By Mary Cherry, ACIR, SHRM-SCP, Client Recruiting Manager

One of the most critical challenges the current workforce faces is employee skills gaps. Skills gap refers to the disparity between the skills an employer expects their employees to have, and the actual skills employees possess. Miller Cooper’s Client Recruiting team frequently see both sides of the equation – the employer perspective on skills needed to do the job and the corresponding candidate skills level experiences.

A recent LinkedIn survey stated that on average, 44% of new hires’ skill sets need to be updated to fulfill their positions. This highlights an incredible challenge in today’s workforce for both large and small employers.

How does this affect you? How can you make sure your employees are prepared for the future needs of the company? And how can you anticipate a candidate’s ability to close a skills gap?

Let’s look at some definitions of skills in the marketplace today and what they might mean to you and your company.

Upskilling is enhancing an employee’s current abilities by teaching them new techniques (or skills) within their existing role.  How do you as an employer promote upskilling? Let’s say your Accounting Specialist has beginner level Excel skills. She’d like to eventually be promoted and is eager to learn. You need her to keep up with the changing needs of the business by becoming highly proficient in Excel. By incentivizing her to take a class or watch a series of tutorials,  she can quickly and inexpensively expand her Excel skills. This benefits you in the short and long term as not only does your employee learn, but it also increases their commitment to your organization. It’s a win-win situation!

Recent LinkedIn research shows that 7 in 10 people say learning improves their sense of connection to their employer. Imagine what offering growth opportunities can do for employee engagement and retention!

Reskilling readies current workers for diverse positions, shifts in software type and usage, and changing workplace needs. Software changes are coming faster than we can keep up with them. Microsoft Office is a great example. Most employees have at least a basic understanding of all of the Microsoft Office programs (Word, Excel, PowerPoint). In addition to understanding Microsoft Office products, the marketplace is also trending towards having your team create their own business analytics. That Accounting Specialist mentioned above could take her newfound expertise in Excel and take it to the next level by learning Power BI – a business analytics tool. Just think about the ways that could improve your business!

So now what?  What are the questions you should be asking yourself as you consider how upskilling and/or reskilling could be beneficial to your company?

• Why invest in either upskilling or reskilling? One of the most compelling reasons for upskilling or reskilling is the candidate experience. Candidates often tell us they see few growth opportunities in their current role or with their current employer. The Organization for Economic Cooperation and Development has forecasted significant changes in the job landscape over the next ten years, with about 1.1 billion jobs being transformed worldwide! That  number is staggering. And, if we as business owners and leaders don’t respond and plan for these changes, the impact on our businesses (and the bottom line) could be huge. Sharing the growth plans and potential opportunities you see for a candidate generates excitement for the position and may set you apart in this competitive market.
• What can I do now to ensure my employees have the skills they need? Ask your employees if and how they’d like to grow in their current role. Offer to invest in their continued development for those skills that are important to your business – now and in the future. Ask your employees where they see growth in their role and how they can impact the organization by learning new skills. Share growth plans and discuss ways improving or expanding their current skills can prepare them for future opportunities. Not sure of an employee’s skill level with a certain software package? Miller Cooper’s Client Recruiting team offers assessments that can help you gauge developmental needs. And gather input from your management team. Challenge them to think forward and anticipate changing business needs and how those may impact their department. Disruption happens often throughout a business life cycle. Staying as far in front of those moments as possible and creating proactive plans to address the changing needs can be the difference between thriving and simply surviving.
• How do I understand a potential employee’s desire to learn when interviewing? Consider asking candidates during the interview process what skills they’ve learned or have taught themselves. In addition, you can ask if there are skills or responsibilities they would like to master. How they answer questions like these can give you some insight into their willingness and ability to learn. This could be a game changer for your organization.
• How can I address the skills gap without a large training budget? Take heart! There are several ways employers can upskill and reskill with limited resources
  • Look into courses available through multiple sources either that are free (think YouTube videos) and also through community colleges and Coursera (coursera.org) which offers over 7,000 courses.
  • Consider cross-training or mentoring programs to foster a workplace culture of shared knowledge. Recognizing an employee’s “expertise” with a desired skill set and providing an opportunity for them to mentor someone else can be a very fulfilling experience for all involved. Let’s say your assistant controller is a Power BI expert. Why not have them train others in those skills. By cross-training, not only do current employees share their knowledge, but this enhanced level of collaboration positively impacts employee engagement and strengthens your culture.
• Where do you go from here as an employer? Think about the work you need done now and looking a few years out. Are there roles (or parts of roles) that you think will change with changing technology? How are you being proactive? Have you considered succession planning – not just at the top of the organization but trickling down to other levels within your organization? Are your job descriptions up to date? Has it been a while since they’ve been “dusted off” and examined to ensure alignment with skills needed for the business?

Miller Cooper’s Client HR Services team is here to help. Our team has experience in long- or short-term HR support, recruiting, special services including best practice review and specific functional areas of support. Reach out to us at chrsusers@millercooper.com