The purpose of this paper is to examine and analyze the changing demand of skills due to globalization’s impact on workforces in Malaysian settings. In additions, this paper also discusses the impact of these skills on organization performance. By using a job performance model this paper will define changes in skill demands. New skills sets are developed to fulfill the need for organizations to respond to market demands. Many of the skills perceived important by the graduated are hard skills. Nevertheless, employers also demand soft skills. It is believed that soft skills are what employers need to hire graduates in particular occupations. Thus, this paper discusses three of the important skills in the soft skills. The soft skills include interpersonal skills, technology skills, and communication skills. Interpersonal skills are the skills that graduates needs for continued existence at a working environment that enhances employability. While technology skills are important to graduates because they lead to changes in operations and work application. Communication skills are required for graduates to deal with the information exchange in workforce settings. By examining the demands needed by the workforce and organization this paper concluded that soft skills in Malaysia are important for graduates before entering the world of work.
