The Value of a Learning Mindset in the New Skills Economy

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“The world has changed and the next industrial revolution has arrived. According to the World Economic Forum, we have entered the 4th Industrial Revolution, in which technology has been and will continue to be embedded into society in ways that involve and require entirely new capabilities for people and machines. “

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If you haven't already seen it, the 4th Industrial Revolution is coming and in many cases is already here.

The First Industrial Revolution is widely taken to be the shift from our reliance on animals, human effort as primary sources of energy to the use of fossil fuels and the mechanical power this enabled.
The Second Industrial Revolution occurred between the end of the 19th century and the first two decades of the 20th century, and brought major breakthroughs in the form of electricity distribution, both wireless and wired communication, the synthesis of ammonia and new forms of power generation.
The Third Industrial Revolution began in the 1950s with the development of digital systems, communication and rapid advances in computing power, which have enabled new ways of generating, processing and sharing information.
The Fourth Industrial Revolution can be described as the advent of “cyber-physical systems” involving entirely new capabilities for people and machines. While these capabilities are reliant on the technologies and infrastructure of the Third Industrial Revolution, the Fourth Industrial Revolution represents new ways in which technology becomes embedded within societies

Sources To Review: https://www.weforum.org/agenda/2016/01/what-is-the-fourth-industrial-revolution/

“Technology has also destroyed the staying power of traditional companies, reducing their average lifespan by two thirds since 1950, and moving the majority of their assets from tangible products to intangible assets, comprised of people and intellectual property.”

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The average age of an S&P 500 company is under 20 years, down from 60 years in the 1950s, according to Credit Suisse.
It's forecast to shrink to 14 years by 2026.

About 50 percent of the S&P 500 will be replaced over the next 10 years. Increased buyout and M&A activity certainly had a hand in shortening that life span, but the increased pace of the disruption is accelerating and can be blamed on technology.

Sources: https://www.innosight.com/insight/creative-destruction/

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In 1982, the value of publicly traded companies was made up of 62% tangible assets and 38% intangible assets. In 2015, the value of publicly traded companies was made up of only 35% tangible assets and 65% intangible assets. This means two things, intellectual property and people.

Source: – Human Capital Institute

https://www.linkedin.com/pulse/career-walls-new-ladders-christopher-platts/

https://www.td.org/magazines/td-magazine/lose-the-career-ladder-and-hit-the-wall

“Every industry is being disrupted. Every job is changing. And as a result, we have a global skills crisis. Concerns about the availability of skills are at an eight year high and top the list of 81% of CEO’s talent agendas.”

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Disruption is not new but that the speed, complexity and global nature of it is. In fact, it is clear that a number of sectors are currently impacted by multiple disruptive forces.

Disruption such as the change in how we consume media – from Blockbuster to Redbox To Netflix & Streaming
Disruption in how we commute – From Taxis, to Uber to Driverless Cars
Disruption is coming in Manufacturing in the form of 3D Printing

The change is dramatic, automation is the No. 1 disruptive force

“Jobs have already changed, and the skills are new, unique and in many cases in short supply. According to the latest research, soon we'll only be as good as the skills we possess. But which skills are they, and how can we make sure we keep pace?”

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You can see here jobs that exist TODAY.

Amazon who needs “Culinary Product Developers” to
Tesla/Uber and the Automotive Occupant Packing Engineer who “Create and conduct ergonomic studies for ingress/egress, comfort, occupant rider experience, and platform benchmarking”.
Smart Phone companies need “Camera Algorithm Engineers” as that is a key differentiator in platform.

“The world of work is changing – and some jobs are changing faster than others
Sources: https://www.weforum.org/focus/skills-for-your-future
http://www3.weforum.org/docs/WEF_FOJ_Executive_Summary_Jobs.pdf

“PWC 18th Annual Survey - CEOs are seeking a much broader range of skills, great products and solutions come when there is a synthesis of lots of different kinds of perspectives. They also feel as if their people may not be ready, and in some cases, this just may be true”

In a recent Wall Street Journal survey when asked: What is the top concern of CFOs today? - “The No. 1 concern this quarter is hiring and retaining qualified employees. We’ve been doing the surveys 21 years, 85 quarters now. That’s the first time that’s been the No. 1 concern.”

