More and more people are moving in and out of companies to advance their careers. Improve the organizational framework of your company by systematically realigning jobs through job architecture.
The Significance of Job Architecture in Today’s Business Landscape
Surveys have shown that only 29% of employees are satisfied with current career advancement opportunities. Meanwhile, 70% of employees are forced to leave their present companies to advance their careers.
Job architecture plays a role in creating career advancement opportunities and minimizing turnover rates. It constructs the organizational framework’s hierarchies, career pathways, and succession planning. Job architecture structures different job positions and how they are fit relative to the organization’s scope, responsibilities, and skill requirements.
Job architecture plays a role in organizational success. It builds career ladders that affect employee satisfaction and productivity. It also helps make informed decisions in talent acquisition and compensation and thus increasing talent retention.
As of 2022, an average employee stays with their company for about 4.3 years, and an average person would change jobs at least 10 times in their lifetime.
This is because the design of the traditional model of organizations is now outdated. The first part of that traditional model is the HIPO or High Potential path. It secretly identifies people who can move two levels in the organization. These people get privileged opportunities for development and growth. The HIPO path was first developed in World War I when there was a need for a steady supply of successors since people were dying in the trenches.
The second path is the HIPRO or High Professional path, which puts technical experts into more specialized branches. Simultaneously, they have to learn management skills to handle more complex projects.
Today, 92% of leaders want to redesign their organizations to drive agility and rapid growth. Instead of hierarchical pyramids, organizations today adapt by having inter-operating teams with no need for hierarchy. Talent mobility is established that rewards and motivates people to move within teams for career advancement.
This is where job architecture comes into play. It re-evaluates job roles and responsibilities to create flexible career paths that align with future organizational needs. By doing so, talent is mobile within the organization, which promotes employee growth.
Job architecture is pivotal in unlocking valuable market pricing insights that can significantly impact compensation decisions and overall total rewards strategy. By establishing a well-defined job architecture framework, skills-based organizations gain a comprehensive understanding of the market landscape and the competitive pricing for various roles and positions.
For example, you need to analyze the market to avoid overpaying or underpaying certain positions that might negatively impact your organization.
Job architecture helps companies gather crucial data on compensation trends, industry standards, and regional variations. By doing so, they make informed decisions in setting competitive pricing for their workforce. This data-driven approach ensures that organizations attract and retain top talent by offering fair and competitive compensation packages.
A job architecture tool like Neuron360-Profiles™ allows you to research and analyze 800+ million ethically-sourced public professional profiles to attain fair and competitive workforce pricing. Neuron360-Profiles has unique AI models to help you:
- Translate and normalize job titles: translate job titles from over 164 countries to streamline better data analysis.
- Standardize and classify skills and job titles to unify your data set: Get answers with 20% more efficiency.
Furthermore, integrating job architecture into the total rewards strategy allows companies to align compensation with job responsibilities, skill requirements, and market demands, enhancing employee satisfaction and improving retention rates. By unlocking market pricing insights through job architecture, companies can position themselves as attractive employers and maintain a competitive edge in the talent landscape.
Job architecture implementation can be complicated and require stakeholders’ support. Here are some strategies for applying job architecture in organizations:
- Transfer only critical activities from the original framework to the new framework: this approach requires minimal interference.
- Core job design, skills and mapping activities: this approach clarifies roles and missions within the organization, which helps employees and managers have better talent mobility.
- Holistic job architecture: this approach identifies new skills-based roles and career advancements for improved organizational job harmonization and equity.
Job architecture identifies HR strategies most needed in an organization. It can detect gaps in HR practices and programs such as workforce planning, employee training, or performance management.
For example, job architecture mapping activities involve using tools such as Neuron360-Profiles to detect skill gaps and thus inform workforce planning by comparing your employees’ professional skills to that of the competitors.
More and more employees adapt to constrained career opportunities by moving from one company to another. This, in turn, causes an increased turnover rate and loss of talent that needs to be replaced. By applying job architecture strategies, you can give them talent mobility within our organization that advances their career growth. Begin your job architecture approach and know which talent to retain and more with a personalized demo of Neuron360-Profiles.