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Effect of Skill Gaps in the Telecommunications Industry

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The major structural change within the telecommunication industry is the globalization of the industry. Moreover, the telecommunication industry has been liberalized within world economies. Nonetheless, the adoption and application of innovative technologies have been impacted largely by the changes in skill needs which are aimed at filling the skill gaps which emanate from the application of advanced technology within the industry. This essay gives a critical analysis and discussion of how the skill gaps and needs in addition to structural changes within the telecommunication industry have impacted the labor needs within the industry. Skill gaps within the telecommunication industry have developed as a result of the changes in the industry operations and processes. Sumit (2008, p. 587) elaborates that these changes emanate from the application of modern technologies within the telecommunication industry which is aimed at adapting to the changing business environment and remaining competitive. Diana (2011, p. 93) asserts that the skill gaps which develop within the telecommunications businesses have led to the reduced productivity. This is due to the failure of the current employees of a telecommunication company to effectively apply new technology in meeting the objectives of business operations. For example, the adoption of an information system is the changes within many telecommunication businesses which have led to skill gaps. The skill gaps which develop within a company reveal that the workforce is not adequately employing the new technology in the performance of business activities. According to Keefe (2009, p. 43), the skill gaps within the telecommunication industry have led to an increased need for training staff. The management and employees are trained on the application of advanced technology in the provision of telecommunication products and services to the customers. For example, the use of telecommunication software applications which are adopted by the telecommunication companies leads to the increased need for training. Maria (2011) reveals that effective management of the telecommunication companies includes meeting the training needs of employees and the management so that the skill gaps and needs are met within the various functional areas. Skills are acquired through proper training of employees. Managers would also be trained in order to be able to apply the management information systems effectively in the management of telecommunication business processes. Diana (2011, p. 103) adds that managers are also trained in the use or application of the decision support systems in decision making on the various aspects of telecommunication business. Batt, Colvin amp. Keefe (2002, p. 587) point out that the skill gaps within the telecommunication companies have caused their management to adopt employee termination programs to pave way for the employment of skilled labor. This is usually the case when the anticipated costs of training are beyond the budgetary allocation for employee training.