Efficient vs. Effective Distribution of Advice

The recruiting and placement of ability must be improved for effectiveness, not only optimized for efficiency. By solely focusing on optimization past solutions are merely failing faster and faster to recruit and place ability at best-fit. Past results are horrible evidenced by the percentage (72% according to Gallup) of workers who are not engaged at work. Currently, in my opinion, there is not any leadership to improve recruiting and placement effectiveness in the long-tail of markets. So, we are going to be that leader.

A 2011 Harris Interactive poll commissioned by the National Career Development Association (NCDA) provides feedback that is very clear regarding those who provide career advice: career practitioners are a vital resource for the livelihood of workforces and are underutilized relative to their potential need and value. In the poll, 24% of adults report that they have visited a career practitioner and 86% of them found it to be helpful. However, there are not enough career practitioners, in the traditional sense, to cover the masses, and there never will be, in the traditional sense.

Instead, Placement Loop embraces the role of domain expert to deliver recruiting and placement advice that is “good enough” to serve the masses. Indeed we are architecting our technology to support a layer of domain expert networks that will serve the market. To that end, our placement ecosystem design is supportive and accepting of the shift away from control and coordination at the center towards collaboration and discovery at the edge. Our design is about participants over platforms and individuals over institutions.

In addition, Placement Loop views human capital like financial services companies view financial capital, that is, from a traditional brokerage and distribution perspective. We use proven advisory models that effectively distribute financial product to design solutions for the distribution of ability, as if it were product. Not only does this provide the insight to recruit and place permanent workers at best-fit but it also addresses the growing market of independent workers.

The solutions are simple although quite complex to execute. The good news is that technology and methodology have advanced and network effects are more understood to increase the confidence to deliver utility, that is, effectiveness.

Placement Loop intends to motivate the delivery of recruiting and placement advice from domain experts who are already embedded in talent-based communities. We intend to provide a platform for all recruiting and placement participants in those communities to save time in their quest to make better decisions quicker. Sound familiar? That’s the foundation of how the financial services industry works.

Placement Loop is designing a solution for domain experts to become network entrepreneurs in the industry or sector that they are passionate about.

How profitable will it be in the future to be a network entrepreneur in this space? Sign up at our website to learn more when we open up your sector or “loop”.

Disrupting Human Capital Development and Placement (HCDP)

If you need any evidence that the world needs to rethink human capital development and placement (HCDP), look no further than the typical society in a free enterprise economic system.

Within these societies you tend to find three competing business models in the HCDP space, each with its own profit model. There’s the:

  • service-based “solution shops” meant to deliver learning quality via trained instructors (e.g. higher education)
  • outcome-based businesses meant to deliver employment quality via process (e.g. career services, job boards, agency)
  • member-based facilitated networks meant to deliver life quality via values (e.g. community involvement and interaction)

Developing and placing ability at best-fit is not complicated. We have proven methodologies that are effective. However, developing and placing ability at best fit at best-price at scale is impossible today.

HCDP problems can be boiled down to two key issues. Innovation has been sustaining as opposed to disruptive while business model designs remain largely centralized. For example, higher education offers the value of solving any learning problem for any student but the overhead of that complexity leads to tremendous costs.

The simple fact is that when viewed within the job-to-be-done framework human resources technology is 10 years behind health care technology which is 10 years behind investment technology.

Thankfully, the disruption in healthcare is already happening. For example, Iora Health pairs patients with health coaches who facilitate a care plan based around life goals, not just calling the doctor when they’re in pain. After all, once that happens, it’s typically too late for low-cost preventive care. To that end, Iora assigns its patients a “Worry Score.” The killer app is dedicated personal assistance. The killer API is the human API.

Coordinated collaboration among all stakeholders is a main tenet of reform. HR technology needs to catch up. We need equal parts interoperability, privacy, usability and human capital data infrastructure. Then and only then will we be able to integrate empirical development and intuitive placement to arrive at a satisfactory personalized life design.

We need a closed, interdependent, decentralized and integrated system, one in which different business models use a common platform that allows product and service suppliers to focus on doing a particular job very well for customers. Along the way, distributed facilitators (instructors and referrers) can be empowered to turn what is now expensive development and placement encounters into affordable ones. Again, a common platform is the mechanism by which we can meet the challenges.

It’s no surprise, then, that HCDP needs disruptive innovation to arrive at best-fit. What remains to be seen, though, is how soon that innovation will arrive and what kind of impact it will ultimately have.

Can we innovate soon and if we can what kind of impact do you want to see?