Silicon Valley VC Firm Says the Deskless Workforce Needs Better Technology

 

Deskless workers make up the bulk of the global workforce across several industries, yet most of them lack the right tools to do their job. Emergence Capital’s Kevin Spain says in the new digital world order, deskbound workforce is not the only business case for cloud business software.

The pandemic triggered a major shift for knowledge workers — overnight, the use of SaaS-based applications surged exponentially to advance operational efficiencies. However, it also laid bare the unmet technology needs of deskless workers across manufacturing, healthcare, construction, retail, and restaurants, which became strikingly apparent during the pandemic.

Unarguably, the global health crisis deepened the digital divide — especially for the 2.7 billion deskless workforces, i.e., almost 80% of all employees globally who play a pivotal role in keeping the economy running. Now, nearly a year into the pandemic, leading Silicon Valley venture capital firm Emergence Capital polled 1500+ deskless workers to understand the software and hardware needs for deskless environments.

Kevin SpainOpens a new window , General Partner at Emergence Capital has made a string of software investments for deskless workers (some of his smart bets include AugmedixOpens a new window , UpKeepOpens a new window , and DoximityOpens a new window ). He strongly believes that this growing deskless workforce deserves the same advantages Corporate America has had with rapid innovation for decades.

In its latest researchOpens a new window , The State of Technology for the Deskless Workforce 2020, this VC firm (Zoom, Salesforce and Box backer) says deskbound workforce from large enterprises and mid-sized organizations is not the only business case for cloud business software.

According to Spain, deskless workers will remain a critical part of the workforce in a wide range of essential industries. “One industry where we expect the number of deskless workers to rise significantly is healthcare, where demand for healthcare services increasingly outstrips supply. We believe the opportunity is massive and one that entrepreneurs should be paying attention to,” he said.

Here are some of the most significant findings:

1. Less than ideal work environment: The devices used by deskless workers can be as varied as the jobs they perform. And shockingly, desk-bound devices such as PCs and laptops top the list at 83%Opens a new window , with the most provided devices to these deskless workers. 
2. Lack of software compatibility: Though mobile devices are gaining ground in the deskless workforce (60% reported having access to a mobile device on the job), the bigger issue is that the software they’re provided is not ideal for their job.

1. Unique workflows demand vertical applications: Deskless workforce needs applications designed specifically for their roles as their workflows are unique.
2. Technology alternatives on the rise: Around 56% said they had used technology not provided by their employers to do their job. When desk-bound devices and/or software doesn’t suit the task at hand, deskless workers turn back to old ways (manual, paper-based processes) or seek out technology alternatives on their own. This is a worrying aspect because these actions can introduce security and compliance risks.
3. Access to technology is a critical factor: 78% of respondents said that access to technology, and not just any technology, but the right tools, is a critical factor when choosing a job. It means that companies that never prioritized technology for this workforce should consider vertical-focused SaaS applications that can help improve the ability to attract and retain talent.

So why haven’t the right tools been given to the deskless workforce?

• Budget constraints (47%)
• Organizations cannot understand the benefits of tech (30%)
• Lack of awareness on the part of the managers for deskless work (25%)

See Also: Your Deskless Workers Are on the Frontline: Here’s How to Retrain Them

Spain believes vertical-focused  (industry specific) SaaS applications have a massive opportunity ahead of them.  “In our experience, vertically-focused applications often win when competing against companies using a horizontal strategy. This is due to those applications being purpose-built to solve customers’ problems more effectively — and also due to the fact that their messaging resonates better with customers,” he said.

Additionally, the growth of edge-heavy networks, IoT devices, endpoints and 5G would create an opportunity for entrepreneurs building software for deskless workers. “The more sophisticated hardware and infrastructure is deployed into deskless environments, the greater the need will be for software that can take advantage of it,” he said, in closing.

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