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- 02 Sep 2024
Skills-based hiring has become a central focus in many of my recent discussions. This shift accompanies an inward focus on building more advanced skills in recruitment and workforce planning, where I am starting to see significant investments. In the wake of generative AI, the landscape of skills is transforming, reminiscent of the changes that followed the implementation of the assembly line.
Before the assembly line, workers were required to build entire products or at least major components. However, the advent of the assembly line led to de-skilling, as workers began to specialize in specific aspects of the production process. Similarly, generative AI will lead to the emergence of more specialists across various job roles as many common skills become automated or machine-assisted. However, as we embark on this journey, we must proceed cautiously.
The valuable concept known as the Chesterton Fence advises us to think carefully before removing established practices or structures. This principle, also called second-order thinking, encourages us to consider the broader implications of our actions, ensuring that we don’t inadvertently eliminate essential elements that may still hold value or serve a critical function in the evolving landscape. This cautious approach is a testament to our commitment to thorough evaluation and thoughtful decision-making.
To navigate this evolving landscape, Draup strongly recommends adopting a comprehensive framework. This framework, which includes a library of core skills, specialized skills, digital products and tools, methodologies, frameworks, and soft skills, is designed to provide a solid foundation for the workforce in a world where human and machine collaboration is increasingly prevalent. It’s a roadmap that ensures we adapt and lead to change.
A new framework for the role of HRBP (as an example)
Category | Description | Examples |
Core Skills | Foundational skills necessary for HRBPs to effectively manage HR functions. | Employee Relations, Policy Compliance, Coordination across functions |
Specialized Skills | Advanced skills specific to HR that may require deeper expertise or certification. | Talent Analytics, Diversity & Inclusion Strategies, AI Bias and Compliance Management, Change Management for AI Integration, Digital and AI Proficiency |
Digital Products and Tools | Software and platforms used to enhance HR operations and improve efficiency, including new-age AI tools. | HRIS (Human Resource Information Systems), ATS (Applicant Tracking Systems), Data Analytics Tools like Visier, Generative AI for Content Creation (e.g., Jasper, Copy.ai), Chatbots for Employee Support (e.g., Mya, Paradox) |
Methodologies | Structured approaches or techniques used in HR practices to achieve desired outcomes. | Agile HR, Performance Management Models, AI Proficiency Frameworks |
Frameworks | Established models or systems for structuring HR strategies and processes, including AI-driven frameworks. | Competency Frameworks, Compensation Frameworks, Employee Engagement Models, AI-driven talent Matching Frameworks, AI-based predictive Analytics, AI-enhanced employee Experience Frameworks, AI-powered diversity & Inclusion Frameworks, Partnership Frameworks with Tech and IT teams |
Soft Skills | Interpersonal and communication skills are essential for effective HRBP performance. | Emotional Intelligence, Conflict Resolution, Communication Skills, Negotiation |
A new framework for the role of a Procurement Analyst (as an example)
Category | Description | Examples |
Core Skills | Foundational skills necessary for Procurement Analysts to effectively manage procurement functions. | Supplier Relationship Management, Contract Negotiation, Cost Analysis |
Specialized Skills | Advanced skills specific to procurement that may require deeper expertise or certification. | Strategic Sourcing, Risk Management, Category Management, Supply Chain Optimization, Sustainable Sourcing |
Digital Products and Tools | Software and platforms used to enhance procurement operations and improve efficiency, including new-age AI tools. | ERP Systems (e.g., SAP Ariba, Oracle Procurement), eProcurement Tools, Spend Analysis Tools, AI-Powered Supplier Risk Assessment (e.g., LevaData, Resilinc), Generative AI for Contract Drafting (e.g., ThoughtRiver, Kira Systems), AI-Driven Spend Analytics (e.g., Sievo, Coupa) |
Methodologies | Structured approaches or techniques used in procurement practices to achieve desired outcomes. | Total Cost of Ownership (TCO) Analysis, Lean Procurement, Strategic Sourcing Models |
Frameworks | Established models or systems for structuring procurement strategies and processes, including AI-driven frameworks. | Supplier Segmentation Frameworks, Procurement Maturity Models, AI-Powered Predictive Analytics for Demand Forecasting, AI-Enhanced Supplier Collaboration Frameworks, AI-Based Spend Optimization Frameworks, Risk Mitigation Frameworks using AI |
Soft Skills | Interpersonal and communication skills are essential for effective Procurement Analyst performance. | Negotiation, Analytical Thinking, Stakeholder Management, Communication Skills |
Summary: Skills-based hiring and planning are crucial for driving transformation and innovation as we look ahead to 2025 and beyond