How can Skills Management help your company?

There are many benefits to Skills Management. We have listed the the most significant below.

1. Add the right talent to the right place.

Perhaps this might sound like a crucial factor used to effect profitable trading, but is it? In reality, it might not be so simple. Skills Management helps you  know in advance who can do what within the company and which talent is best suited for a certain assignment. Thus it will become much easier to place assignments. Competence-based recruiting ensures you find the competence you need, rather than someone might or might not  turn out to be the “right” candidate.

Roman Kotzsch, CEO at Milengo, adds:

“Competence-based recruiting is the cornerstone of effective talent management, with studies showing that companies that prioritize skills over traditional hiring criteria see a 26% increase in employee retention and a 40% boost in productivity. At Milengo, we have found that aligning the right talent with the right roles not only increases operational efficiency but also drives innovation and strengthens team dynamics. Skills management gives us the visibility needed to ensure that each team member’s unique abilities are leveraged fully, minimizing mismatches and maximizing productivity. This approach has been critical in keeping pace with a rapidly changing business environment.”

2. Identify your skills gap with Skills Management.

Today, having access to the right skills at the right time is crucial to achieving success. For this to be possible at all, it is important to quickly identify the company’s skills gap – and only then can you bridge it.

In fact, 87 percent of all companies are or will be experiencing skills shortages in the near future. The numbers may seem frightening, but don’t let them paralyze you.

Our Nano Education series teaches you to learn more about how you can close the skills gap by means of Skills Management.

3. Make the right decisions when upskilling, reskilling and recruitment.

Investing in skills development is a strategic and necessary investment for long-term and sustainable business. As a manager and leader, you own a central role in supporting your employees’ skill development.

Skills Management provides constant control over your collective skills and therefore how to make the right decisions regarding upskilling, reskilling and recruitment. This is important, because that’s when you can close your skills gap.

Working with external expertise provided by sub-consultants and partners is another way to counteract the skills gap. By proactively building a network owning the right skills, you can assign employees to assignments as the need arises.

4. Strengthen commitment among your employees.

Studies indicate that satisfied employees are more productive and loyal. Most probably, the vast majority will agree we are best motivated when doing things we are passionate about and good at.
So what is the basis for succeeding in this? Skills Management! A successful match between competence and work is crucial to building corporate culture owning strong commitment.

5. With Skills Management you avoid hidden costs.

Although the advantages of Skills Management are many, there are still many companies lacking a strategy for their skills supply. In which case it will impossible for them to do anything about their skills gap.
This is highly significant challenge that affects all parts of the organization and causes expensive and time-consuming recruitment processes.
Consequently, managers and leadership struggle to strive for good results and this makes it hard to make employees feel comfortable in an organization full of obvious skills gaps.

Skills Management counteracts both hidden costs and lack of commitment. Such factors, if not remedied sooner or later, lead to reduced productivity and failing loyalty within the business.

Would you like to share more insights and tips?
Download our guide 5 steps to bridge your skills gap with Skills Management.