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8/12/2019 SDF5 Skills Audit Full Article
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SKILLS AUDITS
By Heather Watson (The Skills Framework)
A key piece of information an organisation needs to improve is to know whatskills and knowledge the organisation requires and what skills and knowledgethe organisation currently has (www.cognology.biz/sawhatis.htm).
1. Intro!"tion
What is a Skills Audit?
A skills audit is essentially a process for measuring and recording the skills of
an individual or group. The main purpose for conducting a skills audit in anorganisation is to identify the skills and knowledge that the organisationrequires, as well as the skills and knowledge that the organisation currentlyhas.
kills audits are also usually done to determine training needs so anorganisation can improve its skills and knowledge. !owever skills audits arealso completed for other reasons such as restructuring and deployment. Askills audit gathers more information than simply your current qualificationslevel. "t firstly identifies the skills matrices for the organisation and then delvesinto what the current competencies are of each individual against this
predefined set of skills required to fulfill a specific role.
The outcome of the skills audit process is a skills gap analysis. Thisinformation will enable the organisation to improve by providing theappropriate training and development to individuals to cater for the identifiedskill gaps. The skills audit process will also provide information which can beused for purposes such as internal employee selection and to ensure that thecorrect person is deployed in each position.
#. Bene$its o$ Skills A!its in the Work%la"e
The key piece of information an organisation needs to improve and to deliverto its #ission tatement and strategy is to know what skills and knowledge theorganisation requires and what skills and knowledge the organisationcurrently has. $T% consultancies &www.rtoconsultant.com) claim that theskills audit 'provides a snapshot of the organizations skills base( that allowsidentification of specific training needs, prioritization of training and meeting ofemployee desires and aspirations.
This information is essential for a number of reasons
*ithout this information you don+t know where to improve.
*ith this information your training and development will be better planned
and more focused.
kills Audits
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$ecruiting needs are better defined and more likely to result in the most
appropriate candidate.
-lacement decisions are easier with knowledge of current competence
levels.
areer pathing and succession planning is assisted with accurate
information on individuals.
Therefore the key benefits of a skills audit are
alid and valuable *orkplace kills -lans.
"mproved skills and knowledge.
0ower training and development costs because development efforts are
more focused.
Acquisition and use of information that can be used for purposes such as
internal employee selection and placement.
"ncreased productivity as people are better matched to their positions.
The results of a skills audit can be reported for each division to showindividual and divisional competency gaps against competency needs. This inturn, assists with the collation of a *orkplace kills -lan that complies withthe provisions of the kills 1evelopment Act and eta regulations. 0ancaster,#abaso and #eyer &233, p45) claim that 'the skills plan can only beproduced after the organisation has conducted a skills audit and acomprehensive needs analysis(
6urthermore, certain etas, such as the 7ankseta, have included skillsauditing as one of the requirements for the discretionary grant. This meansthat organisations that conduct skills audits in a structured manner, maysubmit levy claims against 8rant 1 of the skills development regulations.
&. Te"hni'!es $or on!"tin a Skills A!it
There are numerous techniques to conduct a skills audit based on the conte9tand strategy of the organisation. "t is vital that the first step in implementing askills audit is to analyse the organisational conte9t and strategy in relation tothe ob:ectives of the skills audit. The conte9t of the organisation may beidentified based on time available, logistical issues, primary reasons for the
skills audit and the prevalent socio;political environment. The organisationalstrategy provides the basis for alignment of skills to current and futureorganisational needs. This alignment is essential to ensure consistency withbusiness strategy and value of skills audit results.
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The process to be followed essentially consists of the following
There are three key stages to a skills audit.The first is to determine what skills eachemployee requires. The second stage is to
determine which of the required skills eachemployee has. The third is to analyse theresults and determine skills developmentneeds. The outcome of the skills auditprocess is usually a training needs analysis,which will enable the organisation to targetand also provide information for purposessuch as recruitment and selection,performance management and successionplanning.
a. etermine skills requirements"n order to determine skills requirements, an organisation should identifycurrent and future skills requirements per :ob. The end result is a skills matri9with related competency definitions. 1efinitions can be allocated againstvarious proficiency levels per :ob, such as basic, intermediate and comple9.
!. Audit actual skillsThe actual skills audit process is outlined below and involves an individualself;audit and skills audit. $esults are collated into reporting documents thatmay include statistical graphs, qualitative reports and recommendations.
c. etermine development needs and plan for training"restructuring%nce skills audit information has been collected, an analysis of the resultsmay be used for planning purposes relating to training and development andother !uman $esource interventions. $ecommendations are then discussedand agreed actions are implemented.
The entral
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#ractical $ompetence
The demonstrated ability to perform a set of tasks in an authentic conte9t. Arange of actions or possibilities is considered and decisions are made aboutwhich actions to follow and to perform the chosen action.
%oundational $ompetence
The demonstrated understanding of what the learner is doing and why. Thisunderpins the practical competence and therefore the actions taken.
