Distributed Spare Capacity To Place Ability
Technology is allowing a degree of sharing so large that new mediums of communication are creating a cascade of new engagements. As a result, we are entering a new era where solutions to market problems can be optimized by tapping into spare capacity held by individuals distributed in the community. Several monikers and catchphrases are used to describe this new era: Shared Economy, Web 2.0, Crowdsourcing, Cognitive Surplus, Collaborative Consumption, App Economy, or Gamification. Welcome to the rise of the platform-based business model, which aims to solve market problems!
In the human capital space, adopting a platform-based business model to match ability with the right fit can reinforce the career development paradigms of vocational guidance, career education, and life design. However, leaders in this space must accept that a fourth closely aligned paradigm is needed to subsidize development — liquidity. I believe that “right-fit” is achieved by utilizing these four paradigms:
Placement liquidity, which views hiring managers and candidates as principals, i.e., buyers and sellers, in a transaction that may be characterized by willingness and compromise, and who may be helped by participating in efficient marketplaces to eliminate pain points quickly.
Vocational guidance that views principals as actors who may be characterized by individual differences, styles, and scores on personality traits and who may be helped by matching for resemblance to identify occupational fit.
Career education views principals as agents who may be characterized by individual development and readiness to make decisions appropriate to stages, and who may be helped by implementing new attitudes, beliefs, and competencies to foster individual development.
Life design, which views principals as authors who may be characterized by autobiographical stories and who may be helped by reflecting on themes to construct a satisfying and productive life.
Depending on hiring manager and candidate constraints, however, assistance may apply interventions that reflect on any one of the different paradigms.
Most importantly, solution providers must be aware that the market will not benefit from any solution unless it is built on a viable and durable business model to deliver the value proposition. As such, we shouldn’t forget the adage: “Businesses don’t fail, business models fail”.
