TECHNOLOGY & DIGITAL. Talent insights. Critical roles, skills and salaries to shape your team in 2017

Transcription

1 TECHNOLOGY & DIGITAL Talent insights Critical roles, skills and salaries to shape your team in 2017

2 The business context: Change is the new normal The technology function is under pressure from both internal and external factors, according to data from a Hudson survey of employers in New Zealand. Employers name their top 5 challenges for: The business Improving the digital customer experience Increased customer demands Increasing speed to market of new products and services 4 Compliance/regulation burdens 5 Collecting and analysing data Improving the customer experience Increased customer demands are driving organisations to invest in technology and digital initiatives to improve the customer experience. This includes retail platforms, mobile solutions for e-commerce, better access to public services and service simplification. The need to move faster As customer demands increase, organisations need to bring new products and services to market faster than their competitors. Many markets are also facing new entrants who typically have the benefit of lower cost structures as they don't have legacy infrastructure. This puts pressure on technology professionals to find solutions that can increase the speed of product development and distribution. Hudson research Nov 2016: Technology & Digital employers, New Zealand 2

3 The workplace 1 Implementing new technology platforms 2 Cultural transformation 3 4 New approaches to managing projects, eg Agile Organisation or team restructures 5 Budget cuts Workplaces in transformation Organisations are responding to the changing environment by implementing new technology platforms to drive efficiencies. Organisational structures and cultures are being transformed to be more responsive and customercentric, leading to challenges and uncertainty around processes, roles and responsibilities. With employers under pressure to manage through change, hiring is an opportunity to bring in people with a positive and adaptable mindset. The team 1 Keeping employees engaged and motivated 2 Upskilling staff Improving employee performance Retaining top performing staff Helping staff adapt to change Finding candidates who have it all In the context of changing workplaces, getting the right people for the job can be difficult. The increasing digital component of roles makes it harder to find people with strong experience, and hiring managers are also looking for those standout candidates who have not only the right technical skillset, but who can also drive and manage change, and have the right cultural fit for the team. Keeping spirits up In the midst of change, employees can become frustrated and disengaged. As their organisation shifts around them, employers have the responsibility to keep their staff engaged and motivated - or risk losing their best people. 3

4 The demand for talent: Hiring intentions continue to increase NZ permanent hiring expectations: net effect (%) increase 38.5 % maintain 54.9 % Permanent hiring expectations: net effect (% of employers intending to increase headcount minus % of employers intending to decrease headcount). decrease 6.6 % 2017 For the last 10 years, Hudson has taken the pulse on employers' intention to hire. In H1 2017, the net hiring effect is heading upwards after remaining steady in In particular, hiring intentions have jumped significantly in the North Island compared to six months ago, while Christchurch remains strong despite easing slightly from the very strong numbers throughout With a strong economy and positive outlook, hiring intentions in New Zealand have continued to rise, and based on the economic outlook from the Reserve Bank and other economic commentators, strong employment conditions look set to continue. The Reserve Bank forecasts that in the absence of major unanticipated negative events (such as earthquakes), prospects look good for continued strong economic growth over the next 18 months. 1 The bank predicts that the unemployment rate will continue to decline and gross domestic product (GDP) should grow by around 3.75%, driven by construction spending, continued record migration levels, and tourism. 2 Some economic commentators have been concerned about a possible correction to the strong NZ dollar and booming house prices, however ANZ Bank economists say this seems unlikely given the continued underlying strength of the economy. 3 1, 2 New Zealand Reserve Bank Monetary Policy Statement, November ANZ Economic Outlook, October

5 Christchurch and Wellington lead hiring demand 40.8 % Christchurch 36.7 % Auckland Permanent hiring expectations: % of employers increasing headcount by region. 40 % Wellington With 93% of New Zealand employers either increasing or maintaining headcount, the competition for talent in 2017 is set to be highly competitive. Hiring intentions in New Zealand are strong, driven by a robust economy and prospects of continued economic strength in Roman Rogers Regional General Manager Recruitment New Zealand 5

6 Planning for your team: Feeling the talent pinch Employers are looking for people with the right technical and soft skills, as well as cultural fit for their team. How hard is it to find the talent you need? of technology and digital managers intend to increase or 95 % maintain headcount Main hiring challenges but more than 1 in 3 say it's harder to find top talent than it was a year ago Finding candidates with the relevant technical skills Finding candidates with the relevant soft skills Finding candidates with the right cultural fit for your team Getting budget approval for a new/ replacement role Time it takes to fill a role Hudson research Nov 2016: Technology & Digital employers, New Zealand 6

