In today’s business landscape, the need for skilled and adaptable employees has never been more pronounced. With organisations struggling to navigate complex digital transformation projects, the ability to upskill and reskill employees is becoming increasingly vital.
In MyHRFuture’s podcast episode “Taking a Skills-Based Approach to Workforce Planning“, they talk about the shift away from traditional job-based workforce planning to a more dynamic and agile approach centred around skills. The episode emphasises the need for organisations to understand the skills landscape within their workforce and align their talent strategies accordingly. As well as internal factors, organisations should consider the external parameters of the global ecosystem in which it operates, and the impacts of socio-economic, environmental and geopolitical factors and trends. By identifying skill gaps, anticipating future needs, and prioritising skills development initiatives, businesses can ensure their workforce remains relevant and competitive in a rapidly changing environment.
In Deloitte’s article, “When People Thrive, Business Thrives,”, part of their 2024 Global Human Capital Trends research, they talk about the idea of Human Sustainability – the degree to which organisations create value for people. One quote from their article states, “only 43% of workers say their organisation left them better off than when they started.” Organisations need to be doing more.
Investing in skills development not only reinforces employee well-being, engagement, and business performance; it sets the tone for a culture of continuous learning and growth, where employees are empowered to acquire new skills and adapt to evolving job roles and markets.
Here are three key reasons why investing in skills development is essential for business success:
- Adaptability: In a changing business landscape, adaptability is key to survival. By focusing on employee skills, organisations can build a resilient, futureproof workforce that can respond to market shifts, technological advancements, and emerging trends.
- Competitive Advantage: A skilled workforce is a competitive advantage. Employees with up-to-date skills and expertise are better equipped to drive innovation, deliver exceptional customer experiences, and outperform competitors. 84% of employees at high performing organisations say they receive the training they need to do their job well1.
- Employee Engagement and Retention: Investing in skills development demonstrates a commitment to employee growth and career advancement. This contributes to higher levels of engagement, job satisfaction, and retention. Employees are more likely to stay with an organisation that invests in their professional development and offers opportunities for skill enhancement.
The impact on an employee’s wellbeing and the organisation’s reputation extends beyond the time a talent spends in an organisation. This, therefore, creates a virtuous circle of employability and human sustainability for the short and long term.
Having a positive impact on the future of people and organisations is not just the GTH mission. At the heart of this is the recognition that employees are the most valuable asset of any organisation. In an era where technology is reshaping industries, and job roles are constantly evolving, businesses must prioritise employees to remain agile and innovative.
- IBM, The value of training, December 2023 ↩︎
