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BuildingTomorrow’sTalent:

CollaborationCanClose

EmergingSkillsGap

BuildingTomorrow’sTalent:

CollaborationCanCloseEmergingSkillsGap

BusinessandacademiaintheU.S.havetraditionallybeen

abletoequipnewworkforcerecruitswiththehardskillstheyneedtoperformatahighlevelintheworkplace.Butwiththeregularflowofnewtechnologiesandbusinessmodelsintothemarket,today’semployeesmustnavigateallthischangewithavariedskillset.

Thismeanssoftskillssuchasadaptabilityandcomplex

problem-solvingaremoreimportantthaneverforrecentcollegegrads,mid-careerprofessionals,andseasonedexecutives.Employerneedsarecontinuallyshiftingin

responsetochangesinindustryandthemarketplace,soworkersalsoneedtokeeprefreshingboththeirhardandsoftskills.

TheWideningGap

A2018BloombergNextandWorkdaysurveyaskedif

businessandacademiaweremeetingthesechallenges,andwhatareastheymightneedtorefineorrethinktoimproveoutcomes.

Theresearchteamsurveyed200senior-levelindividuals—100eachinacademiaandbusiness—focusingonfourprimary

themes:preparedness,skills,collaboration,andplanning.

Corporate,professionalservice,andnonprofitrespondentscamefromorganizationswithatleast500employeesbasedintheU.S.

RESPONDENTPROFILES

AFFILIATIONS

?Lawandaccountingfirms

?Corporationsorcommercialorganizations

?Nonprofits

?Academicinstitutions

EXPERTISE

?Talentmanagementanddevelopment

?Hiringandrecruiting

?Developingoracquiringtechnology

?Corporateorworkforcestrategy

JOBTITLES

?President

?C-suite

?Director/vicepresident

?Executiveorseniorvicepresident

Thesurveyresultsidentifiedseveralsignificantissues.

?Amajorityofrespondentssaidnewhiresarenot

well-preparedtoperformatahighlevelinaprofessional

environment,primarilybecauseofinsufficientsoftskills.

?Asurprisingnumberoforganizationslackformalplansandbudgetsforaddressingtheimpactofemergingtechnologies.

?Businessandacademiaarenotcollaboratingasactivelyandeffectivelyastheycouldbeinpreparingstudentsforem-

ploymentandreskillingindividualsalreadyintheworkforce.

PreparednessofRecruits/StudentstoPerformat

aHighLevelinaProfessionalEnvironment

4%

8%

44%

44%

Corporationn=100

7%

24%

34%

35%

AcademicInstitution

n=100

Notpreparedwithhardorsoftskills

Preparedwithsoftskills,butrequiringsignificanthardskillstraining

Preparedwithhardskills,butlackingsoftskillstobeeffective

Well-preparedwithhardand

softskillsets

Lookingahead,academicandbusinessleaderswhobuildon

existingpartnershipsanddevelopnewonescangive

studentsandnewrecruitsthecomprehensiveskillstheylackandestablishaframeworkforreskillingexperiencedworkers.

NewRecruitsNeedSoftSkills

Ifrecentgraduatesarenotwell-preparedfortheirnewjobs,itisnotbecausetheirhardskillsaredeficient.Some90percentofcorporaterespondentsand88percentofacademics

surveyedsaidnewrecruitshavethehardskills,suchas

computerliteracyandwrittencommunication,todotheir

jobssuccessfully.

Butbothgroups,however,werefarlesssatisfiedwithnew

employees’softskills.Nearlyfourin10corporationsand

almosthalfofacademicinstitutionssaidnewhireslackthe

softskillstheyneedtoperformatahighlevel.

Surveyrespondentsfrombothbusinessandacademia

agreedthemostimportantsoftskillsareteamwork,analyticalreasoning,complexproblem-solving,agility,adaptability,

andethicaljudgment.

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Copyright?2018byTheBureauofNationalAffairs,Inc.

Evolvejobresponsibilities

toreflectfutureneeds

Improverecruitingofdiversetalent

Supportmobilityandjobrotation

Investinreskillingcurrentemployees

Collaboratewitheducationalinstitutionstodevelopnewcurriculums

Offerapprenticeships

Replaceapercentageofthecurrentworkforcewithnewtalenttoensuretherightskills

Collaboratewithothercompanies

acrossindustries

Collaboratewithothercompanies

withinspecificindustries

Reducesizeofcurrentworkforce

Outsourcecurrentwork

Hiremoreshort-termworkers

55%

53%

Respondentsalsonoted,however,thatnewrecruitsarenotmeetingexpectationsinsuchsoftskillsasemotional

intelligence,negotiationandpersuasion,and,notably,complexreasoning.Thisindicatesthatbusinessand

academiaarefailingtodevelopaskilltheyhaveidentifiedasoneofthemostimportant.

