Almost 25 per cent of all job openings in the UK were left vacant in 2015 because employers could not find candidates with the required skills or knowledge to fill them . Recent research has also suggested that the UK economy could receive a £92m boost if firms were able develop their internal digital potential to its fullest . With companies under constant pressure to increase productivity and empower the company’s workforce, technology must become an essential business enabler to help alleviate the UK’s skills shortage and fill the vacant job openings. Human capital management providers are aware of the value of correct management in the recruitment stages.
This is the role of the HR function, which must continuously source new talent, both internally and externally, pre-empt skills shortages and keep the workforce motivated. The use of HR technology at the core of the business process can provide 360 degree visibility on potential skill gaps or skill abundance, helping to put pre-emptive plans in place to combat these shortages or distribute talent surplus. A report from the CBI suggests 40% of firms looking for staff with STEM skills are struggling to find people with the correct knowledge . The potential exists to redistribute talent and train desired skills internally, rather than searching externally.
Placing technology at the core
It is crucial that firms recognise the need to develop talent and continuously assess performance in order to keep employees engaged and increase company productivity. Utilising the right HCM technology, organisations stand to reap the rewards of increased employee productivity and loyalty, with the drive towards a digitally mature business growing should the correct training and up-skilling be provided.
By embedding technology at the core of the HR function, digital will not only be approached as an enabler, but also a key tool to help develop and up-skill staff. Organisations will only be able to alleviate the skills shortage and work in closer collaboration if technology takes centre stage, with a clear focus on people and processes, yet many UK organisations are still at early stages of corporate adoption.
HR must work alongside finance and other company departments towards a common goal. Ensuring the right skills are present in a business is the only way to ensure long term buoyancy, with digital skills in particular fast becoming a mainstay for any modern business. Utilising the correct technology and breaking down silos ensures an environment is created whereby digital skills can flourish, futureproofing a business’ talent retention model and ensuring long-term success.
To learn more about how placing HR technology at the core of a business can help firms alleviate the digital skills shortage, discover the latest Talentia whitepaper, Technology at the Core or find out more about our HCM management options.