Contributed by Lara Beecher, Gartner for Midsize Enterprises
Midsize enterprises (MSEs) are experiencing a surge in digital demand, without a corresponding expansion of IT resource capacity to support it. In fact, 43% of midsize enterprise CIOs indicated insufficient resources as a barrier to meeting business objectives. Coupled with a conservative forecast for budget and staff growth in 2019, IT leaders are unlikely to get the resources they’re requesting (see Figure 1).
Figure 1: Barriers to Business Objectives and Staffing Forecasts
Given these constraints, CIOs at midsize companies must rethink how they approach talent. You can’t just ask for more resources all the time. In response, some CIOs have changed how they acquire new skills and competencies to satisfy business objectives. Nearly two-thirds of all core technology, analytics and digital roles are filled using internal employees, while 65% of emerging technology roles are sourced externally (see Figure 2). MSE CIOs recognize the need to balance work across both internal and external resources to get things done.
Figure 2: Approach to Acquiring New Skills and Competencies
It’s easy to understand why people default to asking for more resources while overlooking their existing talent. But even when the funds are available to satisfy demand, the people often are not. And if that wasn’t bad enough, the talent you already have is looking elsewhere. According to current labor trends, 37% of IT employees at MSEs are actively looking for new job opportunities, outpacing active job seekers in other functional areas. CIOs who ignore current staff in favor of hiring scarce resources could end up much worse off than where they began.
Progressive CIOs recognize that IT demand doesn’t always need to be addressed by IT staff. The enterprise presents an untapped opportunity. In the next blog, we’ll go into detail on how different midsize enterprises identify ways to unlock capacity outside the IT department to deliver value across digital projects.
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