Organizations are increasingly seeking new ways to identify, develop, and deploy talent, which has given rise to skills-based practices (SBPs). Although this term is used predominantly in hiring discussions, SBPs have broader applications, as well as implications for industrial and organizational (I‑O) psychology. Building on the foundational overview of SBPs, we intend to advance three interrelated aims through this focal article. First, we clarify the definition of SBPs to support a more widely applicable understanding relevant across I-O domains, such as selection, development, and retention. Second, we position SBPs within a multilevel ecosystem with interdependencies among (macrolevel) socioeconomic factors, (mesolevel) organizational processes, and (microlevel) individuals. Finally, we examine the key strengths and challenges of implementing SBPs in practice and conclude with highlighting areas where future I-O psychology research and practice could help SBPs.
Commentaries due October 1, 2026
