IBM launched a flexible working arrangement last year. While this may sound as a revolutionary way of talent acquisition and staffing arrangement, Aussie SMEs have already implemented a similar work structure.
Liquid Workforce
According to a 25-page internal strategy paper which was leaked to a German news daily called Handelsblatt, IBM adopted a staffing arrangement called Liquid. The liquid workforce replaces permanent employees with external hires as needed. A small pool of executives will retain IT jobs, while the rest of the staff are hired on a project basis.
Workers can offer their services on a platform. IBM plans to develop a system to certify these virtual workers and sort them into colour-coded categories depending on their skills and training. The IBM certified worker can book training programs to score more chances of getting a job.
Work contracts will be global. The compensation is determined by time invested and quality of work. Apart from IBM, companies all over the world can access this platform to search for freelancers. It's like a cross between oDesk and Ebay.
Offshore Staffing
While this sounds like a total overhaul of the corporate work structure, and may just be a trendsetting move, it's nothing new. Small, smart regional players can't afford to set up this kind of program, so they searched for more creative ways to become competitive. Aussie SMEs are already using a flexible staffing arrangement to overcome their own challenges and constraints.
Offshore staffing enables SMEs to find the right talent as needed. They can lease a few staff to augment their in-house efforts. In a survey among a group of Aussie SMEs, offshore staffing enabled them to grow and maintain local workforce.
The trend is described by Ash Truscott, Managing Director of MicroSourcing Australasia. Aussie SMEs recognised the business opportunities in the Philippines. Despite the negative press that had surfaced in the news last year, these smart regional players did not hesitate to do business beyond their comfort zone and succeeded.
Offshore staffing has become more complex, offering more than just labour arbitrage. At the end of the day, it's about how you can leverage your options to maintain a viable business more than anything else.
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