Panel, Conference Presentation
The Global Competition for Talent
Milken InstituteBob Bennett, Jim Cochran, David Ford, Jody Greenstone Miller, Sajan Pillai, Wei-Li Chong
- Global competition for talent and infrastructure models is intensifying, with STEM shortages currently accounting for approximately one-third of the unemployment rate in the US.
- Over 20 million US college graduates are projected to become independent professionals by choice, a shift that will fundamentally alter current job structures and diminish traditional employer-employee ties such as pensions and job security.
- Women are expected to comprise over 50% of the marketplace and hold the majority of US advanced degrees, yet a mismatch between work environments and women's desires prevents them from reaching senior executive levels.
- The average executive tenure is approximately four years, and the baby boomer retirement wave will force companies to adopt new talent models to remain competitive.
- Contrary to perceptions, most high-level independent talent does not seek part-time work, and the traditional 40-hour full-time work week is viewed as an arbitrary notion that hinders efficiency.
- Effective work can be accomplished in 20 hours a week with the right personnel, challenging existing definitions of full-time availability and executive responsibilities.
- A company's operations in Mexico are projected to become one of the largest information technology firms in the country in less than a year, with plans to expand to become a leading IT entity across Latin America next year.
- A specific training initiative is scheduled to launch on July 15 in Greece to train 10,000 citizens and hire 3,000, while a similar program for 5,000 IT professionals is currently being planned for the UK.
- STEM participation demographics are shifting unfavorably toward white and male groups, with projections indicating that fewer than 5% of the 4 million kindergarten entrants annually will become STEM graduates.
- The H1B visa cap is expected to be exhausted within approximately two weeks of each calendar year, while the gap in innovative scientific discoveries between the US and the rest of the world continues to narrow.
- Current organizational efficiency averages 70% to 80%, with 10% of firms performing at 125% and 40% below average.
- Focusing development efforts on the middle workforce segment offers the highest projected efficiency gain, potentially raising overall company performance from 80% to 88%, compared to gains of 83% or 85% for focusing on high-potential or bottom performers respectively, with 95% potential via comprehensive development.
- Future competitive advantage in the talent market will depend on countries refining labor laws, establishing governance mechanisms, and implementing flexible immigration policies, as current US labor laws are misaligned with global trends.
- Successful leaders must cultivate a collaboration mindset, people development focus, digital confidence, global citizenship, and future anticipation, while many nations currently approach human capital from a political rather than genuine talent perspective.