How to Create a Skills Inventory
What is a Skills Inventory and Why You Need One
Running a business means juggling a ton of tasks—especially if you’re a solopreneur or small business owner. But as your company grows, it’s not practical (or fun) to do everything yourself. Whether you’re hiring your first employee or building a team, knowing what to delegate is the secret to making your life easier. That’s where a skills inventory comes in.
A skills inventory is like a map that shows all the skills you and your team (or future team) have—or need to have. It’s a simple way to see what’s on your plate, what you’re good at, and what you can hand off. It’s also a great tool for onboarding and training your first hire, making sure they know exactly what to do to hit the ground running.
In this blog, we’re going to show you how to build a skills inventory step by step. We’ll talk about when to use it, how to apply it to train your first hire, and how it helps you make better decisions about what to delegate. Whether you’re ready to scale or just looking to lighten your workload, this guide has you covered!
Table of Contents
What is a Skills Inventory?
Use Cases for a Skills Inventory
When to Use a Skills Inventory
How to Create a Skills Inventory
How to Apply a Skills Inventory
Takeaways
Case Studies of Successful Skills Inventory Use
Conclusion
What is a Skills Inventory?
A skills inventory is a simple list of all the skills that you, your team, or your future employees have—or need to have. Think of it like a cheat sheet that shows what each person can do well and what areas might need a little help.
It’s not just a list of random skills. A skills inventory helps you see what tasks need to be done and who’s best for each one. It’s super helpful when you’re thinking about hiring or delegating tasks. It also shows you where training might be needed to fill any gaps.
For example, if you’re the one handling everything right now, a skills inventory can show you what you should keep doing and what someone else could easily take over. This is especially important if you’re getting ready to hire your first employee.
Why Does It Matter?
Train your first hire: You’ll know exactly what skills your new employee needs to succeed.
Decide what to delegate: It shows which tasks you can pass on to free up your time.
Find gaps: You’ll see where training is needed to help you or your team improve.
By creating a skills inventory, you’re setting yourself up for smoother onboarding, better training, and more efficient delegation. Plus, it helps you avoid the chaos of trying to do everything yourself!
Use Cases for a Skills Inventory
A skills inventory isn’t just for big companies—it’s super helpful for solopreneurs and small business owners too. It helps you figure out what needs to be done and who should do it. Here are a few ways you can use a skills inventory:
A. Hiring Your First Employee
When you’re ready to bring on your first hire, a skills inventory helps you figure out what skills the new person needs. By knowing what to delegate, you can write a clear job description and hire the right person. Plus, you’ll be able to train them faster because you’ll know exactly what to teach them.
B. Employee Training
When you’re building a team, training is key. A skills inventory shows where your team is strong and where they might need more help. For example, if someone is great at handling customer support but needs help with marketing, you can plan training to boost their skills.
C. Delegating Tasks
Doing everything yourself can get exhausting. A skills inventory helps you see which tasks you can pass off to someone else. This way, you can focus on the big stuff while your team handles the day-to-day.
D. Growing Your Business
As your business grows, your team and tasks will grow too. A skills inventory makes it easy to see what skills you need to add to keep things running smoothly. You can use it to make smart decisions about hiring, training, and even what areas to outsource.
When to Use a Skills Inventory
Knowing when to use a skills inventory can save you a ton of time and make running your business a lot smoother. Whether you’re a solopreneur juggling everything or a founder growing your team, a skills inventory helps you know exactly what needs to be done and who should be doing it.
A. When You’re a Solopreneur
If you’re doing everything yourself, it’s time to figure out what tasks you can pass on to someone else. A skills inventory helps you see all the tasks you handle each day. It also shows you which skills are easy to teach someone else. This is super helpful when you’re ready to make your first hire and train your first employee.
B. When Your Business is Growing
As your company grows, so do the tasks! You can’t do it all. A skills inventory helps you spot the tasks that are taking up your time, but don’t need your special touch. This helps you figure out what to delegate to others so you can focus on the big picture.
C. Before Hiring or Training
Thinking about hiring someone? A skills inventory makes sure you know what you need before writing that job description. It also helps you train new employees quickly because you already know the skills they need to learn. Instead of guessing, you can build a clear training plan based on the tasks you’ve been handling.
D. Anytime You Want to Improve
Want to sharpen your skills or boost your team’s abilities? Use your skills inventory to figure out where there are gaps. This makes it easy to find out what training will help you or your team grow.
