Realising your ‘people potential’ through skills gap analysis



Read time
5 mins


In today’s evolving workplace, the ability to rapidly develop skills has never been more critical. A comprehensive skills gap analysis can be a game-changer, helping you to unlock your organisation’s (and your people’s) full potential. To understand the impact of robust skills analysis, we’ll look at its significance, implementation, and how it can benefit employees and employers alike.

At a glance: what exactly is a skills gap analysis?

A skills gap analysis is a thorough assessment that carefully gauges an employee’s existing skill set in relation to the skills required within an organisation or team. Its purpose is more than simply evaluation; it also establishes individuals’ precise skills development needs, ensuring they remain competent and proficient in their roles. The responsibility for conducting skills gap analysis usually rests in the hands of HR and L&D teams, who often turn to learning management systems (LMS) to streamline the process and outcomes.

How can a skills gap analysis empower your organisation?

Skills gap analysis is a powerful tool for nurturing talent and achieving success; here are five meaningful ways it can benefit your organisation:

  1. Identify development needs: by promptly recognising skill gaps, organisations can offer relevant and targeted training opportunities, nurturing employees to reach their highest potential and helping you to ensure continuity and success
  2. Unleash hidden potential: skills gap analysis identifies key strengths and underutilised skills that may be applied in other areas, creating a more versatile and agile workforce
  3. Foster cohesive teams: building strong, motivated, and engaged teams becomes feasible when you understand individual skills gaps, improving talent retention and boosting engagement
  4. Budget with precision: personalised training based on data-backed skills gap analysis ensures that the right skills are developed at the right time, optimising budget allocation and reducing unnecessary spend
  5. Paves the way for future growth: accurate data on current and future skill demands enables organisations to shape hiring strategies so they align with key goals and objectives, anticipate upcoming challenges, and find solutions before it becomes critical

A peek under the hood: what does a skills gap analysis do?

Delving deeper into the inner workings of skills gap analysis, its functionalities, and process, here are four key outcomes of such a project:

  1. Spot the gaps: with a firm focus on your organisation’s competency frameworks, skills gap analysis pinpoints areas where employees’ skills and knowledge fall short, allowing HR teams to offer targeted improvement plans
  2. Paints the bigger picture: the analysis process can incorporate various assessment methods, including self-assessments, and comprehensive 180- and 360-degree reviews, enabling a more comprehensive and accurate evaluation of individuals’ competencies, knowledge, and experience
  3. Illuminate critical areas for improvement: using assessment data, skills gap analysis highlights key areas for skill development, helping employees take control of their professional growth and organisations to plug crucial gaps before they become problematic
  4. Makes room for personalised learning: the best skills gap analysis tools will intelligently suggest tailored learning activities and content, ensuring employees receive precisely what they need to thrive without becoming overwhelmed with irrelevant learning activities

Analysis in action: how a skills gap analysis works

Preparation and planning are key for a skills gap analysis to be successful. A well-crafted strategy, supported with advanced tools can bring it all together:

  1. Integrate competency frameworks: the foundation of a skills gap analysis lies in loading your organisation’s competency frameworks into your LMS
  2. Invite self-assessments: open the floor for employees to assess themselves against your competency frameworks – this encourages participation, cultivates self-awareness, and promotes professional development and critical thinking
  3. Embrace feedback: encouraging employees to seek feedback from managers and peers adds valuable perspectives, improving the quality of the analysis and challenging them to self-reflect on the steps they need to take to achieve their career goals
  4. Make an action plan: the outcome of the analysis is a skills report, complete with 180-degree and 360-degree feedback, areas for improvement, and critical skills gaps. Formulate an action plan to prioritise the next steps to help employees and employer reach their goals
  5. Set sail on a learning journey: employees who receive personalised learning recommendations based on their results find themselves on a path tailored to their unique needs. Ciphr LMS guides employees on a visual journey through various learning objectives, and can be supported with off the shelf eLearning content from Marshalls to help them gain valuable skills and knowledge

Why skills gap analysis software is the sophisticated choice

Traditionally, skills analysis exercises were tedious and labour-intensive, limiting their efficacy and uptake. Digital tools and eLearning content have transformed the way organisations anticipate and meet skills demands.

The seamless integration of results with user records and the automatic learning suggestions based on existing content drive greater engagement, boost skill development, and pave the way for organisational success.

Not to mention the integration capabilities between your fundamental people systems: integrated HR and LMS can take your people (and performance) to new heights.

Ready to close the (skills) gap?

Skills gap analysis empowers organisations to unravel the true potential of their workforce, and foster growth, agility, and excellence. By embracing technology and tools, your organisation can embed a culture of continuous development and create a thriving workforce armed with the ‘skills of tomorrow.’

Request a demo of Ciphr LMS today to explore how our leading technology and experienced teams can help you develop the skilled workforce your organisation deserves.