Data analytics and technical architecture skills in high demand for CIOs in China and Hong Kong...

Data analytics and technical architecture skills...

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Data analytics and technical architecture skills in high demand for CIOs in China and Hong Kong, Harvey Nash/KPMG Survey finds

Big data/analytics and technical architecture skills are in high demand, however a majority of Chief Information Officers (CIOs) in China and Hong Kong view skill shortages as one of the main challenges, the 2017 Harvey Nash/KPMG CIO Survey finds.

In its 19th year, the Harvey Nash/KPMG CIO Survey is the largest IT leadership survey in the world in terms of the number of respondents. The survey of 4,498 CIOs and technology leaders was conducted between December 19, 2016 and April 3, 2017, across 86 countries.

According to the survey, as many as 84 percent of CIOs in China and two-thirds in Hong Kong highlighted skills shortage as a concern, higher than the average of 68 percent in Asia Pacific and 62 percent globally.

While big data/analytics is seen as one of the most in-demand technical skills in both China and Hong Kong, around 40 percent of China CIOs also highlighted that digital and mobile solutions skillsets are in high demand. Meanwhile, technical architecture (50 percent) and IT strategy (37 percent) are viewed as areas where there are skill shortages in the Hong Kong market.

Adam Stuckert, Director, IT Advisory, KPMG China, says: “Companies are well aware of the advantages of automation and digitisation. As Hong Kong has a high level of manual and paper-based business processes, companies are seeing digital labour as a pathway to enhance process efficiency by 30 percent or more.”

According to the survey, 46 percent of CIOs in Hong Kong are already investing or planning to invest in digital labour, cognitive automation or robotic process automation, compared to the global average of 34 percent.

“The need for architects is critical. Enterprise and solution architects are necessary to pull together the different components of a new technology solution,” adds Stuckert.

In China, the rapidly changing business landscape and technology advancement are increasing the strategic importance of CIOs in promoting innovation and digitalisation.

Harry Huang, Partner, KPMG China, says: “In order to capitalise on the opportunities arising from the new economic model in China, we see a number of companies diversifying their businesses in terms of industry exposure and geographical locations. Given the growing operational complexity and scale of businesses, creating synergy and effectively managing IT and innovation strategies across the firm has become a priority for CIOs. Exploring the opportunities with specialised solution providers is critical.”

In addition, the survey finds that despite two-thirds of global CIOs acknowledging that their organisations are adapting their technology strategies due to unprecedented global political and economic uncertainty, 89 percent are maintaining or ramping up investment in innovation, including in digital labour.

Delivering consistent and stable IT performance, increasing operational efficiency and improving business processes are highlighted by global CIOs as top business priorities in 2017. CIOs in China and Hong Kong share this global view, and also highlighted cost savings as one of the key items on their agenda.

Meanwhile, cyber security vulnerability is at an all-time high, with more than a third of Asia Pacific IT leaders (36 percent) reporting that their organisation had been the subject of a major cyber-attack in the past 24 months.

Nick Marsh, Managing Director, Harvey Nash Executive Search APAC says: “Technological advances are occurring at an astonishing pace. Coupled with the ever changing political and economic landscape, we are living in very exciting, yet unpredictable, times. The 2017 Harvey Nash/KPMG CIO Survey highlights that many technology executives are turning this uncertainty into opportunity, and are becoming the driving force in making their organisation more nimble and digitally innovative. Technology leaders are becoming increasingly influential as CEOs and boards turn to them for help in navigating through these uncertain times.”

 

Additional China and Hong Kong findings from the 2017 Harvey Nash/KPMG CIO Survey include:

China key findings:

Big data/analytics remains the most in-demand skill:

  • China’s CIOs are concerned (84%) about skills shortages (compared to 68% across the region and 62% globally).
  • While the fastest-growing global demand for a technology skill this year was enterprise architecture, big data/analytics remained the most in-demand skill at 42%, up 8 percentage points from 2015. In comparison, the top three most in-demand skills across China are: 1) big data analytics 69%, 2) digital 41%, 3) mobile solutions 38%.

Key business priorities for 2017:

  • The three key business priorities for China’s CIOs in 2017 are:
  1. Increasing operational efficiencies 82%. 
  2. Improving business processes 75% AND delivering consistent and stable IT performance 75%.
  3. Saving costs 56%. 

Increasing headcount and budget:

  • Half (50%) expect IT headcount to increase over the next year (compared to 47% who expect budgets to stay the same, while only 3% anticipate a decrease).
  • 39% say that their budget has increased in the last year.

CIOs in China find their jobs more challenging, but are increasingly likely to be involved at the Board level

  • 29% of CIOs in China find their roles ‘very fulfilling’, falling behind the global average of 39%.
  • 75% of China’s CIOs joined a Board meeting in the past 12 months.
  • However, the average CIO in China has been with their current employer for a longer time than the global average (five years or less),  with 42% reporting they have been with their employer for more than 10 years. 

