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Attracting, Developing, Retaining IT Professionals Group 2: Kevin Burlage, Patrick Dunn, Tim Sullivan, Vyacheslav Mikryukov.

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Presentation on theme: "Attracting, Developing, Retaining IT Professionals Group 2: Kevin Burlage, Patrick Dunn, Tim Sullivan, Vyacheslav Mikryukov."— Presentation transcript:

1 Attracting, Developing, Retaining IT Professionals Group 2: Kevin Burlage, Patrick Dunn, Tim Sullivan, Vyacheslav Mikryukov

2 2 Objectives ATTRACT: Demonstrate the growth trends in IT careers ATTRACT: Demonstrate the growth trends in IT careers DEVELOP: Understand the importance of continuing education for a long-term IT career DEVELOP: Understand the importance of continuing education for a long-term IT career RETAIN: Explore why great management and culture are key to retaining IT talent RETAIN: Explore why great management and culture are key to retaining IT talent CASE STUDY: Compare how Anheuser Busch and Edward Jones implement these methods today CASE STUDY: Compare how Anheuser Busch and Edward Jones implement these methods today

3 ATTRACTING Demonstrate the growth potential for IT careers

4 4 U.S. Department of Labor Bureau of Labor Statistics (2002 to 2012 projections) 10 Fastest Growing Occupations Requiring a Bachelor's Degree or Higher Network systems analyst Physician assistant Software engineer, apps Software engineer, systems Database administrator Computer systems analyst Environmental engineer Postsecondary teachers Network administrator Computer & IS managers 1 2 3 4 5 6 7 8 9 10 4.6% 4.1% 4.6%3.9% 3.8% 3.7% 3.3% 3.2% 3.1% 10-year CAGR www.acinet.org/acinet/default.aspt/

5 5 U.S. Department of Labor Bureau of Labor Statistics (2002 to 2012 projections) 10 Fastest Growing Industries Software publishers ISP and web portals Residential care facilities Home health care services Mgmt, science, IT consulting Computer systems design Employment services Community care facilities Wireless telecom carriers Vocational rehab services 1 2 3 4 5 6 7 8 9 10 5.3% 5.1% 4.7% 4.5% 4.4% 4.1% 10-year CAGR www.acinet.org/acinet/industry_intro.asp?id=8,1&nodeid=8

6 6 IT Fastest Growing … 7 out of 10 fastest growing occupations in the US are in the IT sector (*) 7 out of 10 fastest growing occupations in the US are in the IT sector (*) 5 out of 10 fastest growing industries in the US are in the IT sector (*) 5 out of 10 fastest growing industries in the US are in the IT sector (*) (*) Based on 2002 BLS data

7 7 U.S. Job Openings for Computer and IS Managers (2004 to 2014 projections) 280,000 CIS managers 353,000 CIS managers +73,000 + 26% over 10 yrs or +2.3% a year 2004 2014 http://www.acinet.org/acinet/http://www.acinet.org/acinet/ Source: Bureau of Labor Statistics

8 8 CAGR 2003 20% 1993 10% U.S. Department Of Education Bachelor’s Degrees Conferred 24,51957,4398.9% 256,473293,5451.4% 1,1651781,348,5031.5% Computer and IS Business Total Bachelors ? http://www.ed.gov/index.jhtml

9 9 CAGR 2003 15% 1993 12% U.S. Department Of Education Master’s Degrees Conferred 10,35319,5036.5%Computer and IS 89,425127,5453.6%Business 369,585512,6453.3%Total Masters ? http://www.ed.gov/index.jhtml

10 10 Redmond Magazine 2005 Salary Survey Based on 1,675 U.S. respondents (subscribers) Demographic Averages of IT Person $68,535Base Salary $3,472Raise / Increase $3,159Bonus 39 yearsAge 10 yearsYears in IT 8:1Male / Female http://www.redmondmagazine.com/salarysurveys/

11 11 IT Base Salary by Job Title (2005) http://www.redmondmagazine.com/salarysurveys/

