Strategic Shift: Skills-Powered Organisations in the Age of AI 

Japanese Aussie mum and daughter skateboard together   
Japanese Aussie mum and daughter skateboard together    

Today’s workforce challenges 

As technology advances, organisations must adapt to new work options like GenAI, machine learning and automation. To succeed, companies need the knowledge and skills to strategically deploy and effectively use these technologies, while also understanding their impact on human work.

Benefits of a skills-powered approach

When implemented correctly, a skills-based approach offers a wealth of strategic and economic benefits.
  • For employers
    • Stronger recruiting, hiring, and retention capabilities
    • Increased workforce productivity and agility
    • More effective and efficient talent development and deployment
    • Optimisation of overall labour costs
  • For employees
    • Greater transparency around career progression requirements
    • Expanded, more democratic access to career 
    • Improved access to training for developing marketable skills
    • Increased workforce engagement
By making skills the backbone of their talent practices, organisations can better allocate people to projects, help employees explore different career paths, and gain the flexibility to allocate their capital more effectively as their needs change.
Bradford Bell

Professor of Strategic Human Resources, Cornell University

Strategic Shift: Skills-Powered Organisations in the Age of AI

Six in 10 workers require additional training before 2027. Find out how organisations can bridge skills gaps through data-driven strategies, buy-in, communication, goals and training.

Checklist: Building a skills-powered organisation 

 Create a framework

Decide on the technology

Develop a skills taxonomy

Emphasise upskilling and reskilling

Identify key outcomes and desired experiences

 Develop a change management plan

Start small

✓ Document your progress

✓ Keep expanding your efforts

Integrate it into the business

Mercer is proud to sponsor MIT SMR Connections for this skills strategy guide.
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