Future Workforce: The Role of Technology in Shaping Early Talent Opportunities

As today’s business environment continues to evolve more rapidly than ever, the role of advanced technology, particularly artificial intelligence (AI), data analytics, and cloud computing plays a pivotal role in shaping the way that organisations find and retain new talent. This thriving landscape is reshaping industries, creating new career opportunities, and redefining career trajectories.

Leading the charge in the world of tech advancements is AI. The integration of AI and advanced data analytics in UK businesses is accelerating at an unprecedented pace and according to government research, around one in six UK organisations – approximately 432,000 – have adopted at least one AI technology. This widespread adoption highlights the major role of AI in driving business efficiency, innovation, and growth. For early career professionals, understanding these shifts is key, as companies across the country aim to harness new technologies in a bid to stay competitive. 

AI’s impact extends across various business functions, as over half of all businesses use AI for cybersecurity and fraud management, while 46% employ it to improve internal communications. The number of AI companies in the UK has surged by over 600% in the past decade, reflecting the country’s growing position in the global AI market. But notably, it’s larger businesses (those with over 250 employees) that are taking the lead when it comes to AI adoption, with a 60% uptake compared to 15% among micro businesses with fewer than 10 employees. 

However, AI is not the only technology that businesses should look to invest in. The data economy has also become a cornerstone of the UK’s economic landscape in recent years. Between 2015 and 2020, data and data analytics contributed a staggering £241 billion to the UK economy. 

These technologies have seeped through into nearly every aspect of business operations, from talent acquisition to customer acquisition. For example, more than half of HR leaders already use predictive algorithms for hiring, while firms in the global financial services market that use predictive data analytics have seen an 11% increase in customers and a 10% increase in new opportunities. Cloud computing adoption also remains strong, with 98% of organisations using some form of cloud services, up from 91% in 2020.

The fast pace of technological advancement brings both opportunities and challenges for businesses. One of the most pressing issues is the skills shortage, which significantly impacts business performance across all industries. In fact, the UK digital skills gap is thought to cost the economy £63 billion annually in lost potential GDP, and this figure is only expected to grow.

A recent IDC survey of over 800 North American IT leaders found that nearly two-thirds identified a lack of skills as a major barrier to revenue growth, quality, and customer satisfaction.

By 2026, IDC predicts that over 90% of organisations worldwide will be affected by the IT skills crisis, leading to losses equivalent to approximately £4.3 trillion due to product delays, reduced competitiveness, and lost revenue. On top of this, 63% of IT leaders reported that skills shortages have already delayed their digital transformation initiatives by an average of three to 10 months.

AI, data analytics, and cloud technologies are not just buzzwords. They are transformative tools that have the power to reshape the business landscape. The UK AI market, which is valued at over £16 billion, is projected to grow to around £780 billion by 2035, making it the third-largest AI market in the world after the US and China. Similarly, the UK cloud computing market is expected to reach £59 billion by the end of 2024, up from £41 billion in 2022.

The impact of AI on the job market is undeniable. According to Forrester’s 2023 Generative AI Jobs Impact Forecast, AI will influence 4.5 times more jobs than it replaces, and it will account for nearly 30% of jobs lost to automation by 2030. An IMF study also found that about half of the jobs affected by AI could see enhanced productivity as a result.

Organisations that fail to invest in closing their skills gaps risk falling behind. And the fear of missing out on technological advancements should not be swept under the carpet. Rather, it should be used to drive companies to prioritise skills development – particularly for early talent hires. Staying ahead of future disruptions requires a proactive approach to upskilling and reskilling the workforce, and AI is a promising place to start.

Dealing with continuous technological change is essential for businesses aiming to remain competitive, and our Workplace 4.0 emphasises the need for a cultural shift towards constant learning and adaptation. The goal is to reshape how organisations approach professional development. We know that adapting to evolving employee expectations and investing in training can significantly improve employee retention and overall business performance. But by supporting organisations to embrace flexibility they will be better equipped to navigate the diversity of a changing workforce.

Degree apprenticeships offer a viable solution to the current skills shortage. They provide a structured pathway for employees of all levels to develop the necessary skills and knowledge to thrive in the digital age.

For businesses equipped with the right skills and talent, AI, data science, and other key technologies offer numerous benefits too. These include enhanced efficiency, improved decision-making, and the ability to innovate faster than the competition. Degree apprenticeships can address many of today’s skills challenges so that organisations are prepared for the future.

For example, the Chartered Manager Degree Apprenticeship at Visa Europe, which is facilitated by Corndel, showcases the successful integration of academic learning with practical experience, leading to tangible business benefits. Will Brenton joined this degree apprenticeship and found that the diversity of the rotational programme has equipped him with a comprehensive understanding of business operations. 

The Visa Europe Chartered Manager Degree Apprenticeship is also a promising option for early talent who don’t want to take the traditional university route. Apprentice Sikander Asad said “I didn’t want to go to uni full-time because I had already gained financial independence, and I wanted to avoid student debt—a degree apprenticeship was the best option.”

The technological landscape is continuing to evolve at an astonishing pace, and businesses must adapt to stay ahead. For early career professionals, understanding these trends and taking steps to acquire the relevant skills is key for their future success. Organisations investing in degree apprenticeships and continuous learning can bridge the skills gap, ensuring that their business remains competitive in the face of future disruptions.

For more insights and resources, explore Corndel’s latest case studies and reports, including the Workplace training report 2024 and the Data Talent Radar 2024.

* UK digital skills gap is thought to cost the economy £63 billion annually in lost potential GDP. Data from the UK Government’s Digital Strategy report October 2022.