12 12 IT Salary by Experience, Job Title Network Engineer Systems Admin Help Desk Programmer Network proj. lead Progr. project lead IT Manager Trainer DBA / Developer Webmaster / Dev. $50 $60$70$80$90$100 1-23-56-910+ years http://www.redmondmagazine.com/salarysurveys/

13 13 IT Salary by Educational Level http://www.redmondmagazine.com/salarysurveys/

14 14 IT Additional Compensation http://www.redmondmagazine.com/salarysurveys/

15 15 IT Expected Bonus http://www.redmondmagazine.com/salarysurveys/

16 16 IT Bonuses…..are calculated based on..are paid http://www.redmondmagazine.com/salarysurveys/

17 17 IT Salary by Industry http://www.redmondmagazine.com/salarysurveys/

18 18 Hiring IT Professionals Does your company plan to hire In the next 12 months? How many does your company plan to hire? http://www.redmondmagazine.com/salarysurveys/

19 19 Firing IT Professionals Have you been laid off in the last 12 months? Have you been rehired / found a new position ? http://www.redmondmagazine.com/salarysurveys/

20 20 Firing IT Professionals (2) Only 5% were idle some time last year Only 5% were idle some time last year 85% of them regained employment 85% of them regained employment Average time it takes to find another job is 4 months Average time it takes to find another job is 4 months http://www.redmondmagazine.com/salarysurveys/

21 21 Impact of Outsourcing 2005 Expectations for 2006 http://www.redmondmagazine.com/salarysurveys/

22 22 Will You Be in IT in 5 Years? IT remains a long-term career choice for majority of respondents http://www.redmondmagazine.com/salarysurveys/

23 Hot Jobs

24 24 Hot Job Skills Project Management Skills Project Management Skills Business Domain Skills Business Domain Skills Most wanted skill for 2006 - MS.NET Most wanted skill for 2006 - MS.NET Security Security “There is a shortage of government IT contractors with security clearance.”“There is a shortage of government IT contractors with security clearance.” Will Hadfield, “MS.NET set to be most wanted skill in 2006” Computer Weekly, Jan 24, 2006 Will Hadfield, “Government employers facing a shortage of IT contractors with security clearance” Computer Weekly, Jan 24, 2006 Dr. Mary Lacity, et. al. “Trends and Implications 2005-2008” SIM Advocacy IT Workforce White Paper, Mar 6, 2006

25 25 Computer Systems Analyst Job Description: Computer Systems Analysts are responsible for designing computer information systems, modifying systems to improve production or work flow, or expanding systems to serve new purposes. Skills Needed: C, C++,.NET, C#, ASP, SQL servers, Linux, Oracle, Windows, JAVA http://www.hr.duke.edu/Jobs/descr/2600/2610.htm

26 26 Information System Manager Job Description: Manage the development, implementation and management of information systems, data processing systems and related functional activities to support information technology Skills Needed: TCP/IP routing, DNS, CISCO, MSSQL, Oracle, WiFi, ODBC linking, Ability to maintain ERP systems http://www.calmis.cahwnet.gov/file/occguide/COMPUSYS.HTM

27 27 Information System Manager Top Paying U.S. Cities (thousands) www.monster.com

28 28 Did you know? Dept. Of Defense employs 161,000 IT professionals Dept. Of Defense employs 161,000 IT professionals 1/3 of DOD civilian workers are over 50, 36% eligible to retire 1/3 of DOD civilian workers are over 50, 36% eligible to retire UK will be short about 400,000 by 2008 UK will be short about 400,000 by 2008 Bill Goodwin, “Analyst warns of networking skills shortage” Computer Weekly, Oct 18, 2005, Pg. 4

29 DEVELOPING Understand the importance of continuing education for a long-term IT career

30 30 Business & IT Skills Internal Training Internal Training Classroom, Self-Study, CBT’s,Classroom, Self-Study, CBT’s, External Training External Training Onsite – Workshops, LecturesOnsite – Workshops, Lectures Offsite – Colleges, Trade Schools, Boot CampsOffsite – Colleges, Trade Schools, Boot Camps