&efle'ive $ompetence
The learner demonstrates the ability to integrate or connect performance withunderstanding so as to show that s/he is able to adapt to changedcircumstances appropriately and responsibly, and to e9plain the reasonbehind an action.Thus competence is understood as including the individual>s learning,
understanding and ability to transfer and apply learned skills andknowledge across a wide range of work conte9ts.
+. !rrent Strateies $or Skills A!it Im%lementation
kills audits may be conducted in various ways. urrent approaches to skillsaudits include the followinga) -anel approachb) onsultant approachc) %ne;on;one approach
A panel is normally madeup of managers, ub:ect
#atter =9perts and !$e9perts. The skills auditform is completed throughdiscussion, and includesone;on;one feedback withthe employee.
=9ternal consultantsinterview both employees
and managers, and mayreview performance andrelated documentation toestablish an individual>slevel of competence.
This is similar to aperformance appraisal,
e9cept that an individual israted against a pre;definedskills matri9 instead of his/or her :ob profile. Theemployee>s manager willhold a discussion with theemployee to agree onskills audit ratings.
The panel approach is regarded as the most valid and fair method ofconducting a skills audit as it involves individuals who know the employee,sub:ect matter e9perts and !uman $esources personnel. The audit must beconducted in a fair and open fashion, where the employee is provided with
kills Audits B
"ndividualself;audit
-anel audit onsultantaudit
%ne;on;one audit
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ample opportunity to provide evidence and discuss the findings, in relation totheir own self audit.
Skills Audit &ating ScaleThe skills audit rating scale allows for statistical analysis of the results of the
skills audit. An individual or panel rating for each skill listing is allocated andthen various calculations are made to interpret and collate skills audit reports.=ach rating allocation requires a description and definition.
An e'ample of a Skills Audit rating scale is
$ating 1escription 1efinition
3 ?o evidence ofcompetence
An individual does not currently display anyform or level of competence in the skill listed.!e or she may require formal training ande9posure to the skill in the workplace.
3.2C ome evidence ofcompetence
The individual may demonstrate partcompetence, but definitely needs formal trainingand e9posure to the skill in the workplace.
3.C =vidence ofcompetence, needsfurther training
An individual is competent, but needs toimprove. Training is the most effective solution.The individual may be at a lower level than theposition requires, i.e. at linear, instead ofcomple9 level.
3.DC =vidence ofcompetence, needs
more e9posure to theskill
The individual is competent and has undergonetraining. 6urther e9posure in the workplace
would ensure improvement and fullcompetence. The individual may be at a lowerlevel than the position requires, i.e. at linear,instead of intermediate level.
6ull evidence ofcompetence
The individual is competent in the skills at thelevel allocated to his/ her position.
)vidence
=vidence of performance and competence should be made available in thefollowing cases
*here an employee deems it necessary to prove competence, and *here a panel team deems it necessary to request further evidence of
competence
There are three types of evidence that may be presented in various formats. 1irect evidence E =vidence produced by the employee2. "ndirect evidence E =vidence produced about the employee. !istorical evidence E =vidence about the employee>s past performance
=vidence may be in the form of documents, work;in;progress, trainingcertificates, witness testimonials and/ or videos.
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)valuation of evidence
"f and when employees provide evidence of competence, such evidenceshould be evaluated. The evaluation of evidence should be undertakenagainst the following
alidity
!ow valid is the evidence in respect to the competence in questionF
Authenticity
"s the evidence authenticF 1id the employee produce the evidence him orherselfF
onsistency
"s the evidence proof of consistent performance of the competence inquestionF
urrency
"s the evidence proof of current competenceF ufficiency
"s the evidence sufficient to make a rating decisionF
A useful acronym to use for the above is A.
#itfalls to Avoid in $onducting a Skills Audit
The !alo =ffect
-erfectionism/?on;-erfectionism
=9ternal 6actors
elf;perception
*he #rinciples of Skills AuditsThe principles of skills audits form the foundation upon which skills audits are
conducted. They should be strictly adhered to ensure a fair and validprocess.
a) 6airnessb) alidity and $eliabilityc) Transparency/ %pennessd) onstructive feedback
&eporting Skills Audit &esultsThe results of skills audits provide information to collate various reports.These reports are vital as they may be used to inform organisational trainingand development strategy, *orkplace kills -lans, individual developmentplans and performance management interventions, amongst others. Thesereports must be stored in a manner that respects the confidentiality ofindividual employees. "t is therefore important to agree on and communicatewho has access to skills audit results, and how these people may use theresults upfront.
kills audit reports may take on a number of forms. "t is vital however that the
following information can be e9tracted from the reports
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"ndividual competency profiles &see e9ample of report below)
"ndividual name G employee number
3H
23H
B3H
53H
43H
,33H
,23H
.om
munica
tion
"nte
rperso
nal
.ontro
lling
Administra
tion
-lan
ning
.om
pute
r
1rafti
nglegald
ocs
-rop
erty
law
"nte
rviewing
1ivisional radar report &see e9ample of report below)
1epartment name ; 1ivisional $adar $eport
3
23
B3
53
43
,33
.ommunication kills &7)
"nterpersonal kills &7/=)
Administration skills &1)
-lanning kills &1)
#anagement kills &8)
#arketing &7/.)
