A Lateral Move refers to a change in an employee’s role within an organization that does not entail an increase in responsibility, status, or compensation. Instead, the purpose of a lateral move is to allow for skill broadening, diversification of experience, and often to align better with an employee’s career interests or organizational needs.
Key Characteristics of a Lateral Move
- No Change in Hierarchical Status: The employee’s position level remains the same, without any managerial or supervisory elevation.
- Stable Compensation: There is no raise or decrease in salary or benefits.
- Skill Broadening: Opportunities to learn new skills, work on different projects, and gain varied experiences.
Types of Lateral Moves
- Cross-Functional Move: Transitioning to a role in a different department or function.
- Job Rotation: Periodically moving employees among various roles within the organization.
- Geographic Transfer: Moving to a different location but in the same capacity.
Special Considerations
- Career Advancement Strategy: Although it doesn’t immediately increase pay or responsibility, a lateral move can be a strategic step towards long-term career growth.
- Organizational Fit: It often helps employees find roles better suited to their skills and interests, leading to higher job satisfaction.
- Skill Enhancement: Can help in developing a well-rounded skill set that may be beneficial for future roles or promotions.
Examples of Lateral Moves
- An IT professional moves from software development to cybersecurity within the same company.
- A marketing manager transitions to a role in sales operations to gain a broader understanding of company functions.
Historical Context
The concept of lateral moves gained prominence in the corporate world during the late 20th century, emphasizing the value of cross-functional expertise and employee versatility in dynamic business environments.
Applications of Lateral Moves
- Employee Retention: Helps in retaining talent by providing new challenges and learning opportunities without leaving the organization.
- Bridging Skill Gaps: Allows organizations to bridge gaps in critical skill areas without hiring externally.
- Enhancing Collaboration: Employees moving through different departments can enhance inter-departmental collaboration and understanding.
Comparison with Vertical Moves
- Vertical Move: Involves a promotion with increased responsibilities and higher compensation.
- Lateral Move: Involves the same level of responsibility and compensation, focusing on skill broadening.
Related Terms
- Promotion: An advancement in rank or position typically accompanied by increased responsibilities and pay.
- Demotion: A reduction in rank or position, often due to performance issues or organizational restructuring.
- Lateral Thinking: A problem-solving approach involving creative and indirect reasoning, often used in business strategy.
FAQs
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Is a lateral move a good career move?
- It can be, especially if you’re looking to develop new skills and experiences that align with your long-term career goals.
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Do lateral moves affect salary?
- Typically, lateral moves do not affect salary directly.
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Can a lateral move lead to a promotion?
- Yes, by gaining diverse experience and skills, you may position yourself more favorably for future promotions.
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How do employers benefit from lateral moves?
- Employers benefit through enhanced workforce flexibility, talent retention, and fostering a culture of continuous learning.
References
- Gordon, J.R. (2020). “Human Resource Management.” 13th Edition. McGraw-Hill Education.
- Adams, S. (2015). “The Importance of Lateral Moves in Your Career.” Forbes.
Summary
A Lateral Move is a strategic career maneuver that allows employees to shift roles within an organization without a change in hierarchical status or pay. It emphasizes skill broadening, personal development, and organizational versatility. While it may not offer immediate financial or positional benefits, it can be a key element to long-term career success and satisfaction.
