Skills-based organisations provide an opportunity for businesses to supercharge their functions; but it can be a shock to the system for your employees if not handled correctly. There’s both a cultural transition on an organisational level and the shift in professional identity for employees.

In this article, talent and change expert Gemma Ryall unpacks the key considerations, and outlines how you can ease the transition to skills. This piece forms part of our Becoming skills-powered series where we are answering some of the big questions in the skills space.

Let’s talk about the elephant in the room – moving to a skills-based organisation isn’t just about fancy new frameworks and shiny processes.

It’s about people. Real people with real concerns, hopes, and yes, maybe even a few fears. 

Remember when everyone’s LinkedIn headline was their job title? Well, things are getting interesting. We are moving from “I’m a Marketing Manager” to “I’m the person who makes complex data tell compelling stories.”  

Skills-based frameworks enable employees to showcase talents that may have previously gone unnoticed in rigid, role-centric models. For some, that ability for creative problem-solving or talent for bringing people together gets its moment in the spotlight. But change isn’t easy for everyone and takes time.
 

So, what is really going on in people’s minds? 

Job titles and hierarchical positions have long served as anchors of professional identity. For some it is daunting to think about themselves in a deeper level of detail than ‘a job’ and for others it comes more naturally. Either way, we face a shift in how we identify ourselves professionally and how we view our professional opportunities.

The shift in how we identify ourselves professionally demands greater self-awareness and the ability to articulate our work and capabilities in new ways. We recognise that our value isn’t confined to a role but exists in the unique combination of skills we bring to the table. While this realisation can be empowering, it also requires embracing a mindset of continuous learning and adaptation.  

Professionally, the shift to a skills-based organisation opens doors to dynamic career pathways and collaborative opportunities. That data analyst who excels at explaining complex concepts? They might find themselves leading training sessions or consulting with clients. The marketing specialist with a knack for coding? They could become the bridge between technical and creative teams.

This flexibility in applying skills creates exciting opportunities but also brings new challenges for the individual. They get more opportunities to participate in cross-functional team projects, with increased visibility, and learning from peers comes with the risk of increased workload and burnout in gig-based working.   

Individuals will also need to share and maintain their skills data and will only do so if they can see the linkage between skills, adjacent opportunity, easier identification of learning opportunities, and career path opportunities. If individuals can see this link, it makes it a more front of mind way of engaging with their development and career progression, supporting the transition to a learning/growth mindset. 

So, how do we successfully transition to this way of thinking and working? 

Organisations need to help individuals embrace a continuous learning (growth) mindset as a permanent state rather than considering it occasional training.

While organisations often focus on the technical aspects of this transformation, the human element – particularly the transition to a growth mindset and continuous learning culture – requires careful consideration, change management and sustained support. 

Success in this transition hinges on creating an environment where learning becomes as natural as breathing, and systematically built into values and behaviour though initiatives like:

What could this look like from a change experience journey? 

Organisations need to support individuals to transition to these new mindsets, behaviours and ways of working.

As we know, cultural change does not happen overnight and nor does a shift to a skills-based organisation. Understanding the areas you as an organisation need to adapt or change to support SBO culture/ways of working will be a key first step. You can then consider the steps you need to take to support the shift in culture.  

For HR professionals, the key to supporting this transition lies in recognising that we’re not just changing processes – we’re reshaping how people view their professional identity and career journey. For instance, success metrics shift from completion rates of training programs to evidence of behavioural change: employees naturally seeking learning opportunities, increased peer-to-peer knowledge sharing, cross-functional mentoring, non-linear career paths and having greater resilience when facing challenges.  

Gemma’s top tips: 

• Build in steps to ensure a growth / learning mindset and accessibility to learning  

• Pilot first and share successful stories 

• Support and upskill your people managers 

Ready to make this happen in your organisation?

When thinking about change, start with your people. Listen to their fears, celebrate their wins, and create the space for them to adapt.

If you have questions on what you’ve read or want to discuss anything in the talent and change space, simply get in touch via the form below.