Bridging the Performance Gap with Mager & Pipe Model:
Insights from the Singapore Workforce Landscape
Table of Contents
In today’s competitive business environment, organizations continually seek ways to improve productivity and maintain high standards of performance. Yet, even in a dynamic workforce like Singapore’s, gaps in employee performance can emerge. These gaps represent the difference between expected and actual performance, and understanding their causes is critical for organizational success.
One effective way to address performance gaps is by employing the Mager-Pipe model—a structured approach developed by Robert Mager and Peter Pipe. This model helps identify whether the gap is due to skill deficiencies, environmental factors, or motivation issues, offering practical steps to close these gaps efficiently.
What is a Performance Gap?
A performance gap refers to the disparity between the desired performance level and the actual performance exhibited by an individual or a group within an organization. It may manifest in various forms, such as missed targets, low productivity, or poor-quality outputs. Identifying and addressing these gaps are essential for maintaining a high-performance culture and achieving business objectives.
In Singapore, as industries rapidly evolve with technological advancements and globalization, performance gaps may arise in several sectors. For instance, the digital transformation across industries has revealed gaps in tech proficiency among older workers, while fresh graduates may experience a soft skills gap when transitioning into the workforce.
The Mager-Pipe Model: A Systematic Approach to Problem-Solving
The Mager-Pipe model, introduced in their book *Analyzing Performance Problems*, offers a clear framework for diagnosing and resolving performance issues. This model breaks down performance problems into manageable elements and emphasizes understanding the root causes before applying solutions. It follows these key steps:
- Is it worth solving?
– The first step is to assess whether the gap is significant enough to warrant intervention. Some performance issues may be minor or not impactful on business outcomes, thus not needing immediate action.
- Is it a skill deficiency?
– Skill deficiencies are one of the most common causes of performance gaps, especially in a fast-paced, evolving workforce like Singapore’s. When employees lack the necessary knowledge, skills, or competencies to perform their roles effectively, it can severely impact productivity and overall business performance. Addressing these deficiencies is crucial, and one powerful tool available to Singapore’s workforce is SkillsFuture.
- Are there environmental obstacles?
– Performance issues might stem from environmental barriers such as unclear job roles, lack of proper tools, or insufficient resources. For example, in sectors like logistics and supply chain, employees may struggle to meet targets due to inadequate equipment or inefficient processes rather than skill-related shortcomings.
- Is motivation the issue?
– Employees might know what to do but lack the motivation to perform. Poor management, lack of incentives, or insufficient recognition may lead to disengagement. In Singapore’s competitive job market, addressing motivational issues through programs such as performance-based incentives, recognition schemes, or job redesign initiatives like the PSG-JR scheme can boost workforce morale and productivity.
In addressing motivational issues, conducting an employee engagement survey can be a powerful tool. These surveys help employers understand the root causes of disengagement by gathering insights directly from the workforce. By identifying areas such as lack of recognition, insufficient growth opportunities, or poor management practices, companies can take targeted action to improve morale. This could involve implementing performance-based incentives, recognition programs, or adjusting work processes through job redesign initiatives like the PSG-JR scheme.
Surveys also give employees a voice, fostering a sense of involvement and ownership in their work environment. Furthermore, feedback from engagement surveys can inform the development of flexible work arrangements, which benefit both employees and employers by increasing job satisfaction and boosting productivity.
Read more about job redesign, flexible work arrangements, and benefits to both employees & employers here.
Applying the Mager-Pipe Model in Singapore's Workforce
Case Study: DBS Bank’s iGrow platform
- Identifying Performance Gaps
– The Mager-Pipe Model starts with identifying if a performance gap exists. DBS Bank realized that, in a fast-evolving industry like banking, especially with shifts towards digitalization and sustainability, there would be skill gaps among employees in key areas such as risk management, sustainability, and digital banking skills. The demand for new capabilities needed to be addressed to ensure their workforce could perform at the required level in these emerging areas.
