Technical skills and practical expertise are exceedingly valuable traits for any professional candidate to possess. Highly trained technical professionals are, after all, challenging to come by. These candidates are the foundation of any successful business. Over 400 companies with 100,000 employees each, cited an average loss of $62.4 million per year because of inadequate communication with clients and between employees, in a Holmes report. Miscommunication reportedly costs even smaller companies of 100 employees an average of $420,000 per year.
Language barriers can also have a significant impact on a company's bottom line. According to a study by the Common Sense Advisory, companies can lose up to $2.3 million per year due to language barriers. This loss can be due to a variety of factors, including miscommunication, reduced productivity, and lost business opportunities. Additionally, up to 60% of cross-border business deals reportedly fail due to language barriers.
Investing in employee development to stay competitive in the future workplace
As the global economy becomes increasingly connected, the demand for language and communication skills is growing rapidly. Companies are recognizing the importance of investing in employee development to stay competitive, and many are turning to digital assessment and credentialing tools to help them do so. According to industry studies, one of the most sought-after skills (now and in the short-term future) are all soft human skills. The demand for cutting-edge hiring solutions, like Pearson India's Versant, is surging as the need to hire top talent across all industries grows. Pearson Versant is helping companies to stay competitive in the global economy by providing them with a digital assessment platform, that they can utilize to evaluate the language and communication skills of their employees. By investing in employee development, companies can attract and retain top talent, improve their bottom line, and ultimately, drive business growth. According to a report by the McKinsey Global Institute, upskilling and reskilling could add $6.5 trillion to global GDP by 2030.
As a next-gen Customer Experience (CX) company, effective communication is key to the success of our business. We decided to use the Pearson Versant Test as part of our hiring process. The results have been nothing short of impressive. The test thoroughly analyses candidates' language skills, which has helped us identify top performers and make more informed hiring decisions. Additionally, the test is easy to administer, and the customer support team at Pearson has been incredibly helpful and responsive. -Chander Prakash Gurnani, Sr. Vice President, Global Human Resources, IGT Solutions Pvt. Ltd.
The rising importance of communication, cultural intelligence, and learning capacity in the workplace
Non-technical skills, like communication, learning, and social intelligence, are becoming increasingly important and will remain so. Companies need to help employees improve these skills. Good communication, training, and language skills are crucial, as confirmed by global surveys. A PwC report titled "Workforce of the Future 2030" states that workers in all industries must have good communication skills to engage customers. Companies should invest in upskilling their workforce in communication for a customer-focused future.
Furthermore, the increasing L&D requirements in companies are driven by several factors, including technological change, the changing nature of work, and the need to stay competitive. Upskilling and reskilling are vital to meet these requirements and companies and employees should give them the importance it deserves. Companies that invest in their employees' learning and development can improve employee productivity, boost morale, and retain top talent, while employees themselves can improve their job security, increase their earning potential and open new career opportunities. Besides language, the development of “soft skills” is a necessity for successful growth in the 21st century. These soft skills include things like critical thinking, problem-solving, collaboration, and communication.
Tailoring upskilling and soft skills development to industry-specific needs
In conclusion, as the job market continues to evolve, upskilling and developing soft skills is becoming crucial for organizations. The World Economic Forum predicts that soft skills like creativity, emotional intelligence, and problem-solving will be in high demand in the future of work. Specific industries, like healthcare and technology, have also identified key soft skills such as adaptability and leadership as necessary for success. By investing in the development of these skills, organizations and professionals alike can be well-positioned to thrive in the changing job market.
This is the next article in a series on learning, powered by Pearson. Through this series, we focus on the learning and development landscape and discuss trends to keep an eye on. Learn more about Pearson Versant. Click here to sign up for a demo and here to subscribe to Pearson for alerts.