The End of the Job Era: How Organizations are Starting to Manage by Skills Rather than Titles

Borislav Georgiev ()
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Borislav Georgiev: New Bulgarian University

HR and Technologies, 2025, issue 2, 59-79

Abstract: The traditional HR model, based on fixed job descriptions, has reached its expiration date in the era of accelerated digitalization, artificial intelligence, modern work pace, and understanding of efficiency. Job descriptions can no longer encompass and frame the dynamically changing needs of business, creating a culture of inflexibility, unintentional "hiding" of talent, and stifling creativity and proactivity. This study examines the transformational transition from traditional job-based management to the concept of a skills-based organization (SBO). The main research objective is to analyze how the identification and dynamic use of individual competencies increases organizational flexibility in conditions of technological uncertainty. The research methodology is based on a comparative analysis between conservative hierarchical structures and modern talent ecosystems, considering practical tools and operational models for competitiveness, in which HR processes (selection, hiring, training, remuneration, development, and mobility) are managed entirely by the skills of employees rather than their positions. Through adaptability and the proper use of their most valuable resource—qualified personnel—trend-setting modern organizations are shaping the new labor market, in which priority will be given only to those who possess the necessary agility and adaptability, skillfully use the support of AI-based tools, stimulate "internal talent markets," and reduce turnover by transforming human resource management from an administrative function into a strategic driver of business.

Keywords: competencies; skills; talent; AI tools; adaptability; proactivity (search for similar items in EconPapers)
JEL-codes: M12 M54 (search for similar items in EconPapers)
Date: 2025
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