31 31 Business & IT Skills Emphasize ongoing training in IT, Business and Management skills Emphasize ongoing training in IT, Business and Management skills Business needs should drive Training Business needs should drive Training Training Investment Pays Off Training Investment Pays Off Julia Vowler, “How Effective Training Aids Staff Retention” Computer Weekly, Nov 15, 2005, Pg. 40

32 32 Employee Development “Firms will have to spend more on IT training” “Firms will have to spend more on IT training” Analyze IT staff’s work-life balance Analyze IT staff’s work-life balance Develop a culture which promotes Transfer Learning Develop a culture which promotes Transfer Learning Bill Goodwin, “Firms will have to spend more on IT training, Computer Weekly, Oct 25, 2005, Pg. 58 Bill Goodwin, “Money is not the main motivator, says Cox” Computer Weekly, Mar 8, 05, Pg. 22

33 33 Real World 95% of employers say training: 95% of employers say training: Improves RetentionImproves Retention Avoid recruitment costsAvoid recruitment costs (Chartered Institute of Personnel & Development ’04) 55% of all-size companies have No training plans! 55% of all-size companies have No training plans! 20% with 200 or more employees have No plans! 20% with 200 or more employees have No plans! (E-skills survey, 800 IT employers, shown in Computer Weekly Julia Vowler, “How Effective Training Aids Staff Retention” Computer Weekly, Nov 15, 2005, Pg. 40 Bill Goodwin, “Companies Failing to Address Training Gaps” Computer Weekly, Jun 28, 2005, Pg. 42

34 34 Real World Avon trains IT staff in strategy techniques and assertiveness skills Avon trains IT staff in strategy techniques and assertiveness skills P&G – ensures work-life balance for it’s staff P&G – ensures work-life balance for it’s staff Cross-TrainingCross-Training Minimum 10 days formal trainingMinimum 10 days formal training Mentoring & CoachingMentoring & Coaching Computer Weekly’s Best Place to Work in IT ’05Computer Weekly’s Best Place to Work in IT ’05 Julia Vowler, “How Effective Training Aids Staff Retention” Computer Weekly, Nov 15, 2005, Pg. 40 Bill Goodwin, “Commitment to work-life balance clinches Procter & Gamble’s win” Computer Weekly, Mar 8, 05, Pg. 22

35 35 Real World Uses CMM in employee development Uses CMM in employee development Requires Varied Skill Sets Requires Varied Skill Sets Greater Career Flexibility Across the organization Greater Career Flexibility Across the organization Kellye Whitney, "Allstate: You're in Good Hands with a varied skill set" Certification Magazine, Jan 2005, Pg. 26

36 Explore why great management and culture are key to retaining IT talent RETAINING

37 37 THE NEW YORKER

38 38 Practice Category – 30 Companies N = 230 Compensation and Benefits Systems 44 Employability Training and Dev. 33 Sense of Community 32 Work Arrangements 27 Quality of Leadership 21 Performance Measurement 19 Opportunities for Advancement 14 Opportunities for Recognition 15 Lifestyle Accommodations 13 Longer-Term Career Development 9 Enduring Practices for Managing IT Professionals Best of Breed Survey Purpose: To help IT managers retain IT professionals Agarwal and Ferratt, “Enduring Practices for Managing IT Professionals,” Communications of the ACM; Sep 2002; 45, 9.

39 39 Beyond the Basics “Fair compensation just gets you in the game” Visible Evidence of Value "People love to see their technology get used" COMPUTERWORLD 100 Best Places to Work For in IT 2004 COMPUTERWORLD, 2004 Best Places to Work in IT Employee Scorecard, June 14 2004

40 40 Business and IT Joined at the Hip "IT folks want to know they're not doing discretionary work" Meaningful Rewards Make it fun, frequent and tangible recognition Great Relationships Make or break the quality of your corporate culture COMPUTERWORLD 100 Best Places to Work For in IT 2004 COMPUTERWORLD, 2004 Best Places to Work in IT Employee Scorecard, June 14 2004

