Source: Brookings analysis of Bureau of Labor Statistics employment projections data
Competition for filling these roles will already be tight – candidates’ skillsets will qualify them for private sector roles that might offer higher salaries and faster advancement.
As utilities work to recruit and retain the workforce, reflect on your value proposition
There is a generational shift in the workforce
10.6% of water utility workers will retire each year until 2026 – and some organizations expect half of their staff to retire in the coming decade.
Source: Bureau of Labor Statistics
Water and wastewater treatment plant and system operators median age
This shift will impact how long we can expect employees to stay at an organization
Historically, a new hire might be expected to last upwards of 10 years at an organization. Younger workers are more mobile, changing positions every 3-5 years. Over the last decade, average employee tenure has dipped from 9.1 years to 7.7.
When you combine expected retirements and employment shifts, 3 million workers will need to be replaced by 2028. In the near-term, succession and institutional knowledge transfer plans must retain retiring staff’s vast expertise and insights. Long-term, your organization should be equipped to make smooth transitions amidst consistent turnover.
As digitally enabled functions take center stage
Software developers, applications
31%
Projected employment change, 2016-2062:
Information security analysts
28%
Market research analysts and marketing specialists
23%
Inspectors, testers, sorters and samplers
-11.4%
Meter readers
-5.8%
Plant operators
-5.8%
Traditional roles will consolidate...
Projected employment change, 2019-2029:
Source: Bureau of Labor Statistics
While utilities see a future of data science and analytics, too few are acting like it
While utilities see a future of data science and analytics, too few are acting like it.
27%
of utilities have neither adopted, nor begun to implement, maintenance management tools
36%
have neither adopted, nor begun to implement, customer information systems
40%
have neither adopted, nor begun to implement, cyber intrusion safeguards
80%
of utilities do not leverage big data tools and techniques to glean insights about their water and wastewater systems
83%
do not use big data to better understand customers and system O&M
Water's role in the community and environment
Emerging water leaders and incoming staff are motivated by positive impacts utilities can have on communities. Having the opportunity to make water more affordable, strategize against climate change and deliver equitable solutions can attract and retain talent.
The chance to innovate and apply skills creatively at work
Data analytics, cybersecurity, AI and other Intelligent Water solutions are new territory for most of the water sector. Exploring that frontier could be an exciting, rewarding challenge typically found in the tech and industry sectors.
Team up to build deeper, more accessible talent pools
The water sector must team up across the entire workforce ecosystem – utilities, consultants, government agencies, non-profits, educational institutions, etc. – to streamline the talent pipeline.
Coming together will introduce more candidates to the field, provide vital experience and connect them with open positions across the country. Utility coalitions, university research projects, training programs and partnerships with the private sector could all provide opportunities to broaden the water sector network.
Frontline workers can be the greatest source of new ideas and optimization opportunities, but only 20% of water utility employees believe they can engage in innovative thinking at work.
It comes down to culture. Staff need to feel that they can get creative with tools and propose ideas regardless of position, experience or seniority level.
Embrace change in your organization by building your foundation with existing talent
If you ignore the target userbase in the planning stages, even the best option might fail. Include the teams that will be using new tools in the selection process so that the features and training programs are tuned to their needs.
Staff will feel valued being a part of the process, and their input will lead to tools that enhance operations and gain widespread adoption.
Operational
Efficiency
Regulatory
Compliance
Affordability
Customer
Expectation
Quality
Resiliency
Workforce
Development
Recruitment
0%
0%
Source: Arcadis water utility survey
Primary drivers for innovation
Studies show that diversity propels innovation and productivity.
Unfortunately, the makeup of a key part of the workforce – water and wastewater treatment plant and system operators – lacks diversity.
Diversity, equity and inclusion (DE&I): A reservoir of untapped value
Inclusive decision-making leads to better business decisions 87% of the time
Shifting from an all-male workplace to one split evenly along gender lines could increase revenue by roughly 41%
Diverse executive teams are more likely to achieve above-average profitability
89% men
88.9% white
Median age 45.3
How does it work?
When your workforce reflects your customer base, it naturally has a more intimate understanding of people’s wants and needs. The more inclusive decision-making process leads to solutions designed with equity, benefitting every person in the community.
3 ways to improve DE&I
Establish innovation champions across teams and working levels
Diversity: Does your utility have representation that reflects the people in your community that you serve? Representation at all levels of the organization is key to diversity.
Equity: Is the worker makeup equitable? Perhaps your workforce does represent your community, but if your diverse employees are primarily at the lower end of the pay structure, then your organization is likely not equitable.
Inclusion: Do your employees have a sense of belonging at work? Workers should feel comfortable and included in the work environment. Diverse employees who don’t feel as though they belong are unlikely to stay in the organization.
1.
Perform a thorough self-assessment
Assess your employee data, distribute surveys to staff and look at other factors within your organization and community. It will give you a better idea of where you are doing well and where you can improve.
2.
Plan for all aspects of DE&I
All 3 forces need to work together. A strong diversity plan, for example, doesn’t make up for ignoring inclusion. Build plans in ways that address all aspects of DE&I.
