Aligning workforce expertise with industry's digital evolution

In this rapidly-evolving digital age, businesses are confronted not only with the pace of technological change but also escalating customer expectations. A vital strategy in this race is ensuring that workforce skills and operating models evolve collectively in response to such changes and to make adaptive plans to incorporate this evolution into strategic, operational and tactical initiatives undertaken by the organisation.

A prime illustration of this evolution is the swift rise of generative AI, such as OpenAI's ChatGPT, transforming industries and prompting rapid adoption – is your business and workforce ready?

In this article, we delve into the essence of preparing for the workforce of tomorrow and how to harness the power of adaptability in an unpredictable technological landscape.

Why digital skills alignment is crucial for success

Today, forward thinking organisations are continually refining their operating models to realise gains from emerging digital solutions and trends such as artificial intelligence (AI), FinOps, and cloud technologies. Yet, there's a frequent oversight on the equally vital need to upskill the digital capabilities of their workforce. This inadvertent lapse can result in missed opportunities to harness the full potential of these technological advancements, as well as potential changes in competitive positioning, performance, and client outcomes. With recent research on the future of jobs from the World Economic Forum highlighting that over 75% of organisations intend to adopt these innovations in the next five years, organisations should ensure that enhancement of their workforce’s digital capabilities is included in their overarching digital transformation agendas to provide an even greater likelihood of digital evolution success.

In our experience, adopting a skills framework as part of an operating model transformation program is pivotal to realising intended outcomes. But unfortunately, many organisations overlook this issue. The World Economic Forum's Future of Jobs Report 2023 also states that 60% of workers need training by 2027, but only half have adequate access to it today.

At its core, a skills framework provides the following key value to an organisation and its workforce capability:

• a structured guide that categorises and details the skills and competencies essential for each function within an organisation.
• It does not just illuminate role-specific skills; it also highlights areas needing targeted training.
• It aligns an employee's capabilities with the organisation's evolving demands, ensuring adaptability.

As companies adjust and refine their operating models to fit the ever-changing business landscape, integrating a robust skills framework becomes a crucial tool in observing the readiness and alignment of workforce capabilities

A skills framework aligns an employee's capabilities with the organisation's evolving demands, ensuring adaptability”  

A great of example of a widely adopted skills framework is the Skills For The Information Age (SFIA) framework. SFIA is a global, industry developed digital skills framework that provides a common understanding of what a digital role involves and identifies the skills and capabilities required. Figure 1 below provides a visual representation of the data points commonly uncovered and analysed in a SFIA assessment.

First introduced in 2000 by the UK-based SFIA Foundation, SFIA has gained traction in over 200 countries. Through continuous updates, it has consistently adapted to meet the evolving requirements of industry and modern organisations. Notably, SFIA's technology-neutral approach means it is not tied to any specific tech or platform, or industry. As a powerful enabler to an organisations workforce strength, SFIA is highly adaptable, and makes it versatile across diverse technology landscapes, offering organisations a consistent approach that remains relevant despite changing technology trends.

Further to this, SFIA encourages a principles-based approach, allowing organisations to tailor the framework to their specific needs and objectives. By applying this ‘rightsizing’ approach, organisations can optimise for delivery efficiency and effectiveness, ensuring they are not left with a framework too burdensome or inadequate for their needs.

The adaptability of SFIA makes it versatile across diverse technology landscapes, offering organisations a consistent approach that remains relevant despite evolving technology trends.”

Ashish Das, Partner, MinterEllison

Acting on digital's unmissable mandate

Embracing the digital era's call requires more than just acknowledging the need; it demands decisive action. Implementing a skills framework is an instrumental step in harnessing the full potential of your organisation's digital journey. Such frameworks provide a clear roadmap, defining the competencies each role requires and highlighting areas that necessitate upskilling. But how do you move from recognition to implementation?

Start by evaluating your workforce's current skills in relation to industry standards. Adopting a versatile skills framework, such as SFIA, allows for a bespoke approach that resonates with your organisation's distinct requirements. Endorsement from senior leaders, who shape the broad technology strategy, provides a crucial layer of context and direction – ensuring alignment with any shifts in the organisations operating model. This continuous refinement guarantees that the skills and competencies remain relevant, catering to both present and future organisational needs.

For instance, an organisation interested in implementing generative AI for automation activities would undertake the high-level journey as presented in Figure 2 below. This approach also enables the ongoing cycle of evaluation and alignment.

Workforce adaptability is key to success

As technology continues to evolve, and organisations are driven to adjust, leaders can be sure of one thing: the adaptability of their workforce to these trends will be instrumental to their organisation's future success. Unfortunately, it is easy to concentrate investment on process and technological changes, overlooking the ongoing need to enhance workforce skills well in advance of adopting new technology trends. By utilising a skills framework, companies can proactively address this challenge and keep their workforce ready to respond to future industry trends.

MinterEllison Consulting is one of few SFIA accredited organisations in Australia.

When coupled with our large proprietary benchmarking dataset and broader technology advisory offering, we can provide unparalleled insights and direction in your pursuit of digital transformation initiatives with a future-ready workforce.