41 41 MGMT: 101 “People don’t quit jobs, People quit people” Tim Sullivan

42 42 Benefits that IT workers prize the most (and the least). Percentage who gave the benefit a "10 “ 76%Paid vacation 68%Health insurance 47%Profit sharing/ESOP program/401(k)/403(b) plan 40%Flexible hours 31%Reimbursement for technology certification 30%Bonuses 30%Continuing education/executive programs 26%College tuition reimbursement COMPUTERWORLD, 2004 Best Places to Work in IT Employee Scorecard, June 14 2004 COMPUTERWORLD 100 Best Places to Work For in IT 2004

43 43 Mary Brandel. Computerworld. Framingham: Jun 27, 2005.Vol.39, Iss. 26; pg. 25ComputerworldJun 27, 2005 WISH YOU WORKED HERE? RETIREMENT PLANS: A paid retirement plan, a 403(b) with a 100% match of up to 5% of pay HIGHER EDUCATION: Tuition fully funded. After three years, the university picks up 75% of undergraduate tuition for employees' children and 50% for spouses. TIME OFF: 15 days off the first year and 24 days after five years, plus winter break period between Christmas and New Year's Day. FLEXTIME: Four flexible work options (flextime, flex-place, compressed work schedules and part-time work).

44 44 What are your top three concerns regarding your IT staff in 2004?  Demanding workloads/preventing burnout74%  Finding/hiring needed skill sets55%  Retaining needed skill sets43%  Low morale/motivating staff41%  Finding IT management candidates22%  Funding IT training19% CIO, 2006 Mid-Year IT Staffing Update, Lorraine Cosgrove Ware, Oct 1 2005 CIO Magazine Staffing Survey

45 45 CIO Magazine Staffing Survey What are the top three benefits you offer to motivate and/or retain IT staff? Flex time/flexible work hours58% IT training48% Recognition programs/awards40% Comp days28% Stock options16% Staying bonus14% Hiring bonus7% Fitness center/expense reimburse5% CIO, 2006 Mid-Year IT Staffing Update, Lorraine Cosgrove Ware, Oct 1 2005

46 46Conclusions Conventional wisdom does not always apply to IT! Conventional wisdom does not always apply to IT! IT Training is highly valued by all IT Training is highly valued by all The Golden Rule applies to IT! The Golden Rule applies to IT! ConventionalReality Pay well w/ leading edge tech jobs Overall satisfaction? Same benefits for all Rapid change impacts skill sets Training is personal objective Constant training is necessary to renew skills Be Fair to all Golden Rule for all

47 47 Case Study – Anheuser Busch Gary Darden, Director of IT

48 48 “You don’t have to be on the leading edge, but you do have to keep up with things.” “You don’t have to be on the leading edge, but you do have to keep up with things.” Hot Skills: Electrical Engineering background, Oracle, Microsoft, ABAT programming, Websphere, SAP, Microsoft.net Hot Skills: Electrical Engineering background, Oracle, Microsoft, ABAT programming, Websphere, SAP, Microsoft.net RS 6000: Central database where business information, operational information, and brewing information all come together RS 6000: Central database where business information, operational information, and brewing information all come together 1200 employees in IT department, 50% are contractors 1200 employees in IT department, 50% are contractors Case Study – Anheuser Busch Growth

49 49 Case Study – Anheuser Busch Continuing Education In house classes and training In house classes and training Employees are taught about the entire brewing process, advancement opportunities are not necessarily to another IT position Employees are taught about the entire brewing process, advancement opportunities are not necessarily to another IT position “We have internship/co op programs so that they can learn technology in our environment, so they can grow with us and be placed into one of our breweries” “We have internship/co op programs so that they can learn technology in our environment, so they can grow with us and be placed into one of our breweries”

50 50 Case Study – Anheuser Busch Management & Culture Anheuser Busch’s corporate attitude toward IT is very similar to the “IT Rules” ideology Anheuser Busch’s corporate attitude toward IT is very similar to the “IT Rules” ideology Turnover rate very low, most turnover occurs due to promotions as opposed to termination/resignation Turnover rate very low, most turnover occurs due to promotions as opposed to termination/resignation “Opportunity to grow is very high…opportunities are there if you want it.” “Opportunity to grow is very high…opportunities are there if you want it.”

