Hiring patterns change when an industry experiences disruption, and the financial services sector is no exception. For the last decade, traditional ways of banking with in-person, customer service-oriented methods have been moved aside for technology-based self-service, with even the largest traditional banks implementing online banking through apps and secure websites. Yet, traditional financial services companies (the largest banks, credit card companies, and investment firms) continue to face an uphill battle when competing with the next-generation FinTech companies (like PayPal, Mint, Square or Credit Karma).
One reason start-ups often have the advantage in the market is that they don’t have the burden of an established, historical approach to talent acquisition. New companies have the flexibility and capability to build from scratch, fostering innovative ways to understand the skills they need and how to find those skills as they grow their workforce.
Take the example of Software Developers. Coders are in their sixth decade in the workforce, which could lead you to think that all companies are looking to hire the same candidate.
But Burning Glass Technologies skills data shows differences when comparing the hiring patterns between traditional companies and FinTech businesses.
First, traditional companies put a premium on project management skills in their software developers, which is the fourth most requested skill for them but not even in the top 10 list of skills for FinTech companies. Another difference is that Software Engineering is the top skill requested by FinTech companies at 30%, while traditional companies seeking developers only request the skill 15% of the time. A third example is GIT, the free and open source code, that cracks the top 10 most desired skills for FinTech companies but doesn’t even break the top 30 for traditional companies (#34).
The example shows one way that labor market data can help companies compare the competition’s skills strengths to their own company’s talent vulnerabilities, thus helping prevent or mitigate the effects of disruption.
HR executives who seek out external data are less likely to be swept away by changing industry dynamics. If you’d like to start learning more about how Burning Glass labor market insights can work with your HR data to help you build a better workforce, give us a call and start a conversation or fill in the form at burning-glass.com/speak-to-a-rep/.
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