Talent Acquisition at a Crossroads

By Terry VanQuickenborne

Recently, The Josh Bersin Company launched our study on talent acquisition (TA), Talent Acquisition at a Crossroads factbook, as part of our Talent Climate series. The study’s goal was to get a barometer of where talent acquisition is today and use the results to speak directly to talent acquisition executives, in addition to the CHRO, the learning organization, and the business.

Results & Methodology

The study results revealed a confluence of factors impacting talent acquisition, including the:

• Expeditious rise of AI

• Productivity pressures and CEOs' perceptions of gaps in productivity

• Skills shortage

Coupled with swiftly changing business priorities and more external influences, the TA function is experiencing. Furthermore, a wide swath of TA leaders do not feel they can act as strategic partners to their organization. It is a recipe for crises.

In collaboration with AMS, we also surveyed 130+ executive leaders worldwide and incorporated insights from previous Talent Climate factbooks, which are based on over half a million data points across six distinct industries from 100’s of countries around the globe.

Crucially, the analysis was compared to findings from previous Talent Climate series factbooks and other research completed by The Josh Bersin Company. We found consistent parity in the outcomes and necessary changes. The ‘aha!’ moment was seeing how the solutions for talent acquisition bubbled up to the ideals of what we call Systemic HR(TM).

Results were then parsed and analyzed in their entirety, in addition to by region: EMEA, N.AMER, LATAM, and APAC, and by industry: digital & tech, pharma, professional services, and defense & engineering.

Two Surprising Points

When studying a topic such as talent acquisition, which has been studied, reengineered, and reinvented multiple times over the years, it isn’t often that the data surfaces unexpected information. As highlighted in Talent Acquisition at a Crossroads, two surprising points came out of the research:

1. Lack of workforce planning. With 42% of TA leaders reporting their company does not have a workforce development plan, it signifies a big gap, despite planning being a topic talked about at length and recognized as an imperative of the business. Very few organizations are doing it well, and when it is done, our research found it is often without leadership from the TA function as part of the work.

2. DEI remains a critical factor in organizations. This aligns with our 2024 Predictions for HR: Imperatives for the Year Ahead. While it is true that DEI departments and roles may be being pushed aside, what it may speak to—and what we hope it indicates— is that DEI is more fully integrated into the organization today than ever before.

The Forces

Our researchers asked about the impact of macro forces, operational pressures and priorities, and perceived barriers to success for TA. Survey results ranked the top five external forces expected to weigh on talent acquisition during the next year across all regions:

1. Skills scarcity (60%)

2. Volatility of economic environment (43%)

3. Changing business priorities and demands (35%)

4. Developments in AI and automation (32%)

5. Downsizing and cost-cutting (32%)

Each of these forces put a spotlight on the issues and actions companies must take to extract themselves from the current critical crossroads they are experiencing. With skills scarcity as the number one concern, it validates the significant gap between the skills available in the labor market and those needed by organizations, as also found in previous studies.

When considering economic volatility and changing business demands, these expectations highlight the requirement for companies to be agile and to synchronize business strategy and TA functions. Looking at the concerns of new tech development and downsizing initiatives, we see a clear connection to aggressive advancement in the use of innovative technology in TA and, again, working collaboratively as strategic partners.

Closing the Loop

We invite you to think of these points and findings in the Talent Acquisition at a Crossroads, factbook as opportunities, not roadblocks. Closing the factbook, are recommended starting points for discussions and areas of exploration within your organization.

We know change doesn’t start when you point out problems. It starts when everyone—from management up to senior leadership and the C-suite—can “fall in love” with the problem and move cohesively. When the business can bring everyone together to row in the same direction, operating as a team has an exponential impact on revenues, talent engagement and retention, and innovation.

Download Talent Acquisition at a Crossroads now to begin identifying the solutions that may work for your organization.

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