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The Developer Shortage Crisis: 10 Innovative Strategies for Companies

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Vivek Goel


In today’s digital age, technology is advancing at a lightning-fast pace, and software developers are the wizards behind the scenes making it all happen. However, with the increasing demand for tech talent, companies face a significant challenge: Developer Shortage Crisis. This scarcity has led to fierce competition for top talent, making it difficult for companies to hire and retain skilled developers.

Although in 2016, it just took around two months for hiring companies to fill a developer role. But this has increased post-pandemic owning to the developer shortage in the world right now. By 2026, it is anticipated by the US Bureau of Labor Statistics that the United States will face a deficit of 1.2 million developers.

This is not good news — especially for companies who are looking to invest more in digital transformation. With the world moving towards artificial intelligence, big data, and other emerging technologies, there is more demand for developers than ever!

Companies need to explore how they can address the developer shortage and build a strong, sustainable tech team that can keep up with the ever-changing landscape of technology. So, let’s see how it will affect firms before diving in and learning how to close the gap between supply and demand and thrive in the age of technology.

How will Software Developer shortage affect your company?

Because of all these new initiatives, there is more pressure on the existing teams to take up more of this load. They must work on the company’s technology expansion plans apart from the legacy systems they are already working on. This will undoubtedly stretch your team too thin, causing you to lose out on productivity, not to mention the influence such a scenario has on employee morale.

When it’s hard to hire new developers because of developer shortage, the last thing we need is for existing developers to quit! Fortunately, there are some ways to drive innovation despite the developer shortage.

What can you do about the shortage of developers?

In the current digital landscape, software developers are in high demand, but there’s a shortage of skilled professionals to meet the growing needs of companies. So, what can businesses do to address this challenge? Let’s explore some actionable steps companies can take to mitigate the shortage of developers and build a strong tech team:

1. Harness the power of low-code and no-code tools.

With the latest no-code and low-code tools in the market, developers are not the only ones who can build apps. No-code tools like Quixy open the doors for citizen developers to step in and take control of the innovation. Citizen developers have a better idea of their requirements, and the no-code and low-code tools empower them to wear the hat of developers. This way, you can ensure that your current development team has the time and human resources they need to work on complex projects.

2. Incorporate low-code and no-code tools as part of extensive design systems.

It will inevitably make the process easier and more efficient if design, development, product management, and delivery managers are on the same page and speak the same language. It will make the collaboration so much better! This is where incorporating low-code tools come in. Low-code and no-code tools can be made part of design systems. As citizen developers, everyone can help in managing the whole process efficiently. Repetitive tasks can be automated, and efficiency can be improved seamlessly.

3. Don’t let HTML and CSS slow you down.

It is known that hand-coding HTML and CSS will slow you down, especially when working on things like screen design and layout. Several low-code and no-code tools out there let you visualize better and save a huge chunk of time in the process! The low-code tools also come in handy when simplifying writing databinding and data-access code.

4. Remove the designer-developer distance.

Designers and developers generally do not work together. Often, they work separately, so we need to streamline them so that the design can be coded. This is a huge challenge for both the design and development teams. It has a direct negative effect on productivity and wastes the time of both teams. Having no-code tools can help alleviate this problem by ensuring that the design team gives the development team a code that is easier to handle, update and build on.

5. Invest in your employees.

We already spoke about the importance of keeping your employees happy. This can be done by giving them more opportunities to learn new skills and take up new responsibilities. This will help them advance in their careers and benefit your company simultaneously. Thus, investing in employee training and development programs is the way to go when you are looking to stay ahead in the current scenario.

6. Be THE place to work.

Employees look for fair compensation. You must keep this in mind and offer competitive compensation and benefits packages! Employees know their worth and are looking for places that recognize their value. Being competitive in the market would mean offering a competitive salary, bonus, and benefits like health insurance, retirement plans, paid time off, etc. This will help in both hiring and retaining talent!

7. Be Flexible in hiring.

As we saw, there is a massive developer shortage crisis; you can still develop developers in your own company. Instead of being rigid in the qualifications you look for while hiring, it will help if these requirements are relaxed.

It is okay if the employee comes with only some of the skills built-in; if they are willing to learn and develop new skills, they can be turned into an asset for the company. We have already seen what citizen developers are capable of. Thus, looking for candidates with transferable skills is the key. Hiring junior developers is also an effective way to tackle the problem.

