Big One. Land. The. Leverage certifications to sell yourself. THE RESULTS OF QP s 25th annual. Salary Survey

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1 Table of contents Part 1. Regular Employee Results Section 1 by Job Title p. 30 Section 2 by U.S. Regions and Canadian Provinces p. 35 Section 3 by Number of Years of Experience in the Quality Field p. 40 Section 4 by ASQ and RABQSA International Certification p. 48 Section 5 by Six Sigma Training Section 6 by Number of Work Hours Section 7 by Nonexempt vs. Exempt Status Section 8 by Number of Years in Current Position Section 9 by Number of Years in Current Position and in the Quality Field Section 10 by Number of Employees Overseen Section 11 by Division Size, Organization Size and Location of Headquarters Section 12 by Industry Section 13 by Geographic Location Section 14 by Organizational Quality Infrastructure Section 15 by Extent of Quality Responsibilities Section 16 by Highest Level of Education Section 17 by Highest Level of Education and Number of Years in the Quality Field Section 18 by RABQSA International Certification Section 19 by Gender and Age Section 20 Size of Raise and Additional Annual Payments Part 2. Self-Employed Consultant Results Section 21 Consultant Overview Section 22 Consultant Experience Section 23 Consultant Education and Training Section 24 Earnings and Rates by Age, Gender and Geographic Location Note: All sections printed in this issue of are also available in the online report in PDF format at Land The Big One Leverage certifications to sell yourself THE RESULTS OF s 25th annual salary survey show that average salaries for quality professionals continue to rise, but at a rate that barely exceeds inflation. That s somewhat encouraging news, it seems. Despite difficult times, the results show that the quality profession is holding its own in terms of salaries. Every year since the recession began in 2008, the mean and median pay for full-time quality professionals has risen. Table 1 (p. 22) shows the recent trend of salaries increasing at about 2% annually in the United States. While the gains are not enormous, they have kept the profession ahead of core inflation, which has not exceeded 2% since November

2 2011 by Max Christian Hansen, Nancy J. Wilde and Eileen R. Kinch December

3 But the reality is that we live in a shaky economy in Yearly changes in salary for full-time U.S. workers / Table Mean salary $81,480 $83,442 $85,383 $87,086 Percentage increase in mean 2.41% 2.33% 1.99% Median salary 77,563 80,000 81,816 83,986 Percentage increase in median 3.14% 2.27% 2.65% Table 1 includes results for: x Full-time employees, Part time employees, x U.S. employees, Canadian employees, International employees premiums for certification holders / Table 2 Job Title Certification premium Significance level Auditor Quality auditor $10, Calibration technician Calibration technician 10, Director Quality engineer 8, Manager Manager of quality 10,205 0 Manager Quality engineer 7,716 0 Manager Six Sigma Black Belt 10,142 0 Quality engineer Manager of quality 15,617 0 Quality engineer Quality auditor 6, Reliability/safety engineer Reliability engineer 21,119 0 Specialist Quality engineer 11, Supervisor Quality auditor 12, Supplier quality engineer/professional Quality engineer 7, Table 2 includes results for: x Full-time employees, x Part time employees, x U.S. employees, x Canadian employees, International employees which many quality professionals still find themselves at career crossroads. Perhaps they are seeking new positions inside or outside their organizations. Some may be deciding they want a change: more pay, more responsibility or more interesting work. For others, employers are making the decision, forcing employees to switch jobs or shift career directions because of cutbacks or closures. Regardless of what s driving the change, many quality professionals hold valuable assets in the form of certifications that can be used to find new jobs and transition careers. But how can job seekers gain an edge, better manage their transitions and leverage certifications to their advantage? How can certifications increase a job seeker s bargaining power when screening potential employers? It only makes sense to use the transition to your advantage. Certification holders or those thinking about obtaining certifications should know that these assets make them more attractive to potential employers. The best value Numerically, it s important to understand the value of certain ASQ certifications. In most cases, a certification offers the most value when it is held by a professional whose job duties most closely align with the certification. Table 2 shows many pairings of job titles and certifications that yield a substantial premium in annual salary. For instance, a reliability/safety engineer who holds a reliability engineer certification can expect to make $21,119 more than one who doesn t. The pairings with the best (lowest) significance levels are the ones most likely to show a positive value for the certification. In many cases, it s a rather large value. The significance levels are obtained by comparing mean salaries of two groups in each pairing, while also taking into account the variability in salary within groups. If the difference in salary between groups is large, then the associated significance value will be small. The significance value indicates the probability of obtaining the observed result if there was, in fact, no difference between groups. So, small significance values (for example, those below 0.05) mean there is less than a 5% chance that the observed salary difference happened by chance. In other words, it is 95% likely that a real, significant difference exists. While these numbers seem clear, we can increase their clarity by reviewing some non-numeric information related to certifications gathered in the survey. As in several past surveys, we asked the question, Has attaining certifications helped you advance your career? How? In analyzing the responses, three themes emerged. The sidebar, Straight Talk (p. 24), provides some direct quotes from survey takers. 22

