Canada needs an innovative and agile workforce
According to the Organisation for Economic Co-operation and Development (OECD), 95% of businesses in its 35 member-countries had a broadband connection in 2014.8
Most organizations, regardless of industry, rely on the internet, mobile technology, automated services and data to conduct business effectively. The digital transformation of workplaces has seen an increase in the need for digitally competent employees who can support “interdependencies between social, mobile, applications, analytics and the cloud (SMAAC).”9
In this chapter
The digital economy is marked by uncertainty, disruption and change. Technology is a major unsettling force. Communications happen in real time from all corners of the globe. The ideation-to-market process moves quickly as companies innovate to compete. Risk is elevated. Competition is global.
Organizations, themselves, are in flux. The average organization size has shrunk. Consumer demands are constantly changing. Businesses must scale up and down quickly to meet their needs and respond to changes in international markets. Mergers and acquisitions, the rise and fall of start-ups and increased global labour mobility mean companies and their employees must frequently navigate change and volatility.
A 2017 global survey of chief human resources officers (CHROs) by U.K. consulting firm Merryck & Co. discovered:
“More than 85% of companies are currently wrestling with a shift in business model
- Navigating the cloud
- Integrating a digital strategy
- Incorporating elements of AI
- Building an enterprise mindset across the matrix
- Increasing pace of execution and strategy adjustments”10
Overall, social skills—such as persuasion, emotional intelligence and teaching others—will be in higher demand across industries than narrow technical skills, such as programming or equipment operation and control.
Canadian firms face the challenge of finding people with the skills to work in this environment. Although there has been much discussion on the need for high-level training in science, technology, engineering and math (STEM), there is increasing recognition that non-STEM skills are just as important. A 2016 report by the OECD reminds us that nearly half (46%) of the so-called “innovation workforce” is made up of non-STEM occupations.12
2.2.1 Foundational skills – Creativity, collaboration, communication, critical thinking
In the innovation economy, workers need to be adaptable and agile with high emotional intelligence. They need to be comfortable moving from project-to-project, shifting gears as organizational and consumer needs ebb and flow. The ideal worker is an independent, accountable, creative thinker, who can solve problems and apply technology effectively.
Canada’s Human Resources Professional Association (HRPA) highlights the following top three skills required of the modern worker:
- 18% research, problem solving and critical thinking
- 16% leadership
- 15% soft skills, including communication and teamwork13
In its overview of skills needed in the innovation economy, the association notes that entrepreneurial skills, business development and marketing (13%); and creativity (13%) are considered in higher demand than technological skills (12%).
By 2020, 36% of jobs across all industries will involve complex problem-solving as one of their core skills
The overwhelming emergent theme is that regardless of size or stage, the challenge is getting people with the core capabilities and competencies to approach problems effectively, to work together to solve complex problems and to develop creative solutions.
Canada offers a world-class education system. It ranks fourth out of 140 countries as a destination for skilled talent.15 Canadian skills development, however, has not kept pace with the needs of the global workforce. In the 1990s, government investment in technology education was high relative to other countries in the OECD. Today, however, the workforce is ill-prepared to meet current challenges.
“Less than half of Canadian adults have the problem-solving skills to function in a technology-rich environment,” Sarah Anson-Cartwright, then a director at the Canadian Chamber of Commerce, told the the 2016 Canadian Internet Forum. “Less than half have good enough skills to actually use ICTs, to use the technology required in their work.”
One of the issues identified by the Chamber of Commerce, and others, is the need for lifelong learning. Canadian secondary school students do okay in numeracy and literacy and a little less well in problem-solving. The further away people get from formal education, however, the more likely these skills are to slip. Canada has not historically been as strong as countries like Australia in its push for vocational training.
The basis of skills development starts at a young age. Much has been written about the mismatch between Canadian education and training and the needs of the current labour market. A lack of focus on science, technology, math and engineering among Canada’s youth has contributed to a generation without the basic digital competencies required to compete in the global digital economy.
Almost nine in 10 (88%) of Canadian IT leaders believe it’s important that students are taught coding in high school 16
2.3.1 How to address gaps in Canada’s education programs toward work-readiness
In its 2016 report, the Canadian Chamber of Commerce lamented that Canada is the only country in the Organisation for Economic Co-Operation and Development (OECD) that does not have a national ministry of education. Countries like the U.K., for example, implemented STEM education in the elementary curriculum across the country more than five years ago. They’re now seeing kids graduating from secondary school with advanced skills in the sciences.
Canada’s system is more fragmented. But there is a growing understanding that STEM education must be fully incorporated in the K-12 curriculum.
Nova Scotia is considered one of the more advanced provinces. British Columbia has also formalized STEM education in its curriculum. Ontario is just starting to implement STEM measures, after it was revealed that more than half of grade six students aren’t achieving the standard in math.
There has been much said about the negative impact of overspecialization in professions that defined the late 20th century, however. Labour segmentation has become a burden as firms find it difficult to recruit people with skills that are transferable between job functions.
As we come to realize that we cannot predict, with any accuracy, future workforce needs, some caution that study in arts and humanities must not be cast aside in the push for a STEM-educated population.
“The core competencies of creativity and innovation…unlike literacy and numeracy… are not integrated among disciplines,” wrote academic Paul Syme in a critique of Nova Scotia’s new STEM curriculum. “Nova Scotia’s modernist model continues to shape students to serve more mechanical or technical capacities.”17
A study released in March 2018 by the Royal Bank of Canada calls for a national review of post-secondary programs, including those in STEM, to ensure we take into account the risks of an overly-specialized workforce. To achieve this requires greater focus on cross-disciplinary teaching, to create a workforce that can “bridge technology and humanity.”18 The authors say advances in artificial intelligence demand Canadian workers not only have digital literacy, but also highly-developed “foundational human skills”, including active listening, critical thinking and social perceptiveness.19
Summary: Building an innovative and agile workforce
- Companies are wrestling with a shift in business model brought on by changes in technology
- Much has been made of the need for employees in science, technology, engineering and math (STEM) fields, but non-STEM occupations are becoming just as important
- Regardless of skill, workers in the innovation economy need to be adaptable, agile and have a high level of emotional intelligence
- Right now Canadians lack the skills needed to compete in the innovation economy