- Diagnosing the Root Cause
– In the Mager-Pipe Model, once a gap is identified, the next step is diagnosing whether the gap is due to a skill deficiency or other reasons (such as unclear goals or lack of resources). DBS identified that while employees were capable, there were specific skill deficiencies in these high-demand areas that needed addressing, especially with the shift towards risk, sustainability, and digital solutions.
Through this diagnosis, DBS realized that the gap could be filled through personalized training and career development solutions rather than just general upskilling. This is where the iGrow platform became central to solving the problem.
- Providing the Right Solutions
– According to the Mager-Pipe Model, once a skill deficiency is diagnosed, the organization must provide effective training solutions to close the gap. DBS’s iGrow platform is an ideal solution for addressing these gaps. Instead of generic training programs, DBS used AI-powered insights to offer personalized learning roadmaps and over 10,000 learning programs tailored to each employee’s unique career path and development needs.
The platform also focused on structured curricula in crucial areas like risk and sustainability, directly addressing skill deficiencies that had been identified.
- Tracking Success and Internal Job Mobility
– The Mager-Pipe Model emphasizes the importance of evaluating whether the solutions provided have successfully addressed the performance gap. DBS Bank tracked their internal hiring statistics to assess the platform’s success. By 2022, 40% of their job vacancies (excluding entry-level and niche roles) were filled by internal candidates, indicating that the employees had successfully developed the skills needed for internal promotions and career advancement. This highlights that the skill development strategies and personalized learning had effectively closed the performance gaps.
By using a tool like iGrow, DBS Bank followed a structured approach similar to the Mager-Pipe Model. They:
- Identified the performance gaps in emerging fields.
- Diagnosed that these gaps were skill-based.
- Provided personalized, targeted training solutions.
- Evaluated success through internal mobility rates.
In this case, iGrow served as a practical tool for implementing the Mager-Pipe Model, demonstrating how an organization can close skill gaps and enhance employee performance through a well-designed, personalized learning platform. This proactive approach not only improved employee capabilities but also contributed to organizational success by promoting internal hiring and long-term career growth.
SkillsFuture: A Comprehensive Solution for Bridging Skill Gaps
SkillsFuture is a national movement that provides Singaporeans with the opportunities to develop their fullest potential by fostering lifelong learning. It encourages individuals to take charge of their skills development and equips them with the training needed to stay relevant in a rapidly evolving job market. SkillsFuture plays a critical role in addressing skill deficiencies by offering:
- Government Funding for Courses
- A Wide Range of Courses Across Sectors
- Customized Learning Opportunities for Individuals
- Clear Career Pathways and Long-term Growth
Government Funding for Skills Development
One of the standout features of SkillsFuture is the generous funding it provides to individuals, making it easier for Singaporeans to enroll in courses without financial strain. Here are the key funding mechanisms:
- SkillsFuture Credit: Every Singaporean aged 25 and above receives a $500 credit to offset the cost of training courses. The government has also provided periodic top-ups, with an additional $500 credited in 2020 for mid-career workers aged 40 to 60. These credits can be used on a wide range of approved courses.
- Mid-Career Enhanced Subsidy (MCES): Every Singaporean aged 40 and above can enjoy subsidies of up to 90% for SkillsFuture-approved courses. This includes a cap of $4,000 in additional course fee subsidies, which further reduces the cost of professional upskilling. The MCES is designed to support mid-career professionals in acquiring new skills or deepening their expertise in areas relevant to evolving industry needs.
- Subsidized Courses: SkillsFuture-approved courses are heavily subsidized by the government, often covering up to 70-90% of the course fees. This makes even premium courses in high-demand industries, such as IT, data analytics, and healthcare, accessible to individuals from all walks of life.
- Workfare Skills Support (WSS) Scheme: Lower-income workers benefit from additional funding under the Workfare Skills Support Scheme, which provides higher subsidies for training courses and encourages skill upgrading among those earning less than $2,500 a month.
A Broad Range of Courses for Every Industry
SkillsFuture offers a vast array of courses across many industries, ensuring that no matter where the skill gap lies, there’s a program to address it. From entry-level certifications to advanced professional courses, individuals have access to training in fields such as:
- Technology: Courses on artificial intelligence (AI), data analytics, cybersecurity, and cloud computing equip individuals for the digital economy.
