Career Pathing 101: What It is and Why It Matters

Looking at the state of the world over the last few years, it would be easy to assume that job satisfaction is pretty low right now. Surprisingly, the opposite is true - it's at its highest in 20 years, according to data from The Conference Board. However, only 62.3% of U.S. workers say they are very satisfied with their job - a number that could be much higher.

According to the same data, one of the most consistent drivers of employee satisfaction over the past 10 years has been the potential for future growth. Likewise, IceHrm data found that employees who don't have access to meaningful training opportunities are twice as likely to leave a company within a year.

So what can managers do to paint a motivating picture for employees in their company? Well, we've found that career planning is a good place to start.

What exactly is career planning?

Career planning (similar to career mapping) is defined as the series of jobs a person aspires to pursue during their time at a company (or throughout their career). However, this is not just a list of positions, but a kind of roadmap.

The starting point is the employee's current position, while the goal represents a short- or long-term goal. The career path covers the entire route with all the branches, turns and stops that the employee must take to reach the “finish line”.

A career path is as unique as the employee who follows it. While it is helpful to outline a basic path that reflects how a new employee might advance into a leadership position, this is not nearly as helpful as a personalized career path that is explicitly designed with history, skills, knowledge, and experience in mind Experience of the employee was developed.

After all, not everyone's career path is vertical - in other words, not everyone wants to climb the corporate ladder. While not as common, a horizontal career path highlights the possibilities for employees who want to move to a different department or role without fundamentally changing their job or the nature of their tasks.

A software developer, for example, may not be interested in a management position. If he instead remains an individual contributor, the next career step could be to lead more complex and cross-functional software projects.

What is the difference between Career Pathing and Career Mapping?

Career mapping and career pathing are very closely related concepts. While a career path represents a career "path," a career map identifies and outlines different career paths an employee can take. In other words, a career map represents a broader landscape of career paths.

In this article we focus primarily on career paths, but many of the benefits we explore and the tips we provide are also applicable to career mapping.

Why is career development important?

Below we explore how developing career paths can lead to significant business benefits and outcomes.

Reducing turnover by highlighting career potential

Employee development has a direct impact on how employees feel about their company - and therefore their intention to stay with the company. IBM research has found that employees crave opportunities for advancement, ahead of other factors such as compensation and company stability. Providing employees with clear career paths is a great way for companies of all sizes to avoid turnover and retain their best talent. Even though the great resignation is no longer in full swing and the situation in the labor market has become more tense, we know that people still consider leaving a company if it no longer aligns with their values and goals.

Companies would do well to curb turnover because it is extraordinarily expensive, costing U.S. businesses a trillion dollars each year. Replacing an employee not only costs money, it also requires a lot of time and can potentially even affect team morale. Conversely, engaged and satisfied employees contribute to a more productive and profitable company.

Driving employee growth and company performance

Career development allows employees to grow with the company. Everyone benefits from effective career planning. By creating this roadmap, employees will gain clarity on what steps they can take to advance their careers and what training and development opportunities they will need to do so. And employers experience more engaged employees and have a clearer idea of how to put the right people in the right places to drive growth. A win-win situation.

Create new opportunities for internal recruiting

Career paths are an excellent asset for internal recruiting, which is considered one of the most effective ways to fill vacancies and strengthen your team for several reasons:

• It is more cost-effective: existing employees are already familiar with the company and its processes. Hiring internally significantly reduces training time and costs because you don't have to train new employees from scratch.
• It boosts morale: Internal hiring, whether horizontal or vertical, makes employees feel seen and valued. Employees who feel seen and valued are more likely to work harder, invest more energy and perform better, which ultimately has a positive impact on the bottom line. In other words, career development helps improve the employee experience.

How leaders can develop better career paths for their team

Effective employee development through career development begins with the manager. An employee's direct supervisor knows their strengths and weaknesses best and knows what it would take to advance their career. The direct supervisor also knows the requirements, challenges and opportunities of the individual positions in his department.

To get started, leaders can sit down with each member of their team to discuss their career goals and ask open-ended questions like:

• Where do you see your professional future in the next year? What will it look like in five years?
• How could you make an even greater contribution here?
• Is one of your skills or strengths not being used enough?

Once the employee has a goal in mind, the manager can work with them to create a roadmap that will take them from their current position to that goal. This can also include desired promotions and weaknesses to be overcome. It should also include competencies that relate to the behavior, knowledge or skills an employee must have to be successful in their role. A roadmap that includes all of these components gives both parties a clearer picture of where the employee is, where they want to go, and how they will get there.

This roadmap should be documented and kept in a place where it is easily accessible to the employee, manager and HR team. Managers can encourage their employees' progress by communicating with them regularly - at least once a month - about the plan and their progress, and by having a longer conversation during performance reviews.

Even after the plan is implemented, there is room for flexibility. A good leader is always on the lookout for potential opportunities - both horizontal and vertical - that could benefit either their direct reports or the entire company. Finding ways for employees to grow and thrive is one of leaders' primary responsibilities, and it's an important way to show your team that you care about their success.

Finally, ensure that at every level of your company, the job descriptions are thorough and clear. You’re more likely to attract interest and find the right candidate when people understand the requirements and responsibilities of the position.

Set the course for a better professional career

Whether you want to round out your team through internal promotions or strengthen employee engagement during times of change or uncertainty, career paths can help. This method of planning the path to a specific position or promotion creates clarity for teams and individual employees. It also ensures that all employees know where they stand - and where they want to go.

Career Paths, part of Develop by IceHrm, is a tool that can help you promote growth and performance at scale through easy-to-create and manage career paths. With a customizable skills library, powerful competency frameworks, role descriptions and role progressions - all accessible through a central development hub - Career Paths empowers your employees to excel in their current roles and motivates them to grow with the company.