TEAM International Worldwide IT Industry Predictions for 2016

As the year comes to an end, it is high time to summarize all the updates, check which predictions have worked well and analyze the core IT industry strategies for the next 12 months. The main trends for 2015 were set by growth in the popularity of gadgets, mobile devices and enhancement of telecommunication technologies. Moreover this year proved an obligate course of existent solutions’ development; the best example is promotion of HTML 5 and substitution of Flash by HTML 5.

In 2015 final release of ECMAScript 2015 specification was published and it became the greatest update in JavaScript language for almost 16 years. HTTP/2 standard was stated and now it helps to speed up download and reduce server load. Talking about technical aspect we should mention onrush of Typescript, Angular 2, introduction of WebAssembly (binary bytecode), evolution of Node.js, RC (Release Candidate) status announcement of .NET Core and ASP.NET 5, boom of Go programming language and much more.

If we talk about front-end and design technologies, then again mobile devices adjust the requirements. In 2015 Responsive Web Design stepped forward and again due to gadgets’ rise of popularity and multiplatformity. Apart from that it is worth mentioning: appearance of Bootstrap 4, Foundation 6 and ReactJS, development of Material Design Lite trend (announced back in 2014), usage of long reads and so on.

TEAM International always tries to look ahead, analyze the market and provide customers with relevant and appropriate solution. We asked our top management, operations and sales teams to share their experience and to make some predictions for the upcoming 2016 year.

John, CEO of TEAM International:

· What trends and/or changes in IT industry you are expecting to see in 2016?

Due to the extensive growth in popularity of mobile devices and gadgets, and constant appearance of the new ones, we expect to see more demand for advanced mobile development. Besides nowadays more and more people use smart devices, i.e. wearables, and we believe that this year there will be an innovative explosion in this field. Household items also become “smart” and still we shouldn’t forget about Big Data management and security issues. These factors can bring global data/system security into focus, due to the increasing number of cyber terrorism efforts.

· In your opinion, how customers’ requests/needs will change next year?

We all know about shortage of skilled IT professionals globally and I think that this will become the number one subject worldwide. IT providers will have to change their strategies, adapt and in general become more creative and agile in filling resource needs in shorter time frames. Moreover global economic issues can adjust the requirements, so companies will have to scale back efforts and choose between critical needs and “nice to have” projects.

· What technologies will lead the market in 2016?

IT industry is following an obligate course of development and the upcoming year won’t become an exception. If we talk about Web services, then I would name Amazon Web Services (AWS); BI/Big Data — Tableau and other tools for data visualization, analysis and business intelligence; cross-platform mobile development tools that use HTML5 and JavaScript, Xamarin as an example.

Dmitry, TEAM Operations Manager:

· What trends and/or changes in IT industry you are expecting to see in 2016?

In recent years, IT staff augmentation strategy moved to the fore, compared to project-type contracts. I don’t think the trend will change, though major top IT companies in Ukraine and Eastern Europe will try to change it. One of the best solutions to this situation is sending senior technicians, designers, architects to client-side, as to establish work inside customer’s organization as architects, managers and drivers for the projects. In 2016 perspective, such solution will work only for 20–30% of projects, for the rest augmentation model with customer managed teams will prevail.

· In your opinion, how customers’ requests/needs will change next year?

I think that around 70% of requests will fit into 3 main categories:

- More and more customers will move to IT staff augmentation model requiring additional teams to their already running projects. This tendency was set over the last couple of years when companies started projects at headquarters/main locations and all R&D is done there as well. All additional workforce will be staffed using nearshore/offshore development centers or IT companies;

- Small/Medium size projects — in the last few years most of top companies moved to new platforms, considering UI design and usability approaches. Now it is high time for small and medium size companies to do the same. Mainly such requests will include not only visual redesign of the products/websites/internal proprietary systems, but also enhancement, i.e. shops, distribution services, etc. for websites/applications. Integration with different third-party services for proprietary applications.

