The survey * shows that 52 percent of HR leaders in the sector said their company’s expansion plans are being driven primarily by the desire to hire talented workers in international markets. The results are consistent with the evidence of a greater shortage of skills in the UK technology sector. According to Tech Nation, which represents technology entrepreneurs, more than half of companies report a shortage of highly qualified employees **.
Velocity Global’s research, which is part of The State of Global Expansion 2019 report, also highlights the key challenges facing human resources leaders in the technology sector when they expand internationally. Four out of ten (40 percent) consider that the management of employee immigration is their biggest headache when moving to new markets abroad, before recruiting (38 percent), find expert consultants (28 percent) and communicate over long distances with employees (22 percent).
However, despite this, the heads of human resources remain overwhelmingly ambitious. About 93 percent of respondents said that the technology companies they work for seek to expand abroad. And although about a third (35 percent) currently operate in the United Kingdom alone, only 8 percent think they will focus exclusively on the country at the end of 2019.
Ben Wright, CEO of Velocity Global, said: “The research paints a vivid picture of the global ambitions of UK technology and, more importantly, shows the crucial role that Human Resources leaders must play in helping the sector to thrive in new international markets.
“Companies expand globally for all kinds of reasons, most of the time to increase sales and profits. However, the results reveal that although trust among technology companies in the United Kingdom is high, the shortage of skills is a very real problem.
“Many, therefore, have come to the conclusion that by expanding globally in the world’s leading technology markets, they can gain access to groups of talents that otherwise could not take advantage.” This is where human resources leaders become an integral part of the future growth of their companies. ”
In addition to accessing the best talent, human resources leaders in the technology sector also reported that their businesses seek to expand due to Brexit uncertainty (37 percent), portfolio diversification (32 percent) and access to resources cheaper (27 percent).
Velocity Global, whose headquarters in the United Kingdom is located in Shoreditch in London, helps companies expand globally through their International PEO (Professional Employer Organization) service. This solution allows companies to hire employees anywhere in the world quickly, in accordance and without having to set up an entity.