5MostImportantSoftSkills

Corporationn=100AcademicInstitutionn=100

51%

46%

39%

46%

1%

4

38%39%

42%

29%

62%

1Team-workingskills(coordinating

andcollaboratingwithothers)

57%

56%

2Analyticalreasoning/criticalthinking

3Complexproblemsolving

4Agilityandadaptability

5Ethicaljudgment

5Decision-making

Decision-makingmakesthetopfiveforcorporaterespondents,

whileethicaljudgmentmakesthetopfiveforacademicrespondents.

Thissoft-skillsdeficitisproblematicasitsuggestsnewhiresareill-preparedtotacklesomeofthemostdifficultand

commonchallengestheywillfaceintoday’sworkplace.

“Employeesneedtohavetheskillstoworkwithdifferent

stakeholdersbothinternallyandexternally,”saidTensie

Whelan,directoroftheCenterforSustainableBusinessat

NewYorkUniversity’sSternSchoolofBusiness.“Theyhavetofigureouthowtobuildtrust,alliances,andwin-winsituations,allwithsoftpower,throughpersuasion.”

“Thesoftskillsarethemostimportantandthetoughesttomaster,”saidMarinaGorbis,executivedirectorofthe

nonprofitInstitutefortheFuture,whichhelpsorganizationsplanstrategicallyforthelongterm.

ExistingTalentNeedsReskilling

Some55percentofcorporationsplantoevolvejob

responsibilitiestoreflectfutureneeds,whichmeansexistingemployeesneedtobereskilledbecausetheirjobswill

change.Mid-careerprofessionalsmustadaptandmeetthesamechallengesasnewrecruits.Itisencouragingthatmorethan40percentofcorporationssurveyedsaidtheywillreskillratherthanreplaceemployeeswhentechnologychange

requiresit.

However,only30percentofcorporationsand39percentofeducatorssaidtheyarecollaboratingtohelpreskillandretrainemployees.Businessandacademianeedtoaddressthiscriticallyimportantissuetoensurethattheworkforceisprepared.

Anticipated/PlannedActionItemsforCorporations

43%

41%

32%

30%

22%

21%

21%

21%

8%

1

13

%

*Corporaterespondentsinorganizationsmaking$499millionorlessinannual

revenuearesignificantlymorelikelytoofferapprenticeships(42%)thanthosein

organizationsgenerating$500millionormoreinannualrevenue.

PersistentChallenges

Itisclearthatnewhiresareenteringtheworkforcewithan

incompletesetofskills.Thequestioniswhy?“Ithinkweneed

toasksomequestionsofthebusinessandacademic

communities,”saidDorianWarren,afellowattheRooseveltInstituteandformerprofessorattheUniversityofChicagoandColumbiaUniversity.“Thereisclearlyadisconnect

betweenthetwogroups.Aretheytalkingpasteachother?Aretheytalkingenough?”

Thesurveyshowsalackofplanningbybothbusinessandacademia.Onlyabouthalfofbusinessesandtwo-thirdsofacademicinstitutionshaveaformalplanforaddressingtheimpactofemergingtechnologies.

FormalBusinessPlansinPlacetoPrepare

7%9%

17%

24%

43%

67%

52%

FutureWorkforces

6%

19%

23%

25%

27%

AcademicInstitution

n=100

Corporation

n=100

No,wedonotseethis

asanareaofconcern

No,butwe’vestartedtohavediscussionamongseniorleadershiponthistopic/weintendtoaddressthissoon

No,butoneisindevelopment

Yes,aformalplan

hasbeencreated

Yes,aformalplanhasbeencreatedandiscurrentlybeingimplemented

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Copyright?2018byTheBureauofNationalAffairs,Inc.

MarinaGorbisoftheInstitutefortheFutureisdeeply

concernedaboutthisfinding.“Itiscriticalthatallorganizationsthinksystematicallyaboutthefuture,particularlyinthese

times,”shesaid.“Thislevelofplanningshouldalmostbea

fiduciaryresponsibility.Howdoyouinnovate?Howdoyoudostrategicplanningwithoutrigorousplanningandaviewtothefuture?Youcan’t.”

DavidWilliams,aprincipalwithDeloitteFinancialAdvisory

Services,believestheskillsissueisreallyacollaboration

problem.“Academiahaseveryrighttosaytheyareturningoutthesmartest,best-educatedstudentsever,butbusiness

clearlywantsadifferentmixofskills,”hesaid.“Ithinkthe

narrativereallyoughttobeaboutcollaboration.Howdothesegroupscollaboratearounddevelopingtheskillsetsthatwill

producethemostimportantandrelevantworkproduct?”

