Final Report: Digital Skills Study in Serbia

The project aimed to support the creation of the Strategy for development of digital skills in Serbia, led by the Ministry of trade, telecommunications and tourism. The main goal of the project was to provide relevant research and actionable insights to the creators of the Strategy, particularly within the area of digital skills development in accordance with the needs of the labor market. The project examined the theoretical units of available knowledge and experience to answer the question of the impact of the Fourth Industrial Revolution (4IR) on the development of digital competencies. The research found that work and employability in 4IR will not depend solely on ICT skills but also on creative, critical, and informed use of technologies. The 2019 OECD Skills Report noted that formal education is not sufficient for career advancement as a large number of required competencies are not included in formal education programs. Automation is also expected to have a significant impact on the redistribution of goods/wealth and the labor market. To examine the specific needs for digital competencies in the labor market, two studies were conducted. An online survey was conducted on the experience of HR departments with digital skills within their respective companies, which included 109 companies that provided detailed answers and insights regarding the need for digital skills. A focus group was also conducted to deepen the knowledge gained in the original analysis. Additionally, a quantitative survey of the expressed need for digital skills in job advertisements was conducted, which included 107,000 job listings published on the Infostud portal in the past 6 years. The analysis of the online survey and the focus group found that formal education is not sufficient for career advancement because a large number of required competencies are not included in formal education programs. The study also found that there is significant importance of interpersonal, higher-order cognitive skills, and systems skills. Organizations rate their digitalization level relatively high, and individuals who are employed by mid-sized companies will be expected to have higher-level digital competencies, as well as a broader range of competencies. The research also found that digital companies are the most prepared companies operating in the field of information technology (IT). There is a significant difference between currently employed individuals and those actively seeking work in the job market in terms of solving technical problems and recognizing the impact of digital technologies on the environment. It is essential for modern organizations to develop their tools to test the level of digital competence of their current and potential employees. Additionally, training programs focusing on the necessary digital competencies are necessary. The study also analyzed the demand for digital skills in the labor market based on job advertisements. The analysis found that the number of advertisements has been steadily and rapidly increasing, while the number of competitions does not follow that growth, indicating an increased supply of jobs in relation to demand. All levels of digital competence are constantly and proportionally increasing, and higher levels of job complexity also imply higher levels of digital skills. The e-commerce market is in the initial stages of development, with high annual growth rates, and the primary element in the development of the crowdfunding field in Serbia is to raise awareness of its existence, its functioning, and the benefits it can provide over other funding tools.