Nearly all mid-market workers are not ready to embrace digital transformation, according to a study by Node4 that found 92% of IT leaders in the mid-tier segment believe staff to be non-digital-ready.
The research also found that budgets, recruitment and middle management challenges are affecting organisations, resulting in them having to re-evaluate their priorities and workforces to transform and increase revenue.
This year, mid-market priorities have shifted to include workforce productivity and digital transformation, both of which are integral to helping organisations meet revenue expectations and in contributing a predicted €1.11 trillion to the economy.
Yet despite this change of attitude, many of the benefits of digital transformation are being overlooked, and responsibilities within the businesses are unclear, reckons the study.
When mid-market companies were asked to think about digital transformation and what statements apply to them, it was found that nearly a third (29%) believe middle management is standing in the way of innovation; only 23% think their business can support younger workers; 17% agreed that digital transformation will enable them to better support customers; while 16% feel digital transformation will help them to remain competitive.
Node4 says mid-market organisations should look to recalibrate their approach towards digital transformation, especially as leaders also expect IT budgets to drop by almost 15% from 2017, and 40% say they find it harder to recruit appropriate staff.
To help, IT leaders need to invest in agile cloud solutions that don't require complete business overhauls; which will show business stakeholders the benefits of innovation including customer satisfaction and increased revenue.
"There are a number of obstacles ahead for mid-market organisations, including decreasing IT budgets. The results from the mid-market report show that there appears to be a lack of digital transformation projects for many mid-market companies," commented Paul Bryce, Chief Commercial Officer at Node4.
"The sector is one of the biggest contributors to the UK economy and businesses can't afford to not see the value in digital transformation.
"It's imperative that businesses understand that they can do more with less through the adoption of cloud technology - particularly collaboration and automation tools which can alleviate and empower employees and be hosted and maintained by managed service providers to reduce risks and costs."