SelectionofCollaborationStatementsthatareTrue

Totaln=200Corporationn=100AcademicInstitutionn=100

Collaboratestoestablish

education-to-workpipelines

Collaboratestoshapecurriculumtoalignskills

Collaboratesonreskilling/retraining

Noneoftheabove

Idon’tknow

38%

38%

39%

30%

22%

6%

%

6%

3

66%

66%

Thesurveyhighlightsalackofcollaborationbetweenbusinessandacademia.Inadditiontothedatashownabove,amajorityofrespondentsfeeltheircounterpartsaremotivatedorhighly

motivatedtocollaborate(60percentand67percent,

respectively).Butthelevelofactualcollaborationisquiteabitlower,largelybecausebusinessesarenotmakingitapriority.

Only38percentofcorporaterespondentsareactively

collaboratingtoestablisheducation-to-workpipelines.Just38percentofbusinessesareworkingwiththeiracademic

counterpartstoshapecurriculum.Academicinstitutionsaredoingbetter,with66percentofsurveyrespondents

collaboratingwithbusinesstobuildeducation-to-work

pipelines,and66percentworkingwithcorporationstoalignskillswithwhatbusinessexpects.

ClosingtheGap:Collaboration

Aligningtrainingwithworkplaceneedstobetterequipbothnewandseasonedemployeesrequiresstrongandstrategicpartnershipsbetweenbusinessandacademia.

ZiaKhan,vicepresidentofinnovationattheRockefeller

Foundation,challengestheconventionalviewthatthe

skills-developmentpipelinealwaysflowsfromacademiatobusiness.“Ithinkwe’regoingtoseeamuchlesslinear

approach,”hesays.“Foronething,itcanworkbackwardswherebusinessfeedsproblemsbacktoacademiatoguidetheirresearcheffortsmoreproductively.”

But,“Side-by-sidecollaborationmightnotevenberealistic

whenorganizationshavedifferentcultures,standardsof

quality,andpace.Iexpectwe’llseeintermediate

organizations—institutesorteams—thatjointlyworkon

objectivesthatdrawonthebestoftheirrespective

organizationswithoutgettingheldback.We’veseenthis

beforewithpartnershipslikeBellLabsandAT&T.”1

SomeleaderslikeWhelanatNewYorkUniversityareforgingproductiveexamplesofcollaborationthatbothfeedback

intotheworkplaceandinformfutureinstruction.In2016,sheestablishedtheCenterforSustainableBusinessatNewYorkUniversity’sSternSchoolofBusiness.Shedrewonher

relationshipswithbusinessleaderslikePaulPolman,chief

executiveofUnilever,tounderstandwhatorganizationsneedinsustainabilityprofessionals.Shealsoestablishedan

advisoryboardwithC-suitecorporateleaders,andagroupofadvisorsfromthemiddle-managementranksrepresentingseveralindustrysectors.

“Together,theyserveasasoundingboardforthebusinesscommunity,toensurethateverythingwedoatourcenteriscurrentandrelevant,”Whelansaid.

Thecenterhostsbusinessleaderswhosharesustainability

strategiesandrelevantbusinesscases.Thecenteralso

conductsjointresearchprojectswithindustry,mostrecentlywithagroupofcompaniesintheautosector.Itplaces

studentsininternshipssothey“learnfirst-handwhat

businessesareconfronting,”Whelansaid,“andbusinesscanunderstandourstudentsandtheirlevelofexpertise.”

Allofthisinteractioninformsthecenter’scurriculum.“It’sveryvaluableinput,”Whelansaid.“Ithelpssetdirectionandhelpsusknowatahighlevelwhatcoursesareneeded.”

NewApproachestoReskilling

Thereisstrongevidencethatbusinessandacademiacan

overcomethesechallenges,andnumerouscasestudies

providelessonsandexamples.

Forexample,some41percentofbusinessesareinvestinginreskilling,accordingtothesurvey.Some55percentplantoevolvejobresponsibilitiestoreflectfutureneeds,anda

majoritysaytheirtrainingbudgetsaregoingup.Allofthis

saysbusinessesarecommittedtotheirownpeople.

1NokiaBellLabs,“History,”

/about/history-bell-labs/

4

Copyright?2018byTheBureauofNationalAffairs,Inc.

KhanoftheRockefellerFoundationagreesthatsoftskills

shouldbedevelopedprimarilyattheuniversitylevel.Buthe

saysitisuptobusinesstosendastronger“marketsignal”to

schoolsandjob-seekersthatsoftskillsareimportant.“Right

now,schoolsandcandidatesmighthearthattheseskillsare

important,butbusinessesarerecruitingandinterviewing

primarilyforhardskills.Atbest,theyaresendingmixedsignals.”