0oans -rocessing &A/7/./1)
.omputer skills &1)
%rganisational pie chart &see e9ample below)
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(om%any name
,-.A*ISATI,*AL
ST-AT/.I( (,01/T/*(2 1-,FIL/
55H
DHDCH
5IH
DCH
D,H5IH
A. trategic competency listing 7. . 1. =. 6. 8.
3. ase St!y
A large agricultural bank implemented the entire skills audit process utilising
the panel approach in late 233. The pro:ect took place over a period of Cmonths and was implemented by internal staff who were trained and providedwith advice from e9ternal consultants. The scope of the pro:ect included overI33 employees in 2I sites across the country.
The process involved the following steps
1evelopment of skills matrices per department tarting with skills matri9
training, competencies and related definitions per :ob were identified alongwith allocation of proficiency levels. This was verified with managers ineach department.
kills audit training for panel members &managers in each department) "ndividual self;audit =ach :ob incumbent received instructions from their
manager and completed an individual self;audit against the specificcompetencies for their :ob.
-anel skills audit A panel per department agreed and allocated skills audit
ratings per :ob incumbent.
$ating verification kills audit ratings were verified through a process of
comparing and calculating an average between individual and panel skillratings. *here ratings differed substantially, further discussion betweenpanel members took place and evidence was re;evaluated, upon whichagreement was reached on a rating.
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"ndividual feedback #anagers provided individual feedback to :ob
incumbents on the results of the skills audit. 1iscussions on training anddevelopment per individual substantiated the results.
kills audit analysis and reporting Aggregated ratings were then
transferred onto graphs for reporting purposes. 8raphs included individual
and departmental competency profiles, as well as an organisationalcompetency profile. %n analysis of these reports valid training anddevelopment plans were produced and used to collate the company>s*orkplace kills -lan.
$esults from the skills audit pro:ect were presented to the organisation>smanagement committee and the related *orkplace kills -lan wasimplemented. 6eedback from the organisation indicated the value of trainingand development was substantially more valid due to the implementation ofan effective skills audit process. The skills audit procedure is now in place andis used on an ongoing basis for various purposes, including re;structuringinterventions and skills planning.
4. Skills A!it Im%lementation in Di$$erent ,ranisations
"mplementation of skills audits in different types and sizes of organisationneed not vary in terms of steps to be followed. The primary distinctionbetween skills audits in the ##= versus larger employer organisation relateto pro:ect timeframes and costs. 1uring pro:ect planning, timeframes andcosts are established by identifying number of departments, number of :obs,number of individuals, purpose of the skills audit, skills audit approach and
whether e9ternal consultants are to be used or not. "n smaller organisations,the most basic and essential skills audit steps should be to identify whatcompetencies the organisation requires currently and in the future per :ob,and then to establish what competencies the organisation currently has. Thisinvolves rating individual competence levels against identified competencies,and using rating results for skills development planning purposes. The keyob:ective of the skills audit is to ensure usefulness of information in achievingorganisational strategy through skills development.
5. ost Im%li"ations
osts to be incurred during skills audit implementation include Training
Time
Administrative e9penses &e.g. stationery)
"nformation system/ software
ommunication
@se of consultants, where necessary
6. ro7lem o$ *ot on!"tin a Skills A!it
#eyer, #abaso G 0ancaster &)* practices in South Africa, 7utterworths,233) recommend proactive needs identification and a more futuristic
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approach to the assessment of training needs. "nstead of being reactive andresponding to competence problems that arise by sending an individual ontraining, proactive use of skills audits to plan and implement training needsallows for achievement of company strategic goals.
The potential repercussions of not conducting a valid skills audit process fortraining planning purposes include
"nvalid and unreliable training plans
Training plans that are not specific to individual, departmental and
organisational needs
0ittle or no commitment to training G development by management and
staff, as plans are not seen as value adding
0ittle or no alignment of training and development to organisational
strategy and ob:ectives
?on;implementation of the *orkplace kills -lan and therefore the
organisation will not be able to claim reporting grants
8. S!mmary
"n summary, it is clear that implementation of a skills audit process to inform!uman resource planning efforts is vital. trategic !uman $esourcemanagement focuses on integrating and relating skills development tobusiness strategy. 7y following the simple skills audit route, organizations canensure that skills development and other related !$ interventions areproactive and successful.
19. -e$eren"es
arrell et al, +uman &esource ,anagement in South Africa &Thomson,
2332, 2nded.).
entral
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kills Audits