Executives recognize need for internal change but don’t feel prepared for it, report finds

New research from Deloitte highlights the ways companies need to change – while also shining a spotlight on their apparent lack of readiness to do so. According to their 2023 Global Human Capital Trends Report, some 87% of C-suite executives and board members say finding the right workplace model is key to ensuring their organization’s success, but less than a quarter report that their workplace is prepared to change the way they’re organized if necessary.

The report, based on a survey of 10,000 executives and workers, found that many organizations may soon alter how they define jobs. Some 19% of executives and 23% of workers believe delineating jobs by individual tasks is the best way to organize work internally. In fact, some 93% of those surveyed say it was key to shift from rigid job categories, but just 20% say their organizations were prepared to do so, according to the new research. Among the difficulties most cited: existing mindsets and practices.

Michael Griffiths, principal and lead for Deloitte Consulting LLP’s learning consulting practice, commented on the findings in a press release, saying, “While jobs remain the primary way we define work, they are not the only way. Strict job definitions can limit workers’ and organizations’ ability to be agile and innovate in the face of disruption. By moving to a skills-based approach, these organizations can unlock their workforce’s full potential and create a workplace where people have more choice, growth and autonomy in their careers.”

Kate Sweeney, human capital practice leader at Deloitte U.K., notes in the same press release, “Organizations around the world are seizing the opportunity to elevate skills well beyond ‘functional’ or ‘technical,’ they are focusing on building the critical workforce capabilities that will enable their people to navigate near-constant change and disruption.”

Other key findings of the report include:

• 63% of leaders say their employees are already doing work, such as project work, that falls outside their job descriptions
• 61% of executives say their company’s data is shared or employee-owned, a strategy that may help give autonomy and power back to workers
• Companies are ready to innovate, with 59% of those surveyed saying they’re focusing on innovating their workplace models moving forward

Related: Boost retention with budget-friendly, internal change

“Rather than worrying about finding the perfect place to start, organizations should reframe disruptions as business challenges they can use to experiment and learn from,” notes Deloitte Consulting LLP principal Kraig Eaton, in a press release. “Working alongside their employees to develop these rules, organizations can ensure that wellbeing is at the heart of these changes, creating better outcomes for both the business and humans.”