Fear not! How to survive the ‘Skillspocalypse’

By Marc Ramos, Chief Learning Officer, Cornerstone

Whether the focus is on skills gaps, skills shortages, reskilling, or upskilling, it’s hard to ignore the increasing anxiety around the rising impact of skills, and the extreme sense of urgency to build them as quickly as possible. Employees are asking questions like: “How do I stay competitive with skills?” “How do I address skills FOMO (Fear of Missing Out)?” and “If I don’t prioritise skills, will I get left in the dust?!”

Concerns surrounding skills are also evident on a collective level — a key discovery of the 2022 Global Skills Report was that organisations and their people continue to see skills development as an increasingly important part of navigating their shared future. Presently, we are experiencing universal uncertainty about how to build the right skills programmes, how to ensure organisations have the right budget, and what are the correct tools and systems to use.

Whilst it’s imperative to possess the right skills in order to stay competitive and innovative, this understandable – but widespread – panic begs the question: is there really a major skills crisis looming on the horizon?

Reskilling isn’t anything new

I do believe this anxiety is appropriate, because it signals an awareness to prepare for the future. We’re already being proactive in our questioning, so that companies can ultimately adapt to the workforce of tomorrow. But it’s time to take a collective deep breath, and realise that there is no “Skillspocalypse” lurking around the corner. Skills development isn’t anything new — it’s been occurring for over a century. Reskilling dates back to the 20th century, when we started automating factory lines. Factory workers had to learn how to work with those inventions, fix them, and manage faster product output. The skills that were required had to be developed and strengthened quickly.

The fact is, organised skills development is a foundational part of many industries, from manufacturing to the military. Instead of allowing anxiety to fearmonger, why don’t we flip the perspective, and view this as an opportunity? We already have proven best practices, emerging technologies, and a cultural thirst for knowledge that is creating massive tailwinds in our sails.

Take small steps to achieve quick wins

Let’s apply the foundational framework companies have been using for years and take it one step at a time. We need to break down the components of a successful skills-led organisation by identifying tangible pieces that we can tackle first. Deloitte outlines the four pillars of skills-led organisations as:

• Liberating work from the confines of the job by reorganising work as a portfolio of fluid structures, including and beyond the job.
• Reconceiving workers from being employees in jobs to being a “workforce of one”, each with a unique ability to make contributions and a portfolio of skills and capabilities that match the work.
• Using skills, rather than jobs, to make decisions about work and the workforce.
• Building a “skills hub,” an engine of skills data, technology, governance, and more, to power these decisions.

With these pillars in mind, we can take small steps across the entire talent journey and, over time, use that data to continue to refine and expand skills development programmes across organisations. According to McKinsey, companies should start with quick wins, such as amplifying skills during the recruiting process by removing degree requirements from job postings, and replacing them with skills requirements. Another idea is to prioritise skills-based goals in performance management and track skill competency within existing reviews cycles.

AI can – and will – do the hard work for us

It’s understandable that this may sound easier said than done. In the same report from McKinsey, participants cited sourcing skills, validating skills and scaling skills-based practices across the organisation as three of the most common challenges faced when implementing a skills-led approach.

The same skills development framework that’s been used for decades still applies. The difference, however, between 20th century factory workers and the workforce of today, is that we have artificial intelligence (AI). AI can take the data about employees and comb through skills data across an organisation to better understand its people, the skills they have, and the skills needed to fill current and future job roles. AI can then connect the right people to the exact learning content needed to fill any skills gaps.

As AI leads the way, there are proven approaches that can help with operationalising a skills strategy in the event of any fear, uncertainty and doubt regarding getting the strategy right. Tried and true steps include:

• Leveraging the needs analysis methodology to help organisations and their skills stakeholders confirm what skills are needed and the size of any current gaps.
• Conducting task analyses or work observations to identify the actual skills required to succeed on a task or process, as well as understanding the level of complexity to accomplish that task.
• Working closely with the recruiting or workforce planning team who have already confirmed key skills to hire and attain, and give the learning function a headstart to purchase the best content or build if required.

We’re on the right track

With these reliable methods, innovative new resources, and a collective wealth of experience, companies will be able to smoothly navigate any uncertainty or anxiety surrounding skills. The world may be changing, and the workplace is undergoing a sizeable transformation, but we only need to learn from the past and look to the future to understand that there is no “Skillspocalypse” heading our way.