The world is rapidly changing and a gap exists between traditional, silo-dominant business models and the agile ways of working businesses need for long-term success.

 

Often, businesses view transformation as seismic changes and costly projects when, in fact, sometimes, small, smart changes that integrate skills, systems, technology and processes can enable your people and your business to move confidently into the future.

 

Moreover, redesigns don’t necessarily result in job losses, but they always deliver a more engaged workforce.

 

Strategic organization and job redesign can help Indonesian businesses transform and bridge the gap between the present and the future. 

A world of pressure

 

Indonesian businesses are under enormous pressure on a number of fronts. Domestic demand has plummeted in our first recession in over two decades1. Businesses have to adjust internal practices in response to the government’s recently published workplace omnibus bill and the country is experiencing the highest case numbers and COVID-19 death toll in South East Asia2.

 

In these turbulent times, one of the few certainties businesses have is the need to keep adapting by redesigning with the future firmly in mind.

 

According to Mercer’s Global Talent Trends Study 20203, jobs and our ways of working are rapidly evolving but work paradigms are not keeping pace. The study shows only 29% of HR professionals are prioritizing job redesign this year when 89% employees are open to contingent working and a further 43% of companies are transparent about the multifaceted impact of AI and Automation on jobs.  

 

In Indonesia, the evidence supporting job and organisation redesign is equally stark. Teten Masduki, Minister for Cooperatives and Small and Medium Enterprises recently said, “Businesses that can survive and thrive during this pandemic are ones that have an online presence”4, but many Indonesian businesses, despite recent rapid inroads, are still in the preliminary stages of digitisation5. Business must now think about how to participate in a changed economy and ecosystem. 

 

How well your business operates in the future, or even its very viability, depends on how well you recalibrate now.

 

Proactive organizations are no longer cutting costs remedially while pressuring already stressed employees to increase productivity. They are taking a holistic approach, redesigning their organisations and jobs where required, to build resilience and achieve better long-term outcomes.

The five core challenges Mercers solve through organization and job redesign:

 

  1. Future Readiness: Prepare the organisation to meet changing market demands and industry trends while innovating and staying ahead of competition.

  2. AI & Automation: Harness and integrate technology advances in order to optimize workforce productivity and efficiency.

  3. Future Skills: Find and grow talent and reskill the workforce to meet future needs.

  4. New Work Expectations: Adapt to changing work expectations and implement safe working protocols to build a thriving organization.

  5. Talent Agility: Transform talent practices and align HR operations with business needs. 


A Mercer case study:

 

Client: High-profile retail chain

Problem: Outdated technology, systems and processes that worked well in the past are now time-consuming, restrictive and burdening the workforce with unnecessary, low-value tasks.  

 

Outcome: Our human-centric, technology-enabled solutions produced:

 

  • Better customer experience
  • Employees freed up to upskill and perform higher value and far more engaging tasks and jobs
  • Improved employee job satisfaction
  • Improved employer branding
  • Automation of menial tasks, reducing volume repetition
  • Real-time, 100% mobile inventory tracking
  • Better stock control and therefore better cost control


The upsides of organization redesign

 

The traditional company model of high supervision, rigid silos and top-down decision-making processes is outdated. That model focused on managing predictable changes in a relatively stable ecosystem. In the unpredictable conditions we face, rigidity is unable to thrive.  

 

Organisations now need to be agile in model and practices. Decision making, when decentralized, for example, brings about more rapid responses to market changes. A well-designed remote workforce, on the other hand, can foster stimulating peer interactions that spark innovation. In addition, research shows that agile organisations achieve greater customer centricity, faster time to market, higher revenue growth, lower costs, and a more engaged workforce 

Why redesign jobs?

 

The unfounded fear about job redesign is that it results in job losses, when in fact, job redesign often delivers a more engaged workforce by freeing employee from menial tasks. The key is in integrating technology with skills and jobs, rather than implementing it as a standalone tool.

To enable successful human-machine teaming, it’s important to ask these critical questions in concert with a technology roadmap:

 

  • WHAT work should be done and what can be done better through technology.
  • HOW the work should be done and how performance can be measured and rewarded.
  • WHO is needed to deliver the work.

Key considerations when undertaking effective job redesign include:

  • Business: Your strategy, competition (market share, competitive offerings), cost and revenue drivers.
  • Consumer Experience: Buying behavior as well as desired experience and value.
  • Workforce: Value proposition, development opportunities and rewards model.

Change now for a brighter future

 

If you try to move forward without redesign, you run the risk of overstretching already stressed resources, leaving you unable to respond to the rapid growth phase of the economy as it recovers. You will also risk your ability to capitalise on future trends because your organization lacks the agility to do so.

 

Indonesia is Southeast Asia's largest economy. We have with a young and dynamic workforce[1] - a profile that has the potential to adapt to changes more easily. Notwithstanding the enormous challenges posed by COVID-19, we now have the opportunity to reimagine and recreate our future and Mercer is here to help you design that future.


Christ Oliver
Consulting Manager, Mercer
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