8. Expand the talent pool

In the current world, there is no need for companies to limit themselves to a particular geographical location when they are looking to hire new talent. With work from home being the new normal, you can tap into the global talent pool, giving you a much bigger market to choose from.

9. Build your company Culture

A great workplace is just as important as any other factor, like compensation, when looking for a job. A strong company culture will give you a good chance of attracting top talent in the field. This will keep your employees happy and help in acquiring the best talent out there.

10. Start from Basics

Build strong relationships with educational institutions. This is where your future employees are studying and figuring out what career path to take. Working with colleges and universities to promote software development as a career choice will go a long way in tackling the developer shortage problem. As a company, you will also be able to offer internships and co-op programs, which will ultimately help the company in the long run!

Thus, incorporating the measures mentioned above, your company will be well equipped to move forward in the current scenario despite the developer shortage crisis the world is facing now.

Conclusion

The developer shortage crisis is a challenge that companies cannot afford to ignore in today’s tech-driven world. However, with the right strategies and mindset, it’s possible to build a strong, sustainable tech team that can keep up with the demands of the industry.

From investing in training and development to fostering a culture of innovation, the ways we’ve explored in this blog can help bridge the gap between supply and demand and set your company up for long-term success.

Don’t let the developer shortage hold your company back. Take action today and start building the tech team you need to thrive in the age of technology.

Featured Image Credit: Photo by Christina Morillo; Pexels; Thank you!

Vivek Goel

19+ years of leadership experience in IT companies of all sizes ranging from start-ups to large organizations in India and USA. Expertise in strategy and operations across functions such as Sales and Business Development, HR, Process and Quality, Project Management and Product Development.

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Fintech Kennek raises $12.5M seed round to digitize lending

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Google eyed for $2 billion Anthropic deal after major Amazon play


London-based fintech startup Kennek has raised $12.5 million in seed funding to expand its lending operating system.

According to an Oct. 10 tech.eu report, the round was led by HV Capital and included participation from Dutch Founders Fund, AlbionVC, FFVC, Plug & Play Ventures, and Syndicate One. Kennek offers software-as-a-service tools to help non-bank lenders streamline their operations using open banking, open finance, and payments.

The platform aims to automate time-consuming manual tasks and consolidate fragmented data to simplify lending. Xavier De Pauw, founder of Kennek said:

“Until kennek, lenders had to devote countless hours to menial operational tasks and deal with jumbled and hard-coded data – which makes every other part of lending a headache. As former lenders ourselves, we lived and breathed these frustrations, and built kennek to make them a thing of the past.”

The company said the latest funding round was oversubscribed and closed quickly despite the challenging fundraising environment. The new capital will be used to expand Kennek’s engineering team and strengthen its market position in the UK while exploring expansion into other European markets. Barbod Namini, Partner at lead investor HV Capital, commented on the investment:

“Kennek has developed an ambitious and genuinely unique proposition which we think can be the foundation of the entire alternative lending space. […] It is a complicated market and a solution that brings together all information and stakeholders onto a single platform is highly compelling for both lenders & the ecosystem as a whole.”

The fintech lending space has grown rapidly in recent years, but many lenders still rely on legacy systems and manual processes that limit efficiency and scalability. Kennek aims to leverage open banking and data integration to provide lenders with a more streamlined, automated lending experience.

The seed funding will allow the London-based startup to continue developing its platform and expanding its team to meet demand from non-bank lenders looking to digitize operations. Kennek’s focus on the UK and Europe also comes amid rising adoption of open banking and open finance in the regions.

Featured Image Credit: Photo from Kennek.io; Thank you!

Radek Zielinski

Radek Zielinski is an experienced technology and financial journalist with a passion for cybersecurity and futurology.

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Fortune 500’s race for generative AI breakthroughs

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Deanna Ritchie


As excitement around generative AI grows, Fortune 500 companies, including Goldman Sachs, are carefully examining the possible applications of this technology. A recent survey of U.S. executives indicated that 60% believe generative AI will substantially impact their businesses in the long term. However, they anticipate a one to two-year timeframe before implementing their initial solutions. This optimism stems from the potential of generative AI to revolutionize various aspects of businesses, from enhancing customer experiences to optimizing internal processes. In the short term, companies will likely focus on pilot projects and experimentation, gradually integrating generative AI into their operations as they witness its positive influence on efficiency and profitability.

