Abstract
Competencies gap is now becoming a common problem in Indonesia. Research done by the World Bank in 2019 shows that one of the reasons for the competencies gap is limited opportunities for on-the-job training, only 5% of the workforce reported receiving formal training. One of the companies in Indonesia that experiences a problem of competencies gap is PT Frolant. PT Frolant is a manufacturer of instant food and drinks in Indonesia. The problem of competencies gap is shown from the low internal readiness of the company, employees don’t have the competencies required by the company, especially competencies for higher positions of Supervisor and Manager. The proposed solution to solve the competencies gap problem in PT Frolant is by designing new training programs. The process of designing a new training program included conducting training need analysis, design training based on competency, and using the Kirkpatrick Model to evaluate the training program. The research findings show that the company needs to do several improvements in order to create a training program that can solve the problem of the competencies gap. Those including aligning competency standards with organizational goals and organizational design; use several tools to be better in identifying employees with competency gap; differentiate between soft skill and hard skill or between strategic knowledge and operational knowledge in designing training; and perform all four steps of Kirkpatrick Model in evaluating training. Designing training programs based on competencies aims to help PT Frolant improving employee performance that will further improve company performance.
Highlights
In this era, the working world is changing rapidly
The analysis shows that the employees in the non-managerial level of the two divisions rarely have any skill in leadership or problem solving that is needed at the supervisor and manager level
Beforehand PT Frolant creates its competency standards only based on job descriptions created by the human resource division and the head of the division, that are not referring to organizational goals or organizational design
Summary
Globalization and the development of technology, information, and science demand job seekers and employees to always be prepared to meet the competencies required by a company. A problem could happen when there is a gap, or incompatibility, between company standards and the current competencies of employees. The workforce lacks English and digital skills, high turnover levels and talent theft can create disincentives for businesses to train employees. Indonesian work-seekers are not meeting these skill demands, creating high levels of gap in which workers have either too many or too few competencies for their jobs. While companies in Indonesia start to demand more for higher skills employees, many Indonesia workforces are still unable to meet the requirements. Based on the 2016 Perception Survey of Labor Market Stakeholders by the World Bank, only one-third of Indonesian medium-sized companies offer training to employees. The lack of a critical mass of businesses requiring quality training in some sectors leads to an underdeveloped supply of appropriate training, which decreases the demand for quality training from employees in Indonesia. (World Bank, 2019)
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