How to Create a Skills Inventory
Building a skills inventory might sound tricky, but it’s pretty simple if you break it into steps. Here’s how to create one for yourself or your team.
A. Start by Listing What You Do in a Day
The first step in creating a skills inventory is writing down everything you do in a typical day. This might seem simple, but it’s super important. By keeping track of all the tasks you handle, big or small, you’ll have a clear picture of what’s on your plate and what could be handed off to someone else.
Why This Matters
If you’re a solopreneur or a small business owner, you’re probably juggling a lot. Maybe you're answering customer emails, managing your social media, and doing payroll—all in one day! The goal here is to identify all of those tasks. Once you know what you’re doing, it’ll be easier to figure out what to delegate when you hire someone, and what skills you’ll need them to have.
How to Do It
Here’s a simple way to start:
Grab a notepad or your phone. Keep it handy throughout the day.
Write down each task as you do it. Include everything—even the little stuff like responding to emails or checking your social media. These are things you might not think about but take up your time.
Track tasks for a few days. This will give you a fuller picture of everything you do regularly, not just a one-day snapshot.
Example
Let’s say you run a small online store. Here’s what your day might look like:
Answer customer emails.
Update your website with new products.
Post on social media.
Pack and ship orders.
Review sales reports.
Each of these tasks takes time, and some are things you could delegate to someone else once you’re ready to hire help.
The Benefits
By listing out your daily tasks, you’ll:
See where your time goes: You might not even realize how much time you spend on certain tasks.
Get ready to delegate: Once you know what you do each day, you can start figuring out which tasks are easy to hand off to a new hire or assistant.
Prepare for training: Knowing what you do will help you train your first hire on the tasks they’ll be taking over.
B. Mark Which Tasks Are "Process-Driven" vs. "Project-Driven"
Now that you’ve written down all your daily tasks, the next step is to separate them into two categories: process-driven tasks and project-driven tasks. This will help you figure out which tasks are easy to delegate and which ones may need more attention from you.
What’s the Difference?
Process-driven tasks are tasks you do over and over again. They follow the same steps each time, making them predictable and easy to teach someone else. For example:
Responding to customer inquiries
Posting on social media
Sending invoices
Scheduling meetings
These are great tasks to hand off because they’re simple, repeatable, and don’t require a lot of decision-making.
Project-driven tasks are tasks that change depending on the situation. They’re often one-time or creative tasks that don’t have a set process. For example:
Designing a marketing campaign
Planning an event
Creating a new product or service
These tasks usually require more thinking, creativity, or problem-solving. They might need your attention because they aren’t as easy to delegate.
Why This Step is Important
By separating your tasks into these two categories, you can see which tasks are best for delegating. You’ll know that process-driven tasks can be handled by someone else, while project-driven tasks may still need your input.
How to Do It
Look at your task list. Go back to the list of tasks you wrote down.
Mark each one as either “process-driven” or “project-driven.”
If it’s something you do often and follows a routine, it’s process-driven.
If it’s a one-time task or requires lots of creativity, it’s project-driven.
Highlight the process-driven tasks. These are the tasks you can likely hand off to someone else once you hire help.
Example
Using the online store example again, here’s how your tasks might look:
Process-driven tasks:
Answering customer emails
Packing and shipping orders
Posting on social media
Project-driven tasks:
Designing new products
Creating marketing campaigns
Process-driven tasks are perfect for delegating because they’re easy to teach, while project-driven tasks might need more guidance or oversight.
C. Break Down What Skills Are Needed for Each Task
Once you’ve sorted your tasks into process-driven and project-driven, it’s time to figure out what skills are needed to do each one. This will help you understand what to look for when you hire or train someone.
Why This Step is Key
Understanding the skills behind each task makes it easier to delegate. It helps you find the right person for the job and shows you where training might be needed. Plus, it helps you explain the tasks better when you hand them off.
How to Break Down the Skills
For each task, ask yourself: What skills do I need to get this done? Be specific but keep it simple.
Look at your process-driven tasks. These are usually easier to break down because they follow a routine.
For example, if the task is answering customer emails, the skills needed might be:
Clear communication
Basic knowledge of your product
Email management
Now look at your project-driven tasks. These tasks might need more complex skills.
For example, if the task is creating a marketing campaign, the skills needed might be:
Creativity
Knowledge of marketing tools
Understanding of your target audience
Objective Map
To make things easier, create a simple “objective map.” This is where you ask: To do X, what do I need to know? And if you haven’t gotten down to tangible skills yet, you may have to go down another level.
