IT leaders understand the importance of keeping systems up to date, but some face reluctance from within their businesses to invest in and adapt to new technology.
A key part of any IT leaders’ role is to seek out and implement the most effective technology that can create a positive end user experience and help their organisation achieve its objectives. In a perfect world they would have unlimited support, budget, and enthusiasm to help them do this. However, most IT leaders face barriers that prevent them implementing new technology.
In this blog, we’ll look at recent report findings on the significant barriers to change IT leaders are currently experiencing and discuss the drivers behind these, along with strategies for overcoming them. Report findings are based on the 2024 IT Leaders in the Eye of the Storm report, collecting perspectives from ~1500 UK based IT leaders.
43% of IT leaders say the biggest challenge is attachment to traditional methods.
This statistic highlights a significant barrier to innovation which can significantly hinder an organisation’s ability to grow and improve. This attachment can stem from a variety of factors, including fear of change, lack of understanding of new technologies, and comfort with established routines.
Despite the rapid advancements in technology, many individuals and organisations still cling to familiar practices and systems. This resistance to change can hinder the adoption of more efficient and effective digital solutions, slowing down productivity and innovation.
Moreover, it also suggests that simply introducing new technology is not enough. Adequate training and support are essential to help users transition from traditional methods to new ones, and this training should be tailored to the specific needs of the employees.
This finding underscores the need for change management strategies when implementing new IT services. Such strategies might include clear communication about the benefits of the new technology, hands-on training sessions, and ongoing support during the transition period.
Ultimately, overcoming this attachment to traditional methods is crucial for organisations to fully leverage the potential of new technologies and drive forward their digital transformation efforts.
It’s interesting to note that this challenge goes across the workforce, with 36% of leaders reporting that the problem of resistance to change lies with employees, while 34% say the biggest barrier is lack of buy-in from other leaders. This data underscores that digital transformation isn't merely a technological shift; it's a cultural one. Successfully implementing new technology requires a collective effort, involving everyone from front-line employees to top leadership. By acknowledging and addressing these challenges head-on, organisations can better position themselves to embrace new technologies and drive forward their digital transformation efforts.
42% of IT leaders say cost is the biggest consideration when adopting new tech.
Perhaps not surprisingly in the current economic situation, 42% of IT leaders say cost is the biggest consideration when adopting new tech. New technologies often come with substantial costs, including not only the initial purchase price but also ongoing expenses for maintenance, upgrades, and employee training. These costs can pose a serious challenge, especially for organisations with tight budgets, especially when 37% believe it is difficult to measure return on investment (ROI).
However, focusing solely on the immediate costs can potentially overlook the long-term value that the technology might bring. While the upfront investment in new technology can be high, it's also important to consider the potential ROI. For instance, a new technology might lead to significant efficiency gains, cost savings in other areas, or new revenue opportunities.
In some cases though, it is not so easy to measure and evidence ROI. Something as simple as improving user experience can have many long-term benefits, from driving greater productivity to increasing employee job satisfaction and retention, but isn’t easily identified as direct cause and effect. A comprehensive cost-benefit analysis may help to illustrate the benefits and positive impacts over the long-term, and an IT solutions and services provider can also help with presenting a strong business case for transformation.
31% of IT leaders say one of the biggest barriers to adopting new tech is the lack of in-house IT skills to support technology implementation projects.
Another key challenge for IT leaders is getting on top of the skills shortage, finding ways to attract, recruit and retain enough suitably qualified and experienced people in order to drive their business objectives. IT leaders are under pressure to find the right people for their teams whilst the digital skills gap continues.
Technology is evolving at a rapid pace, and it's challenging for businesses to keep up with the necessary skills to implement and manage these new technologies effectively. This can lead to organisations not being able to adopt new technologies needed to enable them to grow, or could result in a situation where an organisation has invested in a new technology but lacks the skills to leverage it fully.
The skills gap isn't just about understanding how to use the new technology. It also encompasses the ability to integrate the technology into existing systems, troubleshoot issues, train other employees, and adapt to changes as the technology evolves. This lack of in-house expertise can lead to longer implementation times, higher project costs, and lower ROI if the technology isn't used to its full potential.
This challenge is a key driver behind many organisations outsourcing IT functions to a Managed Service Provider (MSP). An expert provider will have skilled and experienced professionals who can advise, manage, and optimise the IT environment whilst minimising the high costs of training, upskilling, recruiting, and hiring internally in a very competitive market. They can lift the burden of managing, securing, and optimising your IT estate whilst leaving your in-house team to focus on strategic initiatives.
Looking forwards.
47% of IT leaders report that growth is a priority for the year ahead, so it is crucial that organisations find ways to overcome the barriers discussed above in order to achieve this objective.
From cultural resistance to cost considerations and skills shortages, IT leaders must overcome these challenges with strategic planning, effective change management, and a willingness to foster a culture of continuous learning and adaptation. By partnering with external expertise, prioritising comprehensive training, and focusing on long-term value rather than immediate costs, businesses can harness the full power of technological advancements. Embracing these strategies is essential for any organisation determined to stay competitive and achieve sustained growth in an increasingly digital landscape.
To read the report in full, download it for free here (select the 'IT Leaders' option).