CAPTER 5 - Skills Development and Continuous Learning

Constantly evolving technological change requires that workers continuously update their skills, with the World Economic Forum estimating that by 2027 50% of employees will need to reskill due to automation and AI taking hold. Organizations have been moving away from traditional training approaches to a continuous learning ecosystem model that includes microlearning, personalized learning pathways, and experiential opportunities (Noe, Clarke and Klein, 2014).

However, recognition of the impact of continuous learning programs is not enough to overcome the familiar barriers around implementation. Bersin (2019) points out that employees can expect only to devote roughly 24 minutes per week to formal learning on-the-job, given their competing demands. The "knowing-doing gap" does not go away: organizations spend money and energy to train people mentally and physically, and yet continue to not support learners on applying their skills (Pfeffer and Sutton, 2000). Often the learning programs of today reflect competency models that are outdated or no longer align well with the current business big picture. Global efforts that address learning often stumble on language differences and different cultural preferences in how to learn. The learning opportunities tend to benefit primarily the higher potential learners, effectively exacerbating skills gaps.

Building a Resilient Workforce for Tomorrow

Organizations provide access to online training and certifications in cutting-edge technology training (e.g., AI or data analytics) and enable employees to apply skills to projects. Supporting cost coverage of advanced degrees helps to develop expertise for the employee and the organization.

Promoting a Culture of Lifelong Learning (SHRM, 2025)

To truly embed continuous learning, organizations have to create a learning culture and not just limited training from time to time. Valuing knowledge sharing, reflection, and experimentation in day-to-day work involves an integration of formal methods such as online courses with informal ones including peer coaching and cross-team collaboration. Companies do this by making it part of how work gets done.

Future-Proofing Through Upskilling and Reskilling (The Talent Accelerator, 2023)

As technology reshapes work roles, businesses must make increased strategic investments in reskilling and upskilling programs. These help bridge skill gaps, while better equipping people for new responsibilities and increasing adaptability and retention.

For instance, a company could provide courses in cloud computing or data analytics for current staff, enabling them to shift into in-demand roles and freeing the company from expensive hiring externally while creating a better-skilled, more loyal workforce.

Theory for Skills Development and Continuous Learning

Human Capital Theory (Becker, 1964)

Human Capital Theory (Becker, 1964) emphasizes that employees’ skills, knowledge, and competencies are valuable assets that contribute to organizational performance. Investing in learning and development increases the organization’s “human capital,” yielding higher productivity and innovation.

How the Human Capital Theory connects with Skills Development and Continuous Learning

Organizations provide access to online training and certifications in cutting-edge technology training (e.g., AI or data analytics) and enable employees to apply skills to projects. Supporting cost coverage of advanced degrees helps to develop expertise for the employee and the organization.

References

• Pfeffer, J. & Sutton, R.I. (2000) The knowing‑doing gap: How smart companies turn knowledge into action. Boston: Harvard Business School Press.
• Oliver Wyman (2019) HR Technology Market 2019: Disruption Ahead. [Online]. Available at: https://oliver-dev.s3.amazonaws.com/2019/01/27/12/54/25/916/Tech_Disruptions.pdf
• Noe, R.A., Clarke, A.D.M. & Klein, H.J. (2014) ‘Learning in the twenty-first-century workplace’, Annual Review of Organizational Psychology and Organizational Behavior, 1, pp. 245–275. doi: 10.1146/annurev-orgpsych-031413-091321.
• World Economic Forum (2023) The Future of Jobs Report 2023. Geneva: World Economic Forum. Available at: https://www.weforum.org/publications/the-future-of-jobs-report-2023/
• SHRM (2025) Learning culture: Strategies for growth and innovation. Available at: https://www.shrm.org/in/topics-tools/news/blogs/learning-culture-strategies-for-growth-innovation
• The Talent Accelerator (2023) Reskilling and upskilling programs: Preparing employees for future roles. Available at: https://www.the-talent-accelerator.com/reskilling-and-upskilling-programs
• Becker, G.S., 1964. Human Capital: A Theoretical and Empirical Analysis, with Special Reference to Education. New York: Columbia University Press.