The People Bulletin

Great expectations

Simon Dieppe shares the results of some recent research on graduate skills gaps when looking for that first job.


With so many graduates facing problems getting onto an form of career ladder in these straightened times[1], and employers complaining that many graduates do not have the requisite business and personal skills to meet their expectations, we felt it was important to look more closely at some underlying factors.

In January 2011, we conducted an online survey with a sample of HR and graduate training professionals from major UK employers and received 81 responses from a range of private sector organisations, public sector bodies and professional practice firms.

Purpose of the survey

The survey was designed to explore approaches to graduate recruitment and training, and to test a range of popularist assumptions about the employability of recent graduates.  These assumptions focus on the view that today’s graduate is entering the workforce without the requisite business and personal skills required to meet employer expectations.

We asked 13 questions in total.  These were broadly directed at determining the following information:

  1. The size and nature of the employer
  2. The size and nature of the graduate intake
  3. Perceptions of the ‘graduate skills gap’
  4. Approaches to graduate recruitment and training

The survey was conducted by Wilmington Training & Events, a subsidiary of Wilmington PLC.

Size of organisations surveyed

We asked respondents how many people were employed within their organisation.  The largest segment comprised organisations between 250 and 1000 employees at 32.4%, followed by those with between 5000 and 10,000 with 20.3%.  In total, 54.1% of employers surveyed had fewer than 1000 employees, with 45.9% having more than 1000. See Figure 1.

Figure 1: Size of organisations surveyed

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Graduate intake and training

We asked participants how many graduates they recruited on an annual basis.  As would be expected from a sample of different-sized organisations, the numbers varied considerably from zero to 150.  Many reported a decrease in numbers through 2008, 2009 and 2010.

We then asked how many of their graduate intake was recruited onto specific graduate programmes, and how many were more general recruitments.  Again, responses were varied.  Some organisations indicated that all graduates recruited were put through a graduate programme, others said it was 50/50, whilst the majority stated that they had no formal graduate programme.

Leading on from this question, we also asked more specifically if respondents had an internal graduate programme to help their recruits adjust to the working environment and deliver more value to the business.  Thirty-three per cent said that they did have such a scheme in place, whilst 67% said they didn’t.  See Figure 2

Figure 2: Internal graduate programmes

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As one would expect, the larger companies responding to the survey were those who did have a scheme in place.  However, there were over 20 organisations with more than 1000 employees who did not have a scheme.

We also asked those who didn’t have a scheme in place how they trained their graduates.  Respondents obviously rely on a combination of techniques, with 94% saying they relied on internal ‘on-the-job’ training, 57% saying that they outsourced the training to external providers and 49% saying that they used ad hoc public courses. See Figure 3

Figure 3: Alternatives to graduate programmes

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Graduate recruiting periods

We also asked when during the year graduates were recruited.  Thirty-two per cent said that there was no particular time, and that recruitment took place throughout the year.  A further 30% recruited mainly in September and October.  17% specified March to June.  Twenty-one per cent didn’t specify.

Graduate skills gap

We asked:

‘In your experience of recent graduate recruits, where are the biggest skills gaps?’

Responses were varied but broadly fell into five groups:

1.  Lack of business acumen, commercial understanding and preparation for the ‘leap’ from the     academic to commercial environment.  For example:

“In my experience, the biggest skills gap is general business experience and savvy.  Graduates are normally able to make a technical contribution but need help to learn how to operate in a business environment.”

“A  lack of general business acumen – understanding of how a whole business fits together and their role within it.”

2.  The lack of personal and interpersonal skills, including communication, emotional intelligence and organisational skills.  The following were typical responses:

“Self management – being responsible for own time, objectives and priorities; resourcefulness – needing to be ‘hand-held’ rather than going out to find things for themselves; networking – using internal and external business contacts and networks.”

“Emotional intelligence aspects, like the personal attributes that enhance an individual’s interactions, job performance etc...are lacking.”

“The ability to make decisions.  Graduates are taught how to argue a case from both sides but not to make a decision and to stick to it”.

3.  Poor English language skills, ranging from a difficulty in making the transition from academic writing to business writing, to basic inadequacies in grammar and spelling.  These feelings were a consistent theme, and best expressed in the following comment:

“Written communication skills are deteriorating – I am seeing an increase of text speak, bad spelling and poor grammatical structure”.

4.  Attitudinal issues, including the unrealistic expectations of their role and inflated views of their capability early on.  Specific comments were as follows:

“It is more attitudinal.  Many have unrealistic expectations on elements of the role, e.g. benefits for a first job.  In addition they tend to have an inflated view of their capacity early on.”

“Less skills gap, more attitudinal – generation x want it all and want it now.  There is a lack of awareness of their own gaps”.

5.  Specialist skills needed for specific jobs e.g. engineering, computer science

Are UK universities doing enough?

We asked the question:

In your opinion, are UK universities generally doing enough to equip graduates with the necessary skills to quickly adapt to working life and offer a contribution to the business?

The majority (55%) thought not.  45% thought that they were – see Figure 4.

Figure 4: Are universities doing enough?

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Graduate skills programme components

We also asked some questions which were designed to determine what respondents felt would be the most important components of any business skills programme directed at graduates.  Respondents were offered a list of 15 core skill areas and asked to rank them each in importance from 1 to 4.   The responses are set out in Figure 5.

Figure 5: Preference among employers of core skills

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The responses very much reflect the answers given to the question about skills gaps.  The highest rated skill that needed to be included in any programme related to working within a team. The next most prominent were those relating to financial and commercial awareness alongside how the individual gives value within the business context.  This crosses both basic business awareness and some of the attitudinal issues highlighted previously.   Time management also scored highly, with business writing in fifth place.  Key skills such as business writing, presentation skills and project management all rated highly.

Outlook for graduate jobseekers

This research goes some way towards explaining some of the problems encountered by employers when recruiting graduates straight from university.  There was widespread consensus that many job applicants had unrealistic ideas about what was required of them for a first job and the appropriate attitude when it comes to operating in a business environment.


[1] www.telegraph.co.uk/education/educationnews/8283862/Graduate-unemployment-hits-15-year-high.html

Simon Dieppe

Simon Dieppe is director of Wilmington Training & Events and managing director of Quorum Training. Simon has worked in the training and events business for over 15 years. Previous to this, Simon trained as a barrister before working for a variety of companies ranging from dot.com start-ups to major employers such as KPMG and Informa PLC.

www.quorumtraining.co.uk



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