Some are calling it the ‘death of the degree’, tearing down the ‘paper ceiling’, and other names, but companies are touting a new approach to hiring personnel who are experienced in adapting to a changing industry. With a quickly evolving world of technology that is affecting how we access information and how we solve existing problems, companies need to look past certifications and credentials to find employees who can adapt and overcome issues using their experience and strategic problem-solving; something that a lot of educational institutions are foregoing. The answer to the waning pool of experience in the workforce? Skills-based hiring.
Key Elements of Skills-Based Hiring
Skills-based hiring focuses on a candidate’s specific skills, abilities, and competencies rather than traditional qualifications like degrees, job titles, or years of experience. This method, which has been around for quite some time, emphasizes what an individual can do and their potential to perform the tasks required for a job effectively. Here are the key elements of skills-based hiring.
1. Focus on Competencies
- Technical Skills: Assessing a candidate’s technical abilities relevant to the job.
- Soft Skills: Evaluating interpersonal skills, communication, problem-solving, and other non-technical abilities.
2. Practical Assessments
- Skills Tests: Using tests and assessments that simulate job tasks to evaluate candidates’ abilities.
- Work Samples: Requesting candidates to provide examples of previous work or complete tasks that demonstrate their skills.
3. Inclusive Criteria
- Diverse Backgrounds: Considering candidates from non-traditional education paths or varied work experiences.
- Potential Over Experience: Valuing potential and transferable skills over a specific job history.
4. Job-Specific Requirements
- Tailored Job Descriptions: Creating job descriptions that outline the specific skills and competencies needed rather than generic requirements.
- Clear Benchmarks: Setting clear performance benchmarks based on skills and tasks relevant to the role.
5. Continuous Learning and Development
- Training Opportunities: Offering training and development programs to help employees continually improve their skills.
- Growth Potential: Fostering an environment where employees are encouraged to grow their skill sets and advance in their careers.
By focusing on competencies, technical skills, diverse backgrounds, previous work samples, and even the potential of a candidate, a company can use the accumulated information to hire and create a workforce with the experience to overcome situations that those with a ‘certificate’ can’t work around without having the experience to rely on. Knowing the potential of your workforce will allow you to use talent management to attach the right workers to assignments and tasks that will help them thrive and create an environment of success.
Benefits of Skills-Based Hiring
- Enhanced Job Performance: Employees are more likely to succeed when their skills align closely with job requirements.
- Increased Diversity: Broadening the candidate pool by considering diverse backgrounds and experiences.
- Better Employee Retention: Matching skills to job roles can lead to higher job satisfaction and lower turnover.
- Reduced Bias: Focusing on skills can help mitigate unconscious biases associated with traditional hiring criteria.
- Adaptability: Employees with the right skills can adapt more easily to changing job demands and environments.
The benefits are a key tool that will allow your organization to thrive as a team, and execute critical thinking with less risk. Employees are more likely to be successful when their skills are aligned with their job requirements. This is done by knowing the full potential and past experience through hiring the right people. Another important aspect that drives success in a business is retaining employees and creating an environment of continuity and trust. These are irreplaceable factors in a workspace.
Implementing Skills-Based Hiring
- Define Required Skills: Clearly identify the skills needed for each role.
- Develop Assessment Tools: Create or adopt assessments that accurately measure these skills.
- Train Hiring Managers: Educate hiring managers on the benefits and methods of skills-based hiring.
- Promote a Skills Culture: Encourage a company culture that values continuous learning and skill development.
There are many ways to implement skills-based hiring quickly using external agencies while hiring. Plenty of solutions are available for a company to use to implement it as a good practice, but it will improve a business even if it is a small percentage of the workforce.
