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Global challenges in the IT recruitment sector and what it means for you

Are you struggling to find skilled software developers in Australia? The demand for skilled IT and software development professionals has skyrocketed in today’s technology driven world. The speed in which the industry has grown has made software developers a scarce resource. In an increasingly dwindling pool of talent, finding the right candidate has become a major challenge for many business owners. That’s where IT recruitment comes in!

Even if you manage to find the right talent, retaining them won’t be cheap. In Australia, the shortage of skilled IT professionals has led to high competition and increased expenses for businesses. In its 2022-2023 salary checker, HAYS places the average salary of a software developer in Australia as $120,000 annually.

With a shortage of skilled professionals and rapid technology advancements, businesses are finding the answer to their problem is outsourcing IT and software development roles to the global market. Deloitte’s 2022 Global Outsourcing Survey found “Organisations are turning to outsourcing to fill gaps, drive value, and provide end-to-end solutions as they build a blueprint for the future.”

 

 

The challenges of attracting skilled IT professionals

If you’re a business owner, one of the biggest challenges you will face in your IT recruitment is the global skills shortage throughout the industry. It may feel like you are alone in your frustrations, but it’s reported by Hays that 91% of employers can relate to your stress and find the skills shortage to be one of the major challenges for their business. In IT this is particularly prevalent as the industry continues to grow at a rate that cannot keep up with demand for skilled workers.

Adding to the endless IT recruitment obstacles is the increasingly competitive nature of recruitment. To entice the best talent, many businesses present alluring salaries, benefits, and perks. Many small and medium-sized businesses in the lucrative IT sector simply cannot afford the high cost of retaining the best talent locally.

One solution to these challenges is turning to the Global market and leveraging the benefits of outsourcing your IT and software development roles. By expanding the talent search, businesses can find skilled professionals at a lower cost. For instance, software developers employed by Away Digital Teams (ADT) in Vietnam, cost approximately $48,000 annually. This includes everything from desk, chair, computer, office, payroll, onsite management, internet, electricity, and lunch- room expenses. With the total cost of employment at less than half the cost of an Australian employee’s salary this can significantly improve your company’s productivity and output.

 

 

The impact of technological advancements on IT outsourcing

Technological advancements have played a significant role in the growth of the IT outsourcing industry. This coupled with the pandemic has forced many businesses to adopt a remote working model. The benefit for businesses looking to outsource their IT roles is that with these advancements in cloud computing and remote collaboration tools, businesses can now work with offshore teams as seamlessly as with in-house teams.

As demand for IT services continues to increase, it is likely that more and more companies will use outsourcing to solve their hiring problems and maintain their competitiveness in the market. It has been found that 76% of executives are already outsourcing their IT services, with significant growth expected in coming years.

Many Australian businesses looking for skilled software developers and other IT professionals will find the outsourcing opportunities, via companies like ADT, an appealing alternative due to the rising industry competition.

 

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Retaining IT talent – How outsourcing can help retention

Retaining your top IT talent is increasingly challenging as many IT professionals continue to be lured away by better offers and incentives by your competition.

In the past 12 months, staff turnover increased for 58% of employers, and 35% believe it will accelerate in the 22/23 financial year. For many businesses the constant staff turnover and increasingly alluring offers by other businesses can place ongoing strain on your business productivity and profitability.

When you choose to use a company like ADT you give yourself the competitive edge. ADT looks after employees and their fee includes everything from payroll and HR to a provision of desk, chair, and computer as well as all employee engagement activities. ADT offers skilled software developers, and all related employee expenses – all for less than half of what it costs to employ and retain an Australian equivalent employee. Additionally, outsourcing companies like ADT have access to the deep pool of their local IT talent. They can quickly fill the gaps and reduce the time and money spent on recruiting and pre-screening candidates.

 

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Unlock the power of outsourcing

The current pool of skilled IT professionals has made recruitment and retention increasingly difficult for businesses in Australia. The competition is high and the cost of retaining good talent is even higher.

Businesses can take advantage of the newest technologies and market trends and keep up with customer demands by outsourcing IT and software development to the global market. If you’re looking to increase your IT talent pool and maintain your competitiveness in the market, you can turn to companies like ADT, who provide skilled talent in Vietnam, for a cost-effective solution.

Take the first step in your global IT recruitment journey with an outsourced software development team. Contact our friendly team today!

 

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