Training and Development - Ensuring a Skilled Workforce

   

    In Sri Lanka’s dynamic banking and financial industry, the need for continuous training and development cannot be overstated. As financial technologies and regulatory frameworks evolve, employees must stay updated with the latest industry trends and acquire new skills. By investing in training and development programs, banks can not only improve their employees’ performance but also demonstrate a commitment to their professional growth.

     For banks, the first step in a successful training program is identifying the key skills needed to stay competitive. In Sri Lanka, this includes digital literacy, customer relationship management, compliance knowledge, and leadership skills. By offering both technical and soft skills training, organizations can enhance employees’ overall competence and adaptability in a fast-changing environment.

     Furthermore, offering employees the opportunity to pursue certifications in specialized areas, such as risk management or financial analysis, adds value both to the individual and the organization. E-learning platforms and in-house workshops can be valuable tools for training, particularly in the wake of the COVID-19 pandemic, which made virtual learning more accessible and convenient.

     Training and development should not be a one-time activity; it should be an ongoing process that encourages employees to continuously upgrade their skills. Additionally, providing career development pathways, mentorship programs, and leadership training ensures that employees feel valued and have a clear path for career progression within the organization.

Why Training and Development Matter Now More Than Ever

From mobile banking and cybersecurity to data analytics and ESG compliance, the skill sets required in today’s financial sector are evolving at an unprecedented pace. Traditional academic qualifications, while important, can no longer keep up with the fast-changing demands of the industry.

Here’s what’s driving the urgency for upskilling and reskilling:

• Digital transformation: Banks are shifting to AI-powered tools, automation, and online service models.

• Regulatory changes: Compliance standards are becoming more complex and dynamic.

• Customer expectations: Clients expect seamless, tech-savvy, and personalized service.

• Global competition: Talent is increasingly mobile, and employees seek continuous learning opportunities.

The Skills Gap in Sri Lanka’s Finance Sector

Despite a strong education system, there remains a disconnect between academic training and real-world banking needs in Sri Lanka. Many new hires require extensive onboarding and upskilling, particularly in areas like:

• Digital literacy

• Financial technology (FinTech)

• Risk management

• Data security and compliance

• Customer experience management

This gap presents both a challenge and an opportunity.

Key Areas for Development

To future-proof their workforce, Sri Lankan banks and financial institutions must focus on developing the following core areas:

1. Digital Competence

Equip staff with the skills to use new banking technologies, CRM systems, data analytics tools, and cybersecurity protocols.

2. Soft Skills and Leadership

Develop critical thinking, communication, negotiation, and team leadership, especially important for customer-facing roles and future managers.

3. Regulatory and Risk Training

Keep employees updated on Central Bank regulations, AML/CFT requirements, and other compliance areas.

4. Customer-Centric Mindsets

Train staff to think beyond transactions and create meaningful, personalized customer experiences.

5. Continuous Learning Culture

Promote a mindset where learning is ongoing, not event based. Use microlearning, online platforms, and peer learning to make upskilling a regular part of the job.

What’s Working: Local Initiatives and Success Stories

Some Sri Lankan institutions are already making significant investments in talent development:

• People’s Bank, BOC and NSB have introduced e-learning platforms to ensure accessible, self-paced training.

• Commercial Bank has partnered with external training institutes to offer leadership programs and technical certifications.

• Industry bodies like IBSL and SLIBFI are also stepping up with updated course offerings and industry-focused qualifications.

How to Build an Effective T&D Strategy

For training efforts to have real impact, they need to be aligned with both individual career paths and organizational goals. Here’s how banks can build an effective framework:

1. Assess Needs Regularly
   Use performance data, feedback, and future role projections to identify skill gaps.

2. Invest in Technology-Driven Learning
   Leverage e-learning platforms, simulations, and AI tools to provide flexible and engaging training.

3. Personalize Development Plans
   One-size-fits-all doesn’t work. Tailor training paths to roles, aspirations, and individual learning styles.

4. Recognize and Reward Learning
   Link training participation to promotions, bonuses, and public recognition to encourage a learning culture.

5. Collaborate with Universities and Institutes
   Build partnerships with academic bodies to bridge the gap between theory and practice.