5 advantages of skills-based talent strategies
How a skills-based talent strategy can help future-proof your workforce.
As the business landscape continues to evolve at a rapid pace, organizations need to adapt their talent strategies to stay ahead of the curve. A skills-first approach to talent management emphasizes the importance of individual skills over traditional credentials like degrees or job titles and allows organizations to identify where skills reside within their current workforce or talent pool and align them with critical tasks and initiatives. In our latest leadership piece, “The rise of skills-based talent strategies,” we detail how to make this critical shift, examine the internal and external benefits of, and provide a roadmap for examining your organizations maturity for adopting a skills-based talent strategy.
While there is awareness among senior leaders of the benefits of a skills-based approach to talent management, many are unsure of how to proceed. 47% of companies now use skill assessment to select candidates, compared to 45% who still use university degrees.1
1Source: Future of Jobs Report 2023, World Economic Forum
Benefits of adopting a skills-based approach
A skills-first approach to talent contributes to a more efficient, effective, and customer-focused organization.
1
Firms are positioned to quickly adapt to changes in the market by having a workforce with diverse and adaptable skill sets.
2
Cross-functional collaboration is encouraged and facilitated, as teams are assembled based on complementary skills, fostering a culture of knowledge sharing and collaboration.
3
The formation of dynamic and flexible project teams is enabled; these teams can quickly adapt to changing project requirements, leading to increased agility in project execution.
4
Skills gaps within the team are identified and addressed, allowing for targeted training and development initiatives to enhance overall capabilities.
5
Investing in existing employees’ skills and knowledge through targeted training and development programs can reduce the need to hire new staff or engage in expensive external training programs, which can save costs in recruitment and HR budgets.
As the future of work continues to evolve, a skills-first strategy future-proofs organizations to be able to take advantage of emerging trends and technologies. By continuously assessing and developing the skills of their workforce, companies can stay ahead of the curve, ensuring they have the capabilities needed to thrive in an uncertain future.
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The rise of skills-based talent strategies
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