Paying the Price
by Matt Poepsel, PhD
I talked to a lot of organizations that consider talent optimization investments, things like design and inspire, etc. And they say we don’t have budget, they weren’t expecting talent optimizations very new. It’s one of these things where it’s like, we’d love to do it, but we just don’t have the budget for it. Maybe we’re considering bringing in a design solution like Clearpoint or an Inspire solution like lattice, maybe engagingly around diagnose, or greenhouse or maybe even PII, which is an all in one solution across the talent optimization platform.
But again, without having a line item, having expected to make this type of an investment, they say, We don’t have budget for that, and I like to respond to them, well, you’re paying for it already. You’re paying it in the absence of talent optimization, one example, Miss targets, when we start looking at business results, when we start doing the math on how we are missing specific KPIs or other types of metrics in the business. Those are evidence of a talent optimization gap, every business problem is a people problem, as I always say, What about execution risk, when you look to the next 12 to 18 months, there’s tremendous amount of cost in terms of the opportunity cost of what you expect to happen, that may or may not happen if you don’t get the talent optimization part, right. And finally, the people tax now more than ever, the frustration, the toxicity, the rework, the turnover, all these types of things that can really disrupt the business, you’re paying for it already.
Let’s be clear about that. Now, the other good news is that I don’t want to have any organization paying money on something that doesn’t produce value. And so anytime I’m talking to an organization who is considering making an investment telling optimization, I want them to see a very clear path towards a 10x return. And it sounds like a lot and it is, but the reality is that when you think about people problems and how much they cost inside of the business, and what business results are put at risk, it’s not that hard to get to a 10x return. It’s just something they haven’t necessarily done before.
So again, if you hear as an example, if you’re a client and or an organization you’re thinking about, we don’t have budget for it, let’s do the math a little bit differently. Let’s understand what it’s really costing us not to have the solution. And let’s hold that up to the broad light of day and say, Can I get a 10x return on this reasonably? So that’s what I would love to see instead. So thanks very much for your time and your attention today. I’d love to connect with you on LinkedIn. Hear what you think about this episode, or if you have a suggestion for a future topic you’d like me to discuss.