Are Managers Ready for the AI Revolution in Performance Management and Skills?

In this episode of The Future of Less Work, host Nirit Cohen sits down with Doug Dennerline, CEO of Betterworks, to explore how skills are becoming the new currency of work—and why traditional performance management systems are failing to close the skills gap.

Together, they discuss why outdated annual reviews persist, how AI is revolutionizing the way we validate and grow skills, and the evolving role of managers in balancing work oversight with talent development. Doug shares insights from the BetterWorks 2024 Skills Fitness Report, diving into the challenges of building a skills-based organization and the importance of empowering managers to grow their people.

This conversation unpacks the profound shifts reshaping the workplace: the move toward real-time feedback, skills-focused performance systems, and AI-powered tools that guide managers in developing their teams. Learn why organizations that invest in their people today will lead tomorrow—and how managers can become architects of growth, not just overseers of tasks.

Want to dive deeper into this topic? Read Nirit's Forbes article, "Too Busy for the Future: Why Managers Can’t Close the Skills Gap", to explore these ideas further.

https://youtu.be/YQM9UhZEzmI?si=9suc0X7_dJ5r9BP9

Your Turn:

What do you think is the biggest barrier to closing the skills gap in your organization? Is it outdated processes, lack of tools, or something else?

Chapters:

00:00 Introduction
01:15 Why Are Annual Reviews Still the Norm?
02:26 Can AI Validate Skills Better Than Humans?
04:48 Why Is Building a Skills Library So Hard?
06:16 How Can Organizations Identify and Develop the Right Skills?
08:39 What’s the Future of Feedback and Performance Management?
10:51 Are Managers Ready for Real-Time Feedback?
13:12 How Do We Connect Skills Growth to Performance Goals?
15:33 Do CEOs Truly Value People as Their Greatest Asset?
17:52 How Can Managers Integrate Work Into Employees’ Lives?
20:15 Are We Measuring Success the Right Way?
22:38 Is First-Line Management the Most Undervalued Asset?
24:59 Can AI Be a Manager’s Personal Coach?
27:20 What Key Question Should We Be Asking About Leadership?
29:00 How Can We Build the Future of Work Together?