Time for action as the economic situation stays bleak - CMI
Without doubt 2010 was especially tough. Unfortunately, it seems that 2011 is set to herald just as many challenges if recent headlines are anything to go by. The latest ONS figures reveal that the UK economy contracted by 0.5% and the phrase ‘double dip’ has been bandied about in an unsettling fashion.
The results of CMI’s own annual Future Forecast research conducted last December, asked UK managers for their reflections on the past year and predictions for the one ahead. The results paint a particularly bleak picture.
The research highlights experiences from an unsurprisingly difficult 12 months, with 44% of managers having to talk to staff about redundancy and restructuring; 46% having to give feedback on inadequate performance; 29% having to tackle inappropriate behaviour in the workplace; and 28% having to communicate pay freezes.
Understandable then that managers within every sector are willing 2011 to be the year that the situation starts to improve. Yet almost half of UK managers (48%) are expecting further redundancies in 2011, and 43% do not believe their organisation has the right people to fulfil its 2011 objectives.
Of those concerned about the latter, 58% blame skills shortages, 45% poor morale and 44% a lack of leadership. This raises serious concerns about the quality of talent within UK organisations. Given that almost half of managers polled by CMI are anticipating further redundancies this year but less than 29% of them feel that their organisation provides adequate training on managing redundancies, the case for continuing to find ways to provide training, particularly at management level, has never been stronger.
The tough circumstances mean that it’s reasonable to expect significant movement in the jobs market; good news for the recruitment professional. Redundancies will lead to a surge in those looking for work and as training provision is once again restricted by employers trying to cut costs, it’s reasonable to anticipate that some employees may jump ship to look for improved prospects and development opportunities elsewhere.
If organisations are going to attract top talent, they need to be able to demonstrate that opportunities abound for that talent to progress and develop. A tough thing to do when training provision is being cut. Yet for recruitment professionals, there is a need to reaffirm to clients the importance of doing just this.
Organisations cannot expect to attract the best talent if they are unable to provide opportunities of this kind, and candidates will be unwilling to consider roles within them if there is any risk that their development might be stalled.
The notion of ‘training on a shoestring’ will need to be embraced this year. Online training is a budget friendly training option. CMI’s own Management Direct (www.managers.org.uk/mdirect) service, gives managers access to the resources, information and guidance they need to be effective at managing both people and projects.
An added bonus of training is that it will help to improve the desperately low levels of morale currently affecting UK workers. Encouragingly, boosting employee engagement is now a recognised priority for many according to the Future Forecast research.
It goes without saying that providing appropriate, practical, solutions-focused training will not only help your clients to attract the best individuals for their vacant roles, but will also help them to improve the morale of existing staff and make them feel more engaged. Training has always been integral to business success. The prospect of another tough year ahead means that the need to be more creative with how it is resourced has never been more important.
The full Future Forecast report can be found at: www.managers.org.uk/future
Contact
Ruth Spellman
