• The global pharmaceutical sector is facing a significant skills gap in digital transformation, according to a report by GlobalData.
• The shortage of talents with specific digital skills emerged after the onset of the COVID-19 pandemic and continues to be a pressing issue.
• The skills gap extends beyond the pharmaceutical sector, affecting industries like insurance, data centers, and cybersecurity.
• To address this, companies need to invest in continuous learning and upskilling, prioritize innovation, and leverage outsourcing to access specialized skills.

The global pharmaceutical sector is grappling with a significant skills gap, particularly in the area of digital transformation, according to a report by GlobalData. The report highlights that large and medium-sized pharmaceutical companies are more concerned about the lack of specific skills and talents than smaller ones.

The rapid pace of technological advancement has outpaced traditional training programs, leading to a significant skills gap. Without the necessary expertise, companies may struggle to integrate new systems, leading to stalled initiatives.

Urte Jakimaviciute, Senior Director of Market Research and Strategic Intelligence at GlobalData, noted that the shortage of talents with specific digital skills continues to be a pressing issue for pharmaceutical companies. This issue first emerged shortly after the onset of the COVID-19 pandemic. Despite the growing demand for tech-savvy specialists, there is a limited supply of individuals with the necessary expertise, and there is no quick solution for this.

Larger corporations, which may have a wider scale of operations or a higher number of systems to digitalize, require more human resources to complete the process. The absence of skills may make them unable to fully leverage the technologies that they invest in for digital transformation.

Historical Context and Broader Implications

The skills gap is not a new phenomenon. In the past, industries such as manufacturing and technology have faced similar challenges. For instance, during the industrial revolution, there was a significant demand for skilled workers to operate complex machinery. Similarly, with the advent of the internet and digital technologies, there was a surge in demand for IT professionals with specific skills. The current skills gap in the pharmaceutical sector is a reflection of the rapid pace of technological advancement and the need for continuous learning and upskilling.

The skills gap issue extends beyond the pharmaceutical sector. Other industries, such as insurance, data centers, and cybersecurity, are also grappling with similar challenges. For instance, the rise in extreme weather events and high inflation has pushed claims losses to unprofitable levels in related lines of business in the insurance sector. This has led to an increased demand for innovative and tech-savvy professionals who can leverage emerging technologies and alternative data sources to stem the mounting losses.

Addressing the Skills Gap

To address this, companies need to invest in continuous learning and upskilling, prioritize innovation, and leverage outsourcing to access specialized skills. Furthermore, there is a need for collaboration between industry, academia, and government to develop effective strategies and policies to address the skills gap and ensure a sustainable and competitive workforce for the future.

Similarly, the surging adoption of digitalization and AI technologies has amplified the demand for data centers across the United States. However, the power needs of data centers are expected to grow to about three times higher than current capacity by the end of the decade, creating a significant demand for individuals with specialized skills in this area.

In the cybersecurity sector, the demand for professionals has fallen, with core cyber job postings decreasing by 32% between 2002 and 2023. This has been attributed to challenging macroeconomic factors and job cuts in the technology sector. However, cybersecurity has been more resilient than the wider digital sector, indicating a continued demand for professionals with specific skills in this area.