7 Most in demand: Roles Business Analysis Mobile Development Network and Systems Engineering DevOps Performance and Automation Testing Soft skills Driving and managing change Critical thinking Stakeholder engagement Drive for results Technical skills Front-end: HTML, CSS, JavaScript, Silverstripe Frameworks: Angular, React, Bootstrap, Node Infrastructure: SCCM, Cloud Deployment, Windows 2012 R2 Mobile: ios, Android Development: Java,.NET, DevOps Project Services: Agile BA, Agile PM Innovative thinking Strong competition for top talent As the demand for technology professionals continues to grow, it will be harder to source top talent to fill the increased number of roles. Some leading employers are starting to hire students who are still in education, which means there could be a shortage in the number of people looking for roles in that junior space. In Wellington, challenges with coordination between government departments around major transformation programme launches have caused periods of high demand in project disciplines. There are also numerous large programmes underway, placing considerable pressure on resources in a still relatively small market. Roles continue to evolve The Agile methodology has proven to have a much broader scope than simply development projects, while DevOps continues to grow in the local market with many organisations across both the public and private sector restructuring their development and application support functions to maintain and redevelop their live environments. The traditional testing market continues to shrink, replaced in many cases by Automation Testing roles (increasingly described as Automation Engineering). New arrivals to the market with experience in larger Performance and Automation Testing environments or Mobile Development skills will find themselves in high demand as there is increasingly short supply locally. Demand for Network and Systems Engineers remains high, while people with skills in mobile channels and UI/ UX are highly sought after. 7

8 Beyond the job ad: Winning strategies to source today's best talent The majority of employees in the technology function are open to new opportunities, rather than actively looking for jobs. Conversations with candidates have highlighted that many are finding a lack of succession planning or development in their current roles. But with technology becoming a major focus for so many organisations, there are ample opportunities for employees, with new technologies and exciting projects to get involved in, as well as competitive salaries to entice them. 57 % Actively seeking are open to new opportunities Open to new opportunities 57% Planning to stay The high proportion of employees who are open to opportunities highlights a shift happening across New Zealand in the way that employers should approach sourcing top talent. Employers need to look beyond reactive job ads to get the best candidates in the market, not just the best available at the time. 21% % A large number of potential hires might be interested in a role but aren't actively looking for jobs. 8 Hudson research Nov 2016: Technology & Digital employees, New Zealand

9 Strategic sourcing for the best talent 1. Plan ahead Successful sourcing is built on knowing the roles you need, the talent you want and when you ll need it. Identify business critical and hard-to-fill roles, plus roles with high turnover. 2. Know who you want Develop a profile of the people you need, starting with their skills, competencies and experience. Then look beyond technical knowledge to consider motivations and cultural fit. 3. Be where your talent is There s an abundance of sourcing channels blogs, SEO, events, referrals, networking, associations, LinkedIn, video, traditional media, online advertising, job boards, databases and your next great candidate could be attracted through any of them. They could even be already within your organisation. 4. Sell a compelling employee value proposition (EVP) Understand what your target audience wants, then create an appealing employment offering that engages candidates throughout the hiring process. With job interviews an increasingly twoway street, candidates care about issues like social responsibility, flexible work options, diversity and corporate culture. 5. Access a talent pool Having ready access to a pool of qualified candidates will maximise your chances of finding top talent quickly when roles become available. 9

10 Attracting talent: What are job seekers looking for? Hudson's research shows that the majority of employees surveyed in New Zealand are most attracted to roles in companies where the work environment suits them, with enough flexibility for a good work/life balance and challenges to keep them motivated. What attracts job seekers to a company Work environment Work/life balance Challenging role Advancement 5 opportunity Chance to make a difference Ensure you have a compelling EVP Be clear about your employee value proposition. Only a compelling offer will lure top talent. If you can't offer the best salaries, ensure you have a compelling narrative about why people would want to work at your organisation. Hudson candidate engagement research 2016, New Zealand Just like employers look for good cultural fit, candidates are looking for a work environment that suits them. 10

11 Nurturing potential hires: Personalised communication is key Continuous engagement is essential to developing a relationship with a potential hire, even when a role is not yet available. When asked which channels were the most effective for engaging their interest, NZ professionals showed clear preferences. The best methods of continually engaging with prospective candidates: Professionals don't want you to reinvent the wheel when it comes to contacting them. Overwhelmingly, they prefer the tried and true methods of phone and % via personalised 49 % via company website 91 % via phone call 40 % via LinkedIn InMail Maintaining good relationships Ensure you provide a personalised, positive and consistent experience for candidates, from the point of initially engaging with them right through to the job offer. Hudson candidate engagement research 2016, New Zealand 11

12 The hiring process: A crucial factor in securing top talent A good quality hiring process is a chance to demonstrate your employee value proposition and is fundamental to a strong employer brand. If it's a disorganised or disengaging process, employees will assume that it reflects the workplace and steer clear. 85 % of New Zealand professionals believe that the experience with an organisation's job application and interview process is important when deciding to join a company The top 5 important aspects during the application and interview experience 1 Understanding the details of the position requirements Ongoing communication about application status Knowing the next steps in the process A reasonable time frame for a final decision Ease of application submission Hudson candidate engagement research 2016, New Zealand 12

13 Remuneration: Underpaid and underappreciated? Getting salary right is an essential part of the equation for hiring managers as they cope with the challenge of engaging and motivating employees. If people are feeling underpaid, they may also be feeling underappreciated. The answer? Communication and transparency. 45 % How much has your base salary increased by in 2016? 42 % Of those who received an increase, 82 % of technology professionals feel they are underpaid received no increase received an increase of 1-5% Ensuring salary satisfaction Refer to up-to-date salary data and clearly communicate that when making a salary offer to ensure continued engagement and job satisfaction. Alternatives to pay rises Employees say they would be willing to swap a pay rise for: 1. More annual leave 2. Bonuses and incentives 3. Flexible work conditions The Hudson Report: Forward Focus 2016 Hudson research Nov 2016: Technology & Digital employees, New Zealand 13

