Skills/Competency Database

Our President would like for us to develop a database to track employee qualifications or skill sets. His "perfect world" would be to get rid of all titles in the Org chart and begin to assign people to work and projects based on their knowledge and competencies. Have any of you done this? How did you go about it? Do you have forms to share with me?

Your observations as to how realistically this approach will work is also appreciated.
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