For example:
To create social media posts, I need to know:
How to use social media platforms (like Instagram or Facebook)
How to write captions
How to use hashtags
Don’t Go Too Far!
It’s important not to overcomplicate things. If you start thinking about super basic skills like “I need to know how to read,” you’ve gone too far. Stick to skills directly related to the task.
Example
Let’s say you have the task of packing and shipping orders for your online store. The skills needed might include:
Attention to detail (to make sure the right items are packed)
Knowledge of shipping tools (like how to print labels)
Time management (to get orders out on time)
By breaking down the skills for each task, you can easily see what skills you need in a new hire or what training might help.
D. Assess the Skill Levels
Now that you know what skills are needed for each task, it’s time to figure out how strong those skills are. This step is important whether you're looking at your own skills or the skills of a team member or new hire. It helps you see where you or your team might need extra training.
Why It Matters
If you're the one doing the tasks now, this step will help you understand where you’re strongest and where you might need help. If you're hiring someone new, it helps you decide which skills they should already have and which ones you can train them on.
How to Assess Skill Levels
Rate yourself (or your team). For each skill, think about how well you (or your team) can do it. Use simple ratings like:
Beginner: Just learning or needs help
Intermediate: Can do it but might need some guidance
Advanced: Can do it well without help
Use online tools and assessments. There are websites that can help you figure out your skill level. Here are a few that are easy to use and cover many different skills:
LinkedIn Learning: Offers video courses with quizzes that test your knowledge. You can also get badges for completing courses, showing your skill level in areas like marketing, project management, or customer service.
Coursera: Offers both free and paid courses, many with assessments to test your understanding. You can find tests on everything from digital marketing to basic coding skills.
Indeed Assessments: Provides free skill assessments that you can take to gauge your abilities in areas like communication, time management, and Microsoft Excel.
Skillshare: While more focused on creative and business skills, Skillshare lets you take courses and projects that can help you assess skills like graphic design, video editing, and branding.
Pluralsight: Best for tech-related skills like software development, cybersecurity, and data analysis. Pluralsight offers skill tests to assess your level in various tech fields.
CodeSignal: A great option for anyone assessing coding or programming skills. CodeSignal has tests that range from beginner to advanced coding challenges.
Brainbench: Offers a wide variety of skill assessments in business, IT, and even soft skills like leadership and teamwork.
Ask for feedback. Sometimes, asking a trusted friend, mentor, or coworker to give you feedback can help you see where your skills stand. They may spot strengths or weaknesses you hadn’t noticed.
Example
Let’s say one of your tasks is social media management. Here’s how you could assess the skills:
Beginner: Knows the basics of posting but struggles with engagement.
Intermediate: Can create posts and handle engagement but might not know advanced strategies.
Advanced: Knows how to create posts, track analytics, and build a strong online presence.
By using online tools or getting feedback, you’ll know exactly where you need to improve and what skills to look for in a new hire.
E. Record Your Findings
Now that you’ve listed your tasks, identified the skills needed for each one, and assessed the skill levels, it’s time to organize everything in one place. This will be your skills inventory—the tool that helps you decide what to delegate and where to focus your training.
Why Recording Your Findings Matters
Having everything written down helps you see the big picture. It shows you what tasks take up your time, which skills are strong, and where you or your team might need some extra help. This also makes it easier to pass tasks to new hires because you already know what they’ll need to learn.
How to Record Your Findings
Create a simple document or spreadsheet. You don’t need anything fancy. A simple spreadsheet or even a list in a Word document will work just fine. Here’s how you can organize it:
Column 1: List all the tasks you wrote down earlier.
Column 2: Write down whether each task is process-driven or project-driven.
Column 3: List the skills needed for each task.
Column 4: Add your skill level for each task (Beginner, Intermediate, Advanced).
Add who’s responsible. If you have a team, write down who is currently handling each task. This will help you see who is doing what and where you can move things around if needed.
Use a template if needed. If spreadsheets aren’t your thing, you can use free templates online. Websites like Trello or Google Sheets offer free templates for project tracking, which can be easily adapted for a skills inventory.
F. Create a Skills Matrix
Once you’ve recorded your findings, it’s time to create a skills matrix. A skills matrix is a simple chart that helps you see which tasks require which skills. It’s also a great way to quickly spot any gaps in skills—either for yourself or your team.
Why Use a Skills Matrix?
A skills matrix helps you visualize who has the right skills for certain tasks. It also shows where you might need more training or support. This is super helpful when you’re trying to decide what to delegate or what skills your new hire should have.
