From participation to engagement : an exploration of future-skilling in a large financial institution in Singapore

Abstract

The fourth industrial revolution as well as globalisation have driven rapid and continuous technological advancement and change. However, these developments have created an urgent need for employees to acquire new skills and competencies in order to remain relevant and employable. The social and economic impact of the skills mismatch is amplified as many of the affected employees tend to be older, lower skilled and employed in jobs that are diminishing in demand. As the job market continues to undergo structural transformation brought about by innovative technologies, demographic shifts, globalisation, and the rise of the gig economy, these labour market shifts are heightening the need for employees to continuously remain marketable by future-skilling, which relates to improving or expanding skillsets to remain employable.
The need for effective future-skilling in the financial services sector is especially pertinent given the industry’s criticality and significance in both economic and employment terms. With financial services being an essential sector heavily reliant on technology and people, it has certainly not been spared by the mismatch in skills and jobs brought about by the fourth industrial revolution. Amidst rapid technological changes and a global pandemic that has expedited the need for digital transformation, understanding what motivates employees to future-skill is critical for the continued adaptability and growth of the sector and its employees.
The primary objective of this study was to develop a comprehensive understanding of the motivational factors that influence financial services employees’ participation in future-skilling programmes. A conceptual framework, based on the Self-Determination Theory

(SDT), along with ‘The Model of Involvement in Learning and Development Activity’ and the ‘Employability’ model was developed to better understand the relationship between employee’s motivation to participate in future-skilling programmes, along with their engagement in the programme and their perceptions of successful outcomes that result from undertaking future-skilling programmes.
The study adopts a qualitative approach, based on semi-structured, open-ended interviews with 21 employees working in a large Singapore-based financial services company, in order to develop a comprehensive understanding of the factors that motivate financial services employees to participate in future-skilling programmes and explore employees' perceptions of a successful future-skilling programme. A thematic analysis was undertaken to gather meaningful insights into the qualitative data collected over two phases (i.e. 15 interviews in phase one and 6 interviews in phase two).
The findings from the research delineate four pivotal motivators for participation: 1) the influence of organisational directives that drive the initial participation in the future-skilling programmes, 2) employee’s anticipation of changes to current work, 3) the need for personal skill advancement and employability, as well as 4) the inherent interest in professional mastery. These findings form the basis for a set of strategic recommendations and managerial implications that aim to improve employees’ participation in future-skilling programmes. The findings also revealed a marked transition in employee attitudes from an initial reluctance in participating in the future-skilling programmes to a robust engagement in the programmes once individuals recognise the tangible benefits of acquiring new competencies relevant to their evolving roles. More specifically, it was discovered that most employees will not seek out future-skilling programmes on their own volition. However, these same employees experienced a transition in their interest and engagement with the future-skilling programmes once they begin participating in the actual training programmes. This transition was driven by the employees gaining greater awareness of impending changes to their work and jobs, and also experiencing the positive effects of learning new skills and ideas through the programmes. This crucial transition from participation to engagement is a key phenomenon observed and a significant contribution of this study.
This study also made a contribution to the field of human resource development in the financial services sector of Singapore. The application of this study’s recommendations can lead to more effective and successful future-skilling programmes in the financial services sector in Singapore and ultimately lead to better competencies and employability for employees in the sector. This study is the first step in exploring the factors that motivate employees to participate in future-skilling, especially the engagement of employees with the learning process. This study has also provided valuable insights into the perception of employees about successful future-skilling outcomes, and it is hoped that financial services organisations will make use of these insights to continue fine-tuning their future-skilling programmes for their employees.
While the focus is on future-skilling the workforce, the key player involved is the employee. By recognising the unique qualities, motivation and needs of individual employees, organisations can ensure that future-skilling becomes a mutually beneficial solution to all. With proactive and collaborative efforts, the financial services industry can continue to remain relevant and sustainable into the future. These programmes can provide individuals with the skills and knowledge necessary to remain competitive and to transition into new roles that are being created as a result of the changes to work and to take advantage of the opportunities that come with it.
For decision-makers in financial services, these insights are instrumental in shaping robust and responsive future-skilling programmes. The findings suggest that initiating participation; even if initially compulsory, can act as a catalyst, propelling employees from passive involvement towards an engaged mindset in future-skilling pathways. The empirical evidence underscores the potential that this transition holds for bridging the imminent skills gap and equipping the workforce to navigate and excel in a dynamically shifting financial services environment.

Date of Award	2024
Original language	English
Supervisor	Bomikazi ZEKA (Supervisor), Doug JACKMAN (Supervisor) & Sarah Yu (Supervisor)