How Does Skills Tracking Save You Money?

How does Skills Tracking Save you Money?
As you may know, trying to save money within an organization can be challenging, especially when you have exhausted all your measures on cutting the cost of your product or service. Sometimes however, cutting the costs of the product or service is not enough; you need to dig deep within the organization’s processes to find out where you can save money. One of the tasks you may find difficult and costly is finding the right person, with the right skills and knowledge for a task or project. That’s where skills tracking software comes in. Skills tracking can help minimize the time spent finding the right people, the cost of underutilizing employees, and the cost of not finding the right person for a task. 

The Time Finding the Right People
As the old saying goes, “time is money”. The more time spent working on something also means more money is being spent. One thing that has been proven to be time consuming is finding the right person with the proper skills for a project. In order to find the right person for the job, employers need to interview existing employees to determine which of them would have the skills needed to complete the project. With the utilization of skills tracking software, managers can have the answers that once took them days or event weeks to uncover within a matter of seconds. Skills tracking can save hundreds of hours translating to thousands of dollars. 

The Cost of Underutilizing Employees
In order to capture the complete value of a product you would use every feature it has to offer, so why aren’t organizations doing this with their employees? The cost of underutilizing employees is astounding. On a project with a budget of one million dollars, anywhere from $210,000 to $340,000 of the budget is due to under-utilized employees. Having a skills inventory allows organizations to know what an employees’ capabilities are, therefore utilizing them to the best of their ability, and in turn drastically cutting costs.

The Cost of Not Finding the Right Person for a Task
As a manager, when assigning tasks for a project you always want to make the right choice in who you pick to carry out that duty . However, sometimes finding the right person with the proper skills needed for the project can be very difficult. Many times, people are hired because they state they have skills that they don’t truly possess or highly exaggerate their level of existing experience. This oversight can cost companies, but can be eliminated by tracking skills. This would allow managers to observe their employees skills, along with what other skills they may have, which could save the organization thousands of dollars if not more.

One of the most invaluable assets managers have is time. So why continue to waste that precious time on the monotonous task of finding the right person for the project when the answer can be given to you in seconds? Managers are always aiming to make their employees the best they can be, so why not make yourself the best manager you can be with skills tracking software!