As long as it is done strategically, adopting new technology is one of the best things you can do for your business. Technological advances allow you to stay ahead of your competition, pivot quickly to meet business needs, and expand your offerings to gain new customers and maximize your existing customer base.
However, new technologies require new skills as well. Every year, technology advances even faster and new skills are required of your team, giving you two choices: hire from outside your organization or train your existing employees so they can move into positions that open up.
The cost of hiring new tech talent is high, but so is the cost of training your current team.
Weighing the pros and cons of upskilling vs. hiring new tech talent, let’s look at some of the more relevant considerations.
Pros and Cons of acquiring new talent
They bring enthusiasm as well as best practices from previous jobs. They can facilitate knowledge transfer within your organization. It is theoretically easier to get someone who knows the tools right out of the box. However, this doesn’t always translate into reality.
We find ourselves in a job market where top candidates can pick and choose companies, jobs, and benefits, so you’ll probably pay a premium and might experience high turnover during the hiring process.
You’ll still have to spend time introducing them to your business, culture, strategies, assets, customers, etc., no matter who you hire.
For those who cannot afford a more experienced individual, you might get an entry-level person with the necessary skills, but not much experience.
Smaller businesses find it challenging to compete with large enterprises in a job market that offers many benefits and growth opportunities.
Pros and Cons of training upskilling your current staff
- Promotes a culture of continuous learning and innovation;
- Increases morale within your organization;
- Enhances employee loyalty and enables succession planning;
- In the United States, some companies spend over $1,000 per worker per year on training;
- In the absence of a strategic, focused approach, this money could be wasted on the wrong people, duplicated efforts, or acquiring skills not necessary;
- As a result, your employees can be poached by other companies when they acquire new skills.
The decision to train your team will largely depend on your assessment of how your team is currently performing, as well as the interest and commitment of your employees. Taking this route will take some planning, but could also pay off in the long run.
In order to stand out from your competition, you need to constantly upgrade your organization’s internal skill set, adapting to the new technologies that give you an edge.
To achieve this, we’ve seen that either you hire outside talent or you upskill your current staff members. There is no right or wrong answer here. Rather, you should decide what’s best for your organization, especially in terms of how you want to change, adapt, and expand.
No matter what path you take, you’ll need to consider issues like employee engagement, motivation, and positivity regarding growth. As long as you plan ahead, you will be able to avoid surprises along the way.