Today, more than ever, to be successful, simply training employees is no longer enough: companies must also make sure that their employees develop the skills they need to remain competitive.
In this article, we'll take a look at what competency management is, what benefits it offers companies, and how to optimize it by adopting specific software.
What is skills management
Competency management (or skills management) is a process that measures, evaluates and develops the skills and knowledge of employees. This activity allows people to be placed in the right position based on their abilities, while ensuring specific paths for their skills development.
10 Benefits of Competency Management
Regardless of industry or company size, a skills management system offers businesses countless benefits. After all, when an employee's skillset matches the skill requirements of his or her job, it's a "win-win" situation: for the employee, who is happier because he or she has the skills to do the job well, and for the company, which becomes more efficient and productive, increasing profits.
So let's take a detailed look at the main advantages that a skills management system offers companies.
1. Reduces the skills gap
The skills gap (i.e. the difference between an employee's current level of competence and the level required for the role) is an extremely common problem in all industries, especially in technical ones. In a situation like this, skills management software plays one of the most important roles. By assessing and managing employee skills, it is possible to organize ad hoc training courses aimed at bridging the skills gap and facilitating internal growth.
2. Helps you place the right people in the right place
Competency management software helps companies to know which employee is suitable for which role, thus creating efficient teams. A skills management system also encourages employees to become the best version of themselves.
3. Improves employee satisfaction
A skills management and development plan makes people feel more comfortable and confident in the work environment, improving overall satisfaction.
4. Reduces business risk
Especially in high-risk activities, a competent workforce creates a safer workplace, minimizing the possibility of errors or accidents.
5. Improves decision-making
When employee competencies are assessed, leaders can see the overall strengths and weaknesses of their workforce in terms of skills and abilities and, based on this data, make better decisions positively influencing the priorities and direction of the company.
6. Increases employee retention
A competency assessment system also has a huge impact on employee retention. Employees will feel valued and realize that the firm is investing in them and their skills. This will increase overall satisfaction and significantly reduce turnover.
7. Streamline recruitment processes
An organization with higher retention of internal resources also holds the power to attract increasingly competent employees. Then again, when companies earn a reputation for setting high standards of excellence through disciplined implementation and validation of employee skills, it inevitably becomes easier to recruit new talent as well.
8. Improves customer satisfaction
Competent employees work more efficiently and effectively, producing better results. As a result, quality improves, as does customer satisfaction.
In addition, when customers experience high loyalty from the company's employees, they begin to trust the company more and build a long-term relationship.
9. Facilitates the achievement of business goals
Developing competencies that support business goals improves the execution of business strategies and facilitates goal achievement.
10. Reduces costs
By identifying real training needs, unnecessary training expenses are eliminated with a significant reduction in costs.
Competency Management Software
Skill management is a complex process that must be maintained over time. For this reason, an IT system offers the great advantage of optimizing skill management, especially for medium to large companies.
An alternative to skill management software could be the adoption of a Learning Management System (LMS) that allows you to map employee skills and manage training according to the skills of your internal resources.
DynDevice LMS, the eLearning platform developed by Mega Italia Media, for example, allows you to monitor the skills of your staff and manage tasks and skills assigned to your employees.
In this way, you always have under control the level of training acquired by the staff and the progress made over time. In particular, DynDevice LMS allows you to:
- Define the list of professional roles present in the company;
- Associate roles to workers;
- Create all necessary skills;
- Associate skills with one or more roles;
- Set the minimum level required for each skill assigned to each role;
- Track the percentage importance (called "weight") that each skill has for the role;
- This is a good way to ensure that you have the right people in the right place;
- This is an important part of the firm's work, and it is an important part of the firm's work;
- This is a good way to make sure that the firm has the right people in the right place;
- Link skill improvement to course completion;
- Extract data with multiple report types in order to conduct in-depth analysis.
Software such as DynDevice LMS helps organizations manage and grow the skills necessary for each employee to successfully perform their job role, while identifying any weak areas in order to intervene with targeted training.
Translated with www.DeepL.com/Translator