Report: Skills Shortages Threaten U.S., European Services Sector

Training to Serve: As economies in the U.S. and Europe diversify more heavily into services, companies are running into a hard reality: Executives worry their employees lack the basic skills necessary to sustain prolonged economic growth. That’s according to a report released by Service Strategies Corp., an advisory and career development consulting firm in San Diego, and Noventum Service Management Consultants of the Netherlands. Among the findings: 75 percent of executives cite improving customer service, employee loyalty and retention of top performers as top priorities. Nearly half the executives cite technical skills shortages as a major obstacle. “Both the technical and soft skills of service employees are instrumental” as companies attempt to deliver customized products and more complex services, the report says. It concludes that demand for trained people is outstripping available supplies in both Western Europe and the U.S.