What is a Skills Matrix?

A Skills Matrix is a tool that is used to identify the current key skills, capabilities, and experience of each individual employee against their position. A Skills Matrix is not only used for individual employee assessment but enables you to understand skill levels within whole departments, project teams, and an entire business.


When should you complete a Skills Matrix?

Has it been a while since you’ve done a Skills Matrix or maybe you’ve never completed one before?  Are you trying to find ways to increase productivity? Do you have an upcoming project that requires specific skill sets or experience to ensure that it’s a success? Maybe you’re completing an annual talent or succession planning review.

Completing a Skills Matrix in any of the above circumstances will positively impact the decision-making in your business and contribute to the achievement of objectives. It can assist you with:

  • Understand your workforce
    • Do you know where your skills and capability gaps are?
    • Are you confident that your departments and/or organisation have the right skills to meet the current and future strategic objectives?
    • Do you know the specific skills and experience you want to attract through recruitment?
    • Are there vulnerabilities in specific departments or positions?


  • Talent Management
    • What training will you identify for continuous employee development?
    • Is your Talent Management supporting your Employee Value Proposition?


  • Succession Planning
    • Have you identified critical roles, current, and future?
    • Do you have a succession plan in place for key talent?
    • Will your current training strategy meet future business requirements?
    • Are you confident that you are aware of capability gaps that could be potentially critical to your business?


  • Forward Planning
    • How are you identifying the annual budget for training and development?
    • Have you developed an annual training plan? What information has been used to build this?
    • Do you have a recruitment and retention plan identified for the next 12 months and beyond? Are you aware of the specific skills and experience you are trying to attract and retain?
    • Are you considering an organizational change? Do you have a complete understanding of the skills and experience required for each position or department?
    • Have you identified your key talent and the skills and capabilities you would lose if they left the business?


It is recommended to complete a Skills Matrix annually to ensure any skills and capability gaps are filled in a timely manner.


Next steps

Identify position skills, capabilities, and experience against current and future requirements

Create a Skills Matrix for each position identifying the key skills and experience required. This can be a simple or detailed method depending on what would be most beneficial for your business. A simple method is a spreadsheet with the names of each employee or position on one side with key skills and experience on the other. This can be done at an individual, department or entire business level.

Consider getting employees to complete a self-evaluation against their position versus their skills and experience. This can assist with getting employees buy-in to find if there are specific areas that they are passionate about. This could also be valuable when considering building project teams.


Review results

Collate and review the results of the Skills Matrix, identify where the gaps are and what skills are lacking from current employee population.

Things to consider:

  • Is there opportunity to upskill current employees?
  • Is there an opportunity for current employees to share their knowledge and or skills with others that would promote internal employee engagement?
  • What skills and capabilities are missing?
  • Does the training need to be internal or external?
  • Are the required skills covered by other positions? Can position descriptions be reviewed and amended where necessary?
  • Putting in place an annual Talent Profiling and Succession Planning review would assist in budget planning for Learning and Development, recruitment and help to identify areas where you may need to consider retention offerings.


About Employment Innovations

Employment Innovations is one of Australia’s leading providers of employment services designed to increase productivity and ensure compliance. Its services and solutions include all the tools that every Australian small to medium sized employer needs – including workplace advice, legal services, payroll solutions, migration, human resource management and HR software.



The information provided in these blog articles is general in nature and is not intended to substitute for professional advice. If you are unsure about how this information applies to your specific situation we recommend you contact Employment Innovations for advice.