The backdrop to the various talent shortage factors I discussed in the last article is the rapidly evolving global economy. The free flow of capital and rapid pace of technology development is re-wiring world markets.

In this environment, fluid business models are rewarded and inflexible models are pummeled. Companies must remain flexible and must bring in the expertise they need, when they need it, in order to survive. By necessity the contingent workforce of just-in-time knowledge workers is going to grow in order to meet the impatient demands of this new talent marketplace.

So what’s the answer?

For talent seekers, those companies that must find and retain expertise, we are in for challenging times. The reality today is that many companies, especially in the major California markets, are struggling to hire and retain the talent they need to execute their designated growth plans.

Ultimately, the most innovative companies with the most compelling value propositions for talented workers will prevail in the war for talent.

For talent suppliers it is becoming more of a “sellers market.” This is not to say that finding consulting or full-time work is always going to be easy, or that you can simply name your price. But for knowledge workers who are truly experts, with proven skill-sets and track records of delivering results, there will be a continuing stream of opportunities for those savvy and energetic enough to find them.

All of these trends have significance for the consultants in our Consultant Network and for M Squared as a business. In short, we believe our business model will benefit from the talent shortage. Applying the supply and demand model, more business executives and professionals are making the lifestyle decision to become consultants, while more companies will turn to flexible providers of seasoned talent in order to execute on their strategic initiatives.

We are actively monitoring these trends and our local market conditions, and in upcoming issues of this blog will expand on many of these topics.

This entry was posted by Kimball Norup on Thursday, April 24th, 2008 at 3:25 pm in Flexible Workforce, Knowledge Workers, Project Professionals, The War for Talent. You can leave a response, or trackback from your own site.