Futureproof your business: Combating the tech skills shortage

Regardless of the size of a business, skills shortages can significantly impact operations and overall success. With the rise of the tech and AI-driven workplace, organisations face growing challenges in securing talent for critical roles and maintaining competitiveness in the market. As technology and AI reshape the workplace, organisations increasingly struggle to secure talent for critical roles.

According to HR Grapevine, 34% of UK businesses are facing a significant shortage of tech skills. A survey by HR Dive further indicates that HR leaders are struggling to recruit individuals with tech skills for roles in software engineering, data analytics, and user experience, compared to traditionally high-demand positions in data science and UX design.

The impact of the tech talent shortage is being felt worldwide, extending far beyond the borders of the UK. One key factor contributing to the struggle faced by employers is the lack of effective recruitment strategies in place.  

Understanding the challenges in tech talent acquisition

CIOs and CTOs are facing challenges in demonstrating to the board that IT expenditures are providing business value, leading to reduced spending on tech talent recruitment. Additionally, as the cost of living rises, many organisations are finding it difficult to meet the salary expectations of both new and existing tech staff. To gain deeper insights into these tech talent acquisition challenges, Robert Walters conducted a survey of 1,000 hiring managers. The survey identified key obstacles, including increased demand (21%), a shortage of specialised skills (43%), educational gaps (17%), and global competition (20%).

1. Increasing demand

The demand for tech talent is rising due to the growing role of technology in business, digital transformation across industries, and the rise of startups. Sectors such as healthcare, finance, and retail are adopting digital technologies, creating a need for tech professionals.

Practical solution:

By offering flexible work arrangements, companies can attract and retain a wider range of talent, including those who might need to balance work with other responsibilities, such as caregiving or further education. This approach not only broadens the talent pool but also enhances employee satisfaction and retention, which can be crucial in competitive job markets.

2. Educational gaps

To address skill shortages, companies and governments must invest in education and training that align with industry needs. Partnerships among universities, tech firms, and training providers can equip individuals with high-demand skills. 
 
Practical solution:

Encourage the development of coding boot camps, online courses, and apprenticeships as quick learning paths for aspiring tech workers. These programmes, forming partnerships between universities, tech firms, and training providers, can help individuals gain in-demand skills.

3. A lack of specialised skills

Conventional educational systems often fall short in equipping students with the necessary skills for today's job market. Although certain universities may offer computer science and related degrees, the curriculum can easily become outdated due to rapid technological advancements. Furthermore, there is often a disconnect between academic programmes and the practical, hands-on experience that employers value. 

Practical solution: 

To bridge this gap, integrating internships, work placements, and project-based learning into the curriculum can offer students valuable real-world skills. Providing online courses and workshops focused on emerging technologies can ensure that skills remain relevant and up to date.

4. Global competition

By 2030, the global shortage of tech workers is expected to surpass 85 million, leading to an estimated annual revenue loss of $8.5 trillion. A survey by FourthRev highlighted that if British companies cannot find the necessary digital skills locally, 81% of them would seek international talent. To tackle this issue, countries like the UK, the US, and Australia have implemented measures to streamline visa processes and attract tech talent. However, the UK faces additional challenges due to the end of free movement from the EU following Brexit which highlights the growing urgency to recruit and develop local talent.  

Bridging the tech talent shortage: How our Hire Train Deploy programme is making a difference 

HTD programmes deliver the flexible, accredited skills your business needs, without the responsibility and cost of managing the learning and development journeys of early-in-career talent. For a single, all-in fee, we transform high-potential candidates into high-impact tech consultants.

We hire and assess diverse, early-in career talent and employ them from day one. We set up bespoke bootcamps to develop the technical and commercial skills training they need to hit the ground running. We coach and mentor their careers throughout their placement. And after 24 months, our consultants join your team permanently, or are redeployed.

To find out more about how Hire Train Deploy can address your tech talent needs, contact us today.