The Portfolio Career concept: Advantages and Disadvantages
A ‘portfolio career’ is the practice of engaging in multiple work activities simultaneously, rather than the more traditional and normalised approach of committing to a single, full-time job. This approach is usually typified by combining multiple engagements freelance projects, part-time jobs, consulting roles, and entrepreneurial ventures. In modern times, it usually involves having a podcast, authoring a book and then some specialist knowledge or skill that is the attractor; perhaps comedy or a knowledge of business leadership.
The concept of a portfolio career is certainly gaining traction and is seen more commonly as an acceptable path;
· M&S chief quits after two years; Katie Bickerstaffe to leave retailer to focus on portfolio career and a non-executive director position at B&Q owner Kingfisher[1]
· HSBC chief executive Noel Quinn announces surprise exit; Banking boss to retire from role after an ‘intense’ five years and will pursue a portfolio career[2]
· Why You Should Build a “Career Portfolio” (Not a “Career Path”)[3]
· How to Launch a Successful Portfolio Career[4]
For those accustomed to traditional long-term employment, the concept of a portfolio career may seem daunting or even impractical. Or, more extremely, just a fad. However, as the nature of work continues to evolve, understanding the benefits and potential downsides of this career path is increasingly relevant. This is even more pertinent following covid with the normalisation of working from home, as employers are not necessarily heeding the call to invest more in their people[5] and the extinction of ‘jobs for life’[6]. The result being that the average person may not sense commitment from their employers and this creates a reciprocal re-alignment to question ones own security and to look for ownership of their own, individual future. With this comes a natural question of what should I do now? What does my future look like?
So, for some the portfolio career is one to consider. So, let’s assess that path.
Benefits of a Portfolio Career
1. Diverse Skill Development
One of the most significant advantages of a portfolio career is the opportunity to develop a broad range of skills. Engaging in various roles across different industries enables individuals to acquire new competencies and enhance existing ones. This can make professionals more adaptable and attractive to potential employers or clients.
2. Increased Flexibility and Autonomy
Portfolio careers often offer greater flexibility compared to traditional employment. Individuals can manage their schedules, choose projects that align with their interests, and avoid the rigidity of a standard nine-to-five job. This autonomy can lead to higher job satisfaction and a better work-life balance.
3. Multiple Income Streams
Relying on multiple income sources can provide financial stability and security. If one revenue stream diminishes, others can help bridge the gap. This diversification can be particularly beneficial in uncertain economic times, reducing the risk associated with job loss.
4. Enhanced Networking Opportunities
Working across various fields and with different clients or employers expands one's professional network. This can lead to new opportunities, collaborations, and valuable connections that might not be available in a single, long-term job.
5. Personal Fulfilment and Creativity
A portfolio career allows individuals to pursue their passions and interests. Engaging in varied projects can foster creativity and personal fulfilment, as individuals are not confined to a single role or industry.
Downsides of a Portfolio Career
1. Income Instability
While multiple income streams can be advantageous, they can also be unpredictable. Freelancers and portfolio careerists may experience fluctuations in earnings, leading to periods of financial instability. This can be challenging for those accustomed to a steady paycheck from long-term employment.
2. Lack of Traditional Benefits
Portfolio workers often miss out on benefits typically associated with full-time employment, such as health insurance, retirement plans, and paid leave. Securing these benefits independently can be costly and complex.
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3. Time Management Challenges
Juggling multiple roles and responsibilities requires excellent time management skills. The lack of a structured work environment can lead to difficulties in prioritising tasks, meeting deadlines, and maintaining productivity.
4. Isolation and Limited Support
Portfolio careers can sometimes lead to feelings of isolation, as individuals may work remotely or independently, lacking the social interaction and support systems found in a traditional workplace. This can affect mental health and overall well-being.
5. Career Progression Uncertainty
Traditional career paths often come with clear progression routes and opportunities for advancement. In contrast, a portfolio career can be more unpredictable, making long-term career planning and development more challenging.
Conclusion
A portfolio career offers a unique blend of benefits and challenges. For those with experience in traditional long-term employment, transitioning to a portfolio career may require a significant adjustment. However, the potential for skill development, flexibility, multiple income streams, and personal fulfilment can make this career path an attractive option.
It is essential to weigh the benefits against the downsides, considering individual circumstances, preferences, and career goals. By understanding the intricacies of a portfolio career, individuals can make informed decisions about their professional paths and embrace the evolving nature of work in the modern economy.
If this paper sparks an interest, please reach out through the details below. GWS Partners Ltd look to deliver not only value to our clients but a differentiating one. We have a specialisation in change based upon experience, proven psychological theories and a wish to build lasting relationships to benefit all involved.
We offer leadership/organisational coaching & mentoring as well as help with overall behavioural & organisational psychology challenges. This can range from help with organisational restructuring through to Agile coaching and training courses. None of our work is standard or ‘out of the box’, each client is different and is treated as such.
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Robert Annis
Organisational Psychology Consultant and Founder of GWS Partners Ltd