An analysis released on Thursday revealed that 83% of workers are more inclined to stick with organizations that prioritize their skills since’skills intelligence’ is now a critical component in a company’s ability to expand sustainably.
According to a survey by leading skills intelligence and skills assessment platform iMocha and EY, 58% of HR leaders noticed increases in employee performance and 63% of HR leaders had a positive impact on talent retention as a result of skills first transformation (SFT) efforts.
Nonetheless, 87% of workers feel their companies don’t make the most of their abilities.
According to the findings, typical accuracy rates for current hiring, training and attrition processes are at 70-80 per cent, which can be further improved by 10-20 per cent through skills intelligence.
“Companies should monitor their accuracy rates in hiring, training, and attrition to gauge their true costs and the improvements possible with SFT,” said Priyanka Gupta, Partner, People Advisory Services, EY India.
Regardless of the transformation type, an uplift in accuracy rates with skills intelligence can deliver 1.5 to 5 times higher transformation efficiency.
A skills-first strategy, in the words of iMocha CEO Amit Mishra, not only solves the urgent problem of the skills gap but also significantly increases economic value by increasing the precision and effectiveness of workforce reforms.
The economic loss from friction in workforce transformations could potentially be significantly reduced with increased accuracy from skill-intelligence in hiring, training, and employee attrition across organizations, the report noted, while also improving employee engagement from its low global average of 23%.
It also stated that a combined effort is being made to drastically cut the projected $8.5 trillion in lost annual profits by 2030 with the merging of skills intelligence and SFT 2.0