 

Hong Kong key findings:

Big data/analytics remains the most in-demand skill:

  • 66% of CIOs in Hong Kong feel a skills shortage prevents their organisation from keeping up with the pace of change (compared to 68% across the region and 62% globally).
  • While the fastest-growing global demand for a technology skill this year was enterprise architecture, big data/analytics remained the most in-demand skill at 42%, up 8 percentage points from 2015.  In comparison, the top three most in-demand skills in Hong Kong are: 1) technical architecture 50%, 2) big data/analytics 47%, 3) IT strategy 37%.

Key business priorities for 2017:

  • The three key business priorities for HK CIOs in 2017 are:
  1. Saving costs 69%. 
  2. Delivering consistent, stable IT performance 63% and increasing operational efficiency 63%. 
  3. Delivering revenue growth 59%. 

Hong Kong leading in digital innovation:

  • Almost one-third of HK CIOs (32%) note that their organisations have ‘very effective’ digital strategies (the global figure stands at 18% vs 20% across the APAC region).  
  • Overall, the survey found that almost half (46%) of CIOs in Hong Kong (equal to the proportion across APAC) are already investing or planning to invest in digital labour, cognitive automation or robotic process automation, compared to the global average of 34%. 

Consistent headcount and budget:

  • Only 26% expect IT headcount to increase over the next year (compared to 48% who expect budgets to stay the same, while 26% anticipate a decrease).
  • 42% say that their budget has increased in the last year.

Cyber security exposure:

  • 30% of CIOs in Hong Kong report experiencing a major IT security or cyber-attack in the last two years, compared to the global average of 32%.
  • One in four (26%) of Hong Kong CIOs report feeling well prepared to deal with cyber security incidents, in contrast to 11% of their counterparts who feel exposed in multiple areas and unprepared to deal with cyber-attacks.

CIOs in Hong Kong find their jobs more challenging, but are increasingly likely to be involved at the Board level

  • Only 12% of CIOs in Hong Kong find their roles ‘very fulfilling’, falling way behind the global average of 39%.
  • 84% of Hong Kong CIOs joined a Board meeting in the past 12 months.
  • However, the average CIO in Hong Kong spends five years or less with an employer (58% compared to 59% globall6y), although many want to stay longer.  

For more information about the survey and to request a full copy of the results, please visit www.hnkpmgciosurvey.com or email michelle.smith@harveynash.com.

-ENDS-

 

About the Survey

The 2017 Harvey Nash/KPMG CIO Survey is the largest IT leadership survey in the world in terms of number of respondents. The survey of 4,498 CIOs and technology leaders was conducted between December 19, 2016 and April 3, 2017, across 86 countries. 

About Harvey Nash

Harvey Nash has helped over half the world's leading companies recruit, source and manage the highly skilled talent they need to succeed in an increasingly competitive, global and technology driven world. With over 7,000 experts in more than 40 offices across Europe, Asia and the USA, we have the reach and resources of a global organization, whilst fostering a culture of innovation and agility that empowers our people across the world to respond to constantly changing client needs. We work with clients, both large and small, to deliver a portfolio of services: executive search, professional recruitment and IT outsourcing.

To learn more, please visit www.harveynash.com.

Follow us on Twitter www.twitter.com/harveynashgroup

About KPMG China

KPMG China operates in 16 cities across China, with around 10,000 partners and staff in Beijing, Beijing Zhongguancun, Chengdu, Chongqing, Foshan, Fuzhou, Guangzhou, Hangzhou, Nanjing, Qingdao, Shanghai, Shenyang, Shenzhen, Tianjin, Xiamen, Hong Kong SAR and Macau SAR. With a single management structure across all these offices, KPMG China can deploy experienced professionals efficiently, wherever our client is located. 

KPMG is a global network of professional services firms providing Audit, Tax and Advisory services. We operate in 152 countries and regions, and have 189,000 people working in member firms around the world. The independent member firms of the KPMG network are affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. Each KPMG firm is a legally distinct and separate entity and describes itself as such.

In 1992, KPMG became the first international accounting network to be granted a joint venture licence in mainland China. KPMG China was also the first among the Big Four in mainland China to convert from a joint venture to a special general partnership, as of 1 August 2012. Additionally, the Hong Kong office can trace its origins to 1945. This early commitment to the China market, together with an unwavering focus on quality, has been the foundation for accumulated industry experience, and is reflected in the Chinese member firm’s appointment by some of China’s most prestigious companies.  

Media contacts

Sophie Gray

Marketing & Communications Director APAC, Harvey Nash

Tel: +852 3199 6842 / +84 90 2481388

Email: sophie.gray@harveynash.hk

 

Nina Mehra

Director, Media and Publications, KPMG China

Direct: +852 2140 2824

Mobile: +852 9724 6092

Email: nina.mehra@kpmg.com

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