Five HR Gaps That Might Sink Your Company

Businesses are scrambling to keep up with a world that’s changing faster than ever – new tech, new skills, new expectations. It’s no surprise that HR teams are hitting roadblocks when trying to hire, keep or even make the most out of their people. These gaps aren’t just an inconvenience; they are a threat to staying competitive in a world where innovation moves at warp speed.

Any employer would be wise to spot these gaps and fix them fast. Here are five HR gaps that can sink your ability to build a workforce that’s ready for what’s coming:

1) The Widening Skills Gap

AI is dramatically transforming workplace roles. AI-driven automation has an early stronghold in fields like manufacturing, but many companies aren’t even close to ready. Forget the hype or fear around AI – tools like Microsoft Copilot or ChatGPT are here, and they’re not just for writing emails. Used right, they can crunch data, solve coding problems or streamline analytics to improve quality and service.

The problem? Your workforce may not know how to use these tools. Companies need to up-skill or re-skill their workers to get ahead of this emerging technology.

In its infancy, artificial intelligence will no doubt go through growing pains. Companies that are agile enough to risk early adoption might have to navigate through several iterations of AI but will be ahead of the curve in the end. Those who take a “wait and see” approach will regret it — and soon.

2) Workforce Forecasting

This isn’t about counting heads, it’s about knowing what skills you’ll need to meet future demand. Good forecasting uses hard data to predict how market shifts will hit your business. Are you staffed for growth? Can you afford it? Will technology shift the ratios and types of workers you will need? Without forecasting data, you’re guessing – and that’s a recipe for disaster.

3) Paying Attention to Data

It’s not hard for an HR department to crunch numbers and figure out the rate of turnover each quarter, but most stop there. Collecting numbers isn’t enough – you need to dig into the why. If your turnover jumps from 14 to 45% in a year, something’s wrong. If you don’t figure out what’s driving it, you’ll lose more people and burn cash replacing them.
Predictive analytics can spot trends, uncover issues and guide smarter hiring and operational decision making. Don’t sit on your data – use it.

4) Engagement and Culture

This topic is reaching fatigue-levels, but companies still need to pay attention to the priorities of a multi-generational workforce, especially younger workers. The “Boomer” workforce is cruising toward retirement, and the new generation has entirely new priorities in how they work, how they communicate and the benefits and workplace culture they value. If this isn’t understood and embraced, your organization becomes a revolving door. You’ll waste a fortune recruiting and training people who turn around and leave. Get serious about a culture that keeps them.

5) Succession Planning

Companies typically plan for the retirement and succession of their top executives. While that’s crucial, it doesn’t go far enough. You’ve got people at all levels with critical institutional knowledge – customer details, processes, passwords even – that your business depends on. If they leave, get poached or even pass away, it can derail your entire operation.

It’s instinctive for some employees with privileged information, from log-in codes to personnel records to inventory stats, to protect their positions by keeping that material under wraps. But allowing this is a big mistake. Not only does it leave you highly vulnerable if that employee walks, it can also deny other departments access to vital intelligence.

Companies should always be identifying and mentoring potential leaders who can take over responsibilities without disruption. And vital information such as passwords and log-in credentials for mission-critical systems should always be accessible to more than one trusted executive. Otherwise, you may one day find yourself begging a former employee to verify 2-factor authentication just to regain access to your email server.

The world of work is changing fast, and these gaps are holding companies back. Fix them, and you’ll turn weaknesses into strengths that give you an edge.

All content provided in this article is for informational purposes only. Matters discussed in this article are subject to change. For up-to-date information on this subject please contact a James Moore professional. James Moore will not be held responsible for any claim, loss, damage or inconvenience caused as a result of any information within these pages or any information accessed through this site.