Sources: https://www.wsj.com/articles/how-cfos-are-feeling-1497838320

Skills are at the top of CEOs’ talent agenda. 81% say their organisations are now looking for a much broader range of skills than in the past. This is unsurprising at a time when CEOs want to increase headcount but concerns about the availability of key skills are at an eight-year high.

Sources: https://www.pwc.com/gx/en/ceo-survey/2015/assets/pwc-18th-annual-global-ceo-survey-jan-2015.pdf

35% of APAC Organisations – The Work Ahead: The Future of Businesses and Jobs in Asia Pacific’s Digital Economy
The early sign of this growing disconnect is already visible; a recent report by The Organisation for Economic Cooperation and Development highlights the fact that skill shortages have become a growing problem for employers and are most pronounced in Japan and India than elsewhere.
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In studying the Best Workplaces for Millennials, leading employers use different “meaning archetypes” to help employees connect to their work and feel part of something significant. For example, they might identify as an industry disruptor that inspires innovation, or declare giving back a key part of their organisational culture. Others honed in on their service-oriented focus, their unwavering team support for employees in times of need, or their reputation as industry leaders offering superior products and expertise.

In a “VUCA” world (volatility, uncertainty, complexity and ambiguity) – With external volatility the prevalent characteristic these days, business leaders who stay focused on their mission and values and have the courage to deploy bold strategies building on their strengths will be the winners..

So the best companies continue to reinvent themselves

….and your employees know who they are

Look closely at this picture. What do you see, or perhaps what do you NOT see? Amazon's data-driven approach -- supported by metrics on everything from customer behavior to the most effective recruiting strategy -- gives it a serious competitive advantage. As jobs were eliminated, jobs were created.

Amazon’s human resources team will be busy in the next year-and-a-half. It plans to hire 100,000 full-time employees in the U.S. between now and mid-2018. The jobs will include full benefits and span engineering roles, logistics, and customer service, among other occupations. By the time the jobs initiative is over, Amazon will employ more than 280,000 people in the U.S., alone.

These new job opportunities are for people all over the world and with all types of experience, education and skill levels—from engineers and software developers to those seeking entry-level positions and on-the-job training.

Nestle SA, is one of the world's top five most respected, food and beverages companies. Besides being the world's no 1 food company in terms of sales, Nestle was also the world leader in coffee (Nescafe), food and nutrition.

Like many food companies worldwide, Nestle has been undergoing a significant transformation, focused on catering to health conscious consumers and increasing their reach into health care segments. On the same premise, Nestle acquired the medical nutrition business of Swiss pharmaceutical major, Novartis International AG in 2007, striving to reposition itself as a nutrition, health and wellness company. With this acquisition, Nestle moved from being a minor player in the health care nutrition segment to the world's number two player in the nutrition, health and wellness industry.

This shift has demand Nestle to rethink the talent needed as they transform their business and in some businesses reskill their workforce to focus on nutrition, health and wellness?

K-12 curriculum outdated- not preparing our students to think critically but thankfully kids that are web savvy are learning some of these key skills necessary for the future

Kids inherently understand things like:
Instantaneous feedback
Social branding- avatars
Learning about failure- easy to hit reset
Control their learning- they do google searches before asking for help

Kids are coming to work with a different life expectation that learning is in their control

So what does the future hold for you in this age of uncertainty? And how will you futureproof your business, your people, and your success?

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Welcome to the age of uncertainty. Welcome to the skills economy which is no longer a “buyers” market. Scarcity and change come with it risk, but for the Disruptors, Innovators and Transformers there is always opportunity. What does the future hold for you?

Let’s insure that together we at Cornerstone can help your “Futureproof” your Business, your People and your Success.

In a skills economy, you have remote employees, contingent employees, dynamic teams, identifiable experts and a burning desire to grow and connect. Classic “command and control” structures do not work.

