Mid-market firms grapple with hybrid work challenges amid growth aspirations

While hybrid work models gain traction, mid-market firms face connectivity and security challenges impacting their growth.

Recent research commissioned by Node4 highlights the growing preference among mid-market IT leaders for hybrid working models. According to the report, more than two-thirds of these leaders favour some form of hybrid working, with 25% planning to adopt a remote-first approach.

Despite strong interest in hybrid work, many organisations continue to face connectivity and security challenges that affect the quality of remote working experiences. These challenges mainly relate to securing remote access to business systems, providing effective collaboration tools, and managing compliance and data security risks. Over a third of the firms surveyed identified these issues as significant obstacles.

Mid-market organisations also report ongoing people and culture-related challenges, which are often linked to network performance concerns. Key issues include managing employee productivity and engagement, ensuring fairness between remote and in-office staff, and maintaining organisational culture in a hybrid environment.

Organisations experiencing IT skills shortages are, in some cases, more likely to expand remote working options. This reflects the role of hybrid working in supporting talent retention during a skills shortage that affects more than 90% of the mid-market firms surveyed.

Economic pressures and tighter budgets have led some organisations to reconsider their hybrid working policies. A small proportion of companies are exploring reductions in remote working options as part of cost-control measures. These decisions are taking place against a backdrop of economic uncertainty and the introduction of workers’ rights legislation, adding further complexity to the implementation of hybrid working models.

The report also shows that only one-third of firms are actively managing IT costs associated with enabling remote work. Nearly a quarter of respondents state that cost management in this area remains either a work in progress or a significant challenge.

Node4 emphasises that hybrid working remains an important strategy for supporting growth and competitive advantage. The findings suggest that scaling back hybrid initiatives at a time when organisations are focused on improving staff retention, productivity and growth may create additional risk.

Node4 provides solutions aimed at aligning technology frameworks with business objectives, including application modernisation, hybrid cloud capabilities and infrastructure support to help organisations navigate these changes.

The study is based on responses from 601 IT and business leaders across sectors including finance, private healthcare, retail, manufacturing and construction, highlighting the broad relevance of the findings.

Endava teams up with Cognition to enhance AI-assisted software delivery. This partnership aims to...
11:11 Systems partners with Centacare to enhance their disaster recovery infrastructure, aiming to...
Taara has introduced the Lightbridge Pro, a wireless optical networking product designed to deliver...
Honeywell partners with TCS to enhance AI-driven autonomous operations, leveraging IT and OT...
Gamma is introducing Operator Connect capabilities in select European countries to expand reach and...
This year’s Palo Alto Networks report outlines key trends in cyber threats and highlights...
SentinelOne introduces ClawSec, an open-source suite aimed at safeguarding AI agent deployments...
DeepL is now available on AWS Marketplace, with the aim of helping businesses integrate AI...