Lessons from Resilience Leaders: Building a Stronger Workforce in the Age of AI

Businesses are failing to unlock the full potential of their employees and poor workforce planning is holding back growth for most organizations. Those are the sobering take-aways from Kelly’s fourth annual global workforce report.?

We surveyed 1,500 senior executives and 4,000 employees at all levels across 13 countries and eight industries for our 2024 Kelly Global Re:work Report .?

While we identified nuances across geographies and sectors, we were struck by the fact that organizations across the globe reported missing out on business opportunities due to a lack of skilled talent. Almost half (47%) of executives told us this was the case.??

Three main challenges emerged from the survey:?

1. Most organizations’ talent strategies are ineffective and are not meeting talent expectations.??

More than half of executives (54%) say poor workforce planning is holding back business growth, and four in 10 say they are not unlocking the full potential of their teams.???

Many workers attribute this failure to their employers, citing a lack of skills development and career progression opportunities as their top frustrations. Additionally, workers are frustrated by the lack of autonomy over how, where and when they work, as well as poor work-life balance. While executives acknowledge these frustrations, 48% of companies are mandating some form of return to the office.??

2. AI is disrupting the workforce, but employees are unprepared.??

The Re:work Report reveals executives are turning to artificial intelligence (AI) and automation to solve workforce challenges, but one in five say they struggle to implement their digital strategies effectively. 64% of executives are investing in AI to improve employee productivity, efficiency, and engagement, and more than half say AI is critical to strengthening the capability of their workforce.???

Most employees understand the importance of AI. 73% of workers say they expect AI to impact their roles. Yet, only about a third (37%) feel positive about it and 63% have negative or mixed feelings. Just 39% of workers say they have received AI-related training.??

3. DEI efforts are failing, and underrepresented workers are quitting as a result.??

Half of executives admit they are not creating inclusive cultures—and 49% say their DEI strategies don’t provide helpful support to underrepresented groups. Only a third of executives believe DEI directly supports business performance. A quarter of executives say DEI efforts are not as important as they were just a couple years ago.?

It's no surprise then that workers who identify as part of a minority group are far more likely to say they have experienced non-inclusive behaviors at work and twice as likely to quit. A staggering 50% of minority workers told us they plan to leave their employer in the next year.?

Organizations with high agility, capability, and DEI metrics outperform their competitors.

How can employers defy the aforementioned trends and build more successful teams???

“Resilience Leaders” offer answers.??

Our report identifies a small group of organizations who report better business results and employee engagement metrics. We call them Resilience Leaders.??

Resilience Leaders make up only 7% of the organizations surveyed and are outperforming their competitors:???

• 70% of Resilience Leaders report increased revenue over the past year vs. 35% of the lowest performing organizations – the “Laggards”?
• 61% report improved profitability vs. 35% of Laggards?
• 74% report improved customer satisfaction vs. 37% of Laggards??
• 79% report an improved ability to recruit talent vs. 27% of Laggards?
• 72% report improved employee retention vs. 34% of Laggards?

Resiliency Leaders are most commonly based in Norway, Sweden, and Germany, the report finds. The U.S. ranks seventh out of 13 countries surveyed. Australia ranks last. The survey found Resilience Leaders pursue four best practices:?

1. They partner with workforce solutions providers to build more agile and capable teams. 71% of Resilience Leaders work with third parties to develop their talent strategies vs. 35% of Laggards.?
2. They leverage new technologies for better visibility into talent demands. 64% of Resilience Leaders have a clear strategy for how they deploy AI to support human work vs. 22% of Laggards. 69% use technology to improve workforce analytics, monitor productivity, and support hybrid work.?
3. They tap into diverse perspectives and provide flexible work arrangements to empower employees. 77% of Resilience Leaders say a C-suite leader has DEI responsibilities compared to only 5% of Laggards. 53% of Resilience Leaders offer flexible and hybrid work arrangements for employees at all levels vs. only 19% of Laggards.?
4. They are proactive about wellbeing and mental health to improve performance. 54% of Resilience Leaders offer mental health resources compared to 28% of Laggards.?

The bottom line: Organizations must develop long-term workforce strategies that focus on the right mix of permanent and contingent workers, effective skills and career development, meaningful employee engagement, and thoughtful implementation of AI tools that combine the best of human talent and technology.?

Read the 2024 Kelly Global Re:work Report and discover more ways to build workforce resilience.?