What should employers consider about ethical AI in talent decisions? Learn the latest in this #WorkTrends podcast episode

Transforming Talent Decisions With Ethical AI

Sponsored by Reejig

Countless HR tools, applications, and platforms now rely on artificial intelligence in some form. Users may not even notice that AI is operating in the background — but it can fundamentally change the way we work, think, and make talent decisions.

This raises several big questions. What should we really expect from AI? And is this kind of innovation moving us in the right direction?

For example, what role should AI play in skills-related talent acquisition and workforce mobility practices? With stellar talent in short supply these days, this topic has never been more important for employers to consider. So join me as I look closer at key issues surrounding ethical AI in HR tech on this #WorkTrends podcast episode.

Meet Our Guest:  Jonathan Reyes

Today, I’m excited to talk with Jonathan Reyes, a talent advisor and futurist who has been helping technology and banking industry companies navigate hypergrowth for nearly two decades. Now, as VP of North America for Reejig, he’s on a mission to build a world with zero wasted human potential.

Defining “Zero Waste” in Humans

Jonathan, I love the phrase “zero wasted potential.” What exactly does Reejig mean by this?

We envision a world where every person has access to meaningful work — no matter their background or circumstance. In this world, employers can tap into the right skills for the right roles, whenever needed. And at the same time, society can reap the benefits of access to diverse ideas through fair and equitable work opportunity.

The concept of sustainability is emerging in every industry. Now, sustainable human capital is becoming part of that conversation, and this is our way of expressing it.

So, with zero wasted potential, decisions aren’t based on a zero-sum game. When employers make human capital choices, individuals or society shouldn’t suffer. Instead, by focusing on talent mobility through upskilling and reskilling, we can create a new currency of work.

Workforce Intelligence Makes a Difference

Why do you feel workforce intelligence is essential for employers as they make talent decisions?

Organizations have so much human capital data. With all the workforce intelligence available, there’s no reason to hire and fire talent en masse — and then rehire many of the same individuals just months later.

Obviously, that’s an emotional and human experience for employees. But also, organizations are spending unnecessary money to find people and let them go, only to invest again in rehiring them.

Focusing instead on internal mobility is far more cost-effective.

Where Ethical AI Fits In

Many companies are unsure about AI in talent acquisition and management. What’s your take on this?

There are no universally accepted standards for ethical AI. This means vendors across industries can say technology is “ethical” based on self-assessment, without input from legal, ethical, or global experts.

But we’ve developed the world’s first independently audited, ethical talent AI. In fact, the World Economic Forum has recognized us for setting a benchmark in ethical AI.

The Impact on Internal Mobility

How do businesses benefit from shifting to a zero-wasted potential talent strategy? 

When companies manage internal mobility well, they extend employee tenure by 2x. And we know that people who stay and continue growing and developing are much more engaged.

This can create a significant downstream benefit. It’s one of the biggest reasons to invest in this kind of talent management capability.

 


For more great advice from Jonathan about why and how organizations are leveraging AI to make better talent decisions, listen to this full episode. Also, be sure to subscribe to the #WorkTrends Podcast on Apple Podcasts or Stitcher. And to continue this conversation on social media, follow our #WorkTrends hashtag on Twitter, LinkedIn, and Instagram.

What is skillability - and why is it so important for future-minded organizations?

Skillability: Will It Solve the Talent Crunch?

The current talent market poses numerous challenges for leaders and employees, alike. Perhaps the most disruptive force redefining the post-pandemic business landscape is persistently high employee turnover. This Great Reshuffle” demonstrates just how quickly teams can change—even beyond the pandemic shift to remote work.

A New Business Necessity: Skillability

This fluid employment environment brings good news and bad. Employees are welcoming it as an opportunity to advance their careers. But among employers, it has given rise to the practice of talent poaching. Global companies are proactively pursuing candidates from all over the world, culling the best talent away from other, smaller businesses.

And on top of this highly competitive talent market, employers are now struggling with the effects of inflation. As the cost of living continues to increase, so do demands for higher wages. And candidates are willing to hold out when employers don’t meet their salary expectations. These dynamics can make it tough to fill openings, even for high-paying, highly-skilled roles.

At the same time, employees face a volatile economic landscape that is sending conflicting messages about how to weigh the stability of an existing job against other attractive options. Today’s sky-high inflation hasn’t done employees any favors, either. Even though individuals have more bargaining power, inflation quickly eats into any wage increases gained from a job switch. As a result, economics plays a much more active role in career choices these days.

But despite all of these issues, both employers and employees can rely on one shared secret weapon. It’s something I call skillability.

The Power of Skillability

A skill is an individual’s capacity to perform a job task or function, based on existing knowledge, ability and competence. Skillability, in contrast, is an individual’s capacity to develop proficiency in an unfamiliar skill.

The faster and more efficiently someone can develop a skill, the better. So, skillability can be measured by determining the time an employee needs to develop new skills, along with the investment needed to build those skills.

Training, alone, is not enough to improve skillability. It also requires a supportive, learning-forward work environment. Together, they can nurture professional growth and create a win-win for individuals and their employers.

It’s essential for leaders to develop key workforce skills internally. This gives them new ways to support employees in their current roles, while helping them prepare for future growth within the organization. At the same time, by proactively encouraging team skillability, leaders can uncover new growth opportunities for themselves.

For example, consider technology advancements. While new technologies may promise greater operational efficiency and profitability, they also require specific skills that existing employees may lack. Employees with a high level of skillability can help companies hedge against the uncertainty of changing technology by being adaptable and agile in the face of change.

