Mindy
Honcoop
Published on
May 12, 2023
In 2020, the World Economic Forum noted that "while 45% of business leaders communicate about automation initiatives, demonstrating their awareness of the situation, only 15% communicate about upskilling…and in the future, 9 out of 10 jobs will require digital skills." Then in 2021, McKinsey & Company published the results of a survey in which 87% of respondents stated that their organization either already has a skills gap or expects to have a gap within a few years. With the rapid adoption of digital transformation and automation jumpstarted by more sophisticated AI technology, the change in skills needed at work has drastically changed even since 2021. The gap has only widened since. So what can companies do to remain relevant to their customer base?
Today's rapidly changing work environment has made skill mobility a critical factor. Skill mobility refers to an organization's capability of equipping employees to quickly adapt and learn new skills to meet the demands of evolving responsibilities in their current role and prepare them for taking on other roles soon. For individuals and organizations alike, skill mobility offers opportunities for career advancement, increased job satisfaction, and a better work-life balance. It allows individuals to stay relevant in a rapidly changing job market and opens up new personal growth and development opportunities.
For organizations, skill mobility offers a competitive advantage in a rapidly changing business environment. It enables organizations to quickly adapt to new market demands and stay ahead of the competition. Building skill mobility cannot be achieved overnight. Talent activation is a lens the HR team can utilize to reimagine managing performance to orchestrate skills through upskilling and reskilling.
Talent activation requires a deliberate effort on the part of both the individual and the organization to activate and develop skills continuously. This is where talent activation comes in. Talent activation involves identifying the skills critical for success in a particular role or function, developing a plan to activate those skills, and preparing the employee to gain additional skills to upskill/reskill to remain relevant to the organization and move into other key roles in the organization.
By activating the talents of individuals, organizations can create a workforce that is adaptable and resilient to continuous change. This equips employees to move fluidly within the organization, increasing engagement and retention and reducing the expense of hiring and onboarding new talent. Skill activation can also lead to increased motivation. When individuals see the results of their efforts, they are more motivated to continue using their skills effectively. Skill activation can also enhance creativity. When individuals use their skills in new and innovative ways, they are more likely to develop creative solutions to problems. Skill activation can lead to work-life balance. When individuals can effectively use their skills, they can complete their work more efficiently. This can lead to more free time and a better work-life balance.
Steve Bose noted in a recent article, "Before making investments that are so important to the future of their organization, it is important for HR leaders to map their requirements and goals for these 'skills' initiatives and assess the capabilities of their existing HRIS systems, as well as the newer solutions that have emerged throughout the pandemic."
Activation begins at the job posting stage. If a recruiter has been asked to backfill a role in which the prior incumbent had been for over a year, the likelihood of that job description needing an uplift is high. If utilizing a talent activation lens, then the recruiting team would pause and speak with the finance, department leader, and HR leader to ensure the requested headcount reflects the appropriate skills needed to drive future business initiatives.
Job descriptions typically become obsolete within 6 to 9 months of hiring someone. Businesses need to iterate and continuously improve to remain relevant and drive customer renewal, which drives the evolution of the skills needed to succeed. Once job descriptions are aligned with the correct skills, interview guides should be tied to those skills, and the data gathered from the interviews should be kept to inform meaningful onboarding plan creation between the employee and hiring manager.
Once the expectations for continuous growth are set, maximizing 1:1's to provide real-time input into evolving expectations, the skills needed to succeed, and progress against them is key. Ensuring employees are equipped to have the right experiences to sharpen and grow skills becomes a manager's ongoing work. HR and executives must maintain a regular cadence of strategic alignment and communication across the organization and grow leadership capability to foster collaborative teams that foster learning and skill growth.
1. Identify critical skills needed for success in a particular role or function. Conduct a skills gap analysis to determine the skills currently available and the skills that will be needed. Once the critical skills have been identified, a plan can be developed to activate those skills.
2. Providing training and development opportunities can include on-the-job training, classroom training, and online learning. Providing various training and development opportunities is important to cater to different learning styles and preferences. Collaboration and teamwork can also help individuals activate their skills. By working with others, individuals can learn from their colleagues and apply their skills innovatively.
3. Feedback and coaching are essential for skill activation. It is important to provide regular feedback to individuals to help them understand their strengths and areas for improvement. Coaching can also be provided to help individuals develop the skills they need to succeed in their roles. Finally, seeking feedback and mentorship can also help individuals activate their skills. By receiving constructive feedback and guidance from others, individuals can improve and apply their skills more effectively.
4. Creating a culture of learning and development is essential for talent activation. This involves creating an environment where individuals are encouraged to learn and develop their skills continuously. This can include providing opportunities for job rotations, mentorship programs, job shadowing, interim assignments, and cross-functional projects.