4 1. Certifications can compensate for lack of a degree. At first, this might seem surprising. Consider that an associate degree requires two years of full-time schooling and a bachelor s degree twice that amount of time. Six Sigma Green Belt and Black Belt certification training programs run between six and 10 weeks each, while allowing those seeking certification to continue working full time if the situation warrants. In fact, training isn t even a requirement to take certification exams. Given this difference, it seems almost incredible that quality certifications can meaningfully compensate for the lack of a degree. But for a professional whose work involves quality, a certification program contains no fat. Everything taught in such a course may not be directly relevant to every workplace a continuous automated process won t use every technique applicable to a job shop but everything contributes to a deeper understanding of what quality is and how it is achieved. Most of what is learned in many such courses is, in fact, highly portable. 2. Certifications open doors and are especially valuable when it s time to change jobs. Often, a great deal is unknown to a person sorting through job applications and deciding on candidates. If a job applicant hasn t already performed exactly the same type of work as in the open position, it s impossible to know positively whether he or she will be totally capable in the new post. In these types of situations, hiring managers look for anything on résumés that shows a good deal of information in a few words. Degrees do this, of course, demonstrating three valuable facts about the application: the applicant selected a program, was accepted into it and completed it. Having certifications provides a somewhat different but overlapping set of facts. The primary difference is that many certification programs have minimal entrance requirements. In most cases, the vetting is done after the fact through an exam. But as some survey respondents pointed out, even the simple fact of having chosen and completed a program can signal your dedication to quality and selfimprovement. It also demonstrates your agreement with the generally accepted values and practices of the profession. 3. Not all employers value training and certifications and, for that matter, quality. For professionals who do value these things, there s a positive aspect to the fact that not all organizations do. The reason is simple: If the average value placed on any certification by a group of organizations is positive, and if you know that some of those organizations place no value on the certification, you also know that the value placed on it by the other organizations must be even higher than the overall average. The overall average is being dragged down by the organizations placing zero value on certifications. The sidebar An Employer Valuation Example, illustrates this with a simple hypothetical case. Practical lessons There are a few lessons you can learn about how to use the salary survey information, including the analysis of nonquantitative responses: 1. Value emerges in times of change. Certifications often can show their value best at the time of a job change. If there s a bright side to the recent recession and slow recovery, it s that the disruption in quality professionals lives will be seized by some as the opportunity to find the niche where they and their special assets are best valued. 2. Qualitative data, especially knowledge of zero values, can increase the value of already significant data. This applies not only to positive values 2011 AN employer valuation example You re considering getting the XYZ certification. Assume that: 1. You ve invested too much time and energy to change industries. 2. There are only four companies in your industry. 3. Your employer places zero value on XYZ certification. 4. The three other companies value XYZ certification at a $10,000 salary premium per year. The average value placed on XYZ certification in your industry is: $10,000 x 3 4 = $7,500. If you re unwilling to change employers, this number isn t relevant for you. You re stuck at a place where the value of the certification is zero. If you are willing to change employers, however, the above number is still not relevant. Instead, the relevant formula is: $10,000 x 3 3 = $10,000. That s the average value placed on XYZ certification by an employer who values it in other words, the one where you might land an interview and prove your worth. M.C.H., N.J.W. AND E.R.K. December

5 2011 or premiums knowing which organizations value certifications and reward those who attain them but also to the penalties. Consider the gender gap in salary, detailed in Section 19 of the salary report. If over a full survey sample there is a pay penalty for being female and you know there are organizations where there is no such penalty, you also know that among companies where there is a gap, it s even larger than the overall average. straight talk Here are some responses to the salary survey that discuss the three aspects related to the value or lack of value of certification. Names have been omitted. Certifications substitute for other education: Certification is the minimum requirement to advance without a degree. I did not have a degree, and the certified quality engineer (CQE) helped open doors. Now that I have a degree, it is less important. As I do not have a college degree, I have used the ASQ certifications to show my competencies. I did not have a degree when I began my quality career, and having certifications helped me find employment anyhow. Certifications are important when changing positions: Certifications opened interview doors. Certifications made me eligible for positions that specifically required them. A certification is what set me apart from the other candidates. Attainment of the CQE resulted in a promotion to a quality engineering position. Subsequent attainment of the certified quality associate resulted in a promotion to senior corporate quality engineer. Being a certified mechanical inspector was a requirement. Then, at other places, the certification helped me land jobs. Having the certified quality auditor status has given me an edge among my peers when applying for a quality manager role. Employers may or may not value certifications: The organizations I have worked for have desired and supported the pursuit and maintenance of certifications. I m in a field that doesn t appreciate quality. My employer is not good about recognizing certifications or education degrees that employees have. My current company is not quality oriented. Certification is not rewarded or understood by my employer. M.C.H., N.J.W. AND E.R.K. 3. You may be able to act more on the data than you think. It s surprising how often professionals overlook the fact that specialized assets, such as certifications, give them bargaining power. Researching potential employers about their views on quality and their stances on certification also can make you more efficient in your job search efforts. Put negatively, if you end up taking your assets to an organization that doesn t value them, you ve not only wasted the value of the asset, but you ve also wasted efforts in your job search. Thus, it s important to look for organizations and supervisors who value the assets you have or assets you can attain. The gender example perfectly illustrates one of those data items you can do nothing about. If a woman wants to avoid being shortchanged, however, she should be aware that the gap is probably greater in some organizations than in others and pursue opportunities where the gap is small or nonexistent. In her job search, even before salary is discussed, a woman should be looking for signs from prospective employers that they trust and value women, and they employ them in a broad range of positions, including management. If both men and women are excited about being there, it s likely there won t be a pay gap. REFERENCE 1. Russell Investments Economic Indicators Dashboard, helping-advisors/markets/economicindicatorsdashboard/coreinflationpcepi.aspx. MAX CHRISTIAN HANSEN is president of Bright Hat Communications Inc. in Sacramento, CA. The firm does communications consulting for science-based public policy, quantitative research and marketing. Hansen has an MBA from the MIT Sloan School of Management in Cambridge, MA. He is a member of ASQ. NANCY J. WILDE is a senior statistician at Bright Hat Communications Inc. She earned a doctorate in psychology from the University of Victoria in British Columbia. EILEEN R. KINCH is a writer at Bright Hat Communications Inc. She earned a master s degree in divinity from Earlham School of Religion in Richmond, IN. She is the author of The ESR Story, a history of the Earlham School of Religion. 24