Transform your workforce through skills-based talent practices
In an uncertain economy with forecasted long-term labour shortages, maximising the value of your workforce and attracting new talent to your organisation is critical. As the world of work continues to change rapidly, more than ever, the ability to transform with it is crucial to success. That’s why embracing skills-based practices has become a top priority for companies — because reskilling is essential to transforming organisations for the future of work. Measuring skills and capabilities objectively bolsters talent acquisition, development, succession and your broader talent strategy. Unlock exponential results today through a focus on skills.
Whether you’re looking to build a strong skills foundation, redesign the way you work or rethink how you attract, retain and develop talent, we can help. Implementing skills-based practices at scale requires collaboration across teams — you’ll need expertise that spans workforce transformation, data and tech products, and digital enablement. That’s where Mercer comes in.
Workforce and transformation advisoryStrategic visioning, programme design, change activation
Data and tech productsSkills data, market values and trends, enabling functionality
Digital enablementHR tech stack planning, deployment and optimisation services
- We struggle to identify current bench strength and skills gaps to inform skills-based hiring.
- We’re working to restructure jobs around automation.
- Learning and development investments aligned with skills-based talent management are difficult for us to prioritise.
- We want to offer flexible careers across the organisation.
How do leading companies reinvent for skills-based talent management?
Strategic workforce planningApply internal and external supply-and-demand skills research data for enhanced insights and redefined talent/skills pools.
ReskillingAccelerate reskilling with targeted and personalised skills-based learning pathways and enhanced assessment capability, eliminating laborious current-state analysis.
Skills assessmentMeasure skills and capabilities objectively for talent acquisitions, development, succession or a broader people strategy based on your skills framework.
Pay for skillsInvest in future skills, and reinvent pay programmes with AI-enabled pay decisions based on skill demand, supply and criticality.
Job and career architectureTo achieve optimal internal equity and external competitiveness, it’s essential to establish a robust career architecture framework with consistent job analysis and job evaluation methodology.
Performance managementAgile environments require rapid, multisourced performance feedback and assessment to enable targeting of skill proficiency and development activities.
Career development/ pathingEnable employee ownership of careers through skill mapping and adjacencies, which shine a light on actionable career paths.
Succession planningEnsure succession pools are informed by individual skills to expand potential talent pipelines, and avoid job structures that may limit diversity.
Internal talent marketplaceDeploy talent to gigs, projects and experiences based on skills supply and demand, promoting internal talent mobility and diversity of thinking and experiences across the organisation.
Talent acquisitionSelect candidates based on skills-based hiring, using AI-driven skill inferences and simple digital assessment tools to improve the quality of both the process and the candidate experience.
Reinventing jobs for the future of workMercer’s work design solutions help to transform and reinvent work by deconstructing jobs into tasks and preparing organisations for the future of work.
Is your organisation ready for skills-based talent management?
Skills-based talent practices continuum
Looking at the workforce through a skills lens leads to increased flexibility
When we compare companies further forward on the journey we do see some differences in mindset and culture
- there is more fluidity in the organisations
- there are examples of moving mid-career and not stepping back
- there is an urgency to bring diverse skills together to solve a problem
However, most organisations are not in a position to fully embrace such a model or to enable it across the full employee population.
The reason being is that many employers’ structures and processes fall on the left side of the screen.
- The traditional employer typically has narrow job definitions, and the work one is asked to perform is not likely to go beyond the duties and responsibilities outlined in the JD. The employee in this environment view their career as a ladder, anticipating moving up in the same team.
- Evolving and leading companies have fostered a more flexible environment where skills are a consideration in work assignments, and when employees think about their career, they understand that both vertical and horizontal movement is valuable – and they are empowered to take the wheel on their own career journey.
- Future focused environments have adopted agile principles in how they organise teams and flow to the work based on their specific skills.
The above is often facilitated by a Talent Marketplace platform
A transformation from jobs to skills though needs an understanding of skills.
And for some of the most sophisticated a way to value skills based on market availability, strategic relevance and price. But attaining this change is hard because we live in a world defined by jobs and experience. Unpicking this in a mature organisation can be tough – but the rewards are significant.
- 1 Skills Pricer
- 2 Skills Library
- 3 Work design