What is Skills Gap?

The skills gap has elevated to one of HR departments' and organizations' most terrifying realizations on a global scale. Given that the accomplishment of organizational goals depends on the skills, knowledge, ingenuity, creativity, proactive effort, and active participation of employees in their assigned tasks. But as the skills gap widens, every firm will need to recognize it and address it appropriately. And how it is managed has an impact on the organization's effectiveness.

Skills Gap

Skills Gap Analysis

A significant tool for learning and team building is skills gap analysis. Therefore, a skills gap analysis can be used to identify the talents needed to meet the company's goals. Additionally, skills gap analysis helps businesses discover the abilities they require, assess the skill levels of their employees, and spot any gaps that need to be filled. Employers frequently conduct internal skill gap analyses to identify and close organizational skill shortages.

Internal skills gaps analysis

An internal skill gap analysis is a way for employers to find talent gaps within their own organization. The study contrasts the competencies an employee requires with those they already possess. Therefore, human resources departments can utilize this information to identify the skills that are lacking in particular industries and set up training to make up for those inadequacies. HR can address the skills gap in the firm once the information is available. Planning for succession, retraining, choosing to invest in L&D, and other tactics can help with this. An organization can adapt to the constantly changing demands of the modern workforce by routinely conducting an internal skills gap study.

How Can Employers Address the Skills Gap?

The majority of the time, it is only prudent to address internal skill gaps and aid in honing individuals' talents to meet organizational needs because it might be challenging to recruit competent employees with the skill sets needed in an organization. Organizations employ a variety of tactics to close the internal skills gap.

a) Workplace Training

On-the-job training is regarded as one of the most effective methods for reorienting people toward achieving company goals. Employees learn the necessary skill sets throughout this training to help them be effective and productive.

b) Hiring an Internal Promotion

When filling roles at the senior level, take a close look at your current personnel. Most of your employees won't have the necessary skill set, but some will at least be aware of their duties. You may properly prepare your staff for their new jobs by increasing the amount of on-the-job training offered.

Why does the skills gap exist?

Many explanations exist for why there can be a skills gap. These often vary according to the sector and kind of position. There are several recommendations that, however, apply to almost all professional fields:

a) Technology

The world of work is evolving due to the emergence of disruptive new technologies like automation, machine learning, and artificial intelligence. The kinds of job duties and skills that employers require are evolving as a result of these advancements, and sometimes it's difficult to find the right candidates.

b) Education

One of the places where issues are starting to surface is in education. Employers are observing skills deficits in areas like basic literacy, numeracy, and IT. because few graduates have the necessary marketable abilities. Despite this dearth of pertinent knowledge, not much is being done to encourage additional education and skill development.

What skills are in high demand?

Recent LinkedIn research examined more than 20 million job ads to identify "the talents that are in the highest demand relative to the supply of people who have those skills." They separated the list into hard and soft skills:

a) Hard skills

Hard skills are the learned abilities needed to perform a specific job. They are the quantifiable skills that are simple to describe and locate for employers:

a) Blockchain.

b) Cloud computing.

c) Analytical thinking.

d) Artificial intelligence.

e) UX Design.

f) Soft skills.

The positive personality attributes that make for successful employees are soft talents. Although they are more difficult to teach, employers nonetheless value them. The following are a few of the most in-demand soft skills:

a) Creativity.

b) Persuasion.

c) Collaboration.

d) Adaptability.

e) Emotional intelligence.

Abhishek Kathpal

Abhi is the co-founder of Longlist.io, enabling 50+ recruitment businesses build better client and candidate relationships.