IT Salaries rise by 5.19%

IT Salaries rise more than any time in the past 8 years according to Janco Salary Survey

IT Salaries rise more than at any time since the dot com bubble.  The median salary for all IT professionals now is $87,072 and it is hard to find any positions that pay less than $50K per year. Much of this is due to the preliminary data from both actual salaries paid and budgeted for in 2017.

 

Much of this rise is due to an improving economic forecast and less of a reliance on off-shore outsourcing.  The full salary survey is to be released the second week of January.

Read on…

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Top 10 benefits Cloud ERP

Top 10 benefits cloud ERP

Traditional ERP projects increase costs, take a long time to implement, and require larger and more specialized IT professionals

Cloud Based ERP
Cloud Based ERP

Top 10 benefits Cloud ERP — With the emergence of a secure clouds, moving to a new ERP solution is not as high-risk an event as it once was. There are some critical benefits that make a cloud based ERP a solution that should be looked at:

  1. Vendor packages are available that create an architecture that is easily customized, modified and maintained.
  2. Metrics can be defined up front which can be the road map for communication of the benefits and costs of the ERP solution.
  3. The staffing requirements for scores of ERP specialists is significantly reduced and there is less risk that staff attrition could cause a delay in the implementation and deployment processes.
  4. A cloud based solution eliminates the need for most of the on-site data center resources and is more cost effective (typically at least 30% less expensive than on-premise)
  5. There is much less of a requirement to “re-invent” the wheel and much less of likelihood that the ERP efforts will go down a non-productive path.
  6. Development and and implement cycles are reduced. As a result deployment is quicker, value of the precised benefits are received more quickly, and the organization faces significantly less risk.
  7. With the cloud the ERP is more easily sized for both features and number of users supported and costs can be aligned with company’s ROI objectives.
  8. Business continuity objectives are more easily managed as part of the core design of the ERP.
  9. New technologies and equipment is more easily supported as a well managed vendor based solution provides the ability for the vendor to support new technologies and devices as they hit the market.
  10. Better security and operations than companies can otherwise afford (monitoring and meeting the SLA requirements for response time, continuous backups, redundancy, SSAE 16, PCI certifications, etc.).

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IT Job Market Forecast

IT Job Market Forecast

Janco has just released its IT job market forecast and does not look good.  The forecast for 2016 is that 100,800 new IT jobs will be created.  That is 12% lower than the number of jobs that were created in 2015 and 2014.  In addition, a number of industry analysts are forecasting that a new recession is around the corner.  That was magnified with the testimony of the Fed Chairman before Congress. The Chairman said, “… we (Fed) will not raise interest rates in the near term as we are seeing signs of a recession occurring over seas.”

IT Job Market Forecast

When Janco analyzed the recent employment data provided by the BLS, they found that 5,300 new IT jobs were created in January 2016 versus 15,900 last year at the same time. The CEO of Janco said, “The BLS did reclassify some jobs from the Telecommunication category to the Computer System Design and Related Services, but that was a push and in aggregate the result was that fewer new IT jobs were created. In support of this, our interviews of 47 CIOs in the last few weeks have them being much more pessimistic than they have been as group in some time.

IT Job Market January 2016

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H-1B visa program costs IT Pros jobs

H-1B visa program costs IT Pros jobs

H-1B visa program does not help US Nationals — costs jobs and limits development of IT professionals

H-1B visa program — We have just completed a review of the H-1B visa program for both the application process and approved visas.  It is clear from the data that foreign corporations are utilizing the program to undercut the salaries paid to IT professions.  In the process corporations are reducing tier costs and eliminating jobs that should belong to US nationals.

In some cases the jobs remain in the US, but the positions are filled by foreign nationals.  Specifically, offshore outsourcing companies continued to make up the majority of the top H-1B visa applications according to new government data. These offshore firms have been adding employees by the thousands as their revenues increase. Infosys (India based) led the list in 2014 with 23,759  visa applications with a median salary for those positions $72,254, edging out Tata (India based) which had 14,098 visa requestswith a median salary for those positions $66,600.

