What Is Employee Skill Gap Analysis | Paradiso Solutions What Is Employee Skill Gap Analysis | Paradiso Solutions
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A Complete Guide on Skill Gap Analysis

What Is a Skills Gap Analysis?

Skill gap analysis is a strategic approach to analyze whether your workforce has the required skills to perform tasks with full efficiency. This tool helps in assessing the gap between the actual state and the future skills required to achieve the goals of the company. It is an important factor for HR to identify the skill gap and address the same to the organization. Further the company can indulge them in upskilling, learning and researching, discussions, plannings and so on.

A step-by-step approach to conducting a skills gap analysis

There are two methods through which skills gap analysis can be done- Qualitative and Quantitative method. The qualitative approach is based on the organization’s development process whereas the quantitative approach is done by yourself to identify you have the skill set required in the job role. Let’s take notes on how to perform skill gap assessment.

Skill gap analysis is a strategic approach to analyze whether your workforce has the required skills to perform tasks with full efficiency

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1. Clearly define business objectives & outcomes

To deliver what the company wants, it is important to know its goals and expectations. Therefore, the first talent gap analysis is done when you give a task to the candidate. If the task is done with satisfactory results, then the skill is noncritical but if the results are unsatisfactory then skill is considered critical.

2. Identify skills needed to achieve objectives

Once you have the result of the skills present in the candidate you can check whether they align with your business needs. Some questions that you can ask yourself in the analyzing process are:

  • Which job roles within your organization can be automated?
  • Which role in your industry is at its peak?
  • Which job role does your company need the most apart from the existing ones?

3. Analyze the existing level of skills

After conducting tests or giving assignments to the employees, the HR Manager can analyze the skills they are lacking. They can organize seminars, workshops or training so that they can gain skills required at the future job place.

4. Prioritize who and how to train

The purpose of conducting skill gap analysis is to strategically find the work force so that the work can be done effectively. You can identify potential candidates by shortlisting resumes, taking feedback or assessments. Check the candidates meeting the criteria level required in your workforce. Make a priority list of skills ready as this will help you in up-skilling them.

5. Measure the training effectiveness

The L&D department of the organization might include some skill developments trainings, interviews and conduct panel discussions. To measure the effectiveness of the training, assessments can be conducted or track the progress. Also, they can be included in some of the running projects to see how they can implement the skills learned in real life scenarios.

Why Is the Skill Gap Analysis Useful?

Due to rapid technological advancements, employees need to be updated with their skills and knowledge. Regular upskilling is very important if you want to stand out in the competition. Due to automation and technological changes the job roles are getting redefined. So, a workforce that aligns with the new job roles is important to find. Also, what is currently missing from your employees needs to be analyzed through skill gap assessment.

1. Workforce Planning

Skill gap analysis plays a major role in planning and strategizing the work of the team. Once the skill gap assessment is done, you can find out which skills are lacking and in whom. This report will help you in targeting the individuals to provide training in the skills they lack. This step will ensure the optimal usage of the skill training is given to the right person.

2. Individual & Organizational Win-Win

Skill assessment makes the entire recruitment process smooth and effective. You already know the skills you are looking for in a candidate. And once the analysis is done you become confident about the candidate you should choose. In the end you finalize the person whose skills are the best fit for the job role.

3. Competitive Advantage

If you are aware of the company’s shortcomings then it becomes very easy to deal with them. Since the competition is rising rapidly, the skill gap analysis will help in finding out the loopholes that might hold the organizations’ success and delay in achieving goals.

What skills are in high demand?

If you are aware of the company’s shortcomings then it becomes very easy to deal with them. Since the competition is rising rapidly, the skill gap analysis will help in finding out the loopholes that might hold the organizations’ success and delay in achieving goals.

1. Technical skills

The digitization era has increased the importance of having technical skills. Business problems require technical expertise to find sustainable and cost-effective solutions. They are required in almost every industry to accomplish tasks.

2. Soft skill

Soft skills are a very important skill that every employer should look for while hiring employees. It allows the organizations to take technical decisions without hampering their interpersonal relations. In a workplace everyone might not have the same though process, therefore the chances of conflicts are very high. A soft-spoken employee would know how to convince and convey his thoughts.

How are companies reacting?

The market trends and new evolution of technologies might disrupt your workflow. Therefore, the need to reskill your employees is very important. Many companies are working on the concept and are making progress.

1. A skills gap analysis

The skill gap analysis process is divided into three parts. Identifying the skills that company is looking for, finding the skill gap in the employees and upskilling them. Organizations are adopting programs to train and reskill their employees in order to compete with the advancements in the market.

2. Hiring

Once technique is to upskill the existing employees and the other is recruiting people who fit the skill and job role of your company. While hiring also the skill gap analysis can be conducted to check whether the candidate is the right fit for the company and job role.

Final Thought

Companies are constantly trying to improve their workforce to compete equally in the market. Skill gap analysis could be a great tool in finding the skill deficiencies in the existing workforce and taking action to upgrade them. If you want to upskill your employees then LMS (Learning Management System) is a great digital age learning option. It comes with various features that support remote learning. Also, blended learning could be a great option to learn in a collaborative environment.

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