4 ways organizations fail to upskill and retain their talent

August 2, 2023 3:17 PM

Five workers speak to each other at a conference table.

The last three years have forced many employers to rethink what makes a successful workplace — and it looks like the learning curve isn't over yet.

Between adjusting to hybrid work structures, elevated compensation and benefits expectations and new technology like AI-powered research and content creation tools, many employers may be struggling to keep up, which means employees are struggling too. According to career coaching platform BetterUp, 96% of workers are looking to change jobs this year, with 74% of Gen Z and Millennial workers ready to quit due to a lack of professional development.

It looks like a majority of employees are disengaged and do not feel like they are growing at their current workplace, and bad workplace transformation practices could be to blame, says Kristi Leimgruber, a psychologist and behavioral scientist at BetterUp.

"This has been an unprecedented time of change and transition," she says. "Just think of the pace of it. It's like running on a treadmill: you can't catch up. Once you do, the next thing has already changed."

For Leimgruber, it's clear in employers' rush to transform their culture and technology, they have left employees behind. If employers are in a constant state of catch-up, then so are employees, and no one can really take the time to connect with their teams and develop long-term skills, she notes. Ironically, to catch up, employers may have to slow down.

Here are four reasons why employers fail to transform their organizations.

Wasting too much time on the latest tech tools

Leimgruber advises employers to focus less on constantly retraining employees on the latest technology platforms and tools, and more on creating a culture where employees feel comfortable pursuing relevant tech skills themselves.

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"It's the treadmill again," says Leimgruber. "You get stuck on this loop of upskilling workers on new technology, but there's always going to be the next thing and another skill. It's always a game of catch-up."

Depending on the employee's role and aspirations, they will be invested in learning different skills and technology. If employees are in a culture where tech courses and coaching are available to them and encouraged, they will feel more prepared to navigate new challenges and developments, underlines Leimgruber. But employers have to give workers the chance — and the agency — to gravitate to the skills and tools right for them.

Leaders aren’t fully onboard

Another reason organizations stumble through change is often rooted in leaders having an unclear vision of what their teams need to learn and unlearn, says Leimgruber. She asks leaders, from C-suite to team managers, to consider what their organization needs to thrive during global shifts rather than comparing themselves to other companies. Above all, she warns leaders against fearing change: true transformation can't happen if leaders aren't open to changing old habits.

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"Change is hard for everyone, and it's human nature to retreat and not try anything new," says Leimgruber. "On a large scale, that's what's happening to organizations. They are sticking to what they know best."

Managers lack the right skills

Leimgruber notes that the gap between a manager's perception of their own success and their workers' perception of the manager's success is growing. She warns managers that their focus on outcomes and the rush to have their team produce more and more under new tech may be misplaced.

"If you look at the reports [BetterUp'] is seeing, managers think they are crushing it, but workers don't have the same opinion," says Leimgruber. "Skills like authenticity, connection, coaching and communication, which allow managers to bring people back together and create real teams, is crucial to closing that gap."

People aren’t the priority

The overarching mistake Leimgruber sees organizations make is not making sure employees are on board with an organizational transformation. Many employers expect employees to follow along with little explanation or guidance, which in turn leaves few employees aligned with the overall company mission.

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"Engaging in any kind of organizational transformation, whether it's technological or messaging, means if you don't bring your people along with you, it's not going to succeed," says Leimgruber. "You need buy-in from people who are doing the job on a day-to-day basis."