Companies need training and development to bridge
the skill gaps between needed market competencies and employee skills. Research
by Bersin and Associates are presented to help highlight the differences in these
skills on a global scale and how this led to major unemployment concerns in
many countries (O’Leonard, 2012). They provide a number of recommendations for
organizations that seek to develop their talent for competitive advantages.
A study entitled World of Work Report by the
International Labor Organization indicates that unemployment could be around 208
million globally in the next year or so (International Labor Organization, 2013).
They highlight the problems as uneven opportunities, creating jobs and
macroeconomic approaches. The focus of countries should be to develop the right
skills and create opportunities for youth.
“The
labour market and income situation is uneven but can be improved by
consolidating the rebalancing process in emerging countries and finding the
right balance between employment and macroeconomic goals in advanced economies.
Progress towards reducing economic and social inequalities would pave the way
for a lasting recovery
(International Labor Organization, 2013).”
Even though chronic unemployment is higher than ever
before others are being relied on to fill skill gaps. Training rose 9.5% in the
last year to around $800 per person while hours spent in training also
increased. A total of $67 billion within the U.S. was spent in 2011 (O’Leonard, 2012).
Companies are attempting to meet these skill gaps by reinvesting in motivated
employees.
To provide better training at a more effective price
many companies are relying heavily on social media, e-classes, social learning,
and alternative forms of training. In 2011 the total spent on alternative training doubled
to around $40,000 per large organization. Training costs have begun to decline
and were at $51 per hour in 2011 which is the lowest in the past 6 years.
Most organizations are still not doing well. 6% of
HR organizations ranked themselves as highly skilled with 56% ranking themselves
low. They are unsure of how to measure training and move people to higher skill
levels. Their metrics are not well developed and moving to higher effective
training programs is difficult.
The author recommends that changes are needed in
order to further develop employees to take on new skills and abilities to gain
corporate competitive advantages. They are as follows:
- Starting to encourage collaborative and generative
learning connections. Use virtual education and advanced methods to lower costs
and improve upon the use of social learning to create higher skill sets.
-Continue to recognize and reward productivity
gains. Rewarding employees for improvement in their skills helps them stay motivated during the developmental process.
O’Leonard, K. (2012). Mind the global skills gap. Chief Learning Officer, 11 (8).
International Labor Organization
(2013). 2013 World of Work Report. Retrieved March 10th, 2014 from http://www.ilo.org/wcmsp5/groups/public/---dgreports/---dcomm/documents/publication/wcms_214673.pdf
