By Pankaj Srivastava, CEO of MentorCloud

The next generation of great companies (and the ones that want to stay in business!)  will be the ones that can embrace the shifts happening in the workforce and appeal to the intrinsic motivations that propel the modern workforce. Are you ready?

Attracting and retaining employees is at the top of business priorities in a labor market that’s seeing a record number of resignations. The voluntary quit rate is 25 percent higher than pre-pandemic levels and there were 10.3 million open jobs at the end of October. Couple that with the fact that according to a Gallup report, 79% of the workforce is feeling disengaged at work and you have the perfect storm. How do we retain and engage our talent?

Companies are battling this crisis with the outdated methods of “motivating and incentivizing” their people. This is not going to work.

Today’s workforce demands a sense of purpose, belonging and an ability to make an impact beyond just the self. Their expectations of work have undergone dramatic evolution. Salary and compensation are still important factors, however, work-life balance, recognition and meaning are critical determinants for where people choose to work. Remote and hybrid work environments make it even more difficult to connect with our people, to understand their wellbeing and stay on top of productivity.

We must pay attention to this great reshuffle and  rearrangement of priorities. No one desired a “meaningless” job before, however, now, for the new workforce, “meaning and purpose” are imperatives, not options.  We must embrace this reshuffling of key determinants for joining and remaining in a role or a company. Leaders need to reset their talent strategy, company goal-setting practices and value drivers to stay relevant and competitive. It is time to move away from “motivating” to “inspiring” our people. That shift is not just touchy feely, it is the fuel for growth moving forward.

What can leaders do to inspire their people to build a great modern organization?

1. Focus externally: This sounds counterintuitive when thinking of  employees. I believe that leaders have to understand how the world around us is evolving. Customers and  markets are becoming more diverse, their expectations of a company’s actions are changing, they are holding companies responsible for the collective good of humanity. This understanding of reshaped expectations is important to build a workforce that is representative of your customers and has the permission to champion for them. Becoming externally focused will lead to greater alignment with who you serve and your people. .
2. Grow from within: The rapid pace of technological change is rendering certain jobs and skills obsolete. You can’t find and hire new talent fast enough to fill these skills gaps. Companies should provide continuous reskilling and development opportunities to grow from within. There’s no other alternative. Take advantage of the modern workforce’s desire for personal growth.
3. Harness your company’s internal wisdom:  The U.S. Bureau of Labor Statistics estimates that by 2024, a quarter of the workforce will be over the age of 55, and of these, a third will be 65 or more. Very soon companies will experience an exodus of institutional wisdom. Why not create opportunities for the retiring workers to share their contextual knowledge and wisdom through structured mentorship programs? Older workers bring knowledge, expertise, and invaluable experience to their organizations.

It is time for leaders to change their frame of reference away from just focusing on “company results” to “employee success”. Because, when you do that, you will inspire your people to drive amazing results!

About Author:

Pankaj Srivastava is the CEO of MentorCloud, the world’s foremost people development platform. A startup veteran, he is an entrepreneurial technology executive who pioneered popular revenue-drivers such as Security-as-a-Subscription-Service and helped scaled businesses across the world. Pankaj has held roles  as CEO, COO, GM, and CMO, and has expertise in marketing, product, strategy, sales, M&A, and strategic alliances.