3 Unexpected Advantages of Upskilling and Reskilling Your Workforce
Keeping up with the pace of new technology is a challenge for most organizations, but one that is more important than ever. Although tech advancements have increased productivity, growth, and innovation, they have also created a skills gap — a difference between the skills needed for a job and the skills employees actually possess. A World Economic Forum study found that 40% of core skills today will change by 2025 and 50% of all employees will need to reskill. By the time 2025 rolls around, we’re confident that these numbers will look entirely different! The workplace is shifting that fast.
Left unchecked, a skills gap means your team will lose out on productivity and revenue. Meanwhile, your employees may become redundant as their skills become obsolete. It’s a lose-lose situation for everyone involved. So how can organizations intervene? The answer is straightforward: help your employees gain new skills through upskilling and reskilling.
What is upskilling and reskilling?
Upskilling and reskilling are both approaches to equip employees with in-demand and valuable skills. While they sound similar, upskilling and reskilling mean different things. It’s important to clear up the confusion so you can understand the role each strategy plays in meeting your workforce’s overall training needs.
Difference between upskilling and reskilling
Upskilling is focused on helping employees develop new competencies and deepen their knowledge so they can get better at their current role. Reskilling, on the other hand, trains employees to develop new skill sets so they can move into new roles within the company.
For instance, an employee in your marketing team could learn to use new marketing tools and analytics technologies to plan and deploy data-driven campaigns. This would mean she is upskilling. On the other hand, the same employee could invest in learning a brand-new skillset such as software development. This is an example of reskilling.
Why Upskilling and Reskilling is Important
Both upskilling and reskilling help minimize talent gaps and cultivate a culture of ongoing learning within an organization. Companies are able to support their workforce, avoid skill shortages, and increase productivity, while employees gain a greater wealth of knowledge to better react to the industry and market demands. But beyond the obvious, upskilling and reskilling have other unexpected advantages.
Upskilling and reskilling create genuine employee loyalty. It is a natural way for leadership to show concern for the career and the future of employees within the organization. After all, who wants to work in an organization that doesn't invest in its human capital? The numbers back this up: 61% of employees say upskilling is an important reason to stay at their jobs. Connect your team members to relevant learning opportunities based on their career goals to show you care and improve retention.
HINT: On the Volonte platform, point employees to the Volonte Project Board. This is your company’s hub for internal mobility through on-the-project learning opportunities. Done well, internal mobility boosts retention by almost 2x!
Increase job satisfaction
Skills training through upskilling and reskilling is an important part of career advancement. It makes talent look forward to what's next and creates a deeper sense of purpose with the organization. It’s no surprise, then, that 71% of employees say that training and development increases their job satisfaction. This, in turn, increase productivity and overall employee engagement.
Gain competitive advantage
Given that clients across all industries are ultimately always looking to work with a proactive and knowledgeable company, upskilling and reskilling go beyond internal benefits and create competitive advantages in the marketplace. Companies that invest in these programs are able to close skills gaps and service all their customer needs. Additionally, they improve the overall competencies of the entire workforce as upskilled employees, who are updated on industry needs and trends, can share insights and recommendations with their teams.
Retaining loyal and efficient employees is important for every organization. Upskilling and reskilling remain among the best methods to help employees maximize their potential at their current role, take on new challenges where the business needs support, and increase their overall job satisfaction. Moreover, it’s the best way to prepare your employees for a rapidly changing future of work.
Looking to level up your workforce’s preparedness for change? Look no further than Volonte, the ultimate change readiness platform. With curated content and dedicated tools for internal mobility and collaboration, Volonte empowers your employees to handle change with ease. Schedule a conversation to see how our platform can help you future-proof your workforce.