The importance of certification in employee skill validation

In the fiercely competitive market of today, organisations are not limiting themselves to considering only degrees when hiring. The exacerbating impact of the pandemic, rising inflation and global recession predictions are all directly associated with the Great Attrition phenomenon. This has led employers to rethink their hiring approaches and explore a recruitment space that is more skill-based and driven by a promptness to react to real-world challenges. 

Considering the burgeoning business landscape, the organisations are moving beyond degrees and titles to focus more on skills that a particular job requires. Subsequently, organisations are sourcing new talents with non-traditional skills to build a better and sustainably inclusive workforce. However, to future-proof their skills, they are shifting their focus towards certification-based skills that formally validate an employee's knowledge, skills and expertise. 

As part of skill validation, certifications are pivotal in aligning an organisation’s goals with its workforce capabilities. These programmes benefit not only employees by enhancing their career journey but also provide organisations with concrete evidence of their team’s skills, ensuring quality, credibility, and a competitive edge. 

According to the American Society for Training & Development (ASTD), over 80% of organisations now offer certification or professional development programs to their employees. This highlights the growing recognition that validated skills are key to thriving in an increasingly competitive market.

Skill verification and consistency

Amid the ongoing war of talent and layoff announcements, certifications serve as an objective measure of skill, providing employers with verified proof and tagging employees that they meet industry standards. 

Unlike the traditional methods of self-assessments or internal evaluations, certifications, often issued by reputed third parties, ensure a standardised measure across industries. For organisations, these certifications produce reduced risk when it comes to employee performance. Certified professionals bring a uniformity in level of knowledge and skills, aligning the candidates’ capabilities with organisational goals. 

According to the Global Knowledge 2021 IT Skills and Salary Report, 85% of IT professionals feel more confident in their abilities after earning a certification, which directly translates into higher productivity and job satisfaction.

Professional development and growth

Employees are always on a constant hunt for employers who are aligned with their professional growth. Since certification programmes empower employees to augment their skills, they often lead to promotion and increased possibilities for personal growth.  On the other hand, when an organisation invests in employee certifications, it exhibits their commitment to long-term success which can be highly motivating and encouraging in improving employee experience. 

Building trust and credibility

For many organisations, building credibility with clients, stakeholders, and peers within the industry is crucial. Having employees validated with certifications can significantly boost a company's reputation, showcasing to the stakeholders that the company values knowledge, skill, and quality. It acts as a quality assurance marker, giving clients and partners the confidence that they are working with real-world professionals in the industry. As a result, this credibility can lead to better client relations and allow organisations to gain a competitive edge in the market.

Ensuring compliance and reducing risk

In today’s fast paced world, organisations are mandatorily designing stringent compliance and regulatory standards, especially in industries such as healthcare, finance, and information technology. In tandem, certified employees are more likely to understand and adhere to compliance standards, which further reduces the risk of non-compliance and associated penalties for the organisation. Moreover, certifications enable them to create a workforce that is not only skilled but also proactive in managing and mitigating potential risks.

Attracting and retaining talent

To thrive in a competitive world, organisations are considering certification programmes as an effective tool in attracting top talent. When prospective employees see that an organisation values certifications, they are more likely to perceive it as a place that values growth, professional development and business ethics. Furthermore, employees who feel that their employer invests in their skills are more likely to stay with the company long-term. This reduces turnover rates and the associated costs of recruitment and training. 

Industry changes and technological advances

With accelerated technology adoption, organisations are rapidly evolving, creating a constant need to prepare for industry changes. Given the scenario, certifications can be an effective way for employees to stay updated on the latest market trends and technologies. Certification programmes often cover emerging technologies and industry practices, preparing employees to adapt and remain relevant even in dynamic landscapes. This brings agility for employees to transition more smoothly into new roles or adapt to new technologies. 

Final thoughts

The importance of certification in employee skill validation cannot be understated. For organisations, it serves as a foundation for workforce excellence while for employees, it provides a pathway to personal growth and career advancement. As part of their forward looking bets, organisations can integrate certification programmes into their employee development strategies and create a culture of quality, continuous learning, and resilience. 

(Ravi Kaklasaria is the CEO and Co-Founder of edForce.)