OPINION: Employers must tailor their hiring and retention strategies to the reality that talented people will always look for opportunities elsewhere. Firms need to step up their commitment to developing skills through on-the-job coaching.
LONDON—It has always been difficult to know with certainty that someone will be a good fit for a job until she or he is in the role and actually doing the work.
On-the-job learning is vital In recent research, the McKinsey Global Institute examined millions of de-identified work histories, as well as job postings, across four major economies—the United States, Germany, the United Kingdom, and India—to see how people accumulate skills over the course of their careers. The study found that skills and improved job matches acquired through work experience are linked to almost half of the average person’s lifetime earnings.
Employers must tailor their hiring and retention strategies to the reality that talented people will always look for opportunities elsewhere. Unfortunately, this makes cautious hiring managers uncomfortable. Many employers still recruit from tried-and-true sources and familiar backgrounds. They write up job descriptions with long lists of requirements and look for candidates already doing exactly the same tasks at another company.
But hiring for potential works only if a firm’s managers and programs also offer effective on-the-job coaching and apprenticeships. When they do, companies can improve their productivity and employee retention while providing the growth opportunities workers want and need.
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