Digital transformation is progressing at a rate that many workforces simply aren’t ready for. By 2026, the IT skills gap is expected to impact more than 90% of organisations worldwide, potentially causing setbacks like product delays, reduced competitiveness, and missed business opportunities.
Addressing these obstacles involves overcoming resistance to digital transformation by embracing change and ensuring people are prepared to lead it. Bridging the skills gap is also an important part of this process. Here are a few ideas on how businesses can take action.
1. Modernise recruitment practices
While long-term development is vital, the need for skilled professionals right now remains. Modern recruitment strategies prioritise verified skills over traditional CVs. Companies are rethinking how they assess candidates, turning to skills-based hiring supported by certifications and practical assessments. Additionally, tools like applicant tracking systems can simplify candidate screening, and remote-friendly roles can attract a wider, more diverse talent pool.
This is also where technology recruitment agencies play a crucial role in attracting top tech talent. Specialised partners can help businesses navigate the complexities of hiring for niche or emerging roles. With access to broader networks and market insights, recruitment agencies can quickly identify candidates with in-demand skills that may not be easy to source through in-house efforts alone. They also offer guidance on building a compelling employer brand and improving the overall candidate experience, from first contact to onboarding.
2. Build a stronger talent pipeline
The gap in IT skills begins long before companies start hiring. Companies that support STEM education at an early stage and partner with academic institutions are better positioned to shape the workforce of tomorrow. Aligning learning pathways with evolving industry needs ensures a smoother transition from education to employment.
Early careers programmes, internships, and collaborations with training providers can prepare graduates for the real-world demands of the technology sector. These long-term efforts strengthen the overall pipeline and allow companies to future-proof their workforce while building brand awareness among emerging professionals. As demand grows across technology jobs, a proactive approach helps ensure a more reliable stream of talent.
3. Encourage professional development
Closing the skills gap starts with equipping teams for continuous learning through internal training, micro-credentials, and hands-on projects in areas like cloud computing, AI, and cyber security. As our Managing Director for APAC, Jon Loh, recently shared in an eFinancialCareers article, the lines between roles are becoming less defined: Cloud Engineers are now tackling backend tasks, Backend Developers are incorporating DevOps, and Data Engineers are broadening their scope. The industry is shifting toward a more unified, adaptable skill set, making upskilling even more important.
Additionally, encouraging continuous learning keeps teams aligned with shifting industry needs and reduces reliance on external hiring. It also boosts retention, as employees are more likely to stay when they see clear growth paths. Additionally, supporting internal mobility with opportunities that match evolving skills and fostering adaptability, curiosity, and collaboration helps teams navigate this change.
When companies prioritise professional development and provide time and resources, employees stay engaged and future-ready. Combined with a strong work-life balance, this builds a culture where innovation and learning thrive together.
