The economist Paul Krugman was right when he famously said: “Productivity isn’t everything, but in the long run, it is almost everything.” If we want the benefits of economic growth, we need to make productivity enhancements. These arise from new technologies combined with the workforce learning the skills to exploit them.
It is therefore surprising that you hear far more about the latest advances in artificial intelligence than about the number of workers being trained in digital skills to take advantage of them. Growth requires both those things to happen, but we are falling short on skills.
The skills gap
AICPA & CIMA research in the UK found that four out of five UK SME employers say there are skills gaps in their workforce. Despite this, just one in three SME employees undertook any skills training or professional development in 2022.
There is also a mismatch between the skills employers say they need and the skills their workers think they need. For example, 40% of employers want more digital and information technology skills, but only 23% of the workers who said they were supportive of more in-work training thought these skills would be effective at increasing their productivity.
This is a global problem. McKinsey & Co. research released in 2021 found that 87% of companies globally were aware that they either already had a skills gap or would have one within a few years.
Unless we can upskill the workforce in ways that employers need, we will be unable to generate productivity increases and therefore struggle to achieve economic growth. This is especially true in the age of digital disruption. The technology to enhance productivity exists or is being developed. It is the skills to harness it that are missing.
Upskilling the finance profession
It is not all gloom. Members of our profession can proudly say we place a high value on upskilling. Mastering the CGMA syllabus and achieving CIMA’s CGMA Professional Qualification requires aptitude and dedication, and, even then, we never stop honing our skills. In accounting and finance, learning, unlearning, and relearning skills is now the norm, and AICPA & CIMA are proud to provide high-quality CPD resources to facilitate this and support maintenance of your CGMA designation.
To thrive in the age of digital disruption, I would especially recommend taking a look at some of our digitally focused resources:
- You can access the Making the Case for Data Analytics course bundle on the AICPA & CIMA website. It will help you show your organisations what data analytics can achieve for them.
- The Data Analytics Core Concepts Certificate, which you can find on the AICPA & CIMA website, will allow you to identify and frame a problem and then recommend data-driven solutions.
- I would also recommend The Importance of Cybersecurity course available on the AICPA & CIMA website. This will help you understand how the traditional accounting and finance role is affected by cybersecurity issues.
Equipped with these resources, our members can be confident that they will thrive in a world where those skills are a precious commodity.
Andrew Harding, FCMA, CGMA, is chief executive–Management Accounting at AICPA & CIMA, together as the Association of International Certified Professional Accountants.