14 Salary Guide: Technology & Digital Christchurch Permanent NZD '000 Contractor NZD/hour Senior Management CIO & GMIT CTO Security Information Manager Solutions Architect Project Services PMO Programme Manager Project Manager Senior Level Project Manager Intermediate Level Lead Business Analyst/Team Leader Senior Technical Business Analyst Technical Business Analyst Business Analyst Senior Level Business Analyst Intermediate Level Business Analyst Junior Level Technical Writer Change Manager

15 Permanent NZD '000 Contractor NZD/hour Project Services continued... Project Coordinator Project Administrator Development.Net Developer Senior Level Net Developer Intermediate Level Net Developer Junior Level SharePoint Developer CRM Developer Java Technical Lead Java Developer Senior Level Java Developer Intermediate Level Java Developer Junior Level Web Developer Senior Level Web Developer Junior Level Front End Developer Senior Level Front End Developer Junior Level Mobile Developer ios Mobile Developer Android Senior Automation Tester Automation Tester Test Manager Test Lead Test Analyst Senior Level Test Analyst Intermediate Level Test Analyst Junior Level

16 Christchurch cont... Permanent NZD '000 Contractor NZD/hour Infrastructure Network Architect/Consultant CCIE Network Engineer Senior (CCNP, CCVP) Network Engineer Intermediate (CCNA) Systems Engineer Microsoft Security Specialist Security Engineer Senior Systems Administrator Microsoft Systems Administrator Microsoft Service Desk Manager Service Desk/Helpdesk Team Leader Service Desk/Helpdesk Level Service Desk/Helpdesk Level Desktop Support Intermediate Level Infrastructure Architect Infrastructure Team Leader

17 Wellington Permanent NZD '000 Contractor NZD/hour Senior Management CIO & GMIT CTO Security Information Manager Solutions Architect Project Services PMO Programme Manager Project Manager Senior Level Project Manager Intermediate Level Lead Business Analyst/Team Leader Senior Technical Business Analyst Technical Business Analyst Business Analyst Senior Level Business Analyst Intermediate Level Business Analyst Junior Level N/A Technical Writer Change Manager Project Coordinator Agile Coach/Scrum Manager

18 Wellington cont... Permanent NZD '000 Contractor NZD/hour Development.Net Developer Senior Level Net Developer Intermediate Level Net Developer Junior Level SharePoint Developer CRM Developer Java Technical Lead Java Developer Senior Level Java Developer Intermediate Level Java Developer Junior Level Web Developer Senior Level Web Developer Junior Level Front End Developer Senior Level Front End Developer Junior Level Mobile Developer ios Mobile Developer Android Senior Automation Tester Automation Tester Test Manager Test Lead Test Analyst Senior Level Test Analyst Intermediate Level Test Analyst Junior Level N/A 18

19 Permanent NZD '000 Contractor NZD/hour Infrastructure Network Architect/Consultant CCIE Network Engineer Senior (CCNP, CCVP) Network Engineer Intermediate (CCNA) Systems Engineer Microsoft Security Specialist Security Engineer Senior Systems Administrator Microsoft Systems Administrator Microsoft Service Desk Manager Service Desk/Helpdesk Team Leader Service Desk/Helpdesk Level Service Desk/Helpdesk Level Desktop Support Intermediate Level Infrastructure Architect Infrastructure Team Leader This salary guide is a compilation of salary and market information provided by Hudson consultants, clients, candidates and other sources across New Zealand. Information was gathered by drawing on the extensive knowledge of our specialist recruitment consultants across Hudson s specialist practice groups. Salary ranges are approximate guides only. They relate to base salaries and exclude superannuation/bonuses/incentive schemes/stock options. 19

20 Methodology Hudson undertook quantitative research with hiring managers and employees across New Zealand to analyse the talent landscape and provide insights on what employers might expect in 2017 and beyond. We canvassed the views of 1,529 New Zealand employers and employees in November From these findings we developed this report a combination of the survey findings and Hudson's specialist insights on the hiring landscape. We have also included data and insights from Hudson quantitative and qualitative research of 3,555 candidates from the Asia Pacific region undertaken in H to better understand the way that job seekers engage with recruiters and the job selection process. Percentages don't always total 100% as respondents could select more than one option for certain questions. Hudson Technology & Digital Hudson's specialist recruitment consultants have the in-depth market knowledge of salaries, job titles and hiring trends to ensure you achieve the best outcome for your organisation at the appropriate remuneration. We build highly nurtured and engaged pools of select talent so you can find the right person quickly. This means greater speed and precision in placements, and higher satisfaction for both clients and candidates. Our proprietary assessment tools and techniques will help you find candidates with the right technical skills and capabilities for the role and for your team, so you can achieve higher performance and superior business results. nz.hudson.com