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2023 trends: Increased investments in engineering talent and culture

2023 trends: Increased investments in engineering talent and culture

The role of technology in driving business growth and innovation has never been more important. One of the top technology trends for forward-thinking companies in 2023 will be emphasizing investments in engineering talent and culture. Attracting and retaining top engineering talent has always been challenging, but in today’s highly competitive market, it’s more critical than ever. The best engineers have a wide range of options, and they’re looking for more than just a nice paycheck. They want to work for companies that value their skills, provide opportunities for growth and learning, and offer a positive and collaborative work culture.

Companies looking to attract and retain top engineering talent must foster a work culture prioritizing collaboration, learning, and growth. However, it’s vital to understand that the tech talent your company needs might not necessarily be local–these days, companies can also source engineers from abroad. Global team augmentation is an approach that allows companies to tap into a larger talent pool of highly-skilled engineers, and build more diverse and inclusive teams to drive innovation and growth. This provides access to a broader range of skills and perspectives by bringing together a diverse group of individuals with different backgrounds and experiences.

Let’s dive further into the need for increased investments in engineering talent and culture, and how to make that happen.

The need for increased investments in engineering talent and culture

The COVID-19 pandemic catalyzed a significant technological workforce shift, as many professionals have chosen to continue working remotely even as the crisis subsides. This has resulted in a more fluid and dynamic workforce, as the traditional boundaries between in-office and remote work have become increasingly blurred. Many companies are now looking to hire tech talent in foreign countries, given the high level of education and work experience at a more manageable cost elsewhere.

Furthermore, the pandemic has accelerated the adoption of digital technologies and the demand for digital skills, leading to a more adaptable and agile technology workforce. According to Deloitte, 85% of IT companies plan to be hybrid or fully remote in the coming years, while other companies persist in getting employees back to the office.

This skill reorientation has also led to new challenges in the workplace. For example, Deloitte reports that an estimated 82% of businesses in the US were impeded in their efforts to undertake digital transformation initiatives due to inadequate resources and capabilities within their workforce. While it may be tempting for companies to attract new hires through generous compensation packages and other incentives, it is essential for technology leaders to recognize that there is no one-size-fits-all approach to talent management.

Rather than simply competing for this limited resource, a more effective long-term strategy involves actively fostering the development of new talent. An engineer’s past achievements are significant, but in many ways, so is their future potential. Companies should implement comprehensive talent creation, curation, and cultivation initiatives. These days, a more holistic and strategic approach is required that takes into account the unique characteristics and needs of the organization, as well as the broader market trends and dynamics impacting their technology workforce.

There are a few different approaches to consider when it comes to harnessing tech talent on a global scale. Each one has its own upsides, and it’s a matter of understanding which one works best for your organization and unique business needs.

Key technology solutions

Global team augmentation

In order to address the challenges posed by talent shortages, and stay competitive in the rapidly evolving technology landscape, your organizations might consider implementing an extended development team or pod team strategy. The extended development team structure is characterized by a decentralized approach to software development, where individual teams have a high degree of autonomy and responsibility for specific components or features of a large project. This approach promotes collaboration and cross-functional communication, allowing teams to work more efficiently and effectively.

Meanwhile, the pod team structure is characterized by a more centralized approach, where a group of individuals works on the same project or product, calling for a more cohesive approach to project management and development. This structure can be more effective for projects requiring a high degree of coordination and collaboration among team members, as well as for organizations developing multiple products or projects simultaneously.

Both structures have advantages and disadvantages, and the choice of which one to use depends on your organization’s specific needs, goals, and business strategy. Either way, global team augmentation enables leveraging the latest technological advancements, the training and development of your in-house team, streamlining change management processes, and ultimately driving revenue growth, irrespective of your organization’s location. By assembling a team of experts from diverse backgrounds and geographies, your organization can benefit from a wider pool of talent, skills, and experience to gain a competitive advantage in the marketplace.

Managed services

Your organization might also benefit from implementing a globally-managed services network to streamline operational performance. This approach enables the utilization of a modern and digitally-advanced methodology for managed services, incorporating best practices like DevOps, Site Reliability Engineering (SRE), and AIOps. DevOps focuses on the collaboration between development and operations teams, ultimately speeding up the development process and improving the overall quality of software. On the other hand, SRE focuses on enhancing systems’ reliability and availability through data-driven methodologies and automation. AIOps uses machine learning and other AI techniques to analyze and manage large amounts of data from IT systems, which can help improve performance, identify potential issues, and automate routine tasks.

Together, these managed services increase software development speed and efficiency, improve system performance and availability, and reduce the risk of downtime, and other issues. Your organization is equipped with the tools it needs to stay agile and adaptive in the face of rapidly changing business needs while also managing complexity and uncertainty.

Investments in tech talent: Conclusion

The quest for top-tier technology professionals remains a formidable challenge for organizations looking to stay ahead of their competitors. These days, technological innovation is the key to sustainable growth in almost every industry. A viable solution is investing in the development and re-skilling of existing employees who possess a desire for growth and are deserving of recognition for their tenure. At the same time, new hires should be valued for their diverse experiences and contributions that have already assisted your organization in achieving its business objectives. It’s crucial to recruit change management experts who possess the ability to inspire and guide employees in embracing change, new technologies, procedures, and protocols, driving organizational transformation.

Grid Dynamics is a digital-native technology services provider that accelerates growth and bolsters competitive advantage for Fortune 1000 companies. We have more than 15 years of experience in global team augmentation and managed services and are ready to continue helping businesses to the forefront of their industries with the best possible tech talent in 2023 and beyond.

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