2023 is around the corner, and technology organisations are all asking themselves the same question: what will happen next?
Below are some thoughts from a variety of business leaders, speaking about what they expect the new year to bring to the market.
Victor Fredung, CEO of Shufti Pro:
“It’s clear that fintech is booming with the multitude of repayment plans and online finance options available today, and all of these various platforms require user verification. With options including biometrics and blockchain, all whilst maintaining a seamless user experience, what does the future of fintech look like in 2023?
“By virtue of Apple’s face ID, biometric payments is fast becoming the norm for consumers who value speed and security. Despite it being a relatively new technology, 92% of users believe biometric recognition is more convenient than passwords, and a majority trust face recognition as a secure way to authorise transactions. We are already seeing global payment companies piloting ‘pay with your face or hand’ schemes, and once the technology becomes more mainstream it is only a matter of time before card payments are a thing of the past – a bit like how we see paying with cash now. However, because we’ll see this become the norm in only a matter of years, the security behind biometric transactions needs to be flawless so that privacy isn’t compromised.
“In a world of data trackers and hackers, consumers have never been more concerned about their privacy. Although many fintech platforms implement IDV to protect users, they’re missing the true game-changer – blockchain. The decentralised nature of blockchain makes it a key player for enabling highly private, secure verification. As we draw closer to the rollout of regulations on cryptocurrency, we’ll begin to see more and more fintech platforms aiming to implement blockchain-based solutions to satisfy their customers’ curiosities.
“Many users have adopted fintech technologies for its renowned inclusive, and secure approach. But with time consuming onboarding processes, consumers are often swayed towards competitors. As the fight for user attention continues, we’ll begin to see a greater development and adoption of quick, efficient verification processes on fintech platforms. Since many of these platforms offer similar capabilities, there will be a huge shift towards the customer experience and benefits, instead of optimising the IDV offering alone.”
Ashok Reddy, CEO of KX:
“Industries in 2022 are generating something along the lines of 2,000 TB of data each day, and this seemingly unlimited flow of information is only expected to increase over the next few years. It is believed that by 2025, smart workflows and seamless interactions among humans and machines will become standard, and data will infiltrate — and optimize — nearly every aspect of work (McKinsey). As the data-driven enterprise becomes the new standard, so too will real-time data, which enables and accelerates better insights, business innovation and value. In fact, 90% of firms believe that to remain competitive over the next 3 years, they need to increase investment in real-time data analytics (KX); in a separate survey, another 80% of companies saw their revenues increase after implementing real-time analytics (KX).”
Tom Cornell, Senior I/O Psychology Consultant at HireVue:
“As we move into 2023, the slow economic growth and recession within the UK mean we are going to see a continuation of tightening when it comes to hiring. Businesses will also need to contend with growing demand from employees for pay raises as a result of the cost-of-living crisis and inflation, as well as a growing need to provide mental health advice. Despite this, I suspect the ‘confidence’ that job-seekers have gained in recent times will carry on, so even in the face of high inflation and prices, they’ll be willing to hold off for something better, rather than just take the first job they are offered.
“However, the outcome for businesses isn’t all negative. We are likely to see upskilling and job mobility trends continue to rise, which will help to get the right people into the right roles, leading to higher levels of motivation and productivity. With fewer employees, companies will need to invest in learning and development for existing and new employees. The ability to move and grow with an employer appears to be increasingly important for jobseekers and employees alike, so this creates a perfect opportunity for businesses to cultivate top talent.
“Within the AI sector, what 2023 is likely to bring is a little more complex. The technology sector is one of high growth, but next year we are going to see more legislation proposed and coming into effect, which will affect AI businesses massively. In the short run, this might cause negative sentiment towards AI as it implies there is a need for regulation in the first place, but in the long run, uptake is actually likely to increase because there will be more consumer confidence in the product. The legislation ultimately means businesses won’t need to be accountable for interpreting what should or shouldn’t be done when developing AI technologies, which is positive for everyone involved.”
Gareth Jones, Chief Product Officer at Thomas International:
“2023 will bring a new wave of HR trends for businesses to stay on top of. One of these which will be at the forefront is organisational agility. As the war for talent intensifies, hiring teams will need to keep bringing in and developing existing talent to be fluid and adapt to changing business demands. Role definitions will become less stringent, allowing businesses to flex talent and teams more easily around resourcing bumps and mitigate impacts on business outcomes.
“This change in role definition aligns with another key trend which we will see emerge next year – hiring with a focus on soft skills. Our recent research found 43% of businesses were suffering from a soft-skills shortage. Businesses need to address this gap in order to build successful teams. As a result, the way we hire will change to test more for these skills, with organisations putting a higher value on them in the market.
“Finally, despite being three years after Covid began, businesses will still be feeling the effects of the pandemic next year. A large proportion of job leavers in the ‘Great Resignation’ left due to long-term sickness and stress. As a result, burnout and wellbeing will also be major 2023 themes, especially since they affect employees’ ability to perform their roles properly. Companies will be asked to go beyond the basic wellness programmes that the ‘Great Resignation’ showed were unsatisfying to employees, as the well-being debate becomes more complex.”