March 26, 2024

How to Implement Skills Taxonomy

3 Min Read

In the wake of the positive reaction to my recent article on Tech Companies & Skill Taxonomy, which explored the significance and impact of skills taxonomy within tech companies, it's clear there's a strong interest in practical, actionable advice on this topic. The enthusiasm and engagement from readers have underscored the demand for a deeper understanding of how to effectively implement a skills taxonomy in the workplace. Therefore, we're diving back into this subject with a focused guide aimed at providing companies with a structured approach to construct and utilize a skills taxonomy for strategic talent management and organizational alignment.

A Step-by-Step Guide for Companies

Understanding and organizing the diverse array of skills within an organization is a cornerstone of modern business strategy. A well-crafted skills taxonomy not only facilitates better talent management but also aligns workforce capabilities with the broader goals of the company. Below is a comprehensive guide for companies looking to implement an effective skills taxonomy:

Step 1: Define Your Objectives

Clear objectives are the foundation of a successful skills taxonomy. Determine whether your goal is to identify skill gaps, support workforce planning, enhance career development, or achieve another specific outcome. This clarity will guide the creation and application of your taxonomy.

Step 2: Engage Stakeholders

Involving a range of stakeholders from HR, various departments, and even the employees themselves ensures that the taxonomy reflects a wide array of needs and insights. This collaborative approach guarantees relevancy and usability across the organization.

Step 3: Conduct a Skills Audit

A thorough audit of the current skills within your organization is crucial. Utilize job descriptions, employee assessments, performance data, and training records as resources to catalog existing skills and identify areas for development.

Step 4: Categorize Skills

Organize skills into meaningful categories such as technical skills specific to roles or industries, soft skills related to interpersonal and cognitive abilities, and leadership skills for managerial positions. Consider further subdivisions for granularity.

Step 5: Define Skill Levels

For each skill category, establish levels of proficiency (e.g., beginner, intermediate, advanced) to facilitate the assessment of employee competencies and pinpoint development opportunities.

Step 6: Implement a Management System

Adopt a management system or software that integrates with your HR systems, is user-friendly, and allows for the taxonomy to be regularly updated and easily accessed by employees.

Step 7: Train and Communicate

Ensure that both employees and managers are educated on how to utilize the skills taxonomy. Emphasize its benefits, such as personalized development paths and targeted training programs, to encourage adoption.

Step 8: Review and Update Regularly

The skill needs of the workforce evolve; thus, your taxonomy should be periodically reviewed and updated to stay current. Stakeholder engagement is key in maintaining its relevance and comprehensiveness.

The Leedus Advantage

Leedus offers an AI solution that automates the construction and updating of your company's skills taxonomy. By integrating seamlessly with your existing corporate tools—such as HISR, project management tools, and professional development platforms—Leedus extracts and analyzes the skills and proficiency levels of employees with minimal manual intervention.

How Leedus Empowers Employees:

  • Personalized Recommendations: Based on the skills taxonomy and an employee's current skill set, Leedus offers tailored learning recommendations. This ensures that development efforts are aligned with both the individual's career goals and the organization's strategic needs.
  • Career Pathing: By understanding the various skill levels and career trajectories within the organization, Leedus helps employees visualize and plan their career advancement, offering clear steps and learning resources for reaching their desired position.
  • Dynamic Adaptation: As the skills taxonomy evolves with the organization, Leedus's recommendations and career plans adapt accordingly, ensuring employees are always aligned with current and future organizational goals.

The creation of a skills taxonomy is a strategic endeavour that can significantly enhance talent management and organizational agility. With the support of technologies like Leedus, companies can not only automate and refine this process but also leverage it to provide unparalleled support for employee development and career planning. This ensures that the skills taxonomy is not just a static resource but a dynamic framework that actively contributes to the growth of both the organization and its employees. To learn more about how can help you accomplish skill taxonomy, book a call with our CEO Reem to learn more.

See a demo
Ahmad Baiazid