Skills development is widely recognised as an important part of addressing unemployment and building a more inclusive economy. Yet, for many people, completing training does not necessarily lead to employment, and developing a skill does not automatically create an opportunity to use it.

At the South African Supplier Diversity Council (SASDC), our work in supplier diversity highlights an important part of this challenge: participation requires more than access to an opportunity. It requires the capability to take that opportunity forward. For young people entering the job market, entrepreneurs building businesses and emerging suppliers seeking to participate in established value chains, the question is not simply whether they have received training. It is whether they have the practical skills, experience, support and networks needed to translate that training into meaningful economic participation. This is where an important gap emerges between skills development and employment.

Skills Development is the beginning, not the destination.

Training can equip people with knowledge, technical skills and a foundation for further development. It can prepare them to pursue opportunities they may not previously have been able to access. However, the transition from learning to earning is not always straightforward.

A young person may complete a qualification but struggle to secure a first job because they lack workplace experience. An aspiring entrepreneur may understand their product or service but need additional support with ensuring that the organisation is compliant, an emerging supplier may be capable of delivering a service but unfamiliar with corporate procurement processes and buyer requirements. These challenges demonstrate that skills development cannot be measured only by the number of people trained. We must also consider what happens afterwards.

Are people able to apply what they have learned? Can they demonstrate their capabilities in a practical environment? Do they have access to the networks, guidance and opportunities that help them progress? The real value of skills development lies not only in what people learn, but in what they are enabled to do with that knowledge.

Capability extends beyond technical skills

When we speak about capability, it is easy to focus exclusively on technical knowledge or formal qualifications. While these remain important, meaningful participation in the economy often requires a broader set of capabilities. For individuals, this may include communication, problem-solving, adaptability, teamwork and the confidence to operate in professional environments. Practical workplace exposure, business coaching, mentorship and opportunities to learn from experienced professionals can help bridge the gap between theoretical knowledge and real-world expectations. For entrepreneurs and emerging suppliers, capability also includes understanding how to manage a business, meet customer expectations, maintain financial records, comply with relevant requirements and deliver consistently.

These capabilities are particularly important when businesses seek to enter formal supply chains. Being able to provide a product or service is one part of the process; understanding how to operate within a buyer's requirements is another.

Capability, therefore, is not a single skill acquired through one intervention. It develops through learning, practice, support and experience.

Connecting skills to real opportunities

Closing the gap between skills development and employment requires stronger and more cohesive connections between the organisations that develop skills and the institutions, businesses and markets where those skills can be applied. Training providers need to understand the changing requirements of the labour market. Employers need to communicate the capabilities they require and consider how people with limited experience can enter the workplace. Entrepreneurs and emerging suppliers need opportunities to learn, demonstrate their abilities and build relationships with potential customers and buyers. This is also where partnerships become important.

Micro, Small, Medium, Enterprises (MSMEs), Large Corporates, Government, Educational Institutions and Development Organisations each have a role to play in creating a more connected pathway between learning to participation.

For example, workplace exposure can help young people understand professional expectations before entering full-time employment. Business Coaching & Mentorship can help entrepreneurs navigate challenges that formal training may not fully address. Supplier development initiatives can help emerging businesses strengthen their readiness to participate in procurement opportunities.

These approaches help connect capability development with practical experience and the opportunities that follow. The objective should not simply be to prepare people for participation, but to create clearer pathways through which they can participate.

The connection to supplier diversity

From a supplier-diversity perspective, this conversation extends beyond individual employment.

For emerging MSME’s, capability can influence whether they are able to move from operating on a small scale to competing for larger opportunities. A MSME may have the skills and resources to deliver a service, but without knowledge of procurement processes, access to relevant networks or the ability to meet buyer requirements, entering established supply chains can remain difficult.

Supplier diversity creates an opportunity to consider how procurement, Enterprise and Supplier-Development practices can support broader participation. This requires attention to both sides of the equation: developing capable suppliers and creating meaningful opportunities for those suppliers to compete and grow. Skills development can strengthen business readiness, but the impact is limited if emerging businesses cannot connect readiness to real market opportunities. Equally, opening up procurement opportunities is only part of the solution.  If MSMEs do not have the support needed to meet requirements and deliver sustainably. This is why Capacity, Capability and Access must work together., Capacity enhances a profile, Capability helps Job Seekers and MSMEs exploit opportunities and create jobs and Access opens the door to the realities MEMEs and Job Seekers face when they attempt to enter and participate in the economy.

From training to meaningful participation

Through its work in supplier diversity, the SASDC via project like EMBRACE contribute to conversations around skills, entrepreneurship, enterprise and supplier development and inclusive economic participation. These conversations reinforce the importance of looking at the whole journey of a business: from inception to maturity.  This is typically moving through the four to five stages of the Business Life Cycle.  The process includes developing knowledge and skills, gaining experience, enhancing capacity building capability, accessing opportunities and sustaining participation. No single programme or organisation can close the gap alone. Progress depends on how effectively the different parts of the ecosystem work together.

For skills development to contribute meaningfully to employment and enterprise growth, we must look beyond what happens during a training and skills development programme and pay closer attention to what happens next. Are people gaining the experience they need? Are MSMEs becoming better equipped to compete? Are employers and buyers creating oohesive pathways for emerging talent and MSMEs? Are partnerships connecting capability with actual opportunities?

These are essential questions when considering the impact of training & skills development.

Ultimately, the measure of success is not only whether people have been trained or become skilled, but whether they are better positioned to participate, contribute and grow.

As we explore CAPABILITY this October, we invite MSMEs, institutions and development partners to reflect on critical questions: What capability do young people and MSMEs need most right now and what more can we do to connect MSME capability to real economic opportunities?

 

Published : 19 October 2026