The concept of micro-certifications, micro-degrees, and micro-credentials has been gaining popularity in the corporate world in recent years. These certificates, given to recognize an employee for learning a specific skill through a microlearning program, can greatly impact a company’s bottom line.
In this blog post, we’ll explore the benefits of micro-certifications and how they can be used to multiply revenue for corporate firms. We’ll also explain how these degrees can help close the skills gap in your firm. But first, let’s define what we mean by micro-certifications.
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Micro-certifications: Their Definition
Companies value abilities over academic degrees due to a tight job market and a widening skills gap. Multiple organizations are even altogether abandoning the necessity of conventional qualifications in favor of a new strategy that bases recruitment on skillsets rather than academic credentials.
This skills-based rather than degree-based hiring method has been used by well-known such as Google, IBM, Tesla, Accenture, and Microsoft, among others.
Merely 26% of Accenture’s job advertising for software quality-assurance engineers specified a graduation requirement, according to a recent survey.
Likewise, 50% of IBM’s U.S. employment opportunities don’t demand a four-year degree, as per IBM’s CHRO, Nickle LaMoreaux.
“When you break down what people actually do every day, whether it’s software development, or digital design testing, or security, or even artificial intelligence, you have to ask if that role needs a four-year degree or it’s a set of skills that’s needed.”
Does any of this imply that businesses are employing less competent people? No. They are simply expanding their prospective skill base. You might draw applicants with platform-specific credentials instead of individuals with possibly outmoded branding or advertising qualifications.
This is where online education, eLearning, and non-degree courses, which offer substitute credentials like micro-credentials, micro-degrees, or micro-certifications, come into play.
These are certificates that employees receive after completing a micro-learning program. Microlearning programs are short, focused training programs that typically take only a few hours to complete.
They cover specific skills or knowledge areas, such as social media marketing, data analysis, or project management. Micro-certifications are given to recognize employees for learning and mastering a specific skill or knowledge.
Why Are Micro-certifications Valuable for Corporate Firms?
From the trainee’s viewpoint, it’s rather simple to understand the lure of micro-certifications. These are more readily finished in less time. They are efficient. And they are significantly less expensive than conventional courses.
As per a Pearson VUE study, firms profited in the below-mentioned ways when staff members earned advanced IT certifications:
- $10,000 more worth per qualified worker
- 72% more efficiency
- 71% rise in productivity
As per the same report, here are some other reasons why employees chose to pursue IT certifications after recognizing the benefits:
Organizations have great potential thanks to certificates. In addition to getting more benefits from your current training materials, you may position your firm as a market leader, improve your rapport with clients and business partners, and build a strong talent pipeline.
You can also develop an entirely new source of income — something we’ll explore next.
How Can Micro-certifications Drive Revenue?
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Training is an effort, and the trainee isn’t always on the hook for the cost. As a component of ongoing professional learning or as a strategy to close a skill shortage in their workplace, many companies frequently fund certificates.
People and organizations equally will pay for certifications when you can clearly explain their advantages. So, let’s begin!
Increased productivity
For starters, micro-certifications can help employees develop the skills they need to be more productive and effective in their roles. As the job market becomes increasingly competitive, companies must find ways to stand out and attract top talent.
By offering micro-credentials, companies can demonstrate that they are committed to investing in their employee’s professional development and acknowledge the skills they’ve gained.
A boot in profit margins
Micro-certifications, micro-degrees, and micro-credentials can help companies improve their bottom line. A study by the Corporate Learning Factbook found that companies that invest in employee development see an average of 24% higher profit margins.
Furthermore, a survey by the Institute for Corporate Productivity found that companies that offer professional development opportunities see an average of 6.5% higher employee engagement.
A competitive edge
Another benefit of micro-certifications is that they help companies stay ahead of the curve. With the pace of technological change constantly increasing, companies need to ensure that their employees have the skills they need to stay competitive.
Micro-degrees can help employees stay up-to-date with the latest industry trends and technologies, ultimately leading to increased revenue.
How Can Companies Use Micro-certifications to Multiply Revenue?
- Find new revenue streams: By offering microlearning programs in social media marketing or data analysis, companies can create new revenue streams by providing consulting or training services to other businesses.
- Increase sales: By developing a sales team with the skills and knowledge to sell complex products or services, companies can increase their sales and ultimately multiply their revenue.
- Improve customer service: By training customer service representatives in areas such as conflict resolution or communication skills, companies can improve their customer service and ultimately increase customer loyalty, leading to increased revenue.
- Increase productivity: By investing in employee development, companies can increase productivity and multiply revenue.
- Build a strong brand: By offering microlearning programs and recognizing employees for the skills they’ve acquired, companies can establish themselves as experts in their field and build a strong brand that attracts customers and ultimately multiplies revenue.
- Use micro-certifications as a tool for career development and advancement. By offering employees the opportunity to earn micro-credentials in different areas, companies can create a clear path for career advancement, resulting in a more motivated and engaged workforce.