- Migration from proprietary systems to well-established platforms for CRM, ERP, Data Processing and BI services. As a result this will also lead to integration with different email, information, tracking systems and services to improve productivity and overall availability of internal production systems.

The last, but not the least, we should also mention the expansion of IoT (Internet of Things). Nowadays top companies worldwide invest in further development, innovations and inventions in this field. Modern technologies allow us to construct simple robotic devices for our homes, like programmable and self-educating robots. Such growing demand for robots can result in development request for new platforms or even new specific device types.

· What technologies will lead the market in 2016?

Without any doubts .Net and Java techs still will be the leaders. But JavaScript, distributed processing\storage services will be growing even more. Database languages, data processing frameworks will increase their share as well. Also, we should see increase in demand for projects based on functional programming platforms and languages.

Andriy, TEAM Operations Manager:

· What trends and/or changes in IT industry you are expecting to see in 2016?

I don’t expect IT industry to change its course cardinally in 2016, it will rather be a marching on and following the tendencies that have been set some time ago. If to look at the situation from end-user perspective, then I would say that there will be a tendency of “mobilizing” everything and at some point cell phones will become a #1 user platform. Moreover, autonomous devices and internet of things will evolve even further.

On the other hand, we shouldn’t forget about shortage of IT professionals. I am sure that constant IT market pull and technological development will encourage outsourcing.

· In your opinion, how customers’ requests/needs will change next year?

Overall in IT industry we have trend towards product development rather than people outsourcing. Some companies prefer to manage the development process on their own and some don’t, that depends. Nevertheless, as previously mentioned, lack of skilled IT people will still work hand in hand with outstaffing.

· What technologies will lead the market in 2016?

Considering the onrush of mobile technologies and steady increase of gadgets’ popularity, in addition to that we shouldn’t forget about data security and storage, so I would name mobile platforms (iOS, Android), Big Data and Analysis, and Cloud solutions.

TEAM Sales Group:

• What trends and/or changes in IT industry you are expecting to see in 2016?

Lots of companies try to build the working strategy on “do it in-house” attitude, but such option doesn’t work for every organization, especially in recent years, when we see a lack of IT professionals locally and worldwide. This is also one of the reasons why IT staff augmentation trend currently wins the market. With such technological diversity local markets can’t meet the expectations. Moreover customers often look for only senior-level candidate, with belief that project kick-off will take less time or that solutions will be provided faster, but in most of the cases it’s not right. Competently created team with senior and mid-level candidates can meet the expectations completely and sometimes even exceed them. Some companies tend to hire junior techies and teach them, so in result they get a confident team-player. In general providers try to become more flexible and responsive, while customers become more creative and experienced in terms of outsourcing.

• In your opinion, how customers’ requests/needs will change next year?

Such well-known aspects as shortage of IT people and mobile rise of popularity have already adjusted customers’ needs. However, we often hear about combination of onshore and offshore outsourcing models, so called dual-shore, but such strategy requires more attention and better planning (i.e. regular meetings, better communication, proper trainings, thorough documentation, etc.). In a nutshell outsourcing becomes more personal and we insist on face to face meetings and local representatives worldwide. Such approach develops trust, helps to gain understanding and makes customer/provider feel safe. Personal contact can speed up project kick-off and improve admission to the project.

• What technologies will lead the market in 2016?

In the age of mobile, 2016 won’t become an exception. Custom applications, mobile website and platforms are already leading the market and this tendency will be extended. Cloud solution, Big Data, BI and Data Analysis are already essential aspects of modern IT industry. And in conclusion we should mention Microsoft Dynamics (CRM Business Solution) and SharePoint.

Predicting the future, especially in very-high-speed IT world, is a risk thing. Considering TEAM forecasts we are on the threshold of new interesting year and we believe that 2016 will be even better, than we expect. Will our predictions come true? — That remains to be seen. And what do you expect of 2016?

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