NewYorkUniversity’sWhelansaidthat“Traditionally,studentshavebeentrainedtodeconstructsomething,takeitaparttoitscomponentparts,intellectuallyorphysically.It’spartofthe

industrialrevolutionmodel.”But“todayeverythingis

interconnected.Whenyoupushonelever,somethingis

affectedsomewhereelse.Youneedtobeabletothinkaboutthingsinasystemsway.Itcreatesbusinessopportunityanditreducesrisk.”

“Youshouldn’tbereskillingbecauseyoulostyourjob.Itshouldbeaboutstayingcurrentinyourjob.”

Yetacademicandbusinessleaderscautionthatskillstrainingisdifficulttoimplementsuccessfully.TheRooseveltInstitute’sDorianWarrennotedthathistorically,government-ledeffortsliketradeadjustmentassistanceprograms2havenotbeen

highlysuccessful.“Atthegovernmentandpolicylevel,atleast,theseprogramshavenotbeenconsideredvery

effective.”

DianaFarrell,presidentandchiefexecutiveoftheJPMorganChaseInstitute,advocatesforamorecollaborativeretrainingmodel.“Irecommendamoreactivecollaboration,witha

companyorindustrygroupworkingwithacademic

institutionstoprovideabaselevelofcredentials,”shesaid.

Forexample,theautoindustryrecognizedtheneedtoinvestinlocalcommunitycollegesanduniversitiestoestablish

programsthatwouldhelpdevelopthetalenttheyweregoingtoneedastheindustryevolves.

“There’satransformationalshiftthat’sneededineducation

thathelpspeopleacquiregoodtechnicalandprofessional

skillsafterhighschool—alayerofskillsthatdoesnotrequireacollegedegreetoacquire.”Andthatskillsdevelopment

needstocontinueforexistingemployees,onthejob.

SoftSkillsforToday’sWorkplace

Ensuringstudentshavetherightsoftskillstosucceedis

essential,andleaderslikeDavidWilliamsofDeloittebelievetheyknowhowtoapproachit.

“Forme,theseskillsaresocorethatitisbestforacademiatotakethemon,”hesaid.“Buttheseskillsarealsosoparticulartoabusinessthatit’sreallyimportantforcompaniestotellacademiadirectly,almostincompany-by-companyterms,

whatthey’relookingfor.”

Williamsalsobelievesacademicinstitutionsneedtoadapt

theirmethodologytoteachskillsliketeamwork,collaboration,andhowtodevelopemotionalintelligence.

“Thesethingsarebesttaughtinsmallergroupsthanare

typicallyusedinundergraduateeducation,withamuchmorepsychology-orientedcurriculumwithinabusinessskillset—

andamoredesignthinkingapproachthanthetraditional

academicapproach.”4

“Ratherthansaywe’regoingtoredeployorreskillwithina

“It’sreallyimportant

forcompaniestotell

academia…whattheyarelookingfor.”

company,theysaidwe’regoingtoparticipateinabroader

effortforapopulationofworkers,whetherornottheycome

workforus,”Farrellsaid.

Intermsofactualcollaboration,academicinstitutionsaremorelikelytobecollaboratingwithcorporationsthanviceversa,particularlytoestablisheducation-to-workpipelines

(66%academicvs.38%corporate),andtoshapecurriculum(66%academicvs.38%corporate).

Beyondthat,Farrellsaiditistimetolookdifferentlyatskills

developmentandretraining.Sheservedonataskforcein

2017undertheaegisoftheCouncilonForeignRelations.The

resultingreport,TheWorkAhead,recommendednumerous

work-relatedandeducationalreforms.3Farrellsaidreskilling

shouldbeanongoingexperience,notaone-timeevent.“You

shouldn’tbereskillingbecauseyoulostyourjob.Itshouldbe

aboutstayingcurrentinyourjob.”

Withrespecttoeducation,Farrellsaid,“Iampersonally

concernedthatwehavecommunicatedtotheworldthatyou

justneedacollegedegree,andyouremploymentprospects

willbefine.That’snotthecaseforeveryone.

2U.S.DepartmentofLabor,EmploymentandTrainingAdministration,“WhatisTradeAdjustmentAssistance?”

/tradeact/factsheet.cfm

3EdwardAldenandLauraTaylor-Kale,“TheWorkAhead:CouncilonForeignRelations,April2018,

https://www.cf

Machines,Skills,andU.S.LeadershipintheTwenty-FirstCentury,”

/report/the-work-ahead/

4Ideo,“DesignThinking,”

/pages/design-thinking

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Copyright?2018byTheBureauofNationalAffair