As the world continuously changes, you and your organization must adapt to it. And as your company adapts, your workforce should, too. Your employees hold the key to your company’s future. If they’re left behind, your organization will be, too. This is where upskilling comes in. In this article, we’ll share with you 5 tell-tale signs that you need to upskill your workforce.


What is Upskilling?

But first, what is upskilling? In simple terms, it’s the process of learning or teaching new skills. And it’s usually connected with the digital transformation.

As technology advances, gaps appear in your employees’ skill sets. Just a few years ago, digital devices can only be enjoyed by those who can splurge for it. Nowadays, these digital devices can be found everywhere. According to Newzoo’s 2019 Global Mobile Market Report, in the Philippines, there are around 33.6 million Filipinos that have active smartphones. This makes the country 15th in terms of the number of active smartphone users worldwide. That’s how accessible these digital devices are in the present!

So, it’s no wonder that upskilling is important, especially for the older generations who are not so used to technology. However, upskilling today is not just about filling the skills gap that technology causes. It’s also about reskilling your employees to create a more well-rounded and cross-trained workforce, which increases their effectiveness and improves performance.


5 Tell-Tale Signs that You Need to Upskill Your Workforce

Now that you know what upskilling is, you might be asking yourself:  do I need it? So, here are 6 signs to watch out for to know that you need to upskill your workforce.


You’re having a hard time promoting

As much as you want your employees to stay forever in your organization, that’s impossible. As your business grows and develops, some of them will leave and retire. Your proven leaders will most probably be among them. This is why your succession planning is as important as your hiring.

One way to find future leaders for your organization is to look at your current workers. But if you’re having a hard time promoting your employees, it’s a tell-tale sign that you need to upskill them. Performance isn’t the be-all and end-all of promotion. You also have to look at whether a person possesses the necessary competencies their potential position requires.

When you upskill your workforce, you prepare them for the next step in their career. Hiring for any senior position can be expensive. Internal development such as upskilling can help you with your succession planning.


You want to reduce costs

When you notice a skills gap in your organization, what do you do? If your solution to this predicament is to go and hire a new employee with the necessary skills, then you’re sure to spend a lot of time, effort, and money. So, why hire another person when you could just equip your existing workforce with the skills they need to handle new challenges?

Upskilling also affects retention. Turnovers can cost from 30% to 150% of an employee’s salary. And one of the reasons why employees leave is when they feel that they have no room for growth in the organization. Investing in their development—such as upskilling them—can make them stay, therefore eliminating the terrifying costs you may incur if they leave.


Employee morale is low

One of the most powerful non-financial motivators is employee development. It’s one of the greatest investments you can make for your employees. So, when morale is low, one possible reason is that they don’t feel that you value them. Sooner or later, if you don’t address this issue, your employees will leave.

This is where upskilling comes in. If you upskill your employees, you invest in their development. And employees who have training and development opportunities are happier in their roles. They also see that they could have a future in your company aside from their current position. If they know that they have a career path in your organization, they’ll work harder to move forward.


Your organization is being left behind

If your organization is having a hard time keeping up with the constantly changing business landscape, that’s definitely a sign that you need to upskill your workforce. How many businesses are there that failed because they didn’t adapt to the new requirements of the world?

For instance, in the current situation where the world is battling a pandemic and limited mobility is required, businesses who acted quickly and operated remotely are surviving—with some even thriving. Companies that upskilled their workforce to prepare them for remote working arrangements and managing virtual teams can even function almost the same as before. Those who upskilled and equipped their staff with crisis management and leadership skills are also moving forward.

Adaptability is the key to managing change. And to adapt, you and your workforce need to be equipped with the right skills. Upskilling will help you with that and make sure that your organization will not be left behind.


You want to rightsize your organization

Do you feel that your company is lacking employees? Or do you feel that you have too many? If you feel this way, you need to consider rightsizing.

Rightsizing is the process of making a company or organization a more effective size. Upskilling can help you with this. Do you really need new people or can you upskill your current staff with the essential skills? If you think you have too many employees, you may consider upskilling some people who can handle the jobs in positions you reckon are redundant.


Did you see one or some of the signs above in your company? If yes, then it’s time for you to upskill your workforce!


How do you go about upskilling your employees in a strategic way? People Dynamics, Inc. presents skills-matching assessments to assist you in getting an objective assessment of your employees, that you can use to generate effective learning and development interventions and bridge misalignment. You can also customize our skills-matching assessments to help you better achieve your goals! For more information, you may email us at, contact us through our website, or call us through the following numbers: (+632) 8 635 0016 / 8 635 9215 / 8 637 8770.