Goldman Sachs’ Cautious Approach to Implementing Generative AI

In a recent interview, Goldman Sachs CIO Marco Argenti revealed that the firm has not yet implemented any generative AI use cases. Instead, the company focuses on experimentation and setting high standards before adopting the technology. Argenti recognized the desire for outcomes in areas like developer and operational efficiency but emphasized ensuring precision before putting experimental AI use cases into production.

According to Argenti, striking the right balance between driving innovation and maintaining accuracy is crucial for successfully integrating generative AI within the firm. Goldman Sachs intends to continue exploring this emerging technology’s potential benefits and applications while diligently assessing risks to ensure it meets the company’s stringent quality standards.

One possible application for Goldman Sachs is in software development, where the company has observed a 20-40% productivity increase during its trials. The goal is for 1,000 developers to utilize generative AI tools by year’s end. However, Argenti emphasized that a well-defined expectation of return on investment is necessary before fully integrating generative AI into production.

To achieve this, the company plans to implement a systematic and strategic approach to adopting generative AI, ensuring that it complements and enhances the skills of its developers. Additionally, Goldman Sachs intends to evaluate the long-term impact of generative AI on their software development processes and the overall quality of the applications being developed.

Goldman Sachs’ approach to AI implementation goes beyond merely executing models. The firm has created a platform encompassing technical, legal, and compliance assessments to filter out improper content and keep track of all interactions. This comprehensive system ensures seamless integration of artificial intelligence in operations while adhering to regulatory standards and maintaining client confidentiality. Moreover, the platform continuously improves and adapts its algorithms, allowing Goldman Sachs to stay at the forefront of technology and offer its clients the most efficient and secure services.

Featured Image Credit: Photo by Google DeepMind; Pexels; Thank you!

Deanna Ritchie

Managing Editor at ReadWrite

Deanna is the Managing Editor at ReadWrite. Previously she worked as the Editor in Chief for Startup Grind and has over 20+ years of experience in content management and content development.

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UK seizes web3 opportunity simplifying crypto regulations

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Deanna Ritchie


As Web3 companies increasingly consider leaving the United States due to regulatory ambiguity, the United Kingdom must simplify its cryptocurrency regulations to attract these businesses. The conservative think tank Policy Exchange recently released a report detailing ten suggestions for improving Web3 regulation in the country. Among the recommendations are reducing liability for token holders in decentralized autonomous organizations (DAOs) and encouraging the Financial Conduct Authority (FCA) to adopt alternative Know Your Customer (KYC) methodologies, such as digital identities and blockchain analytics tools. These suggestions aim to position the UK as a hub for Web3 innovation and attract blockchain-based businesses looking for a more conducive regulatory environment.

Streamlining Cryptocurrency Regulations for Innovation

To make it easier for emerging Web3 companies to navigate existing legal frameworks and contribute to the UK’s digital economy growth, the government must streamline cryptocurrency regulations and adopt forward-looking approaches. By making the regulatory landscape clear and straightforward, the UK can create an environment that fosters innovation, growth, and competitiveness in the global fintech industry.

The Policy Exchange report also recommends not weakening self-hosted wallets or treating proof-of-stake (PoS) services as financial services. This approach aims to protect the fundamental principles of decentralization and user autonomy while strongly emphasizing security and regulatory compliance. By doing so, the UK can nurture an environment that encourages innovation and the continued growth of blockchain technology.

Despite recent strict measures by UK authorities, such as His Majesty’s Treasury and the FCA, toward the digital assets sector, the proposed changes in the Policy Exchange report strive to make the UK a more attractive location for Web3 enterprises. By adopting these suggestions, the UK can demonstrate its commitment to fostering innovation in the rapidly evolving blockchain and cryptocurrency industries while ensuring a robust and transparent regulatory environment.

The ongoing uncertainty surrounding cryptocurrency regulations in various countries has prompted Web3 companies to explore alternative jurisdictions with more precise legal frameworks. As the United States grapples with regulatory ambiguity, the United Kingdom can position itself as a hub for Web3 innovation by simplifying and streamlining its cryptocurrency regulations.

Featured Image Credit: Photo by Jonathan Borba; Pexels; Thank you!

Deanna Ritchie

Managing Editor at ReadWrite

Deanna is the Managing Editor at ReadWrite. Previously she worked as the Editor in Chief for Startup Grind and has over 20+ years of experience in content management and content development.

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