NOTE: You are presented with several choices concerning price based on the objectives of your certification process — for example, to promote your authority and credibility as a brand, enhance partner and client ties, or drive income.
Naturally, you should charge a registration fee when your objective is to boost program profits. However, you can completely forego the cost if, for instance, building your image is more important to you than generating cash. It is never either/or when it concerns cost.
You can combine different models. Therefore, you might offer a few basic courses without cost whilst charging for more advanced classes or accreditation upgrades.
Next up.
Professionals usually list their previous and current positions when promoting themselves to potential employers, either on a résumé or LinkedIn.
But this doesn’t show off everything they’ve acquired outside the degrees they may have or, more importantly, what they’re capable of understanding. In other words, their current level of expertise and their likelihood of further training and development in other domains are crucial.
Micro-credentialing can close this gap by providing a live record of skills and proof of a growth mentality and ambition. Let’s see how.
How Can Micro-Certifications Help Close Skill Gaps?
A micro-certification that can be put on a portfolio or presented as a badge on an online account is granted when expertise in a specific subject area or ability is proven.
Instead of relying exclusively on academic qualifications, people can build up profiles of competencies over a period that better describe their talents and are much more applicable to their work lives.
Before the outbreak, when unemployment was under 4% and there was a labor shortage, giant corporations frequently hired employees who didn’t have specialized skills but could learn them.
Retraining is more necessary in this environment of double-digit unemployment rates — to make sure employees have the ability to support businesses as they grow. This demand is a requirement for economic growth and is no longer merely a suggestion. Let’s explore this in more detail.
Micro-certifications can help employees develop the skills they need to be more productive and effective in their roles. A recent survey found that a majority (64%) of organizations are experiencing skill gaps among their employees.
Companies can help employees develop the skills they need to fill those gaps and become more productive by offering micro-credentials. Let’s see how.
Acquiring specific skill sets
One of the main benefits of micro-certifications is that they focus on specific skills and knowledge areas. This means that employees can quickly and easily develop their skills to succeed in a particular role or industry.
A study from an SHRM survey shows that the top skill gaps among organizations are in leadership, digital literacy, and technical skills, and micro-credentials can help employees acquire these skills.
While over one-third of organizations say they already provide upskilling training, about 59% plan to offer it in the next 12 months. Again, more than one-third of organizations already provide reskilling training, and about 56% plan to offer it in the next 12 months.
The most common ways organizations reskill employees for new jobs are through micro-certifications.
Developing competitive employees
Additionally, micro-certifications and micro-credentials can help employees stay up-to-date with the latest industry trends and technologies, which can be particularly important in fast-changing fields such as technology or marketing.
By providing employees with the opportunity to earn micro-degrees in different areas, companies can ensure that their employees have the skills they need to stay competitive.
A case in point is the education provided by the Danish roadwork learning center, VEJ-EU. All employees, including manual laborers and engineers, must get a traffic safety certification in Denmark.
Customized e-learning is used to offer training to ensure everybody can become proficient. Those who have understood the content can continue, while those who require more resources are helped.
The instruction turns to role-play and activities to implement what has been taught after the digital pre-work session.
The passing rate for receiving certification is essentially 100 percent because of customization, which meets each student at their current level and helps them develop proficiency.
Opportunities for career advancement
Another way micro-certifications can help close skill gaps is by allowing employees to advance their careers. By offering a clear path for career advancement, companies can attract and retain top talent, ultimately leading to increased revenue.
A sense of recognition
Finally, micro-certifications can help close skill gaps by providing employees with a sense of accomplishment and recognition for the skills they’ve acquired. This can lead to increased motivation and engagement, leading to improved performance and increased productivity.
Alignment of business and team goals
With a microlearning platform provider like PlayAblo or an institution, you can create a micro-credible plan that can assist in closing skill shortages in your business while simultaneously meeting staff development and career aspirations — as part of an overall effort to recruit and keep top people.
With various certificates that build on one another, a person may be able to improve their career within their enterprise. Micro-credentials are very helpful for businesses looking to expand their customer base or refocus on their current clientele.
They can act as a productivity tool, displaying a company’s dedication to its workers while also assisting people in acquiring critical skills, particularly if the organization establishes the appropriate incentive system.
Summing It Up
In conclusion, micro-certifications can be a valuable tool for corporations looking to multiply revenue. They can help employees develop the skills they need to be more productive and effective and help companies stay ahead of the curve.
By implementing the abovementioned strategies, companies can use micro-degrees to create new revenue streams, increase sales, improve customer service, increase productivity, build a strong brand, and create a clear path for career development.
Ad: PlayAblo’s Enterprise-Grade Micro-Learning platform is built for millennial learners. Micro-Learning, assessments, and gamification features ensure learning outcome measurement and sustained engagement.
Find out more and request a custom demo!
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