How to Create a Skills Matrix
List tasks and skills. In a new spreadsheet or table, list your tasks down the left-hand side (rows). Then, across the top (columns), list the skills needed for those tasks.
Mark the skills for each task. Go through the chart and place an “X” or checkmark in the boxes where a task requires a certain skill. You can also add ratings for skill levels if you want more detail.
Add people to the matrix. If you’re building this for a team, add the names of the people responsible for each task. This will help you see who’s doing what and where there might be skill gaps.
Example
Let’s say you run a small business and are trying to decide what tasks to delegate. Here’s what a basic skills matrix might look like:
In this example, you can see that answering emails needs communication and product knowledge, while creating marketing materials requires design skills.
Benefits of a Skills Matrix
See skill gaps: You can easily see which tasks need skills that you (or your team) don’t have yet.
Make better hiring decisions: If you’re hiring, this matrix helps you pinpoint exactly what skills your new hire needs to bring to the table.
Better delegation: Knowing who has the right skills helps you delegate tasks more effectively.
G. Update and Revisit Often
A skills inventory isn’t a one-and-done thing. Your tasks and skills will change as your business grows, so it’s important to keep your inventory up to date. By regularly updating it, you can make sure you’re always on top of what to delegate, what to train for, and who’s best suited for each job.
Why Regular Updates Are Important
As your business evolves, new tasks and challenges will pop up. You might hire new team members, adopt new tools, or take on different types of projects. By updating your skills inventory, you’ll be able to spot new skills you need and make sure your team is still growing in the right areas.
How to Keep Your Skills Inventory Updated
Check it regularly. Set a reminder to review your skills inventory every few months. Look at the tasks and skills you’ve listed and ask yourself:
Are these tasks still relevant?
Have new tasks or responsibilities been added?
Are there any new skills needed that weren’t on the list before?
Reassess your skills. Every so often, reassess your skill levels or your team’s skills. As you or your team improve, update the skill ratings to reflect that. Likewise, if you’ve learned a new tool or process, add that to the inventory.
Adjust for new hires. If you’ve hired someone new, make sure to add their skills and responsibilities to the inventory. This will help you keep track of who’s doing what and whether more training is needed.
Incorporate feedback. If you’ve been using the skills inventory to delegate tasks or train employees, get feedback. Ask if the tasks are being done efficiently or if any skills need more development.
Example
Let’s say you’ve hired your first employee to handle social media, and they’ve learned new skills like video editing. You’ll want to update your skills matrix to reflect their improved skill level. This helps you see that they’re now capable of taking on more creative projects.
Benefits of Regular Updates
Stay organized: Keep track of new tasks and skills as your business grows.
Avoid skill gaps: By updating regularly, you can catch any skill gaps early and plan training before it becomes an issue.
Better team management: As your team grows, keeping your skills inventory up to date helps you delegate tasks to the right people and keep everyone working efficiently.
How to Apply a Skills Inventory
Once you’ve built your skills inventory, it’s time to put it to use. Whether you’re hiring someone, training employees, or figuring out what to delegate, your skills inventory will guide you through these important decisions.
A. Use It to Delegate Tasks
Your skills inventory helps you figure out what tasks you can pass on to others. Look at the process-driven tasks in your inventory—these are the ones you can easily teach someone else. By knowing which tasks don’t need your full attention, you can delegate them to free up your time for bigger projects.
Example: If you’ve been packing and shipping orders yourself, but now you have someone who knows how to do it just as well, this is a task you can delegate. Your inventory will show that they have the right skills, and you’ll feel confident letting them take over.
B. Use It to Hire the Right Person
If you’re making your first hire, a skills inventory is super helpful for writing the job description. Look at the tasks you need help with and the skills they require. This gives you a clear picture of the kind of person you need to hire.
Steps:
Look at the tasks you want to hand off.
Identify the key skills needed for those tasks.
Write a job description based on those skills.
Example: If social media posting takes up too much of your time, your job description might say, “Looking for someone with strong social media skills, experience with Instagram and Facebook, and the ability to create engaging posts.”
C. Use It for Training
When training your first hire or even an entire team, a skills inventory shows exactly what skills they need to learn. You can create Standard Operating Procedures (SOPs) and checklists for each task to ensure everyone knows how things should be done at your business.
How to Do It:
Create step-by-step guides or short videos for each task.
Make sure your team knows the exact process for each task in the inventory.
