Study shows 96 per cent of UK businesses rate their approach to succession planning highly and a further 64 per cent say their talent pipeline is either very good or excellent. However, more than two thirds are concerned that their employee turnover rates are too high.
The ‘Challenging Talent’ study by BPS World, aimed at assessing the biggest hiring challenges faced by UK businesses, their skills struggles, interview processes and views on talent accessibility, also looked how Brexit, competition and salary expectations were impacting respondents.
Simon Conington, CEO of BPS World comments: “This research at first appears to show an encouraging confidence from senior executives on the talent flow into and within their businesses. However, their concerns about skills gaps and high turnover rates challenge this sentiment. Any manager who has these concerns should be reviewing their talent acquisition strategies and their approach to candidate and employee engagement, to ensure they are fit for purpose.”
More than a third (35 per cent) of respondents expressed concerns that their interview processes were too complicated and protracted. 45 per cent also felt that the stiff competition for the best talent was leaving many businesses out in the cold, as candidates are finding themselves with several offers to choose from. This, 26 per cent said, was leaving them with no option but to hire their second choice candidate.
The study also asked respondents whether the intense competition for skills was leading them to deploy a global approach to talent acquisition. Almost a third (31 per cent) said they would access talent from anywhere in the world, indicating that businesses are showing a far more innovative, global approach to flexible working practices.
Simon Conington concluded, “Skills gaps and a lack of effective talent are not unique to any industry, and it’s clear that those we surveyed are experiencing challenges associated with finding and retaining the best people. Many were refreshingly honest about where they see room for improvement when it comes to their approach to attracting and hiring people; yet too many are complacent that their strategies are working well, despite the fact that they clearly aren’t. It’s important that senior business leaders take a holistic view of their entire approach to managing talent, particularly in a market where competition for the best people is more intense than ever. Quite simply, getting the right talent and keeping them makes the difference between success and failure for UK businesses.”
A business is only as good as the people who work in it. When you are making a recruitment decision you are taking on responsibility for the cohesiveness of the staff and diversity in your workplace, in addition to choosing the kind of talent that can help to drive your business forward.
Read a copy of our article ‘Recruiting the right people for your business’ to help you streamline your recruitment process and plan ahead to attract the right people to your business.
Outsourcing is also an option. For example, why not cut through the compliance red tape, by outsourcing the finance side of your business to an experienced team who deal with these tasks on a daily basis.
At Beavis Morgan, we provide a bespoke service, from incorporating and registering a start-up business, right up to providing internal financial controllers. By outsourcing part or all or your finance function to us you will not only save time, but also money spent on trying to find the right staff, paying for expensive software and training, and not having to arrange cover for holidays and sickness. You will also have the benefit of knowing that your finance function is in safe hands.
For further information about how we can help you achieve your goals and ambitions for your SME business, contact Steve Govey or your usual Beavis Morgan Partner.
Further reading: Succession planning: Plan now for the future