Both of those salaries were well below the median salary ($81,583 in 2014) for IT postions.  The overall median salary for the top 30 enterprises that filed for H-1B visas was $77,027.

H-1B Visa Program
H-1B Visa Program – Top 30 applications by company

The impacts of the H-1B program as it is implemented today are:

  1. Overall costs of IT are being reduced as lower salaries are are paid.
  2. Companies are encouraged to hire offshore IT Pros at wages that are lower than those paid to US nationals.
  3. Entry level positions are being eliminated which would provide the experience to US nationals so they could proceed in the IT career path.
  4. Dependence on foreign based companies will limit the flexibility of US corporations to change their infrastructure as technology advance.
  5. Risks due to a changing international political climate.  For example, when the “Arab spring” took effect in Egypt, companies that were depending on those “off-shored” operations had few alternatives they could use as data centers were closed.  Costs and risks to move the operations chewed up most if not all of the savings that were projected.

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Mid-Year Salary Survey Released by Janco

Mid-Year Salary Survey Released by Janco

Mid-Year Salary Survey – Janco Associates, Inc. has just released its 2015 mid-year salary survey.  To read about the salary survey go to https://www.e-janco.com/salary.htm.

IT Median Salaries Mid-Year 2014 vs. Mid-Year 2015

Historic versus current salaries IT Professionals

The major finding are:

  • In the prior 12 months the IT job market grew by 139,100.
  • IT compensation for all IT Professionals has increased by 1.22% in the last 12 months.
  • CIOs compensation across all organizations has shown another increase.  The mean compensation for CIOs in large enterprises is now $189,324 (up 2.14%) and $174,520 (up 1.44%) in mid-sized enterprises.
  • Positions in highest demand are all associated with security, training, large data center management, distributed/mobile system project management,  quality control, BYOD implementation, capacity planning and service level improvement.
  • Over the long term IT executives have fared better in large companies than mid-sized companies.
  • On shore outsourcing has peaked and companies are looking to bring IT operations back into their direct control and reduce operating costs.
  • Mandated requirements for records management systems and electronic medical records have increased the demand for quality control staff and custodians (librarians) of mechanized records.
  • Companies are continuing to refine the benefits provided to full time IT professionals. Though benefits such as health care are available to 80%, IT professionals are now paying a greater portion of that cost.
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Top 10 CIO Concerns

Top 10 CIO Concerns

Top 10 CIO Concerns – With the changing economy and improved outlook for IT spending, Janco has identified the top  10 CIO concerns.

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The top 10 concerns are:

  1. Security – as more instances of cyber-attacks are identified CIOs are well aware that their jobs are at risk if this occurs under their watch,.
  2. Cloud Computing – This is the new hidden IT that is driving many new applications and is not under the complete control of the CIO and IT organization.
  3. Infrastructure – No longer are those interacting with the data and systems in a single location utilizing standard hardware and software. Records management, retention and destruction as well as version control are just a few of the areas that CIOs need to manage and control.
  4. Consolidation – Islands of data and computing continue to exist as new technologies are implemented. Redundancy leads to disparate information and needs to be resolved.
  5. Big Data – As data is consolidated it needs to be analyzed more quickly so that decision making within the enterprise is improved.
  6. Automation – Traditional functions are now being eliminated and automation needs to take placed which will meet the strategic objectives of the enterprise.
  7. Mobile Computing – BYOD and mobile applications are where users are looking for support in order to improve their bottom line results.
  8. Staff Retention – During the past few years that has not been an issue but now with an improved IT job market staff will leave.
  9. Social Networks – This is the wave of the future and needs to be managed more effectively.
  10. Succession Planning – Not only for the CIO role but for all of the other key roles within the IT functions. Job family definition is now a priority.

IT Management Suite – complete toolkit

IT Management Suite

The IT Management Suite contains all of Janco’s products at a savings of over $2,500. Plus for a limited time (until 12/31/2013) you can save an additional 20% by entering the coupon code of Post201311.