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That's how people grow -- not by being hemmed in with rules and policies designed to keep people coloring inside the lines, but by coloring outside the lines and collaborating to generate better solutions together than they could do individually.

We now push for a culture of continuous improvement. Encourages people to take action and support them if they make mistakes. We want them to keep learning on the job, by actively learning from their mistakes. They are therefore all the time looking for ways to improve their processes and themselves. Because, without developing the necessary skills, competences and knowledge for your particular job it is impossible to comply with your responsibilities.

And not just any kind of learning
Who remembers when training was 3 days stuck in a room with a heavy notebook or binder that you’ll leave on your shelf and never open again?
Jane Hart recently revised this continuum with stage 5 as MODERN WORKPLACE LEARNING”
Learning has evolved beyond classroom training
Employees at all levels expect the opportunity to learn and grow, without taking the time away from their desk
We are in the age of modern workplace learning… so what is modern workplace learning?

Jane Hart, founder of the Centre for Learning and Performance Technologies,

Employees don’t just want to earn money. They want to give meaning to what they do, they yearn for flexibility and crave autonomy. This is especially true with the development of digital tools that have allowed employees to develop new competencies.

We need to place teamwork at the heart of the organization, adapt to our employees’ specific needs as much as possible, continuously help them develop their employability, and make sure their work has a tangible impact.

As much as we are living in an increasingly connected world, we are still challenged with communicating to employees in an effective manner. With remote employees, staff members on the road, the rise of flex hours and telecommuting, and working in satellite offices, the traditional methods of working have dramatically changed. To reach today’s on-the-move and geographically dispersed workforce, the past styles of communicating through in-office meetings, email blasts, and posters just won’t suffice.

Today’s employees expect timely, relevant, and customized communication in easily digestible pieces (context) and a built in recognition and rewards system.

ANZ Statistics - New Work Order - report was prepared by the Foundation for Young Australians
by 2030 it is predicted that we will, on average, spend 30 per cent more time per week learning skills on the job;
Advances in technology and access to data will lead to a constantly changing work landscape, resulting in workers needing to spend 13 hours a week, up p 3 hours, learning
The skills that will matter most in the workplace of the future are, by a wide margin, problem solving, judgment and critical thinking. The average Australian worker will likely spend double the time at work solving problems (12 hours each week, up from 6 hours today).

Learning Perspectives:
- Fixed mindset- where people see intelligence or learning potential as limited. “we can only learn so much”
Growth mindset- we see learning as incremental and never ending possibility

Carol Dweck, Professor at Stanford, has researched growth and fixed mindsets for years. What we know is that we can develop a growth mindset where we see possibility through effort and deliberate practice. We can be taught how to react differently, how to face challenges and how to think differently.

Her research shows that leaders with growth mindsets drive change, continually open themselves up to be more vulnerable by asking questions to learn from others. She also found that leaders with a fixed mindset (who often see themselves as geniuses or visionaries) can often set companies up for failure because they see failure as an indication of their own limitations.

It is clear that it is advantageous to develop a learning mindset and one piece is doing this is to look at how learning has evolved and how learning has shifted from something done TO people to something that people control. Learning now is about choice and AI has made this easier and more complex simultaneously.

Simply put, we are at an inflection point where we are seeing the emergence of extreme learners

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How did they do it? They did it with curated content provided by our Cornerstone team.

Every person at your organization is curious with limitless potential…..

Lifelong Learning: New innovations are changing the way brands in all verticals do business, taking a lifelong learning approach to technology can help organizations and individuals stay up to date and make the most of these emerging abilities.. For the employee; The day you stop learning is the day your career begins to die. No matter your age, experience level, or professional status, lifelong learning is the most essential ingredient for success. The world is constantly changing and evolving. If you’re not keeping up, you’re falling behind.

We must deliver tailored, personal and relevant experiences in an age where content overload is the new normal.

We’ve got the ability to administer compliance & regulatory training down….but now we need to deliver an engaging learning experience to encourage completion of that training and also promote engagement in personal development.

So, the engaging learner experience makes it easy to find & discover.…..

