The Difficulties in Finding Technical Talent (P2) | Stellant

In part one of this series, we discussed how digital disruption has forced companies to adapt to a new way of thinking. One that requires speed, agility, and innovation. This article continues that discussion and explores one of the main reasons companies may face challenges in adapting to this new way of thinking. 

How the Talent Shortage Impacts Businesses

Talent shortages are a major issue for organizations. A Gartner survey lists the current talent shortage as one of the top five emerging risks for companies. According to the survey, 63% of respondents worry about a lack of key talent. This problem impacts businesses in several ways:

Slows Adoption of New Technology

Your existing resources may already be busy with other initiatives. Without adequate resources, you won’t be able to experiment and implement newer technologies. As a result, it will be difficult to innovate and keep pace with disruptors in your industry.

Lost Market Share

Companies lose market share because they cannot keep up with competitors that have more resources. 

Hinders Innovation and Creativity

Having resources with expertise and vision is key to innovation. Without the right talent on your team, you won’t benefit from the creativity required to achieve innovation.

Decreased Productivity and Efficiency

When you don’t have enough resources, existing team members must pick up the load. These team members end up working extra hours, which ultimately leads to burnout. As a result, productivity drops. 

Decreased Customer Satisfaction

Today’s digital-first customer demands companies provide outstanding technical experiences. They want technology to solve their problems and make their lives easier. Without an adequate team in place, you won't be able to meet their needs. As a result, customer satisfaction decreases. You may end up losing them to competitors.

Building Internal Development Teams: Harder Than You Think

Building a development team seems like an easy task. However, today’s economy has made that more challenging than many realize. Below are a few reasons you may find it more difficult to build the team you need to grow your business. 

Lack of Skills and Experience

The most successful disruptors use innovative technologies like artificial intelligence, machine learning, blockchain, serverless, and data science to create new products and services. Many developers don’t have experience with these technologies. These emerging technologies are advanced concepts that require a deep understanding of math, science and programming. Not only that, most companies require at least two years of experience. 

Developers Switch Fields

Innovation requires speed. Often, this means developers work long hours to meet deadlines. Coding is a complex task that requires significant thought and concentration. When developers work long hours to meet deadlines, they ultimately burn out. Many of them switch fields for a slower-paced and less stressful environment.

Stiff Competition for Top Talent

Many of the best developers have multiple offers lined up. Forbes’s article on IT salaries in the U.S. for 2020 shows these candidates have multiple job offers. Others offer better salaries, working environments, and compensation. What does this mean for you? It means you’ll need to offer better perks if you’re going to attract the best talent.

Rapidly Evolving Technology

Technology evolves daily. With so much change, it is difficult to know what each does and how to use it to your advantage. Failing to stay on top of trends leaves you ill-equipped to remain competitive.

Ineffective Hiring Process

Many companies still rely on outdated hiring processes that limit their talent pool. Posting to job boards is no longer effective. The most qualified candidates don’t use job boards. Many might not even be actively looking for new employment. The new reality is the best strategy requires a direct approach to reaching out to these individuals.

How Outsourcing Mitigates These Challenges

The good news is there are ways to overcome these challenges. And you can do so without creating an internal development team. How? Outsourcing. With outsourcing, you build a software engineering team specific to your needs. That way, you get the right talent that gives you the best chance of success. Take a look at a few additional ways software development outsourcing helps your business.

Expands your Talent Pool

Working with an outsourced team gives you access to more resources than you could find on your own. You’ll be able to work with experts with advanced knowledge of the latest technology. Additionally, you’ll have access to enough resources to expand your team as your business grows.

Minimizes your Risks in Hiring

Hiring internal team members comes with risks. They may not have the knowledge they previously stated. You may find they don’t fit well with the culture or the existing team. As a result, they won’t be as effective as you’d like, and you may end up letting them go. Also, it costs a lot toon board a new employee. This could result in money lost if the person decides not to stay with the company. With software development outsourcing, you won’t face these issues. The resources are fully vetted and their skills have been verified. Additionally, you won’t waste money onboarding someone that may not stay.

Saves Time

Outsourcing software development allows companies to focus on their core competencies and not waste time on non-core activities like recruiting, interviewing, and training new employees or developing internal teams to do the work for them.

Build Better Products Faster

Outsourcing software development helps companies build a better product faster and cheaper than they could on their own.

Key Takeaways

Having the right expertise on your team helps you to innovate. Without innovation, you’ll lose market share to competitors that use the latest technology to keep up with customer demands. Contact us for more information about outsourcing your software engineering team. Our experts will help devise a solution tailored to your needs.

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