Employee development and talent management essential factors in skills shortage

Jakarta, Indonesia – SuccessFactors, an SAP company and Business Execution software specialist, recently conducted research in order to understand the influence of a skills shortage. The results show that having the right people with the right skills in a business helps to deliver great performance; however, if the business doesn’t have access to the people with the skills, then business performance levels will naturally deteriorate.

The enormous surplus of workers created by the Baby Boomer generation is getting old and retired, taking their knowledge and experience with them. The imminent talent shortage from retiring workers is enough to cause complications on its own.

In addition, the fast technological development is deteriorating the skills shortage. Computer sciences and engineering are especially vulnerable, with 36% of IT companies and 28% of energy companies waiting large increases in staff in the next three years. They are not alone – many other industries are experiencing difficulties with their workforce skills and companies without skilled workforces face a multitude of crippling difficulties.

Essential tasks and business processes cannot be done efficiently, leading to capacity bottlenecks, capability problems and low business performance. As the workforce ages and the talent shortage gets worse, companies’ competitiveness faces severe threats.

Workforce planning and staff development plans are already being implemented by many companies. They know it’s time to invest in talent management and employee development to guarantee a skilled workforce today and in the future.

Business leaders concerned about the effect of the talent shortage on their business’ performance can take SuccessFactors’ quick benchmarking test to realise how their company compares to other companies. The test offers immediate recommendations on what to do to improve and guidance on creating a winning talent management strategy.

The skilled workforce benchmarking test can be found at http://www.successfactors-skilledworkforce.com/benchmarking.php. Furthermore, to learn about SuccessFactors’ business execution software, see www.successfactors.com.