5. Digital augmentation reduces the time people spend searching for information and focusing on manual tasks to free them up to focus on skilling. Digital AI chatbots navigate employees to an organization's resources and processes. An intelligent assistant helps employees in their day-to-day work by answering common questions and directing them to the appropriate resources, allowing them to spend more time on skill development and strategic work.
Skills Assessment and Mapping
Organizations must develop comprehensive skills inventories that map current capabilities against future needs. This involves:
- Conducting regular skills assessments across all roles
- Identifying emerging skills required for business growth
- Creating skills matrices that show progression pathways
- Utilizing data analytics to predict future skill requirements
Personalized Learning Pathways
Once skills gaps are identified, organizations need to create individualized development plans:
- Tailored learning experiences based on current skill levels
- Multiple learning modalities (formal training, mentoring, experiential learning)
- Clear milestones and progress tracking
- Integration with career development discussions
Technology-Enabled Learning
Modern skill development requires sophisticated technology platforms:
- AI-powered learning recommendations
- Microlearning modules for just-in-time skill acquisition
- Virtual reality and simulation-based training
- Social learning platforms that encourage knowledge sharing
Organizations must establish metrics to track the effectiveness of their skills mobility initiatives:
Individual Metrics
- Skill acquisition rates and proficiency levels
- Internal mobility rates and career progression
- Employee satisfaction with development opportunities
- Time-to-competency for new skills
Organizational Metrics
- Reduction in skills gaps across critical roles
- Improved business performance in key areas
- Decreased time-to-fill for internal positions
- Enhanced organizational agility and adaptability
Manager Capability
Many managers lack the skills to effectively coach and develop their team members. Organizations must:
- Invest in manager development programs
- Provide tools and resources for skills-based conversations
- Create accountability mechanisms for employee development
- Recognize and reward managers who excel at developing talent
Employee Mindset
Some employees may resist change or feel overwhelmed by continuous learning requirements. Address this through:
- Clear communication about the benefits of skills development
- Providing adequate time and resources for learning
- Celebrating learning achievements and progress
- Creating psychological safety for experimentation and failure
Resource Constraints
Limited budgets and time can hinder skills development efforts. Solutions include:
- Leveraging technology for cost-effective learning delivery
- Creating peer-to-peer learning networks
- Partnering with external organizations for skill development
- Integrating learning into daily work activities
As the pace of change continues to accelerate, skills mobility will become even more critical for organizational success. Organizations that invest in building robust skills capabilities today will be better positioned to navigate future disruptions and capitalize on emerging opportunities.
Advanced analytics and artificial intelligence will increasingly drive skills development decisions:
- Predictive modeling to anticipate future skill needs
- Real-time skills gap identification and alerts
- Automated learning recommendations based on individual profiles
- Dynamic skills matching for project assignments and internal mobility
The rise of digital badges and micro-credentials will transform how skills are validated:
- Blockchain-based skill verification systems
- Industry-recognized micro-credentials for specific competencies
- Skills passports that follow employees throughout their careers
- Real-time skills validation through performance data
**Skills-Based Hiring and Talent Management**
Organizations will shift from role-based to skills-based approaches:
- Hiring based on skills potential rather than traditional qualifications
- Dynamic team formation based on project skill requirements
- Skills-based performance management and compensation
- Flexible career paths that emphasize skill development over hierarchical advancement
Creating a culture that values continuous learning requires visible leadership commitment:
- Executive sponsorship of skills development initiatives
- Leaders modeling continuous learning behaviors
- Investment in learning infrastructure and resources
- Integration of skills development into business strategy
Employees must be empowered to take ownership of their skill development:
- Self-assessment tools and resources
- Learning time built into work schedules
- Career development discussions focused on skills growth
- Access to diverse learning opportunities and experiences
Supporting systems must align with skills mobility objectives:
- Performance management systems that emphasize skill development
- Compensation structures that reward skill acquisition
- Promotion criteria that value learning agility
- Knowledge management systems that capture and share learning
The skills gap is not a distant threat, it's a present reality that requires immediate action. Organizations that fail to address this challenge will find themselves increasingly unable to compete in a rapidly evolving marketplace. However, those that embrace talent activation and skills mobility as strategic imperatives will create significant competitive advantages.
The path forward requires:
- Strategic Vision: A clear understanding of future skill requirements and a commitment to building those capabilities
- Investment: Adequate resources dedicated to skills development infrastructure and programs
- Cultural Change: A shift toward valuing continuous learning and skill development at all levels
- Technology Integration: Leveraging AI and digital tools to enhance learning effectiveness and efficiency
- Measurement and Iteration: Continuous monitoring and refinement of skills development initiatives
The future belongs to organizations that can rapidly adapt, learn, and evolve. By implementing comprehensive talent activation strategies that prioritize skills mobility, companies can build the agile, capable workforce needed to thrive in an uncertain future.
The question is not whether your organization needs to address the skills gap it's whether you'll act proactively to build competitive advantage or reactively to avoid falling behind. The time for action is now.
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