.com/?p=10473 Learn effective strategies for retaining talent and boost your team's growth through leadership development.

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Several clients have been short on top talent. With virtually zero unemployment, the traditional job search programs yield virtually 0% talent.  Even with an executive recruiter, you may be prone to lose your candidate at the last minute when his/her current job figures out they need to do a better job of retaining them and they take action.

To give you a few sagas from recent client examples:

  • I was helping a client determine what he needed (skills, aptitudes, behaviors). I agreed to review resumes to see if potential fit exists and to interview candidates.  Although he received lots of resumes, less than 1% were even worth a phone interview. My guess is less than 1% of those would be worth hiring. Talk about a SLOW road to filling an immediate gap.  
  • Within the last month, two clients used a recruiter (thank goodness as we didn’t have to take the slow boat to China).  They found a great candidate and lost the candidate at the last minute to an offer from the current employer who figured out they didn’t want to lose their employee.  Frustrating!

Instead of either of these scenarios, why not retain your key performers?  Start with the following:

  1. #1 People work for people; not companies.  Who are your leaders? Are you developing them?  In the last six months, this too has arisen. That’s an exciting part of consulting – you get to see it all!  In this case, it wasn’t good. Good people left a new ‘leader’. Think about the productivity of the ones staying to finish that ‘last year before retirement’.  How awful!
  2. Provide training opportunities.  People want to develop skills and advance their career which can be a win-win in terms of gaining skills to help you achieve profitable growth.  Check out APICS-IE’s classes for starters.
  3. Mentoring. The only way to improve behavior is through trial and error and modeling behavior.  

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