Our survey results show that firms are not doing enough to identify and develop talent. Although nearly half say finding employees with base-level skills has an impact on their workforce strategy, fewer than one-quarter say their company offers education widely to employees.

Yet training and development initiatives would not just improve employee skills—they would also make the company a more attractive place to work. When asked what their ideal, but realistic, goal for their career in five years is, many employees focused on learning and development, both for personal satisfaction and advancement opportunities.

As the workforce becomes increasingly global, diverse, and flexible, companies will need to focus on developing, rather than recruiting, talent to be competitive—in the process, they’ll likely find their employees are more engaged and loyal, too.