51 51 Case Study - Edward Jones Tausha Dirks, Sr. HR Specialist, IS Human Resources

52 52 One of Fortune's "Best Companies" seven years in a row One of Fortune's "Best Companies" seven years in a row #1 on Fortune magazine's 2002 and 2003 list #1 on Fortune magazine's 2002 and 2003 list Edward Jones The 100 Best Companies to Work for in America

53 53 Case Study – Edward Jones IT Growth Hot skills Hot skills J2EE, Java (web-based applications)J2EE, Java (web-based applications) Legacy (cost vs. benefit)Legacy (cost vs. benefit) Business(breadth and depth)Business(breadth and depth) Market getting hot! Market getting hot! Getting to be more challenging to find competent ITGetting to be more challenging to find competent IT Focus is on growthFocus is on growth Contractors 4% Contractors 4% Industry average is 7%Industry average is 7% 3 rd party for sponsored employees3 rd party for sponsored employees

54 54 Case Study – Edward Jones Continuing Education “Why train a chicken to climb a tree, when you can hire a squirrel” “Why train a chicken to climb a tree, when you can hire a squirrel” What are the immediate needs of the organization?What are the immediate needs of the organization? What are the candidates interests and talents?What are the candidates interests and talents? Internal Training Internal Training Programming: J2EE, SQL, DML, DB2, JCL, UNIX, ASD, BPM, SDLC, TMProgramming: J2EE, SQL, DML, DB2, JCL, UNIX, ASD, BPM, SDLC, TM IS Leader competencies: RBM, ASD, LSD, CBIIS Leader competencies: RBM, ASD, LSD, CBI External Training External Training Project Mgmt, Drucker School of Mgmt, Strategy, SeminarsProject Mgmt, Drucker School of Mgmt, Strategy, Seminars Tuition reimbursementTuition reimbursement Management books and peer groupsManagement books and peer groups

55 55 Case Study – Edward Jones Management & Culture "Selection is the most important key to hiring and retaining the right people" "Selection is the most important key to hiring and retaining the right people" Values that fit with EDJ cultureValues that fit with EDJ culture ? KSABE? KSABE Career “progression” Career “progression” Progression implies changing, advancing, developing, improving, achievingProgression implies changing, advancing, developing, improving, achieving Path implies course, direction, one-wayPath implies course, direction, one-way

56 56 Job Openings at Edward Jones Department Leader - IS Sales Hiring/Training End User Computing Specialist - Service Technology Programmer Analyst - COBOL (Batch) Programmer Analyst - Financial Planning Support Programmer Analyst II - Customer Accounts Programmer Analyst II - DB2 and Java Programmer Analyst II - Datawarehouse Programmer Analyst II - IS Mutual Fund/Money Market Programmer Analyst II - Java/J2EE Programmer Analyst II - ServiceCenter Senior Programmer Analyst - C#,.NET Senior Programmer Analyst - Mainframe (DB2, Java) Senior Programmer Analyst - Mainframe (with Java) Senior System Replication Programmer Senior Systems Administrator - Unix/WebLogic (Mon.-Thurs. 6am - 4pm) Senior Training Specialist - Information Systems Training System Administrator - MS Office System Administrator - Messaging System Administrator - Messaging Compliance Team Leader - Database Design (Team 2) Team Leader - Income Distribution/Securities Processing/Recon Team Leader - Mobile Technology Team Leader - System Security Technical Consultant - Java Technical Consultant - Messaging Technical Consultant - NAS Storage Technology http://www.edwardjonesopportunity.comhttp://www.edwardjonesopportunity.com, March 2006 http://www.edwardjonesopportunity.com 73% within fastest growing occupations (Dept. of Labor) 11 analysts #1, 6 (DOL)$70,000 per year (Redmond) 11 analysts #1, 6 (DOL)$70,000 per year (Redmond) 3 administrators#5, 9$66,000 per year 3 administrators#5, 9$66,000 per year 5 management#10$85,000 per year 5 management#10$85,000 per year

