An intriguing question relates to how having a degree impacts on employee effectiveness – given that on average graduate employees are more expensive to hire. A related question looks at how employee performance develops in different areas as a result of work experience. These issues have important implications for employers, prospective employees considering a degree or other training and, of course, for universities.
Research presented by Saville Consulting at the British Psychological Society’s Division of Occupational Psychology annual conference last week highlighted the different skill areas employers could expect to improve by recruiting graduates versus skills that would follow as a result of more work experience.
The study, involving over 20,000 individuals rating the work performance of others, found that neither having a degree nor work experience increased an employee’s performance around the areas of building relationships or giving support. It may well be that these areas are more innate, or developed earlier in childhood.
However, both degree qualifications and early work experience do relate to improved work performance in other areas. Those with degrees exhibited good skills in evaluating problems, processing details and being structured. Work experience on the other hand, resulted in employees being rated higher in areas including providing leadership and driving success.
Katie Herridge, Director at Saville Consulting, commented “This study is based on real ratings of work performance of degree holders and non-degree holders in the workplace. This tells us more about the real differences degrees and early work experience has on work performance.”
Herridge added “Universities need be aware of the skills that are coming directly from work experience, such as leadership ability, and look for ways to help graduates build on these in order for them to become more work-ready. Individuals considering investing in an undergraduate degree should also acknowledge whether it is appropriate to undertake a degree offering work experience, to seek out summer internships, or perhaps even consider the apprenticeship route.”
It is worth noting that the improvement in performance with work experience was present from the start through to the middle of an individual’s career, yet such improvements were absent from the middle onwards.
For graduate and early careers employers, looking for work experience plus a degree at the application stage and offering relevant work experience is likely to yield good results for a broad range of future leadership skills, as will the investment in early career development interventions. However, employers should realise that some of these skills will only develop over time with work experience.
Herridge also stated “It is important to note that although there are differences that accrue from work experience and having a degree, these differences are relatively small and much larger differences in performance are seen within each group regardless of whether or not individuals have a degree or have gained work experience. This reminds us of the need for valid selection methods such as aptitude assessments to supplement CVs and, in particular, behavioural measures for those job roles requiring a softer skill set.”
www.savilleconsulting.com
