Skills-Based Hiring Versus Credential-Based Recruitment: Analyzing the Shift to Competency-Focused Talent Acquisition in Corporate Firms in Bayelsa State
Abstract
This study analyzes the shift from traditional credential-based recruitment to skills-based hiring practices in corporate firms within Bayelsa State, Nigeria. The research examines how competency assessments, practical skill evaluation, and portfolio-based selection influence recruitment effectiveness, job performance, and workforce diversity. Using a cross-sectional survey design, data were collected from 170 employees across ten consulting firms in Bayelsa State through structured questionnaires. Simple regression analysis was employed to test three hypotheses concerning the relationships between skills-based hiring practices and organizational outcomes. The results reveal that competency assessments significantly enhance recruitment effectiveness (? = 0.681, p < 0.001, R2 = 0.464), practical skill evaluation significantly improves job performance (? = 0.726, p < 0.001, R2 = 0.527), and portfolio-based selection significantly increases workforce diversity (? = 0.653, p < 0.001, R2 = 0.426). The study concludes that skills-based hiring represents a more effective approach to talent acquisition compared to traditional credential-based methods. Recommendations include implementing structured competency frameworks, developing practical assessment tools, establishing portfolio evaluation systems, and training recruiters in skills-based selection methods.
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