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As more organizations adopt skills-based talent practices, many focus heavily on technical enablers like skills taxonomies and technology. While important, a critical yet often overlooked element is the supportive culture that enables these practices to thrive. Last week, I shared the first paper in a series from Business Roundtable on skills-based talent practices, which focused on measuring their impact. In this latest second paper, the authors share early lessons from companies cultivating cultures to support these practices. A key takeaway is the need to clarify the “why” behind skills-based practices. Without a clear purpose, initiatives risk being deprioritized or seen as performative rather than integral to business strategy. The paper also notes that adopting skills-based practices doesn’t automatically shift company culture. For example, a study I previously shared analyzed 11,300 roles and the impact of removing degree requirements—a highly touted skills-based practice. On average, fewer than four additional candidates without degrees were hired per 100 job postings, but 37% of Skills-Based Hiring Leaders achieved nearly a 20% increase in hiring workers without degrees. This result shows that skills-based practices require cultural and mindset shifts to succeed. The latest Business Roundtable paper covers several other ideas, including page 10, which provides 10 questions and suggested metrics to help organizations align efforts with their culture.
