Skills-Based Jobs—From Hiring To Succession Planning


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Written by CWDC Employer Coach Erin Young

Have you ever taken the time to write down every task you do at work over a week? Maybe even just a day? Go ahead, take a moment. 

Now, take five more minutes and write down what specific skills are needed to complete those tasks. If you list “communication skills,” be precise. Are you presenting virtually or to a room of 500 people? Are you typing emails, answering phone calls, or having conversations with individuals? Are you speaking in English or another language? Do you have to write in those languages? Are you drafting a memo or a formal paper? As you can see, communication skills encompass much more than the general label suggests.

Next, try to find the job description for your current role. How many of the tasks you’re doing align with that job description?  What if job descriptions were written in a way that reflected the tasks and skills you perform daily, guiding you toward success? 

Skills-based jobs and skills-based hiring aim to do just that. This approach evaluates a job through the lens of necessary competencies (knowledge and skills) and necessary credentials (degrees and licenses). Some competencies must be present from day-one, while others can be taught on the job. Some competencies must be demonstrated through a formal credential—like a Commercial Drivers License or attending medical/law school—while some are developed through lived experiences, such as general education classes, previous work experience, volunteering, or caregiving. 

Looking at employment through a skills-based lens evaluates a job description on the competencies and credentials necessary to successfully perform; it evaluates candidates based on their skills and knowledge; and it removes evaluation based on previous credentials or specific job titles. Essentially, the process shifts focus to “screening in” candidates rather than “screening out.”

Research shows that In the hiring process, it is found that skills based hiring reduces bias, increases speed of hiring,  and expands pool of talent, especially those from diverse backgrounds (Castrillion, 2023; SHRM, 2023) Additionally, skills based hiring is five-times more predictive of job performance than hiring for education, is two-and-a-half-times more predictive than hiring for work experience (TestGorilla, 2022) increases candidate quality, increases employee engagement, and lowers attrition (Grads of Life, 2020)

Once an organization completes a skills analysis, identifying the competencies and credentials necessary for each role, it is in a stronger position to perform more meaningful evaluations and create targeted career advancements for future succession planning of all key positions—from entry level to C-suite. 

This process may seem daunting, especially for employers who have never inventoried the tasks and competencies required in every position, but fortunately, there are several free-online tools to provide a starting point. SkillsEngine and Markle generator both provide a bank of occupations and their corresponding skills based job description. Other spaces, like the Open Skills Library are crowdsourcing much more nuanced skills such as “compassion” and “cross-cultural fluency.” These resources are a tool to engage employers and employees into a more individualized and productive workspace that has the ability to increase recruitment, retention, and engagement strategies.

  1. Castrillion, Caroline. (2023). Why Skills-Based Hiring Is On The Rise. Forbes. Retrieved from https://www.forbes.com/sites/carolinecastrillon/2023/02/12/why-skills-based-hiring-is-on-the-rise/?sh=4260140a24a9. 
  2. SHRM. (2023). Skills-Based Hiring Requires Commitment To Change. Retrieved from https://www.shrm.org/topics-tools/news/talent-acquisition/skills-based-hiring-requires-commitment-to-change. 
  3.  Harvard Business Review. (2002). Skills-Based Hiring Is On The Rise. Retrieved from https://hbr.org/2022/02/skills-based-hiring-is-on-the-rise. 
  4. APA PsycNet. (1984). https://psycnet.apa.org/record/1984-30168-001. 
  5. TestGorilla. (2022). State of Skills-Based Hiring. Retrieved from https://www.testgorilla.com/state-of-skills-based-hiring-2022/. 
  6. Grads of Life. (2020). Dismissed by Degrees. Retrieved from https://gradsoflife.org/wp-content/uploads/2020/07/Dismissed-by-Degrees-10.26.17-1.pdf.