Example: Let’s say your new hire needs to learn how to respond to customer emails. You can create a simple checklist that outlines how to answer common questions, what tone to use, and how to escalate issues if needed.
D. Skill Mammoth’s Skill Inventory Blueprint
If building a skills inventory seems overwhelming, you can always get expert help. Skill Mammoth offers a $499 Skill Inventory Blueprint service where we do the heavy lifting for you. We’ll build your inventory and suggest training to help you and your team thrive. This way, you’ll have a ready-to-go roadmap for delegation and training.
Takeaways
Creating a skills inventory is one of the smartest things you can do for your business, especially when you’re trying to figure out what to delegate or how to train your first hire. Here are the key takeaways:
Clarity on tasks: A skills inventory shows you exactly what you and your team do each day. It gives you a clear view of your daily tasks and who’s best suited to handle them.
Easier delegation: By identifying process-driven tasks, you’ll know what’s easy to hand off to someone else, freeing up your time for bigger projects.
Smarter hiring: A skills inventory helps you build a detailed job description, so you know exactly what skills you need in a new hire.
Effective training: It guides you in creating checklists, SOPs, and training plans, making onboarding smoother and quicker.
Regular updates: Your skills inventory isn’t static. Revisiting it often ensures that your tasks and skills grow along with your business.
Expert help is available: If creating an inventory seems like a big task, Skill Mammoth’s Skill Inventory Blueprint service can do it for you, ensuring you have a detailed and actionable plan.
Real Life Skill Inventory Case Studies
1. Tom’s Construction Company: Delegating Project Coordination
Tom, a construction company owner, was overwhelmed by juggling multiple projects. He realized he needed help and turned to Grace, his executive assistant, who had excellent organizational skills. By delegating project coordination and communication to her, Tom could focus on other aspects of the business. Grace handled timelines, communicated with contractors, and set up regular check-ins with Tom, ensuring the projects stayed on track.
This example highlights the power of delegation when using a skills inventory to match tasks (like project coordination) with the right person (in this case, Grace) based on her organizational skills(
2. Maya’s Startup: Delegating Recruitment and Onboarding
Maya, the CEO of a growing tech startup, was drowning in recruitment tasks. She decided to delegate the responsibility to Owen, her executive assistant, who was highly detail-oriented and efficient. Owen took over job postings, interviews, and onboarding paperwork, allowing Maya to focus on growing the business.
By using a skills inventory, Maya identified Owen’s strengths in organization and detail management, making him the perfect fit for the task. This freed up her time to focus on strategic company growth(
3. Anna and Amanda: Learning to Delegate Effectively
In a tech company, Anna struggled to delegate tasks to Amanda, her employee, who constantly sought guidance instead of working independently. After realizing that Amanda lacked confidence, Anna re-evaluated her delegation approach. She had an open conversation with Amanda to understand her hesitation and began providing clearer instructions and setting boundaries.
By assessing Amanda’s skills and identifying gaps, Anna was able to provide better support and empower Amanda to take more ownership of her tasks. This highlights how understanding your team’s skill levels through a skills inventory can improve delegation and training(
4. Shannon’s High-Tech Company: Delegation for Growth
Shannon, a VP at a tech firm, was able to delegate high-visibility projects to her team because she had a solid understanding of their skills. She encouraged her team to take ownership, providing guidance only when needed. This approach allowed Shannon to focus on strategic decisions while her team excelled at their tasks, boosting overall company performance.
This case demonstrates how a well-maintained skills inventory can help leaders delegate with confidence and allow their team members to shine
Conclusion
Creating a skills inventory is a simple but powerful way to grow your business. Whether you’re a solopreneur figuring out what to delegate or getting ready to train your first hire, a skills inventory helps you see where your strengths lie—and where you need help. By organizing tasks and matching them with the right skills, you can hire smarter, train more effectively, and free up your time for bigger goals.
Remember, it’s not just about writing down what you do, but also about updating your inventory regularly to keep pace with your business’s growth. The examples we’ve seen—whether it’s Maya delegating recruitment, or Tom getting help with project coordination—show that using a skills inventory leads to better delegation, smarter hiring, and smoother operations.
If creating a skills inventory feels overwhelming, don’t worry! Skill Mammoth’s $499 Skill Inventory Blueprint can handle the hard part for you. This service gives you a ready-to-use skills inventory and a training roadmap, making it easier to focus on what you do best.
By applying what you’ve learned here, you’ll be ready to delegate more confidently, hire the right people, and set up effective training—all while keeping your business running smoothly.