Tag Archive for: #JobSearch : Employers Want – And Will Pay For – Soft Skills. Are You Focusing On Them Enough? Got Kids?

Gallup and Amazon Web Services recently completed a study that assessed workers’ job satisfaction based on their digital skills, including information technology, coding, data analytics, and search engine and social media marketing. The survey showed that workers with digital skills experienced higher job satisfaction, increased wages, and felt safer from layoffs or firings. The pay bump was particularly pronounced: those with advanced skills could expect about a 65 percent premium in compensation over those without digital skills.

The importance of having some technical skills in a world where technology advances at exponential rates means that much press is given to the importance of learning these skills. And indeed, it is important to have – at some level – a firm grounding in technical topics. But far less attention seems to be given to the other side of the skills coin: the soft skills.

This Forbes article points out that employers rank soft skills higher than technical skills when hiring new employees. Knowing how to code may be critical if you’re a software developer, but those skills won’t matter if you can’t do the soft things: work well on a team, lead a project, communicate clearly, and think critically. Soft skills are particularly important if you want to take on more responsibility – they are the grease that allows you to successfully move from an individual contributor role to a leadership one. Indeed, in an article talking about the importance of soft skills to career advancement, the author references this LinkedIn survey, noting,

“Technical capabilities can only take you so far in your career. To really soar, you need skills that are harder to measure but critical to success. In LinkedIn’s … report, 89 percent of recruiters say that when a hire doesn’t work out, it usually comes down to a lack of soft skills.”

Here at Harvard Business School, our faculty have produced thousands of pages of research on the importance of soft skills. And the portfolio of online certificate programs we offer reflects this sense that while accounting and finance skills are important to a modern business, they are nothing without the more human skills. Courses centered on leadership, power dynamics, management, and negotiations are examples of those that teach “pure” soft skills. But even those courses that are geared toward the more technical skills regularly touch on the soft ones as well.

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Article continued …

You can find plenty of free content online regarding soft skills development. But learning about leadership in any meaningful way through a Google search is much harder than learning how to code in Python. To be effective, online soft skills educational content needs to utilize features like self-assessment tools, complex interactive simulations, and real-world stories to ground learning. Producing such courses can be difficult and expensive.

Even then, many are skeptical that soft skills can be taught – either online or in person. Some evidence suggests that they can. But that prompts a question: even if they can be taught, do employers pay for soft skills as they might for easier-to-quantify technical skills? There’s surprisingly less data on this. But with my years of experience as a manager and leader, I would unequivocally say “yes.” And a recent study we did at HBS Online provides evidence that soft skills do indeed translate into better economic outcomes.

In a survey of 2,000 past HBS Online learners conducted by research firm City Square Associates, 42 percent experienced an increase in salary, with an average bump of $17,000 in additional annual income. Twenty percent saw a bonus increase that averaged $14,000. That means that over the roughly eight-year history of HBS Online, the population of those who have taken one of our programs have collectively realized about $700 million in economic value. Admittedly, not every one of the respondents took a soft skills focused course; but many did. Even if only 50% of that $700 million in value could be attributed to soft skills, the numbers are meaningful and a strong indication you shouldn’t ignore soft skills development at any career stage.

A final thought: I recently sat in on an in-person executive education case discussion comprised of senior leaders from a financial services firm. The case study they were addressing related to a dysfunctional leadership team at a fictional company. The professor closed the discussion by recounting something he learned as a doctoral student after reviewing nearly 1,000 pages of research focused on leadership. He said that when he finished his review, he noted that there were ultimately only two things that matter for those aspiring to become effective leaders: hold those who report to you accountable for meeting ambitious goals and do it while demonstrating that you care.

That’s a compelling argument for the importance of soft skills.

Forbes.com | October 28, 2022 | Patrick Mullane