57 57 Edward VS. Anheuser J2EE J2EE 5% Contractors 5% Contractors “Career Progression” “Career Progression” Commission is Free! Commission is Free! MS.NET MS.NET 50% Contractors 50% Contractors “Career Opportunities” “Career Opportunities” Beer is Free! Beer is Free! CLASS VOTE

58 58 Takeaways IT career = High Pay and Opportunity IT career = High Pay and Opportunity IT career = Life Long Learning IT career = Life Long Learning IT career = Business and IT Mgmt & Cultural Synergy IT career = Business and IT Mgmt & Cultural Synergy

59 59 References 1. 1. John Kavanagh, “Now is the time to be in IT security, but experience and qualifications are vital” Computer Weekly, Nov 1, 2005, Pg. 46 2. 2. John Kavanagh “The growing attraction of public sector IT” Computer Weekly, Jan 10, 2006, Pg. 24 3. 3. Will Hadfield, “MS.NET set to be most wanted skill in 2006” Computer Weekly, Jan 24, 2006, Pg. 44 4. 4. Will Hadfield, “Government employers facing a shortage of IT contractors with security clearance” Computer Weekly, Jan 24, 2006, Pg. 44 5. 5. Bill Goodwin, “Firms will have to spend more on IT training, says E-Skills” Computer Weekly, Oct 25, 2005, Pg. 58 6. 6. Bill Goodwin, “Analyst warns of networking skills shortage” Computer Weekly, Oct 18, 2005, Pg. 4 7. 7. Calvert Markham, “Developing Consulting Skills” Consulting to Management, Dec 05, 2005, Pg. 33 8. 8. Bill Goodwin, “Commitment to work-life balance clinches Procter & Gamble’s win” Computer Weekly, Mar 8, 05, Pg. 22 9. 9. Bill Goodwin, “Money is not the main motivator, says Cox” Computer Weekly, Mar 8, 05, Pg. 22 10. 10. Bill Goodwin, “Staff Reveals What Works for them Best” Computer Weekly, Mar 8, 05, Pg. 22 11. 11. Julia Vowler, “How Effective Training Aids Staff Retention” Computer Weekly, Nov 15, 2005, Pg. 40 12. 12. Bill Goodwin, “Commitment to work-life balance clinches Procter & Gamble’s win” Computer Weekly, Mar 8, 05, Pg. 22 13. 13. Bill Goodwin, “Companies Failing to Address Training Gaps” Computer Weekly, Jun 28, 2005, Pg. 42 14. 14. Kellye Whitney, "Allstate: You're in Good Hands with a varied skill set" Certification Magazine, Jan 2005, Pg. 26 15. 15. Redmond Magazine 10th Annual Salary Survey:vin' Moving On Up!, September 2005, by Michael Domingo 16. 16. Dr. Mary Lacity, et. al. “Trends and Implications 2005-2008” SIM Advocacy IT Workforce White Paper, Mar 6, 2006, Pg. 4 17. 17. Agarwal and Ferratt, “Enduring Practices for Managing IT Professionals,” Communications of the ACM; Sep 2002; 45, 9. 18. 18. http://ww.w.Cartoon.Bank.com 19. 19. COMPUTERWORLD, 2004 Best Places to Work in IT Employee Scorecard, June 14 2004 20. 20. Mary Brandel. Computerworld. Framingham: Jun 27, 2005.Vol.39, Iss. 26; pg. 25ComputerworldJun 27, 2005 21. 21. CIO, 2006 Mid-Year IT Staffing Update, Lorraine Cosgrove Ware, Oct 1 2005 22. 22. Interview, Tausha Dirks, Sr. HR Specialist, IS Human Resources Edward Jones, March 15, 2006 23. 23. Interview, Gary Darden, Director of IT at Anheuser Bush


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