An October 2024 Gartner survey of HR leadersnreveals that hiring employees based on their potential rather than their current proficiency can significantly enhance organisational performance. The survey found that individuals hired for their promise are 1.9 times more likely to perform effectively than those selected for their existing skill set.
Among 190 HR leaders surveyed, 48% acknowledged that the demand for new skills is evolving faster than their organisations’ talent structures can accommodate. “Many organizations are transforming their capabilities so rapidly that they can’t acquire all the skills they need—the talent either doesn’t exist or is too expensive,” noted Meaghan Kelly, director in the Gartner HR Practice. This situation places increased pressure on companies to develop skills internally, a task many are currently struggling to accomplish.
One major obstacle to building necessary skills is the prevailing emphasis on proficiency. The requirement for employees to demonstrate complete proficiency before being considered for new roles is delaying performance and obstructing growth. According to Gartner’s findings, only 28% of more than 3,200 employees reported that their organisation prioritises the development of potential over proficiency.
To facilitate internal mobility and accelerate skills development, HR leaders are urged to adopt a model focused on hiring based on promise, defined as a willingness and ability to learn from a foundational skill set. However, an alarming 51% of managers indicated they prefer recruiting candidates who meet all specified skill requirements, effectively narrowing the candidate pool.
“Waiting to find an employee with all of the exact skills listed for a role significantly shrinks the pool of potential candidates,” stated Annika Jessen, Director in the Gartner HR Practice. She advised managers to set simpler foundational requirements to attract a broader range of applicants.
Moreover, supporting employees hired on the basis of promise is crucial. Currently, there is an overreliance on managers to provide this support, even as they face significant burnout. To alleviate this burden, organisations can establish skills-based learning networks that include the employee, their manager, and learning and development teams. Research suggests that such a network approach nearly doubles the effectiveness of skills preparedness compared to traditional one-on-one support.
As organisations grapple with the rapid evolution of skills requirements, embracing a hiring model that prioritises potential over proficiency may be vital for future success.
