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What unseen megatrends will shape your transformation?



Authored by: 
Danielle IvosevichSenior Manager, Business Transformation
Jackie McPhedranManager, Business Transformation
Lumia Zhang, Staff Consultant, Business Transformation

Contributed by: 
Alexandra Lee, Executive Director, People Advisory Services
Lindsay Falkov, Executive Director, People Advisory Services
Jason Miller, Senior Manager, People Advisory Services
Gordon Sandford, Partner, Business Transformation
Richard Skippon, Partner, Workforce Advisory Leader, People Advisory Services

Learning is a critical component of successful human-centred transformation.


In brief

  • Envisioning your organization in the future is a critical step to understanding the skills, capabilities and roles that can support future business models and ways of working.
  • Learning should be a continuous process, where skill requirements are regularly assessed.
  • Embedding learning in day-to-day work accelerates business performance and will help prepare your organization for the future.

In Part 2 of this series, we discussed how successful transformations interweave a human focus with digital technology. Next, we’ll dive deeper into learning as a critical component of successful human-centred transformation - specifically, how learning in the flow of work accelerates business performance and prepares your organization for the future.

 

Today’s business landscape includes changing generational expectations of the workplace, increased ESG adoption, expanding digital tools, recessionary risks, and skills shortages. Yet, the challenges of today are not necessarily the challenges of tomorrow. The World Economic Forum estimates that 50% of all employees will need reskilling by 2026.¹ Organizations are realizing this, and EY teams estimate that by 2025, $500 billion will have been spent on upskilling or fragmented employee training. The stats are not surprising, given the rate of change. It’s hard to predict with any degree of certainty what organizations will be facing two years from now and likely even more difficult to predict the technical skills that will be required. What if the answer wasn’t in training only in specific tasks and skills, but anchored in creating an adaptable workforce that can evolve to meet today and tomorrow’s challenges?

Rethinking learning and building an adaptive workforce

Creating an adaptable workforce involves not only defining the technical skills needed, but also developing capabilities that support collaboration, agility and innovation - capabilities that will support teams in adapting and learning new skills.

The ability to react, pivot and evolve are critical foundational capabilities that support learning and upskilling. It’s not as simple as defining the skills and capabilities, as the statistics show that learning in its traditional form is not meeting the needs of many organizations, despite significant spend.² To drive meaningful, transformative outcomes and build a future-ready workforce, traditional learning methodologies and approaches must be reimagined to support the development of an employee base that can pivot with disruptions as they come up. This includes creating a culture that supports, prioritizes and rewards learning and embraces innovation in learning methodologies.

Integrating learning and work

Learning has historically been focused on specific training tasks, for example, reskilling farmers to operate new machinery. With today’s speed of disruption, by the time training has been developed and deployed, both the “machinery” and the skills are outdated. Behavioral science has shown that only 10% of human learning is happening through traditional learning, in mediums like online courses and instructor-led classes. While a small percentage, this 10% is important, foundational knowledge upon which other learning can be built. Organizations need to ensure they get the right content for 10% and then prioritize development efforts where 90% of effective learning happens – on the job.

At EY, we define “embedded learning” as a process that makes learning explicit and integrates learning with work, rather than treating it as a series of separate events, like virtual classroom sessions. Learning embedded in everyday work can include on-the-job-coaching, apprenticeships, shadowing opportunities or business problem-solving in a supported environment – or a combination of these methods. Embedded learning is a key enabler in continuous business improvement. As ways of working evolve and organizations support more innovation and collaboration, embedded learning enables quick responses to mistakes and continuous development opportunities, ultimately improving results. Embedded learning has an additional benefit compared to traditional learning — since learning doesn’t take place all at once, your teams aren’t off work for extended periods of time. This provides a more cost-effective approach over time.

What differentiates “embedded learning” is that learning becomes experiential, work integrated, blended and continuous. Employees are likely to see the connection between their jobs and training when they apply their learning opportunities alongside daily work routines. Corporate culture should support a sustainable learning environment, integrating learning and promoting knowledge-sharing and collaboration among employees. One challenge today with integrating learning and work is the tracking and measurement of skill growth. While it is a challenge today, integration of data from learning management systems (LMSs) and learning experience platforms (LXPs) with operational data can allow for greater visibility into learning outcomes. Furthermore, evaluation of skill gaps before and after learning, focused on the actual application of the skills learned, can provide a more fulsome measurement.

Continuous learning

Envisioning your organization in the future is a critical step to understanding the skills, capabilities, and roles that will support future business models and ways of working. This process should be iterative, mapping the exact size and shape of your organization’s skills gap, so learning programs that follow are informed by thoughtful, forward-thinking analysis. Successful companies will regularly revisit their skills mapping in response to changing market conditions, developing talent as required to build an adaptive workforce. The reality is, it’s often easier and more impactful to teach specific skills than it is to teach an organization’s culture and ways of working – an important reason for leaders to focus on upskilling.

Just as business landscapes continues to change, learning should be viewed as a continuous process, where skill requirements are regularly assessed and investments are made in new solutions to evolve the learning experience based on how work will be done in the future. The future world of work demands organizations and individuals reskill to survive. Organizations will look to Talent and Learning and Development as enablers of in-the-flow learning and upskilling, partnering with business units to define the future requirements. Critical to that reskilling should be human digital age leadership skills, which are different from historically emphasized leadership traits. Stay tuned for the final chapter of this series in which we'll discuss the role of transformative leadership in achieving organizational ambitions.



Summary

In part 3 of this series, we discuss how learning needs to be a continuous process, where skill requirements are regularly assessed, and investments are made in new solutions to evolve the learning experience. To drive meaningful, transformative outcomes and build a future-ready workforce, traditional learning methodologies and approaches must be reimagined to support the development of an employee base that can adjust to disruptions as they arise.


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