27. Leadership for workforce development

This chapter discusses how organizations and their leadership must adapt to the constantly evolving psychological contract, which has shifted over the years to a more boundaryless orientation for employees and a performance-over-loyalty orientation for organizations. These changes have been compounded by ramifications from the COVID-19 pandemic. Key strategies that leaders must employ to help their organizations thrive in the current environment include (a) differentiation, or building up the capabilities that differentiate the organization from competitors; (b) “owning” the essential talent for establishing and maintaining that differentiation and outsourcing or using other technology to complete less-important work; and (c) building up talent to be kept within the organization. Organizations that equip their leaders with skills to coach and grow their teams will find the greatest success.