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Why skills, not experience, are reshaping how organisations hire for performance
Why skills, not experience, are reshaping how organisations hire for performance Premium
For a long time, hiring was done based on the simple fact that more experience meant more talent. CVs were screened for years of service in the role, experience in similar companies, and a straight line of professional growth. Experience is still relevant, but it is no longer a good predictor of performance. Companies in all sectors are beginning to see that skills, particularly those that are current, relevant, and adaptable, are becoming a more reliable predictor of performance than experience.
This is no longer a concept we discuss in theory because of the close work we do with leadership teams. It is reflected in performance outcomes, skill gaps, and general hiring conversations. The very nature of hiring itself is evolving as a result of the quick pace of technological and business change. Relevance and learning agility are more important than ever because jobs are evolving at a pace that outstrips the traditional experience trajectory.
This is most apparent in the technology industry. The challenge that organisations face today is that job applicants with 10 to 15 years of experience in a certain technology may have extensive knowledge of the past, but this knowledge may not be what the business requires in the present. Cloud computing, AI, agile methodologies, and development tools have changed the way technology work is done. In many instances, individuals with less experience but more familiarity with the latest tools and methodologies are better positioned to provide immediate value. Organisations have discovered that relying solely on the number of years of experience in the same outdated skill set has actually hindered the transformation process rather than aided it. The ability to learn, unlearn, and keep up has become as important as experience itself.
Something similar is also happening in the areas of operations, finance, and administration. Organisations have moved from manual and paper-based processes to digital processes, systems, and databases. Individuals who were accustomed to traditional bookkeeping and manual reconciliation processes are now required to be conversant with digital platforms, reporting software, and data-driven processes.
In some organisations, professionals who had in-depth knowledge of traditional processes have struggled to adapt to new systems. But professionals who have less knowledge but more digital skills have been able to work more efficiently with fewer errors and in shorter turnaround times. This has compelled organisations to rethink what they are looking for in a professional. While experience in traditional processes is valuable, it is no longer enough. The ability to upskill, learn new software, and adapt to new systems is what will make a professional successful.
The changeover is also evident in sales and customer service positions. Typically, these positions have been extremely reliant on experience within the industry, networking, and cultivating long-term customer relationships. While relationship-building is still important, the sales cycle is increasingly and increasingly reliant on data, technology, and customer intelligence.
Many experienced sales professionals have typically fallen back on relationship-building sales approaches but have been less comfortable with CRM software, analytics, and digital engagement tools. However, younger sales professionals with less experience but more technical expertise are often better positioned to track customer behaviour, customise customer interaction, and adapt to evolving buying patterns. Businesses are discovering that sales success in today's environment requires not only knowing the right people but also knowing the right tools to leverage in order to better serve customers.
In all these instances, there is one factor that is paramount. Experience is not a determinant of readiness for the current job. The business world is moving at such a pace that inflexible skill sets are obsolete. What is required in the business world today are individuals who can learn, unlearn, and relearn. Individuals who can adjust to new tools, markets, and demands.
For the business world, this implies that there is a need for a paradigm shift in the manner in which organizations hire employees. Job requirements that focus on experience may actually lock out qualified employees. More effective approaches would be to identify skills required, assess ability, and learn agility. The message for professionals is clear. Job security in the new world is no longer about tenure but about learning and skills.
Experience will always have some value when it comes to judgment, context, and perspective. However, in the new world, experience without the right skills is no longer a guarantee of success. Instead, it is skills plus the capacity to continue learning that are fast becoming the new currency of employability. The future of employment is no longer measured by the length of time one has been employed, but by the ability to learn and grow with the work.
(Shruti Swaroop is the founder of Embrace Consulting and co-founder of the International Inclusion Alliance.)
(Sign up for THEdge, The Hindu's weekly education newsletter.)
Published - January 27, 2026 06:01 pm IST
education / careers / employment
Source: TheHindu
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