- Attracting top talent
One of the key challenges that companies face is attracting the top talent toles. HR teams are now trained to think holistically about the candidates based on which the leaders make the recruitment decisions, typically known as the talent win rooms. What helps is creating data-driven dashboards, also to avoid traditional barriers such as rejecting a candidate just because they don’t have a certain degree in background but otherwise is the best fit for the said job. What’s better is companies evaluating not just at the existing credentials but how the talent can be upskilled to assume future roles basis the current skills set.HR teams and organizations must adopt and upgrade systems to use Artificial Intelligence & tech to conduct analysis and negate any unconscious biases. This will also help in optimizing the hiring journey.
- Adapting AI and Automation
On leveraging the power of AI and automation, 63% of companies already use AI tools for talent management, as per Deloitte. Further, as per the 2023-24 State of the Workplace Report, 26% of HR departments leveraged AI in 2024 for talent acquisition, employee training and development and people analytics. Not just that, but AI and automation can also streamline workforce planning including closing the skills gaps and augmenting teams. For instance, AI can streamline repetitive tasks and help in assigning routine tasks such as resume screening, interview scheduling, data entry etc to AI systems leaving HR teams to strategic and high-impact activities. Additionally, AI-powered analytics tools can process large datasets to reveal trends, patterns, and insights that will otherwise require a lot of time and manual labour. Data collection is unavoidable since it is crucial for processes like recruitment, retention, performance management, and employee engagement for HR teams. Therefore, it is important for HR teams to also upgrade and encourage AI-literacy at workplace.
- Continuous Learning Is Crucial
It’s evident as per the labour market that upskilling and reskilling are the most important pillars for the way ahead. The skill gap is rapidly changing and increasing with the changing needs. As per the recent World Economic Forum study, 58% of the employees expressed that their job skills will significantly change in the next five years due to AI. Further, 44% of employee’s skills will disrupt within five years, as per the World Economic Forum’s 2023 Future of Jobs Report.Therefore, continuous learning is essential for future-proofing talent retention and management. HR teams need to be updated too to offer programs that can help employees upskill, encourage them in learning new technologies, and in exploring creative problem-solving techniques. As per this Workplace Learning Report on LinkedIn, 80% of the respondents believe learning adds to the purpose of their work.Further, as per the World Economic Forum’s 2023 Future of Jobs Report quoted above, Generation Z (born 1996-2012) will compose 58% of the workforce by 2030 and as per the Happiness at Work in 2023 report this generation is most likely to quit their job if they are unhappy with their workplace. Therefore, it is imperative to invest in building skills and offer continuous learning for the workforce. AI is a powerful tool to keep a track of and offering relevant courses/programs that help in adding to the skills. What Are the Advantages of a Skill-Based Approach?
- Widens the talent pool: Recruiting basis the skills and negating all the unconscious bias or affinity bias etc, opens the pool to wider and diverse talent, beyond traditional qualifications or degrees.
- Innovation: It helps in equiping the workforce with the skills required to adapt and compete in the dynamically evolving market.
- Enhanced productivity: A skilled employee will always be more confident, be relevant as per the changing times and be more productive ultimately leading to enhancing the overall performance of the organization.
In nutshell, fostering a skill-based not only improves employee engagement but also augment talent-retention. The sign of a good HR team and an organization is one which recognizes, values and rewards employees for their abilities and invests in their growth and learning. There’s a popular saying, “People don't leave jobs, they leave bad bosses and toxic work cultures,” and it’s time to realize that any organization’s biggest return on investment is not just profits but also, their people.