3.
What role can education play?
Education and training programs need to prepare workers to thrive in more collaborative, innovative, and digitally enabled working environments. Developing interdisciplinary skillsets across teams might include:
Data scientists are such a sought-after role because their skills can have an impact in any sector. But much like the public at large, they might not realize the broad spectrum of challenges that utilities face.
Providing insight into all aspects of the water cycle could help data scientists work closely with teams to design and leverage data streams that maximize operational enhancements.
Data scientists:
Providing insight into water challenges and opportunities
We make better decisions when we have all the facts. Systems thinking prepares engineers to incorporate every aspect of a project – teams in the workstream, operations data, environmental affects, stakeholder needs, and so on – to find resilient, cost-effective solutions.
Similarly, a firm grasp on the social, economic and political context surrounding the water sector can reveal hidden gaps and opportunities in a project. With customers expecting more transparency, engineers must think about projects within the fabric of the community rather than the utility.
Operators will have to blend traditional hands-on skillsets with supplemental digital skills to maximize Intelligent Water, advanced asset management and other emerging solutions for maintaining complex infrastructure.
Data can make or break the success of these solutions. Operators with knowledge around collecting, analyzing and protecting data can combine it with their operational insights to help plan and maintain data-driven decision-making models.
Operators:
Adding digital savvy to traditional skills
Engineers:
Introducing systems thinking and social sciences
Students – from kindergarten to post-grad – are typically not informed on opportunities to work in the water sector. Find ways for your organization to participate in career days, STEM programs and other extracurricular activities to inspire students to pursue a career in water.
Seek out participation in programs that employ veterans, GED recipients, reformed ex-offenders and other groups. Developing talent this way can help form a well-rounded workforce.
Update your training programs to incorporate digital skills, implement innovation programs that empower creative thinkers and include frontline teams in change management plans. Also, build strategies to retain the vast institutional knowledge of retiring experts.
3.
Incoming talent will bring new skills a well as new attitudes toward their careers. The days of 30-year utility careers may be over, and organizations must be equipped to handle shorter tenures from hiring and knowledge retention standpoints.
1.
3 tips to get ahead of workforce paradigm shifts
DE&I must be embedded into organizational strategies, and doing so can lead to more equitable, sustainable and profitable solutions. Keep in mind that every element must be addressed, as emphasizing one area does not make up for lack of strategy in another.
2.
Source: American Water Works Association
Zakiya Seymour notes how, although everyone’s talking about data, too few utilities are actively looking to hire data scientists.
Sources: Cloverpop, Journal of Economics and Management Strategy, McKinsey
Source: Bureau of Labor Statistics
2014
2015
2016
2017
2018
2019
2020
45.3
46.5
49.2
45.4
46.4
49.3
50.3
Arcadis Expert Management Consultant
Zakiya Seymour
“We did a study with The Water Tower, where we scanned across Georgia to see who’s hiring and what they were they hiring for. Interestingly, everyone’s talking about data, but out of more than 400 utilities, only two were looking at data scientists. So, we talk about wanting to be data-focused and brining experts to the water industry, but what are we doing to hire them? ”
1/3
2/3
3/3
Assistant Professor, University of California Berkeley
Maya Carasquillo, PhD
"Because the challenges utilities face are so complex, our curriculum and our training should be equally as robust, lest we fall short of really being able to get to the core of those challenges with solutions that have a little more longevity.”
Generate interest in the classroom
Round out the workforce with
non-traditional candidates
Explore the talent you have
Prepare for a new type of worker
Seize the benefits of DE&I
0%
0%
Operational
Efficiency
Regulatory
Compliance
Affordability
Customer
Expectation
Quality
Resiliency
Workforce
Development
Recruitment
Source: Arcadis water utility survey
Primary drivers for innovation
Establish innovation champions across teams and working levels
Diversity: Does your utility have representation that reflects the people in your community that you serve? Representation at all levels of the organization is key to diversity.
Equity: Is the worker makeup equitable? Perhaps your workforce does represent your community, but if your diverse employees are primarily at the lower end of the pay structure, then your organization is likely not equitable.
Inclusion: Do your employees have a sense of belonging at work? Workers should feel comfortable and included in the work environment. Diverse employees who don’t feel as though they belong are unlikely to stay in the organization.
Perform a thorough self-assessment
2.
Assess your employee data, distribute surveys to staff and look at other factors within your organization and community. It will give you a better idea of where you are doing well and where you can improve.
Plan for all aspects of DE&I
3.
But sometimes, we get so caught up in the technology that we forget about the people. If you ignore the target userbase in the planning stages, even the best option might fail.
Include the teams that will be using new tools in the selection process so that the features and training programs are tuned to their needs.
Staff will feel valued being a part of the process, and their input will lead to tools that enhance operations and gain widespread adoption.
Emerging technology can provide some awe-inspiring solutions
Still, some candidates will find a role in water more rewarding. But if your organization lags behind in hiring, there will be less talent to go around.