Our Clients are playing a constant game of catch up with it comes to Learning Content. I’ve boiled it down to (4) main challenges that our clients are going through, that you should be aware of:

Expensive Outdated Content – with the rate of change & in-demand skills becoming obsolete every 5 years, this means that companies need to constantly be updating the learning that they’re providing their people. Content becomes outdated REALLY quickly. It’s hard to keep up with.
Complex Vendor Management – Most organizations source content from multiple vendors, this means lots of overhead when it comes to assessing, purchasing & keeping up with the content that fills your LMS. Imagine if you had to buy a different TV for every channel you wanted to watch – that would require a ton of overhead & headache. CSOD simplifies the vendor management process by providing companies a “one-stop-shop”, or one single point of contact for lots of different content vendors.
This is really focused on modern learner demands, & moving from a top down to bottom up approach – our clients are trying to take their traditional learning programs and transition their company mindset and processes into a more learner-led culture. It’s no longer only about compliance training, there’s lots of other skills training that learners are demanding.
Personalized, yet Scalable – this is where curation comes in to make our buyers lives SO MUCH EASIER. Without the power of machine learning (LEP + CONTENT) L&D struggles to deliver personalized learning experiences at scale. The old way of doing things was to manually hand curate content, and learning paths – it’s no longer feasible. Machine curation is no longer a NICE to have it’s a NEED to have in order to provide a positive & engaging learner experience.

Because Employees don't see a "learning" problem or a "performance problem. They see everything that happens at work as an integrated experience, therefore you should manage it as one.

http://www.mckinsey.com/business-functions/organization/our-insights/the-ceos-guide-to-competing-through-hr?hrexaminer

Robotic Process Automation - Is RPA able to provide automation that these 22% percent of HR software buyers are seeking without having to implement yet another software platform? Could RPA alone boost a company’s automation capabilities and process support?

Rather than being bogged down by legacy system issues, most RPA software are able to flawlessly bridge the gap with older HR applications because software robots work in the presentation layer just like humans. Furthermore, if RPA is already present within a company, the company is most likely either developing or already has a RPA Center of Excellence and growing expertise on the implemented RPA software. RPA technology and the new talent within the company can fix the shortcomings in existing HR processes by boosting the automation capabilities of the older HR system and automating paths that couldn’t otherwise be automated. This could involve, for example, boosting the accuracy of payroll processing or decreasing the human involvement required to onboard a new employee.

Cornerstone, since our founding 18 years ago, has had one vision, one mission, one CEO. CSOD has been committed to developing people and “educating the world”.

We help with a holistic approach to learning

The LMS is top down learning. It’s about assigned curricula or training. We as a company have to shift beyond this mindset, because the LMS won’t help us deliver modern learning.
LMS focuses on transactional training & compliance
LMS requires manual and non-scalable curation
LMS not enough to deliver personalized learning
LMS does not contextualize learning (how does this fit in to the bigger picture?)
LMS does not engage learners
But learning today demands more than LMS.
(What is contextualized learning – I know why it’s relevant. Beyond personalization in that I understand how it fits into my life.

Look, who loves looking at your transcript, oooh, wonder what’s in my transcript? No, boring. Same for other employees. Low adoption means people complaining, not seeing ROI of their Cornerstone investment. Low adoption means opportunity for a competitor.

“In contrast to LMSs learning experience platforms typically function as a curation and aggregation layer between an organization’s internal digital learning assets, the vast amount of external content available on the Internet, and user generated content. The outcome is a personalized and interactive hub for learning that extends beyond the curricula made available by internal L&D. Additional features often include prebuilt integrations with other
solutions, gamification elements, collaboration features, AI and admin curation, and social features.”

LEP focuses on continuous learning

LEP aggregates and curates learning

LEP uses machine learning to personalize content

LEP contextualizes learning

LEP engages people in their learning

So I’ve talked about our learning delivery capabilities, with our LMS and now our LEP.

Yet, it doesn't matter how simple or sophisticated your LMS & / or LEP are if you haven't got the right content!

The Value of a Learning Mindset in the New Skills Economy

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The Value of a Learning Mindset in the New Skills Economy