Revolutionizing Hiring: A Skills-First Approach in India’s Tech Industry
In a bold move that is shaking the traditional hiring landscape, startups in India are increasingly prioritizing skills over formal educational qualifications. A notable example is Sudarshan Kamath, founder of the artificial intelligence startup Smallest.ai, who recently posted a striking hiring advertisement on X, stating, “College – does not matter. Resume – not needed.” This post garnered attention as the Bengaluru-based company sought a full-stack engineer, offering a salary of Rs 40 lakh per annum, and received over 7,000 applications.
The Rise of Non-Traditional Talent Pools
At Smallest.ai, a small team of about 14 people, a significant number of employees in the data science and software development teams have non-traditional backgrounds; four out of ten have either never attended college or are college dropouts. According to Kamath and co-founder Akshat Mandloi, it’s not about the degree but the ability to deliver results. “We don’t want to lose out on any talent, including self-taught individuals,” Mandloi stated. “Our hiring process is always skill-based.”
Changing the Perception of Education in Hiring
The recruitment landscape is evolving, even in India’s highly competitive market, as more companies are embracing a skills-first hiring approach. Discount broker Zerodha exemplifies this trend by focusing on curiosity and a willingness to learn, rather than purely educational credentials. Mohammed Shoaib, vice-president of onboarding and business administration at Zerodha, emphasized that understanding candidates’ motivations and their foundational skills is crucial. “This has always been our hiring strategy,” he said, highlighting the resultant low attrition rates.
IBM’s Pioneering Skills-First Initiatives
IBM is a global leader in adopting this approach. Thirukumaran Nagarajan, vice-president of human resources for IBM India and South Asia, explained that demonstrated expertise and problem-solving abilities have become more important than traditional educational qualifications. “With advancements in AI and programming, the aptitude and attitude of candidates take center stage,” Nagarajan remarked. This strategic shift, termed “new collar” employees, has led to increased innovation and diverse talent pools.
Innovative Hiring Techniques
IBM employs hackathons to assess candidates’ problem-solving capabilities rather than relying solely on resumes. “What matters most to us is the candidate’s ability to perform in the role,” stated Gaurav Kriplani, head of people at Mobile Premier League (MPL). MPL utilizes practical assignments linked to the role, allowing candidates to demonstrate their skills, creativity, and depth of knowledge through real-world scenarios.
Indian Employers Leading the Charge
The World Economic Forum’s 2025 Jobs Report indicates that 30% of Indian employers are moving towards skills-based hiring practices, significantly higher than the global average of 19%. At Tata Communications, Allwyn Dsilva, global head of L&D, stated that “skill is the primary key” in hiring, reflecting the company’s focus on technical excellence and adaptability.
Adapting to Evolving Workforce Needs
Zetwerk, a contract manufacturing company, supports skills-first hiring primarily in business and sales roles. Ginu Nair, senior vice president of HR, noted that strong interpersonal skills and a problem-solving mindset are prioritized over formal qualifications. This adaptation helps organizations remain competitive and agile in a rapidly changing market.
Reflecting on Traditional Practices
While many organizations are modernizing their hiring criteria, some still adhere to traditional parameters. KA Narayan, president of HR at Raymond Group, acknowledged the growing trend toward skills-based hiring and indicated that they are working on revamping their skills dictionary for each role to enhance hiring accuracy.
Looking Ahead
The shift to a skills-first hiring model represents a significant cultural change in the Indian job market. By valuing capability over credentials, companies can tap into a broader talent pool, fostering innovation and addressing future workforce demands. The move away from traditional hiring practices suggests exciting possibilities for both employers and employees alike.
Conclusion
The transition towards a skills-based hiring system is gaining momentum in India’s tech industry, driven by innovative companies like Smallest.ai, Zerodha, and IBM. As the landscape evolves, organizations that prioritize talent and skills over conventional qualifications will not only attract diverse talent but also nurture a more versatile and effective workforce.
Questions and Answers
- What did the hiring post from Smallest.ai emphasize?
It emphasized that educational qualifications do not matter and that resumes are not necessary for their hiring process. - How many applications did Smallest.ai receive for the full-stack engineer position?
They received over 7,000 applications. - What is IBM’s approach to hiring?
IBM places a greater emphasis on demonstrated expertise and problem-solving skills over traditional educational qualifications. - How does Zerodha evaluate potential candidates?
Zerodha evaluates candidates based on their motivation, foundational skills, and ability to learn, rather than solely on educational certifications. - What trend is emerging in the Indian job market regarding hiring practices?
There is a growing trend towards skills-based hiring practices, where employers prioritize skills over formal education credentials.