How the right software can address the most pressing hiring challenges

High turnover, talent shortages, building inclusive workplaces: All these challenges can be addressed with skills-focused hiring.

How the right software can address the most pressing hiring challenges

3 min read

The COVID-19 pandemic intensified a number of challenges already facing hiring managers and human resources professionals. Talent shortages, high turnover, and the need for more diverse, inclusive teams were key concerns before the pandemic began, and they continue to pose obstacles for companies in every industry.

At the root of all these challenges lies a need to fight a number of biases, focused not only on factors like race or neurodivergence but also on longstanding assumptions about the hiring process itself. By integrating curiosity about candidate skills with the use of AI-based technology to deepen insights, companies can begin to break free of outdated views and build a workforce equipped to tackle the challenges of the coming years.

Different issues, common root

On the surface, the biggest issues facing employers today seem to be largely separate from one another. A lack of qualified candidates seems to have little in common with a company’s inability to retain its top talent, for example, and both may seem to have little or nothing to do with the company’s interest or commitment to diversifying the perspectives its teams bring to the table.

Beneath the surface, however, these seemingly disparate problems share at least one common feature: They all stem from problems with the traditional hiring process, which focuses on credentials and accomplishments rather than skills.

A focus on credentials and accomplishments automatically excludes certain candidates, even when their skills and abilities on the job are sound. For example, a study led by Harvard Business School’s Joseph B. Fuller and Manjari Raman found that 60 percent of responding companies hired the holder of a college degree over a non-degree candidate, even when the latter had skills and experience that would have allowed for success in the role. Because diverse candidates face biases in every area of life, they too may be excluded by a system that values credentials, awards, and titles over skills.

Yet hiring for skills is becoming a matter of life and death for many companies. According to one report from the World Economic Forum, 40 percent of workers will need reskilling by 2025. Workers hired without attention to their existing skills and ability to develop new skills imperil a company’s potential to achieve its goals. They are also less likely to enjoy their work or to find it meaningful, which means they are also more likely to leave.

Hiring for skills can reduce the costs of new hires as well. “How skilled and knowledgeable candidates are when taking on a new role determines how much training is needed and how that training should be facilitated,” writes human resources consultant Tess C. Taylor at Forbes. Candidates with transferable skills that apply to the new role tend to adapt quickly and easily, while candidates with strong learning skills usually do better with training.

Choosing the right tools for better hiring

The first step to better technology use in hiring is to make sure your existing technologies don’t exacerbate the problem. Bias is more likely in systems that use limited data sets to draw conclusions, or that are not designed with an express focus on addressing sources of bias.

Despite its name, artificial intelligence lacks the critical thinking skills humans possess. The strength of the technology lies in its ability to examine datasets much larger than the human mind can readily comprehend, but it looks for elements it is trained to see. Early use of AI in hiring, then, tended to replicate existing biases in the data presented. Early AI, for example, might recommend a company only hire candidates from the same five colleges attended by its leadership, because its leadership tended to favor candidates who shared their experience of attending those schools.

Today, the right hiring tools for a focus on skills take into account these early lessons. They allow for a focus on factors that affect actual job performance and growth, rather than on factors that represent unconscious biases. The Eightfold platform, for instance, focuses on skills, not only to identify candidates who offer a good fit for existing openings, but also to provide insights as to where candidates with certain skill sets may most effectively grow or branch out.

With the right tools, combined with human curiosity and empathy, hiring managers and human resources professionals can shift their focus from workers’ credentials to their skill sets, tackling some of the largest problems facing human resources today.

Image by: fizkes/©123RF.com

You might also like...

Skills Gaps
Skills Gaps
Jan 09, 2020 11 min read Eightfold AI

We explore how tech workers and other employees need reskilling to stay relevant, and look at the CHRO’s role in closing skills gaps.

Healthcare IT Staffing
Healthcare IT Staffing
May 21, 2019 12 min read Eightfold AI

The right tools can help hospitals and clinics spot a healthcare staffing shortage, showcase their organizations’ cultures and choose the best candidates.

Hiring Technology
Hiring Technology
Jul 02, 2019 11 min read Eightfold AI

Biotech recruiting is extremely competitive. Data-based automated hiring technology is helping companies find and recruit the best candidates.

Show More (9)Show Less
Talent Rediscovery
Talent Rediscovery
Jun 07, 2022 12 min read Eightfold AI

Organizations are struggling to find, attract, and hire candidates. Talent rediscovery can help HR teams overcome this challenge.

AI Hiring Solutions
AI Hiring Solutions
Dec 09, 2021 1 min read Eightfold AI

How AI helps companies meet today’s hiring challenges and helps to connect the right skills with the right roles.

Skills Assessments
Skills Assessments
Feb 15, 2022 10 min read Eightfold AI

Talent intelligence, the right technology, combined with HR expertise, can allow companies to focus on candidate skills directly.

Recruitment Features
Recruitment Features
Nov 16, 2023 8 min read Eightfold AI

Our latest features help to improve the flow of hiring and improve their experiences through an AI-powered, skills-based lens.

Continuous Talent Planning
Continuous Talent Planning
Mar 11, 2025 1 min read

Embrace a continuous approach to tech talent planning, fostering IT & HR collaboration to forecast needs & proactively address market shifts.

Talent Upskilling
Talent Upskilling
May 10, 2022 7 min read Todd Raphael

Talent Upskilling enables organizations to meet critical talent needs and get future-ready by developing their network.

Talent Matching
Talent Matching
May 31, 2022 7 min read Eightfold AI

Job candidates struggle to skills match to open positions. Talent intelligence tools help HR solve this problem in three key ways.

Talent Development
Talent Development
Jun 02, 2021 9 min read Todd Raphael

To overcome challenges and meet growing talent demands, changes must be made to reinvigorate the talent supply chain.

AI Talent Intelligence Platform
AI Talent Intelligence Platform
Jul 12, 2019 10 min read Eightfold AI

Replace siloed HR systems with Eightfold's AI Talent Intelligence Platform. Let your HR teams, candidates, and leadership achieve their potential!

Share Popup Title

Share this article