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- More than half of business leaders are prioritising the addition of tech and AI talent to their leadership teams this year.
- Nearly a quarter of organisations are fast-tracking tech professionals under 30 into leadership roles.
- Flexibility has emerged as a decisive factor in attracting and competing for top tech talent.
Rapid AI adoption is accelerating a shift in how organisations evaluate leadership potential, placing increasing weight on advanced tech skills over academic qualifications.
According to new research from International Workplace Group (IWG), over four in five (83%) business leaders now view skills such as AI, data analytics, and coding as essential for promotion into leadership roles. Notably, one in five (22%) said these capabilities hold significantly greater value than traditional university degrees.
This shift is already reshaping leadership teams globally. Over half (59%) of the surveyed business leaders said they will focus on adding more tech and AI talent into their leadership teams this year. At the same time, almost a quarter (23%) of organisations are fast-tracking tech professionals under 30 into leadership positions, well ahead of conventional career timelines. Among Gen Z-led businesses, this rises sharply to 45%.
Beyond leadership roles, the growing emphasis on technical proficiency is influencing hiring decisions more broadly. Nearly a third (31%) of leaders said tech skills now carry equal weight to formal university education when evaluating candidates for new roles, while 22% believed they are significantly more important. In contrast, just 5% still considered a university degree the primary factor.
As demand for these skills rises, so too does competition for talent. More than two-thirds (67%) of leaders said attracting and retaining top tech talent is more competitive than ever, with half (50%) citing a shortage of candidates with the right skills.
More than two-thirds (68%) of leaders also acknowledge that competitive salaries alone are insufficient to retain top tech talent. Among professionals under 30, work-life balance and flexibility are ranked as the most important aspects of company culture (42%), ahead of financial compensation (30%).
As such, nearly three-quarters (72%) of business leaders said offering hybrid or flexible working is important to attracting tech talent. This rises to 80% among Gen Z leaders and 79% among millennial leaders.
In fact, hybrid working is now the most common strategy organisations are using to compete for the best tech talent (37%), ahead of competitive pay (35%). More than three-quarters (78%) believed organisations offering hybrid working have a clear advantage over those that do not.
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