An overwhelming two out of three IT managers report that their companies are struggling with a shortage of skilled labor, and there seems to be no end in sight. How does this shortage impact implementation projects, and what can be done to mitigate its effects?
Reduced competitiveness creates project pressure
In the Insight Intelligent Technology Report 2023, 82% of respondents indicated the need to invest in digital transformation to stay competitive. Companies that strategically invest in technology significantly boost their innovation pace, quickly adopting AI-based technologies and reaping their unprecedented benefits.
However, this is only one of the many changes German companies are currently undergoing. Many are also transitioning to SAP S/4HANA. But what happens when there aren’t enough resources for implementation?
Companies face a tough choice: either they must heavily prioritize and delay the start of other projects, even though they can’t afford to, or they proceed with the project despite the resource shortages.
Higher Error Rates
The lack of specialized personnel in projects has serious consequences. Employees must compensate for the lack of resources, working under greater pressure and with significantly higher workloads. Important project tasks, such as testing or user training, often suffer as a result, increasing the risk of errors and security issues.
Additional Costs
Many respondents to the Insight Study noted that the shortage of specialized personnel extends project durations. This means that resources (employees, consultants, hardware) are needed for longer periods, leading to higher overall costs.
Mitigating the Consequences of the IT Skills Shortage
The shortage of skilled labor affects almost all levels of IT projects. While professional implementation partners can often scale well, issues arise when it comes to the company’s employees, such as harmonizing specifications and requirements or testing.
Process Consultants
External process consultants can provide significant support. From the initial idea to the go-live, they take on important tasks on the customer side of the project and coordinate the collaboration between system integrators and companies. This ensures that all requirements are met and that there are no delays in the process. They can also provide essential training for end users, which is crucial for realizing the promised benefits.
External Resources
Hiring external consultants, developers, and project managers is a common way for companies to increase their capacities. However, the risk is that if the consultant is not the right fit, they can worsen the situation. Effective recruiting requires a high level of technical expertise to identify the specific competencies a consultant needs for the project.
Traditional recruitment consultancies often fall short in this area, as their employees may lack an understanding of the problem, limiting candidate selection to a comparison of formal parameters. Successful projects require finding the perfect profile for the specific project requirements. Moreover, the skills listed in a job advert are often not found in a single person, making the search fruitless.
This is where IN3 EPO steps in. Through our close cooperation with the consultants of the IN3 Group, we possess the specialist know-how to translate project requirements into targeted and realistic searches. We ensure that the experts we place can effectively address the specific challenges facing the company.
Within just 48 hours, we deliver the right resources from all process and IT areas, efficiently closing personnel gaps and always maintaining a collaborative approach.