Building Skillability Within Your Organization

Skillability may sound like a trait, but the ability to develop new skills can actually be learned. It’s all in your approach to training, development, and talent acquisition. Here are just a few ideas to help your organization move forward with this strategy:

1) Consider Candidates Who May Not Fit the Mold

Candidates who lack one or more “required” proficiencies can bring a background or experience that enables them to quickly pick up new skills, duties, and responsibilities. Don’t screen out these individuals.

This approach offers several advantages. First, it opens your organization to new, often untapped talent pools. Also, it encourages the development of existing internal talent, which can drive retention and avoid the consequences of unwanted turnover.

Think about it. If you hire new employees for skillability and their desire to learn, you’re not just investing in their future, but in your organization’s future competitiveness, as well.

2) Build Achievable Benchmarks Into Training

Benchmarking is nothing new. Business leaders use it to determine the highest standards of performance. However, it can also be used for training and onboarding. Benchmarks and timelines can spur self-driven learning over a defined period.

Industrial technology provider, Emerson, relies on a powerful version of this model. It instills lifelong learning “DNA” in new employees to ensure that they will be skillable throughout their employee journey. This kind of approach indicates early on whether employees are likely to grow continually and take on new challenges as they arise. It also encourages the most enterprising employees to quickly distinguish themselves and demonstrate their skillability.

3) Break Employees Out of Their Comfort Zones

Sometimes, the most effective way to cultivate skillability is to nudge employees toward learning opportunities that push their existing boundaries and routines. This strategy is inspired by the fact that people learn more effectively when they’re somewhat uncomfortable as they explore new ways of thinking and doing things. 

Effective learning disrupts the status quo, so to speak. And overcoming these challenges has a way of encouraging people to continue pursuing learning opportunities for themselves. This means you’ll want to put employees in new situations that force them to challenge their thinking, expand their knowledge, test their abilities, and ignite their desire to grow and evolve in their careers. 

4) Establish a Supportive Environment

The climate you establish for new and existing employees is paramount to skillability’s success. It’s important to create a setting where fear is seen as an invitation to grow, rather than a signal to hold back.

Often, leaders inadvertently discourage growth in others because they fear negative consequences or they’re anxious about their own ability to grow. This can intimidate others and put a damper on skillability. One way to avoid this is for senior leaders to consistently and openly encourage all team members to develop skillability, and for the organization to reward people at all levels who step up to the challenge.

Final Thoughts

Employers can become so invested in hiring for a specific skill set that they fail to consider a candidate’s skillability. When you hire people, you’re already planning to involve them in training. So, why not broaden your talent options to include those with a stronger likelihood to learn much-needed skills in the future?

Even if you look within your ranks for employees with motivation and a commitment to continuous learning, you’re likely to find viable job candidates you might not have otherwise considered. It may only take a gentle push in the right direction and an environment that gives them the support they need to grow and succeed.

Skills Development

Skills Development: Now or Later?

Podcast Sponsored by: Cornerstone

Research from PWC shows that upskilling puts companies at a great advantage. The research found that companies realize an extra 10% to 15% of the benefit of large-scale transformation initiatives and up to 40% reduction in workloads on individual roles, as well as a 5% improvement in workforce retention when they integrate upskilling. These benefits lead to more output, opportunities to reduce cost, and higher customer satisfaction

Our Guest: Katie Ballantyne

On our latest #WorkTrends podcast, I spoke with Katie Ballantyne, Cornerstone’s VP of Product and Customer Experience. She has years of experience achieving industry-leading employee engagement programs across organizations.

Katie Explains the already large gap we are seeing in skills development from 2020 to 2022

“Well,  from 2020 to 2022, what we’ve found out through research is that employee confidence that their employer is effectively developing their skills has gone down. And we found that the gap has grown wider. There’s now a 35 percentage point difference between that employer and employee confidence in skilling.

“What this really means, is that only about 55% of employees feel like their employer is effectively developing their skills.”

High Performing Organizations VS Low Performing Organizations

What differentiates these high-performing organizations from organizations that are just not excelling? Is it money? Type of employee? There has to be a definitive answer. Lets see what Katie thought:

“Here’s what we found out. The high performing organizations, they only had a nine percentage point skills confidence gap, whereas the laggard organizations had a 42 percentage point skill confidence gap.”

Katie goes further into the analysis:

“So what that means is that these laggard organizations, so the organizations that aren’t performing as well financially or with their customer retention, this means that only 18% of those employees feel like skilling and development is a high priority for their company. Let’s compare that in contrast to the high performing organizations, this was the only one with that nine percentage point gap, 88% of employees that these organizations feel like there is a priority in their development, in their learning, in their growth.”

The Lure of Learning Development

With a stat from 2021- Katie Explains:

“There was a survey that was done between Amazon and Gallup, it was back in 2021, and that survey uncovered that skills training is one of the top perks that people look for in their jobs. And with about 61% of the respondents in this study saying that upskilling opportunities are also important for staying at their jobs.”

How does technology play a role in the learning development process?

“People know that skilling is important, but sometimes they’re not quite sure where to start. This is big. It’s not like going and picking maybe eight competencies, which is still important and that’s still huge work to even do that and to narrow down that selection, but it can be really, really intimidating.”

I hope you found this recent episode of #WorkTrends informative and inspiring. To learn more about Cornerstone and Skills Development, please visit https://www.cornerstoneondemand.com/ 

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