Governance professionals have demonstrated yet again that they are integral to the decision-making process within organizations. As we analyse market trends for Q2 2023, it is important to explore the key developments and shifts in talent acquisition, skills in demand, and emerging technologies impacting recruitment within the governance market.
Diversity and inclusion continue to be at the forefront of recruitment efforts in the governance market. Organizations are actively seeking candidates from diverse backgrounds to enhance decision-making and represent different perspectives. To achieve this, recruiters, internal HR and hiring managers are implementing strategies such as blind CV’s, promoting inclusive job descriptions, and insisting on presentation of a diverse shortlist of candidates. This is mainly being driven by the largest organisations in both the private and public sector that have the internal resource and capability to run recruitment campaigns in this way. Smaller companies are yet to follow suit, however we expect to see this change considerably over the next few years. Companies that prioritize diversity and inclusion are not only meeting societal expectations but also reaping the benefits of improved innovation and employee engagement and retention.
As organizations increasingly rely on technology to streamline operations, we have seen some major announcements in technology-based solutions from the likes of EY, Deloitte and Kuberno as they seek to enhance and future proof governance solutions for their clients. Adoption of and investment in the latest technology solutions acts as a real draw for Millennials who are early on in their careers.
The COVID-19 pandemic accelerated the adoption of remote interviewing, and the trend continues to reshape recruitment processes in the governance market. 100% of recruitment processes in Q2 involved at least one interview over Teams/Zoom and this trend does not show any signs of changing. 90% of clients offer the ability to work flexibly, typically 3 days in the office, 2 days from home. Those that stipulate 5 days in the office will struggle to attract the best talent. This shift towards flexible working has broadened the talent pool, enabling organizations to tap into global talent and overcome geographical limitations.
While technical skills remain crucial, there is a growing emphasis on soft skills and leadership qualities in the governance market especially at the senior level. Employers recognize the importance of candidates who possess strong communication, critical thinking, and problem-solving abilities. Leadership skills such as strategic thinking, adaptability, and ethical decision-making are also highly valued. Organizations are looking for candidates who can effectively lead teams, foster collaboration, and navigate complex governance frameworks.
As competition for top governance talent intensifies, organizations are placing a greater emphasis on employee retention and succession planning. Companies recognize the value of investing in their existing workforce and providing opportunities for career growth. Implementing mentorship programs, leadership development initiatives, and internal mobility strategies helps retain valuable employees and reduces turnover. Succession planning ensures a smooth transition of key roles and minimizes disruptions in governance functions.
The recruitment trends within the governance market reflect the evolving landscape of decision-making, technology, and workforce expectations. Organizations are actively prioritizing diversity and inclusion, seeking digital governance experts, embracing remote work, and leveraging technology in their recruitment processes. Soft skills, leadership qualities, and employee retention initiatives also play a significant role. As the governance market continues to evolve, organizations that adapt to these trends and embrace innovative recruitment strategies will gain a competitive edge in attracting and retaining top talent. After a slower start in 2023, the market has picked up considerably, especially at the Deputy and Group level where volume was running at historic lows for the 6 months prior. Many recruitment companies had benefited from a 2 year post covid boom, however based on activity levels over the past 3 months it looks like we are entering a more ‘normalised’ market that we think will stabilise movement and salary inflation within the profession.