CIO Management Suite

Included are:

  • CIO IT Infrastructure Policy Bundle including electronic forms
  • Disaster Recovery Template
  • Security Manual Template
  • Internet & IT Position Descriptions HandiGuide – including all Job Descriptions in MS Word
  • IT Infrastructure, Strategy & Charter Template
  • IT Salary Survey
  • Functional Specification Template
  • Safety Program Template
  • IT Service Management Template
  • Practical Guide IT Outsourcing
  • Client Server Management HandiGuide
  • Metrics for the Internet & IT HandiGuide
  • Internet & PC Workstation Policies & Procedures HandiGuide
  • Business & IT Impact Questionnaire
  • Threat & Vulnerability Assessment Tool
Disaster Planning Security Policies Procedures Job Descriptions IT Infrastructure, Strategy, & Charter Template IT Salary Survey Internet PDA SmartPhone DRP Security 
Backup Policy Blog Policy BYOD Policy Google Glass Policy Communication Plan Electronic CommunicationMobile Device Use Outsourcing PolicyServer Security Policy Patch Management Records Management Sensitive InformationSLA Policy Social Networking Policy Telecommuting  Travel Laptop PDA IT Electronic Forms

As Fortune 500 companies move from US what about IT Jobs

New IT Jobs will be in emerging markets

Salary SurveyBy 2025 nearly half  – 46 percent – of all Fortune Global 500 corporations will hail from countries like China and others that either recently arrived on the scene or are just now starting to develop. In 2010, only 17 percent came from  “emerging” countries, up from a mere 5 percent in 2000.

Emerging markets are changing where and how the world does business. For the last three decades, they have been a source of low-cost but increasingly skilled labor. Their fast-growing cities are filled with millions of new and increasingly prosperous consumers, who provide a new growth market for global corporations at a time when much of the developed world faces slower growth as a result of aging. But the number of large companies from the emerging world will rise as well. This powerful wave of new companies could profoundly alter long-established competitive dynamics around the world and where new IT jobs will be created.

While 75 percent of the world’s 8,000 companies that exceed $1 billion in revenue today come from developed economies, 70 percent of the 7,000 that will join that club over the next decade will come from emerging markets.

Salary SurveyJob DescriptionsIT Hiring KitInterview Guide

Infrastructure Key to Data Center Management and Disaster Recovery

Infrastructure is key to data center management

Data Center Management Issues – Your data centers are stuck in a rut. While 90 per cent have had an upgrade in the last three years, the data center you have isn’t the data center you want.

Disaster Recovery

If you want to build for tomorrow, you shouldn’t start from here

The hidden problem is the invisible glue: your network. It was hell to set up. It’s difficult to change, and maybe you don’t have the skills.

Many clients tell us that many of your networks have hardly changed since the day they were installed.

But now you need flexibility and the ability to scale up and down.

And you can’t start from scratch. How do you solve the problem practically? Do you rip and replace, or can you network the data center you need from the data center you already have?

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Outsourcing top 10 reasons why it fails

Top 10 reasons why outsourcing failCloud Outsourcing

10 reasons why outsourcing arrangements fails

  1. No clearly defined long-term strategic organizational objective is defined – the outsourcing arrangement cannot aligned be aligned to something that does not exist
  2. Outsourced solution is not managed well within the enterprise – moving something to an outsourcer that you do not do well will not make it better
  3. Unrealistic expectations – outsourcing is not an end all things will not get better just because they have been moved out
  4. Not understanding the strengths and weaknesses of the outsource provider will make it difficult to fix things that do not work there already
  5. Not having a good contract with clearly defined service levels and metrics
  6. Having an outsourcing arrangement that is set in concrete and difficult to change as operational requirements change
  7. Lack of transition management and clearly defined end points for responsibilities
  8. Poor communication patterns with inadequate points of contact and status reporting between the outsourcer and the company
  9. Insufficient information for the internal organization on what to expect and service issues
  10. Cultural differences especially if the outsourcer is not a domestic organization
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