IT Skills Shortages Inside Companies Hamper Profitability, Productivity

CIO — CIOs who've been hard-pressed to make convincing business cases for increasing their training budgets may now have the data they need. Results of a recent survey conducted by the Computer Technology Industry Association (CompTIA) show the impact of IT skills shortages on organizations' profitability, productivity, innovation, speed to market, security and customer service.

The survey, conducted online between December 15, 2011 and January 23, 2012, asked 502 IT and business managers in the U.S. about skills shortages inside their IT departments, the impact of those skills deficiencies on their organizations, and how they attempt to address their IT skills shortages.

An overwhelming 93 percent of survey respondents report some gap between the technical skills their IT staffs possess and the skills their companies need. Eight-out-of-ten (83 percent) say that gap is small to moderate. Nine percent say their IT staffs' skills are not close to where they need to be. Only seven percent of survey respondents believe their IT staffs possess the requisite skills.

The skills that respondents ranked as the most important were core IT skills. The following IT skills received rankings greater than 70 percent:

• networking/infrastructure
• servers/data center management
• storage/back-up
• cybersecurity
• database/information management
• help desk/IT support
• telecom/unified communications
• printers/copiers/faxes
• data analytics/business intelligence
• Web design and development

How the IT Skills Shortage Affects Businesses

Eight out of 10 (80 percent) IT and business managers report that skills gaps inside their IT departments affect at least one business area. Here's a look at the impact of IT skills shortages on productivity, customer service, security, innovation, speed to market and profitability at small, midsize and large companies.

Productivity
Percent of respondents that say IT skills shortages inside their organizations hamper staff productivity:
Large companies: 44 percent
Midsize companies: 43 percent
Small companies: 41 percent

Customer Service
Percent of respondents that say IT skills shortages inside their organizations impair customer service:
Large companies: 33 percent
Midsize companies: 34 percent
Small companies: 26 percent

Security
Percent of respondents that say IT skills shortages inside their organizations negatively affects their ability to defend against cyber threats:
Large companies: 32 percent
Midsize companies: 39 percent
Small companies: 29 percent

Innovation/New Product Development
Percent of respondents that say IT skills shortages inside their organizations encumbers innovation/new product development:
Large companies: 29 percent
Midsize companies: 33 percent
Small companies: 23 percent

Speed to Market
Percent of respondents that say IT skills shortages inside their organizations impedes their speed to market with new products or services:
Large companies: 29 percent
Midsize companies: 33 percent
Small companies: 23 percent

Profitability
Percent of respondents that say IT skills shortages inside their organizations negatively affect their firm's profitability:
Large companies: 15 percent
Midsize companies: 15 percent
Small companies: 23 percent

CompTIA's report on the "State of the IT Skills Gap" notes that the business impact of a company's IT skills shortage is proportional to the size of the gap. In other words, the larger the IT skills gap, the bigger the impact it will have on a business.

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