Is the UK government betting on ConTech?
Is the UK government betting on the ConTech industry?
News came out recently that the UK government made some last minute changes to their planning and infrastructure bill that was merely days away from going to the House of Lords for reading ahead of the November budget. These changes look set to be significant, with large amounts of additional funding being pumped into major infrastructure projects across the nation.
The UK government are in need of ways to complete these projects effectively and efficiently; enter Construction Technology. Below, we've listed ways this change to the bill looks set to positively impact ConTech companies, as well as any side effects that might need considering.
Instant increase in demand
First things first, a huge influx of investment into construction sites across the country will give the planners more money to play with. Money that is being provided with the goal of improving the speed and efficiency of these projects. A likely scenario off the back of this is that there'll be an increase in demand for ConTech software to help deliver on these ambitious development plans. There are a great number of ConTech companies that will be making a big push to be involved in these projects, so some strong sales talent will be in high demand over the coming years to help get them there.
To secure top sales people, you've got to ensure that the proposition is appealing to them. Not only should they see financial value in the package you are offering, but you want them to buy into the software that they will be selling. A great sales person truly understands their product and the value that it will bring to customers, to ensure they see this value early on in the recruitment process.
New companies want a piece of the rather lucrative pie
As classic economic theory leads us to believe that when an industry receives a boost in revenue and profit, then it will attract new entrants to the market. And what will these new entrants need? Talented people to work for them! Incumbents within the ConTech industry might feel under threat of losing some of their staff as new companies enter the industry and are in need of experienced heads to help in their new venture.
Existing firms will want to ensure they have a tight retention strategy to ward off any competition; talented people are inclined to stay where they feel valued. Consider the development opportunities you make available to your staff members, as clear sight of progress - and the support to achieve said progress - is one way to show employees that their efforts are valued and will be rewarded in the long-term.
Immediate talent shortage
Ambitious growth plans could also call for an almost instantaneous need for additional body count in ConTech businesses across the UK. It's safe to say that there are some niche skillsets that are needed in the industry, and not a large supply of talent currently available to do those jobs (think AI Data Scientists and Engineers). Combine a niche skillset with a sudden increase in demand for that skillset, and you are left with only one conclusion: talent shortages. This could be quite the stumbling block for any ConTech company looking to expand along with the government's plans.
An immediate skills shortage is likely fixed by headhunting from the industry, but in the long term, you can solve this issue by fixing up your talent pipeline. Work with local universities and colleges to promote a graduate scheme for some key courses developing the necessary skills. The other method is to set up internal development programmes to upskill existing staff members - not only will this help bring the necessary skills into your team, but your staff will also feel valued as you are investing time and money into them.
Those are some of my initial thoughts on how this new government budget will impact the ConTech space; I'm sure we will find out even more once we have the big announcement in November, so watch this space!