Our talent ecosystem has faced unprecedented changes over the past couple of years. Since The Great Resignation, the state of the labor market has started to normalize after a historically high number of job openings last year. However, the job market continues to be competitive. Top talent continues to pursue better opportunities — even as economic headwinds and uncertainty result in well-publicized layoffs. The demand for new and constantly changing skills and the advancement of artificial intelligence (AI) tools like ChatGPT have also created the need for upskilling.

In the face of continued disruption, employers can leverage internal mobility as a talent strategy to help fill much-needed roles and enable growth within their current talent pool. Also known as “quiet hiring,” companies can upskill and reskill internal talent to fill skills gaps versus having to hire externally. An internal talent marketplace can cut hiring costs and help companies continuously achieve results with faster onboarding processes. It can diversify and unlock hidden skills sets and encourage knowledge sharing.

Implementing an internal talent marketplace can be accelerated by:

1. Identifying specific business challenges that require new talent solutions (e.g., filling skills gaps or reducing attrition).
2. Developing a clear business case and return on investment (ROI).
3. Implementing a learning platform.
4. Upskilling and reskilling employees to close skills gaps.

Businesses can use a central platform that uses a supply and demand model to match talent with open opportunities. Platforms that support internal mobility may also use workforce intelligence and skills analytics, using both passive (behind the scenes) and active (through the marketplace) insights, to make smart connections.

Platforms that support internal mobility dynamically align recommendations for open projects, gigs and full-time roles with employees’ aspirations, which help find internal talent for critical roles, provide employees with development opportunities and can impact the business with lower recruitment costs, reduced turnover and speedier time to proficiency in filling internal roles. It also encourages innovation by accessing internal capabilities and skills through enterprise gig markets.

Platforms that support internal talent marketplaces generate data and information about the company’s internal talent and is a unique source of information and insights. It can give leaders a real-time visualization of their people’s skills, interests and aspirations.

Challenges To Implementing an Internal Talent Marketplace

1. Lack of a Skills-based Approach

One of the main challenges to creating an internal talent marketplace is that most organizations do not have a skills-based approach to work. Only one in five enterprises are adopting skills-based practices to extend across the organization. A skills-based approach values individual employees for their skills and goes beyond a one-size-fits-all model. While most leaders want to make the shift, many companies lack a comprehensive understanding of their workforce capabilities. However, the idea that you need a comprehensive view of all skills before you deploy a talent marketplace is a misconception. An AI-powered platform that supports internal talent marketplaces can generate data that communicates to leadership which skills and capabilities are already present in the company.

2. Pushback on Technology

Some leaders may think talent marketplace and workforce agility platforms are an unnecessary expense to the business and addition to the organization’s technology stack. However, you must communicate with stakeholders the importance of implementing this technology. An internal talent marketplace helps companies connect employees with different opportunities in the company and is similar to a supply and demand model. Without this tool, it would be challenging and inefficient to maintain an internal marketplace.

3. Knowing How to Get Started.

Most of all, a big challenge is knowing where to start. Implementing an internal talent marketplace can be daunting as it will require a huge shift throughout the organization. To begin, the organization must be clear about the company’s expectations for the program with all stakeholders. Next, learning leaders must ensure their people have the skills needed to assume these new roles and move internally within the company. Offer upskilling and reskilling programs to employees and communicate their value to increase participation.  Lastly, a platform will need to be implemented to connect employees with new roles and keep track of internal opportunities.

In Conclusion

Now more than ever, an internal talent marketplace can be a great way to retain top talent, quickly fill critical roles and tap into diverse skill sets. Instead of waging war for top talent in this highly competitive marketplace, turn to your current talent pool and watch your workforce’s capabilities grow.