Future-proofing with RPO: Addressing the tech talent shortage

The fast-paced digital transformation initiatives of businesses have fuelled a surge in demand for technical talent across sectors. McKinsey survey results indicate that the tech workforce will grow at twice the rate compared to the overall workforce in the US. However, applicants with in-demand skills like software development and product management are becoming scarce, leading to a high level of competition to attract top talent among businesses.

Exploring the demand for tech talent

Several sectors, including healthcare, manufacturing, retail and finance are now adopting a digital-first approach to optimise operations. They require tech experts who can understand and implement technology to drive efficiencies. They need skilled individuals who can develop and maintain these technologies. Tech talent is also required to design and implement innovative products and systems.

Skillsets in technologies like AI (Artificial intelligence), ML (Machine Learning), cybersecurity, data analytics, cloud computing, web development and generative AI top the list of in-demand skills.

Technical hiring has become a challenge because it is not only cost-intensive and time-consuming but often marred with the failure to find the right candidates.

Challenges in hiring tech talent

Sourcing skilled candidates is difficult

Tech talent is now a requirement even in non-tech sectors such as healthcare and finance. Businesses in different sectors are looking for candidates with domain expertise and a knowledge of technology. Such niche skill sets are difficult to source.

The job market is highly competitive

Tech candidates are high in demand and have several options. Hence, they choose a company based on their priorities. A business needs to go a step further to build strategies to attract top talent.

Tech skills and requirements are not constant

Keeping pace with technological advancements is challenging for an organisation. Businesses try to cope with this challenge by hiring skilled candidates. However, technology keeps changing at a fast speed and so do the technical skills required for it. For instance, a couple of years ago, the need was for candidates knowledgeable about AI and its deployment. With the advent of generative AI, that changed to an extent in 2022. Businesses started looking for candidates who were adept at generative AI.

Whenever a new technology is introduced, it is almost impossible to find candidates who have the expertise or the experience of working with the technology.

Hiring candidates with tech skills is expensive

The demand for technical skills is high and the supply is low. So, it is a no-brainer that the candidates with the right skill sets have the balance skewed in their favour. Candidates with tech skills command a high salary alongside great employee experience.

As businesses grapple with these challenges, they are trying new strategies to hire top talent.

Strategies to hire tech talent

Employer branding: Today, candidates do their homework before applying for a position in an organisation. They research all the details about the company. Therefore, employer branding becomes a critical factor for attracting top talent.

Looking beyond domestic markets: Thanks to technology, we are no longer limited by geographical boundaries. Businesses need to look beyond local boundaries and tap into talent across the globe.

Reaching through social media: Candidates look at social media platforms like LinkedIn for job opportunities. Therefore, businesses must ensure that they have a strong presence on social media and provide options to candidates to apply for a vacancy through these platforms.

Candidate experience: Candidates want more than just a hefty pay package. They also weigh the perks, facilities and, most importantly, the experience they will have with the company.

Remember, first impressions count! A candidate’s first impression is based on the experience that they have during the hiring process. Long waiting times, lengthy application processes, ineffective communication, etc., all add up to a poor candidate experience.

One of the most effective ways to provide a great candidate experience is by using AI-based hiring software that automates various tasks and helps recruiters make data-based decisions.

Upskilling and reskilling: It is beneficial to build your existing resources by organising training programmes to help them develop the required skill sets.

Recruitment Process Outsourcing (RPO): Outsourcing your recruitment needs to an RPO agency will help overcome the challenges of hiring tech talent. RPO agencies have an existing database to source candidates. They also network with other recruiters, educational institutes and universities, from where they can identify and reach best-fit candidates.

RPO agencies complete the recruitment process much faster; so, your operations do not suffer.

Most RPO agencies have tech experts who can weigh and select candidates based on their capabilities.

When you outsource your recruitment to an RPO agency, you can focus on the growth of your business while the hiring process moves seamlessly. RPO agencies help to future-proof your business when there is a shortage of tech skills by sourcing and selecting the best candidates through their large talent pool.

Careernet is a leading RPO agency that provides recruitment solutions to businesses as and when hiring needs arise.

Resource:

• www.mckinsey.com