- Healthcare: As Singapore’s healthcare sector expands, SkillsFuture supports training in healthcare services, eldercare, and specialized medical training.
- Finance: With Singapore as a global financial hub, professionals can upskill in areas like financial technology (FinTech), investment analysis, and risk management.
- Hospitality and Retail: As industries transform due to digitalization, SkillsFuture offers training on e-commerce, digital marketing, and customer service excellence.
The diversity of courses ensures that no skill gap is left unaddressed. Even niche industries or specialized roles can find relevant upskilling opportunities through SkillsFuture-approved providers.
Benefits of SkillsFuture to Individuals
SkillsFuture offers numerous advantages that go beyond simply closing performance gaps. By tapping into this resource, individuals can realize both short-term benefits and long-term career progression.
Immediate Benefits
- Access to Affordable Learning: With government subsidies and SkillsFuture Credits, individuals can access high-quality training at little to no cost. This lowers the barrier to entry for essential skills upgrading or reskilling.
- Customized Learning Paths: Individuals can choose from a wide range of courses that suit their specific career needs—whether they want to address a skill gap, transition to a new role, or develop expertise in an emerging field.
- Improved Job Performance: Addressing performance gaps through targeted training helps employees perform their current roles more efficiently. For example, employees who attend data analytics courses can quickly gain skills that allow them to make data-driven decisions at work, improving their contribution to the company.
Long-term Career Outcomes
- Career Advancement: By upgrading their skills, individuals are better positioned for promotions and more specialized roles. An administrative assistant, for instance, could take courses in project management, enhancing her ability to manage bigger responsibilities and preparing her for leadership positions.
- Increased Employability: In a fast-evolving job market, being adaptable and up-to-date with industry trends is key to remaining competitive. SkillsFuture courses equip individuals with the skills that are in demand, making them more attractive to employers, particularly in sectors like IT, healthcare, and finance.
- Future-Proofing Skills: With automation and digitalization reshaping industries, lifelong learning is necessary to stay relevant. SkillsFuture enables workers to future-proof their careers by continually upgrading their skills as industries evolve.
- Career Mobility: Whether individuals want to switch industries or advance within their current sector, SkillsFuture provides the flexibility needed for career mobility. For example, someone in hospitality might use SkillsFuture to transition into digital marketing, a growing sector in Singapore.
- Job Satisfaction and Personal Growth: Beyond career progression, SkillsFuture also fosters personal growth and satisfaction. Learning new skills can boost confidence, reduce workplace stress, and increase job engagement. Employees who feel empowered by their own abilities are more likely to stay engaged, take initiative, and contribute positively to their organization.
SkillsFuture serves as a powerful tool for individuals, offering both immediate and long-term benefits. It not only helps employees bridge their current skill gaps, improving their performance in their existing roles, but also supports continuous learning for sustained career growth. By investing in their own skills through SkillsFuture, individuals can enhance their job satisfaction, increase employability, and future-proof their careers in an increasingly competitive and automated job market.
Performance gaps, whether caused by skills deficiencies, environmental obstacles, or motivational issues, are inevitable in a rapidly changing workforce. The Mager-Pipe model offers a practical, systematic approach for identifying the root causes of these gaps and finding appropriate solutions. In Singapore, where rapid digitalization and evolving job demands create new challenges, using this model can help organizations stay ahead by developing targeted solutions that lead to better outcomes.
Whether it’s through upskilling, improving workplace tools, or addressing motivational barriers, bridging the performance gap is key to ensuring a thriving, future-ready workforce in Singapore.
Your Training Solution:
At EON Training & Consulting, we offer a comprehensive range of training courses designed to help professionals upskill and bridge any existing gaps in their skillsets. As a pre-approved Productivity Solutions Grant (PSG) consultant for job redesign, we also provide tailored consulting services to enhance organizational effectiveness. Our solutions include conducting employee engagement surveys, deploying interactive learning chatbots for continuous learning, and delivering a wide array of human capital solutions aimed at improving workforce performance and satisfaction.
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