Does pedigree still matter?

WE have been told, especially in Asian societies, that a good education (degree qualification) is paramount to securing a bright future.

As a result, many traditional Asian families raise their children under the premise that education is the most important priority during a child’s developmental years.

Often, parents would not compromise on anything affecting the education of their children.

Even if a child is talented in extracurricular activities like music or sports, these would take a back seat in the face of important examinations or grading tests.

Yet, when we measure success, be it wealth, fame or status, some would argue that there are those without the necessary pedigree who have made it in life.

With the rise of social media, influencers are proving themselves able to make a living, at times even earning more than professionals and corporate salarymen striving in the rat race.

This brings forth the question: does pedigree matter in one’s career?

Qualification is a key

No doubt graduating from a good university or being an alumnus of a prestigious educational institution goes a long way in shaping careers.

Qualification is, after all, a key to opening doors which would otherwise remain shut to ordinary people.

There are many organisations that hire based on academic performance or the university you come from.

Some professions (especially those within the capital markets) require a mandatory degree qualification to be eligible to become licensed representatives.

There is no way to do away with qualifications entirely, but it appears that they are not as definitive as they once were decades ago.

This has a lot to do with scarcity premium. Today, we have plenty of university graduates compared to decades ago.

Everyone on the street is either a bachelor’s degree holder or a master’s degree holder. Some would even be multiple-degree holders or have professional qualifications.

This means the playing field has evened out and the metric of measurement is no longer solely about qualifications.

As an employer myself, I have been interviewing many candidates over the past few years. From interns to senior managerial roles, the requirements I look for are different.

Sure, a fancy degree from an overseas or top local university makes a difference to the first impression. That said, it is never the final determining factor, at least for me.

Demand and supply shift

As society becomes highly educated, the demand for skill sets shifts accordingly. Today, what appears to be highly in demand are skills for jobs that people do not want to do, in other words, blue-collar work like plumbing, repair work, technical services, auto servicing and others.

Jobs that were once frowned upon as career paths are now seemingly more lucrative due to labour shortages, while traditional professions such as law, accounting and architecture face fee compression amid a growing supply of talent.

In developed countries like the United States, Japan and South Korea, we hear stories of plumbers or technicians becoming millionaires. These are entirely due to the shift in demand and supply when it comes to the job market.

Artificial intelligence (AI) has also disrupted the entire career landscape.

Many children were taught to learn coding from a young age. Yet, with AI, mastery of programming languages is no longer unattainable due to vibe coding and the use of natural language instead of programming languages to develop software. What this means is that the skill sets of software engineers or programmers in complex programming are being replaced by individuals who know how to enter “prompts” efficiently and effectively into AI platforms.

That is why we are seeing the wave of the “SaaS apocalypse” (SaaS or software as a service) in global stock markets, where software companies that once commanded investors’ interest due to sticky subscription-based income providing a recurring earnings model are being doubted today.

Take Adobe, for instance. Its share price is down 64% over the past five years from its peak of US$688 per share to US$218 per share today, against the backdrop of a rallying Nasdaq market reaching an all-time high.

Attitude is a differentiator

This does not mean hiring talent has become easier today. I continue to face the problem of finding the right talent as our businesses expand.

By the right talent, I do not look at pedigree or qualifications alone. To me, attitude is what sets one talent apart from another.

The willingness to endure, the curiosity to learn and the hunger to strive for self-improvement. Without any of these three criteria, it is hard to see talent grow to full potential.

Being an ordinary salaryman or salarywoman is not an issue. But truly contributing and helping the organisation grow to the next level requires a different mindset and attitude altogether.

With so many career choices (both conventional and unconventional), as well as avenues to make a living that did not exist decades ago, such as being an influencer, content creator, podcaster, food reviewer or travel reviewer, many youths entering the job market are neither desperate nor hungry for the jobs being offered.

Some would be happy to go without fixed employment while taking their time to find the right job that fits their passion. The vibrancy of the gig economy also offers them a temporary income source instead of the need to be tied down to permanent employment.

Money should be secondary

In the early part of one’s career, money should always be secondary. Opportunities and accumulating experience are more crucial because they build the foundation for later years.

Progress comes from learning, and learning on the job is highly dependent on the opportunities to participate in work assignments, projects and deals afforded by employers.

Without sufficient experience, even if one is brilliant or academically excellent, the room to grow becomes very limited, as real-life application of knowledge and execution ability are far more important than theoretical know-how.

I worked as an employee for almost 11 years before I decided to set out on my own. Some may say it is far too long in today’s context before becoming an entrepreneur.

However, in hindsight, I am glad I did because I had the opportunity to learn and make mistakes on someone else’s payroll instead of my own.

It helped shape my perspectives, learning from the mistakes made in key decisions by the top management of my previous employers, and building confidence in my execution ability over time.

All these are experiences that money cannot buy within a short span of time. Only if you have gone through them personally will you be equipped to deal with the situations that arise in the course of being a business owner.

And it is worth every dime to have gone through those past work experiences, be they good or bad, during my time as an employee.