Chinwe Michael Mar 10, 2023
Organisations in Nigeria say that the availability of tech skills and talent are not meeting demand as productivity level keeps declining.
According to Africa’s tech skill scarcity revealed report, the need for tech skills covers a vast range of skill types, with data, developer, and cybersecurity skills coming out tops on African organisations.
“63 percent of organisations across the regions cited cybersecurity and data skills as in-demand, with 49 percent seeking more developer skills,” it reports.
A report by SAP Africa has revealed that 69 percent of organisations in Africa are likely to experience a tech skills gap, with 80 percent of Nigerian organisations expecting a skills gap compared to 53 percent of organisations in Kenya.
However, the need for tech skills is greatest among larger enterprises with organisation of over 1000 employees citing an increased need for tech talent compared to 90 percent organisation with fewer employees.
Further analysis of the report shows that four in five organisations surveyed reported some negative effect from a lack of tech skills, with 41 percent reporting that employees are leaving due to the pressures they experience as a result of understaffing.
Other consequences include not being able to meet client needs 46 percent, reduced capacity for innovation 53 percent, and losing customers to competitors 60 percent.
Furthermore, as a result of the high rate of layoffs, nearly all organisations are expected to experience a tech skills-related challenge in 2023. The report also disclosed that more than two-thirds of African organisations expect to experience a tech skill gap in the year ahead.
According to the data, the top skills challenge for African organisations is attracting skilled new recruits.
In response to the ongoing tech skills challenges, organisations are taking bold steps to ensure they have access to the correct tech skills, 41 percent said that upskilling existing employees would be a top priority in 2023, while 40 percent said the same about reskilling employees.
“Companies are also adopting technology tools and flexible work practices to ensure they can attract, retain and mobilise the correct mix of tech skills,” says Cathy Smith, managing director at SAP Africa.
“There is an urgent need to invest in skills development and training to ensure Africa can capitalise on its youth dividend as more than half of the world population growth between now and 2050 will take place in Africa, where 1.3-billion people are expected to be born by mid-century. “
Smith further stated that with the correct investment in skills development, Africa’s economy could transition away from its reliance on natural resources to build the world and future tech workforce, bringing untold economic and social benefits to the continent and its citizens.