Family as a strategic success factor

Will family-friendliness become a strategic success factor in the future?

Working from home. Reducing working hours for a few months if a partner falls ill. Setting up a lifelong working time account and taking a year off in mid-50s. The modern job market offers many possibilities that have nothing to do with the traditional 40-hour workweek. But what does this strategic success factor mean? Why is it so important for companies nowadays to be perceived as family-friendly? Rump: There are many drivers for this. There are many more women who want to balance family and work. On one hand, to maintain the household income at a good level, and on the other hand, to not interrupt their own career biography too much and potentially be pushed out of the job market. This is a very important point. If a company has good female employees and wants to retain them long-term, it must be aware of this fundamental situation for women. Family-friendliness naturally also includes fathers. Secondly: Demographic changes are leaving their mark. When extending the working lifespan, the compatibility of family and work plays a major role. Those who do not maintain balance will not be able to work for 45 or 50 years. And another issue is coming our way. Most of us will not only have to solve the issue of children during our working lives, but also that of care. This means another dimension of family-friendliness is added. What role does the competition for good employees play? Rump: The shortage of skilled workers is the third essential factor. Companies increasingly need to consider how attractive they are as employers and how they can stay ahead in the competition for skilled workers. It is about creating a brand in the job market. Potential employees get the impression of being valued not just as a productivity factor, but as a human being. "Employer Branding," actively presenting oneself as a good employer, is currently a major trend. Is there a new scale of values? Is family-friendliness more important today than a good salary or a company car? Rump: I hear this more and more often, but it is simply wrong. We are not talking about an either-or situation but a both-and situation. The salary must be absolutely appropriate in a world that is becoming increasingly expensive. This is the challenge that companies face. They must offer both without their personnel costs skyrocketing. Let's look at the employer's side. How should a company approach putting this issue on the agenda? Rump: My first recommendation: Conduct a cost-benefit analysis. Approach the topic in a very factual manner. What is the value of this matter to a company? What can it afford? And what can it not afford? On the other hand, you must consider: What do the employees want? You cannot tell employees that they can start whenever they want if it endangers the shift schedule and thus the production process. But an employer can show that they are flexible and open to change. Especially in medium-sized companies, people know each other and therefore know each other's personal situations. In employee discussions, you can carefully explore what both sides can envision. Small and medium-sized companies have the great advantage of being able to find flexible, individual solutions. On the other hand, they have a tight workforce and certain processes to ensure that money is made together at the end of the day. Ideally, should this issue be located in the executive suite? Rump: It must be. It cannot be casually addressed in a piecemeal strategy because someone in the organization had an idea. We are talking about brand politics, an absolutely strategic issue. It cannot be done by just anyone in the company; it is a task for top management. There are many measures: lifelong working time models, flexible working hours, home office, childcare. How do companies structure their measures? Rump: Those approaching the topic should do so in a structured manner, like with any process. Take advantage of the offerings of those who award seals for employee-friendly companies to get an overview of all the aspects related to the topic. Whether it's the Hertie Foundation or the Bertelsmann Foundation: Auditors come to the company and systematically inquire about certain things. They conduct an inventory and needs analysis and overlay the results. These external seal processes provide entrepreneurs with a guide to see the forest for the trees. You have been dealing with this topic for over 20 years, and you are a sought-after expert in human resources management. The working world is currently undergoing very dynamic changes. Can you make a prediction on how things will progress? Rump: Twenty-three years ago, I co-developed the "Work and Family" audit for the Hertie Foundation, especially from the perspective of small and medium-sized companies. I remember that in the late 1990s, we audited our first companies with great effort across Germany. Back then, we struggled to find eight companies in the whole country. Today, sometimes halls are needed for thousands of people when these seals are awarded. From around 2010, this grew exponentially. The tighter the job market became, the more momentum the topic gained. Family-friendliness has moved away from being seen as mere "social fluff" and has become a strategic-economic task. So the importance of family-friendliness will continue to increase. Rump: There has hardly been a time when the economy has had such a massive influence on our lives and work. I believe this trend will continue to grow. And if you add in digitization and the fourth industrial revolution, then we will operate and earn money in completely different spheres in the future. Even from digitization, the topic of family-friendliness can be strongly derived and identified as a driver. As we all navigate through an increasingly fast, complex, interconnected, and condensed world, we often feel like hamsters on a wheel. This means we need to think about balance, which includes the compatibility of family and personal life – and family life is a part of that. Family-friendliness is a crucial factor in keeping a workforce in balance. This balance, in dealing with the consequences of digitization beyond technology – such as change dynamics, speed, networking, complexity, real-time – is an incredible guarantee. Once again: Family-friendliness will become a strategic success factor.