The hybrid model: A tool for attracting and retaining talent
Remote work or office only? The hybrid model blends the best of both while compensating for their weaknesses. But various factors influence its success.
“It would be so simple to find peace in the world of fantasy. But I’ve always tried to live in the two worlds at the same time without giving up one for the other.” Milan Kundera
Attracting and retaining talent is one of the main challenges facing organizations. And while it is hardly new, something has changed. Recent global movements within the labor market and the Great Resignation or quiet quitting have somewhat changed the rules of the game. The growing shift in power from shareholders to a stakeholder-centric model means that the aspirations of motivated, competent people – what we call talent – need to be heard and addressed in order to effectively connect them to the company mission.
Today, these expectations are basically threefold:
- To work with a purpose, which is also related to environmental and social care (ESG).
- To meet emotional needs in a psychologically safe environment.
- To have flexibility in how work is done and greater autonomy for professional development.
And this is where the hybrid model comes in, understood as a virtuous combination of in-person and remote work able to offer an effective response to this need for flexibility. To succeed, these new workspaces need to follow certain guidelines, taking the best from each model. In our study Espacios de trabajo híbrido: liderazgo y gestión de equipos (Hybrid Workspaces: Leadership and Team Management), we look at the keys to implementing this hybrid model from the perspective of leadership and talent management.
Some of the main conclusions include:
1. Assign the right space to each task and situation. The value of the hybrid model lies in the possibility of combining the benefits of each way of working: remote and in-person. Deciding which activities should be done in each space and when (at the office or remotely, synchronously or asynchronously) and how to exercise leadership in those settings will result in a meaningful model and enable a transition that is both useful for the company and beneficial for teams.
2. Culture is maintained in person. With a view to boosting results, more and more companies are calling their employees back to the office. In reality, the productivity arguments are inconclusive. But there could be some connection, albeit indirectly. Organizational culture is the most powerful intangible driver an organization has to make the most of its talent. And it is in the in-person (and synchronous) space that this culture is most reinforced and maintained. That is where teams bond most intensely. Strengthening culture and cohesion is thus key to having more committed and agile teams, something that will clearly boost productivity.
3. Link the hybrid model to the people management strategy. As we write in our study, “We believe that adapting current talent management strategies to this new hybrid reality will enable a 180-degree pivot from resignation to recruitment and from non-retention to the restructuring and reconnection of workforces.” Retracing the employee journey in light of the hybrid work model requires certain adjustments that will surely make it more effective, such as:
- Expanding talent sourcing processes to other geographic areas beyond the boundaries of the physical “office,” breaking down the barriers of the in-person space.
- Adapting onboarding processes. Some 62% of team leaders are concerned about the support provided to new hires, who are at greater risk of not feeling included or quitting (a 56% vs 38% chance of leaving the first year).
- Continuing to actively promote the culture of diversity and inclusion to prevent the hybrid format from discriminating against sensitive groups, such as older employees.
- Making sure that compensation models do not create inequities due to the work format adopted by different professionals.
- Establishing clear career paths that prevent potential discrimination as a result of the chosen work format (43% of employees worry that remote work could negatively impact their professional development). 4. Align leadership with new expectations. This should be approached from two perspectives. The first is incorporating the logic of responsible leadership. In the study La influencia de la RSE en la gestión de personas (The Influence of CSR on People Management), we define such leadership as the “the ability to generate a common purpose, fueled by passion and ethics, in which the creation of economic value is associated with the creation of social and environmental value; a results orientation, from a responsible business perspective; and a focus on the care and development of the people on the team.” According to several studies, embracing a more sustainable leadership style, grounded in the ESG approach, increases the sense of belonging, while reducing the likelihood of quitting, whether quiet or loud.
Second, with regard to hybrid work, the leadership style must be adapted to each space in order to get everyone to give their best. In the case of remote work, this means flexibility, a results orientation, and clear goals to enable greater autonomy. In face-to-face moments, it means empathy, closeness through recognition and feedback, and team cohesion based on psychological safety.
The aim will thus be to get the most out of the hybrid model by taking advantage of the benefits of both remote (e.g., flexibility, work-life balance, and focus on the task) and in-person work (e.g., connection, informal spaces, and reinforcement of the culture).
This will allow us to make hybrid workspaces more effective and, in so doing, become organizations with greater power to attract and retain that prized talent.
Carlos Cortés is a lecturer in the Department of People Management and Organization at Esade. He is the author of La influencia de la RSE en la gestión de personas: buenas prácticas (Esade-ISS, 2019) and Espacios de trabajo híbrido: liderazgo y gestión de equipos (Esade-ISS, 2023). He is a TEDx speaker on “Trabajo en equipo y música a capela” (Teamwork and A Capella Music). He helps people and organizations find and follow their change processes, guided by their emotional intelligence and common sense. More information at: www.carloscortesleon.com.
Lecturer, Department of Strategy and General Managementand the Institute for Social Innovation at Esade
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