Tech Outlook for 2023: Strong Investments but Shifting Priorities

Strong technology investments in 2023 will require a skilled workforce to implement new solutions. Leaders who foster positive relationships across the tech talent landscape are most likely to succeed, they said. Jason PylePresident of Harvey Nash USA.

Without a doubt, 2022 was a turbulent year, and some of the toughest issues were in the workplace. Continued shifts to remote and hybrid work, “massive retirements,” lingering technical talent shortages, and now rather massive tech layoffs.

Faced with this confusion, Harvey Nash’s Digital Leadership Report We still know that US companies will continue to invest in technology solutions and have the workforce needed to implement them next year. The growth expectations expressed by the technology leaders surveyed demonstrate that companies are committed to continuing their digital transformation. This is welcome news in a world of uncertainty and is critical to the stability of the U.S. economy and job market.

Below are four trends we expect to see in 2023 due to this projected technology spending.

Technology investment remains strong across most sectors

U.S. digital leaders surveyed show a strong commitment to technology finance, with 52% expecting budget increases over the next year. There is no single answer as to where the investment will be made, but some generalizations do exist. Many of the organizations surveyed, including technology, professional services, healthcare, manufacturing, and financial services firms, continue to work toward achieving their digital transformation goals. This requires increased investment in cloud computing, big data and analytics.

The government sector tends to lag behind the private sector when it comes to technology, but is better protected from economic headwinds. This allows public institutions to focus on areas where they can make significant progress. For the federal government, this means modernizing internal systems that make it easier to connect people to much-needed benefits like unemployment benefits, food assistance and veterans benefits. At the local level, cities, towns and municipalities are likely to invest in solutions that help them provide essential services to their residents, which is especially important in times of crisis.

Cybersecurity across all sectors remains a top priority, with even more resources coming in 2023. This is one area where the government sector should look to increase investment as the threat of cyberattacks grows as the world becomes more unstable. And it’s not just at the federal level. A recent ransomware attack in New York hampered a county’s vital functions, throwing us back into the fax era of the 1990s.

Talent and skills shortage persists despite tech layoffs

In the US, 59% of companies will struggle to recruit and retain talent in 2022. It was 69% in 2021, and while things have improved, talent shortages remain a significant challenge. Some companies hope that massive tech layoffs in 2023 will provide an opportunity to recruit newly unemployed workers. However, talent laid off from these companies may still have good opportunities from technology organizations and adjacent industries less affected by the current economic challenges. .

Attracting these candidates remains challenging, but possible for smaller, lesser-known companies. Technology should focus on his worker’s priorities, such as high salaries, benefits, innovative projects, skill development, and a positive culture. These organizations also recruit based on potential rather than necessarily experience, survey existing employees for upskilling opportunities, and invest in training and development to improve the overall skills of their teams. This increases your chances of attracting and retaining talent.

Companies prioritize data management over new technology

It’s not uncommon for companies to invest in technology. Because it’s fashionable to invest in technology without considering whether it meets your strategic goals. Many leaders in their rush to digital have put the carts in front of their horses, prioritizing advanced technologies like AI, ML, automation and DevOps before controlling the basics. There are several things you can do to address this, starting with assessing your organization’s digital transformation progress. Fully cloud-ready? If not, this is probably the best place to invest.

Companies also need to develop a cohesive data strategy. In their 2023 plans, digital leaders said gaining actionable insights from data is their second highest priority (after improving the customer experience), with 67% saying these insights will be competitive said to give an edge. Today, many senior leaders of advanced technology understand that the effectiveness of his solution depends on the data ingested into it, so it’s important to start with a clean data set. This does not mean that emerging technology strategies should be stopped entirely. This means that some progress is needed on improving data management before moving forward.

Having the right data team in place is a critical first step. Not only can these professionals bring order to an organization’s data, but when the time comes to invest in advanced technology and supporting personnel, the data they interrogate can yield valuable insights. Like all in-demand technical talent, data scientists and analysts are a source of inspiration for companies that invest in exciting projects and innovative initiatives, benefits that enhance and improve lifestyles, and ongoing education and development. Seeking access. Additionally, top-down underscoring of the company’s commitment to data accuracy can help attract the best data talent.

Read more: Rethinking Data Management in the Age of the Data Economy

DEI Initiative Needs to Accelerate

Towards 2023, organizations can do more to establish improvements in minority representation, especially in leadership roles. This means not only presenting her DEI presence on the website, but living and breathing the mission of building a diverse employee community. Quotas themselves do not promote diversity, but measurement can be one tool to bring accountability behind DEI initiatives. Data can play another important role by constantly evaluating certain metrics to provide a window into which equity work is most and least effective.

It is also important to pick up the pace to encourage women and underrepresented groups to pursue long-term tech careers. Current talent shortages allow employees to hop from one entry-level job to another, but these transfers typically don’t translate into higher levels of technical skills for her. Companies should focus on creating strong upskilling her programs to improve the experience of her members on existing teams.

In the long term, more investment needs to be made to introduce younger generations to the types of technology and engineering careers that exist today and the careers of the future. A majority of digital leaders (69%) feel the U.S. government could do a better job of prioritizing her STEM introduction early in her K-12 public education system. In some cases, coding and robotics are not learned in elementary school, but in middle school. Governments can also do more to encourage private organizations and educational institutions to partner up for internship and apprenticeship programs.

see next: Stop WOKE Act: Impact on DEI and Workarounds

2023 Imperative – Counter Disruption with a Positive and Collaborative Culture

While the future is always uncertain, turmoil is likely to continue in 2023, potentially influencing candidates’ joining decisions and employees’ decisions to stay or leave. Organizations can make all the necessary technology investments, but without the talent to implement solutions, business innovation and transformation stagnates. With this in mind, leaders must foster positive relationships across the tech talent landscape. You can do this by being approachable, open to feedback, and understanding each individual’s unique needs. We also need to realize that we live in a confused world, and feeling safe, secure and supported at work can sometimes make all the difference.

Why do you think you need a skilled workforce to deploy innovative solutions? Share with us Facebook, twitterWhen LinkedIn.

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