Tech growth not dependent on clusters
Steven Forrest notes that mobile comms means more companies can take advantage of regional cost advantages
As reported on these pages recently, think tank Policy Exchange has claimed there is a north-south divide in the UK tech sector, and that better road, rail and air connections are needed in northern cities to create tech clusters vital to industry growth.
Is this really the case? Advances in technology themselves allow people working in tech, and many others too, to work remotely, across disparate locations.
Almost half of our employees are able to work remotely in locations across the UK – saving us time, travel and accommodation costs. Less travel can mean shorter days that contribute to employee productivity and contentment.
This is particularly relevant now that all workers regardless of circumstance have the right to request flexible working. One report, sponsored by O2, has suggested that £4.1bn a year in lost time could be saved through remote working.
Unified communications and collaboration tools, combining audio and video communication with content sharing, can be used on a variety of devices including tablets and mobile phones. Such applications are ideal for organisations implementing BYOD.
We are based in Newcastle, which I would argue is becoming a tech cluster in its own right. The North East's tech sector is bolstering the region's economy, and 1,500 jobs are expected to be created over the next year.
This appears to contradict claims of a brain drain from northern cities to the south.
Moreover, the cost of living in the North East has been estimated as about a third cheaper than in London. This should make the North East an attractive location for tech companies of all sizes, particularly if they are prepared to embrace mobile communication technologies.
That's not to mention the North East's reputation as a home for passionate, warm and friendly people.
Whether you are in a so-called tech cluster is irrelevant. To build a sustainable future, think about upgrading the technology and streamlining internal processes, rather than clubbing together with other tech firms.
Steven Forrest is co-founder and chief executive of Forfusion
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