The industrial sector is changing before our eyes. For quite some time now, we’ve witnessed a major shift, primarily driven by digitalization and automation. It’s interesting to note how recent events (strikes, offshoring, etc.) have pushed companies in this sector to rethink and reconfigure their operations.
Now, many companies have jumped on board when we talk about digital manufacturing solutions. It’s easy to see why – these technologies are not just about boosting productivity and efficiency. They’re reshaping the way we manage manufacturing. We’re talking about enabling rapid iteration, allowing for more customization, speeding up market delivery, and driving up profitability. It’s quite a game-changer.
But, as with any transformation, it’s not all smooth sailing. The digital shift in manufacturing brings its own set of challenges. One of the biggest issues we’re seeing is the skills gap. It’s a bit of a paradox. We have workers who’ve been in their roles for years, yet they are not fully equipped with the skills needed in this new digital era. This gap can undercut the productivity and efficiency gains that Industry 4.0 promises, defeating the purpose of these digital initiatives.
In this edition of “Engineering 365,” we will discuss four tips to help prioritize upskilling at your company and ensure that employees are also on board.
1. Expand your benefits to workers who need them the most
Over half of employees say their employer offers free or partially covered college tuition (51%) or training programs in other business areas (55%). However, 8 out of 10 employees say these benefits are important.
Other research from Gallup reveals that upskilling opportunities are disproportionately offered to the highest-skilled workers. “The challenge to employers is to expand upskilling opportunities to those in the lowest income earning groups and with the lowest current skill levels,” their report states. “Such an expansion would allow for more upskilling opportunities for those workers who may benefit most from upgrading their skills.”
2. 20% Rule
While most workers are eager to grow their skill sets, it can be immensely difficult to prioritize learning over more critical job tasks. The 2018 LinkedIn Workplace Learning Report found that the No. 1 reason employees say they’ve stopped learning is because they don’t have the time. In fact, on average people are spending only 1% of their work time on professional development — about five minutes per day.
This is a far cry from what experts recommend, which is for employees to spend around 20% of their workweek on learning and experimentation. While this percentage is perhaps geared more toward knowledge workers, I think the 1% average is low no matter what type of role an employee is in. This points to a pressing need for leaders and managers to do a much better job of prioritizing time for learning for their people. It’s not just about encouraging learning; it’s about integrating it as a fundamental aspect of our work culture.
3. Skills Alignment = Velocity
Career-Advancing Skills Development: Forward-thinking companies understand that skills development is not just about learning; it’s about career progression. It’s crucial for organizations to clearly outline which competencies employees should focus on for career advancement, be it for a raise, a promotion, or a transition to a different department.
Clarity Equals Retention: Providing this clarity is a key strategy for talent retention. Employees who can see a direct link between their learning efforts and enhanced career opportunities are more inclined to stay. It’s about showing them the ‘why’ behind their learning.
Strategic Learning and Development:
- Closing Skills Gaps: McKinsey’s insights reveal that most leaders view skill-building as the most effective method to close skills gaps, even more so than hiring or redeploying staff. Post-Pandemic Trends: Since the pandemic, 69% of organizations have ramped up their skill-building initiatives. Looking ahead, there’s a consensus to continue increasing investment in learning and development.
4. Big Picture Thinking
When you really think about it, upskilling is not just a tool for enhancing skills, it’s a confidence booster for your employees. Especially post-pandemic, when many have re-evaluated what truly matters, focusing on these broader outcomes is more important than ever.
Take Amazon’s study, for instance. It’s not just about climbing the career ladder. People are looking for a better work-life balance (48%) and a deeper sense of purpose (41%). They want work that’s not just a job, but something more meaningful. And for those eyeing leadership roles? About 47% are motivated by the chance to shape a better work experience for future generations and to be a source of inspiration.
So, when we talk about skill development with our teams, let’s go beyond the usual ‘bigger paycheck’ narrative. Let’s help them see the bigger picture – how upskilling can enrich their lives, both professionally and personally.
In today’s employee-driven job market, employees feel empowered to seek out an employer that truly supports their long-term career goals and ambitions. In this environment, companies that step up by offering substantial support — from allocating more time for skills development during work hours to enhancing learning benefits and programs — position themselves at the forefront of the race in 2024. If you’d like to further enhance your strategy for upskilling and talent development, let’s chat and see which solutions make the most sense for you and your team.
