Skill Gap Analysis

An assessment method used to identify gaps between an employee’s current skills and the skills required for their role or future positions.
HR teams conduct skill gap analyses through performance reviews, self-assessments, and industry benchmarking. The results inform training programs and workforce development strategies.

How do you analyze skill gaps?

• Identify the skills required for each role in your organization
• Assess current employee skills through surveys, tests, performance reviews, or observation
• Compare current skills against the desirable or required skills for each role
• Analyze the gaps — which skills are missing or underdeveloped
• Prioritize the gaps based on their impact on performance and business goals
• Develop a training or upskilling plan to close the gaps

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What are examples of skill gaps?

• Communication skills (conflicts, poor collaboration)
• Digital literacy (lack of technical prowess with software or tools)
• Leadership skills (decision-making, delegation, motivating team members)
• Project management (organizing, following timelines, delivering results)
• Customer service skills (listening, problem-solving, interpersonal ability)
• Analytical or strategic thinking (using data to make decisions)

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How do you calculate the skill gap?

Skill gap can be calculated by:

• Rating current competency level (say, 1–5 or 1–10)
• Determining required competency level for the role
• Subtracting the current score from the required score
• The resulting number shows the gap (for example, a current score of 2 and a required score of 4 = a gap of 2)

You can then average these gaps across roles or individuals to gauge the overall skill gap in your workforce