Manpower shortages in organisations may not be due to the lack of available talent, but poor visibility on skills that their workforce already has, according to a new report.

The report, released by TalentLMS, framed the issue of skills shortages as a skills visibility gap, where employers struggle to identify and mobilise the talent they already have.

"The gap isn't skills – it's visibility into them. Companies are rich in talent but poor in insight," said Dimitris Tsingos, CEO of Epignosis, parent company of TalentLMS.

According to the report, only 18% of respondents believe their company is using a centralised system to track skills, with most organisations relying on performance reviews (59%) and manager observation (56%) instead.

This results in organisations missing out on highly qualified internal talent, with 50% of employees in the report believing their company is hiring externally for skills that already exist in their organisation.

This disconnect in skills visibility is also reflected between managers and employees, according to the findings.

Most managers said they have a good understanding of their direct reports' skills (90%) and that these skills are fully utilised (75%).

However, just 69% of employees believe their manager has a good understanding of their skills, while only 49% think their company underutilises their skills.

"Organisations need a clear view not just of employees' existing skills but also of their foundational knowledge, which is becoming increasingly important in the age of AI," Tsingos said.

"Those that build that clarity gain speed, make smarter decisions, and unlock the full value of their workforce."

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