Coping with the Scarcity of Tech Talent: Key to Successful Digital Transformations in Large Enterprises
As organisations navigate the ever-evolving digital landscape, digital transformations have become a top priority for many large enterprises. These initiatives are aimed at harnessing the power of technology to drive innovation, streamline operations, and deliver superior customer experiences.
According to well documented research by McKinsey, over 70% of digital transformations fail to deliver. One of the key challenges that enterprises face in executing successful digital transformations is securing the right tech talent with the necessary skills and expertise to drive these initiatives forward.
The Challenge of Securing the Right Tech Talent for Digital Transformations
The demand for tech talent has skyrocketed in recent years, and large enterprises are grappling with a scarcity of skilled professionals who possess the specific skills required for their digital transformation initiatives. According to Gartner’s research, 75% of organisations struggle with talent challenges when it comes to digital transformation projects, and many report skills gaps in areas such as artificial intelligence, data analytics, cloud computing, cybersecurity, and agile methodologies.
The Rapid Pace of Technology Change and Its Impact on Skill Challenges
One of the main skill challenges within digital transformations is the rapid pace of technology change. As technology evolves at breakneck speed, enterprises need to constantly adapt and acquire new skills to stay relevant. However, the traditional hiring process can be time-consuming and cumbersome, leading to delays in securing the right talent with the needed expertise. Additionally, the high demand for tech talent has driven up salaries, making it challenging for enterprises to attract and retain talent within their budgetary constraints.
The Rise of Internal Talent Marketplaces and On-Demand Freelance Talent in Digital Transformations
In response to these challenges, forward-thinking enterprises are turning to internal talent marketplaces and on-demand freelance talent to augment their tech workforce and drive more effective digital transformations. Internal talent marketplaces enable enterprises to create a transparent, flexible, and dynamic system that connects employees with relevant skills and expertise to digital projects. This helps unlock the hidden talent within the organisation, enhances collaboration, and accelerates the pace of digital initiatives.
On-demand freelance talent, on the other hand, offers a flexible and scalable solution for bridging skills gaps in digital transformations. By tapping into a global network of highly skilled freelancers, enterprises can quickly access specialised expertise and experience across a wide range of digital domains. This allows organisations to leverage the right talent at the right time, without the need for long-term hiring commitments or exorbitant salaries.
On-demand tech talent can be procured quickly via talent platforms compared to traditional talent pools which include hiring contractors from recruitment companies and consultants from consultancies. Hiring contractors has a place in most transformations but can take 1-3 months to hire and regulations can be tricky to navigate, roles such as Programme Managers and Project Managers are still hired this way. Consultants also have a place but can be expensive at a time when project budgets are being squeezed. On-demand tech talent from talent platforms can be great for skills such as Business Analysis, Copywriting, UX Design, Data Engineering and Software Engineering.
The Benefits of Leveraging On-Demand Tech Talent in Digital Transformations
The benefits of leveraging on-demand tech talent in digital transformations are many. Firstly, it allows enterprises to access a diverse pool of talent with specialised skills, which may not be available in-house or through traditional hiring channels. This enables organisations to address specific skill gaps and bring in expertise as and when needed, ensuring the successful execution of digital initiatives.
Secondly, on-demand tech talent offer flexibility and scalability, which are crucial in the dynamic world of digital transformations. Organisations can quickly adapt to changing project requirements, scale up or down as needed, and access talent on-demand without being constrained by long-term employment contracts.
This agility helps enterprises respond to the fast-paced nature of digital transformations and accelerate project timelines. By tapping into a broader talent pool, enterprises can infuse new ideas, insights, and approaches that can drive innovation and lead to more successful digital transformations.
Internal Talent Marketplaces are gaining momentum with HR Leaders but so far have not yet been implemented into large scale digital transformations.
The Potential of Internal Talent Marketplaces in Large-Scale Digital Transformations
A recent Gigged.AI research study found that 95% of PMO leaders still use excel spreadsheets as the primary source to store information of all the key people working on a digital transformation.
This means lots of key information is being missed out such as hidden skills, aspirations and availability. Gartner describes an Internal Talent Marketplace as:
The “gig economy” relies on marketplace platforms to match customer demand to workers who are offering products, services or solutions. An internal talent marketplace uses similar principles to match internal employees and, in some cases, a pool of contingent workers, to short-term project and work opportunities without the involvement of a recruiter.
An internal talent marketplace deployed within the key projects and programmes within a digital transformation can help save cost and time when allocating resources and reporting what skills are in place and what skills are needed. This internal talent marketplace can then be used to store all skills of permanent, on-demand, contract and consulting talent deployed on a digital transformation. Much more effective for COO’s, Programme Directors and PMO’s.
Conclusion: Unleashing the Power of On-Demand Talent for More Effective and Successful Digital Transformations
In conclusion, large enterprises face significant challenges in securing the right tech talent for their digital transformations. However, internal talent marketplaces and on-demand freelance talent offer viable solutions to overcome these challenges. By leveraging these talent strategies, enterprises can tap into a diverse pool of specialised skills, gain flexibility and scalability, and infuse innovation into their digital initiatives. As organisations continue to navigate the digital landscape, unleashing the power of on-demand talent can be a game-changer in delivering more effective and successful digital transformations.