FOREWORD EXECUTIVE SUMMARY

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Geraldine Cooper
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01 FOREWORD & EXECUTIVE SUMMARY FOREWORD The BountyJobs mission is to help employers and third party recruiting agencies collaborate more effectively.

Because it is an expensive piece, talent acquisition leaders have to make critical decisions about when and how to send jobs out to search.

2 01 FOREWORD & EXECUTIVE SUMMARY FOREWORD The BountyJobs mission is to help employers and third party recruiting agencies collaborate more effectively. We recognize that going out to search is only one piece of a company s multi-faceted talent acquisition strategy. Because it is an expensive piece, talent acquisition leaders have to make critical decisions about when and how to send jobs out to search. We host the world s largest marketplace for employer and agency collaboration, giving us the data to benchmark salaries, fees, and performance. We think this data is a necessary tool for teams working to make the most of their investment. EXECUTIVE SUMMARY In 2016, our annual Benchmark Report shifted to focus more on data, and less on analysis. With that shift, there was a high demand for more verticalspecific information. Talent Acquisition leaders wanted to see how their company s recruitment metrics stacked up to benchmark data from companies hiring in industries and for roles similar to their own. This interest led us to produce quarterly, vertical-specific reports focused on the four most active industries in the BountyJobs marketplace. Information Technology (IT) is the second in our 2017 series of quarterly reports. IT is particularly interesting because it's both a job category and a high volume industry in the BountyJobs Marketplace. The BountyJobs Team

3 The Dataset This report is focused on the 2016 activity surrounding IT roles sent to search by companies in the BountyJobs marketplace. IT is unique in that it represents an industry, as well as a job category with a variety of roles across many different industry verticals. Because of this, we expanded how we normally look at data for vertical-specific reports to look at all of the roles that fall into IT-related job categories. Since these roles transcend verticals and are not exclusive to IT companies, this is a utilitarian set of data relevant to any Talent Acquisition Leader or Hiring Manager that competes for IT talent. In addition to sharing IT-specific data, we ve also interjected some general market data for comparison. That way, you can see how your third party agency recruitment metrics stack up against those of other IT roles and companies, as well as the market as a whole.

4 03 THE DATASET: AT A GLANCE BOUNTYJOBS IT JOB ACTIVITY 12 Jobs 65 Jobs 238 Jobs Average # of IT jobs posted by BountyJobs employers in 2016 Average # of IT jobs posted in 2016 by our 10 most active employers Highest # of IT jobs posted by a single BountyJobs employer in % NON-MANAGERIAL Percentage of overall IT positions posted for nonmanagerial roles 20% MANAGERIAL Percentage of overall IT positions posted for managerial roles JOB POSTINGS: PUBLIC v. PRIVATE How do our employers determine the visibility of their IT jobs? Market Information Technology 70% There is close to a split between jobs posted publicly to our marketplace and jobs posted privately to specific vendors. 46% 30% 54% With IT jobs present in almost all verticals, there are many agencies that specialize in IT talent. While some companies like to introduce a little friendly competition by bringing in new search vendors, others prefer to stick with their tried-and-true vendors. PUBLIC Public jobs are posted and visible to our marketplace of 10K+ agencies PRIVATE Private jobs are posted privately, visible to vendors by invitation only

IT jobs are spread across all industries, so they follow a vacancy pattern similar to that of the general

5 04 THE DATASET: AT A GLANCE BY THE CALENDAR What time of year do IT jobs get sent to external search? How does that compare to the market in general? IT jobs are spread across all industries, so they follow a vacancy pattern similar to that of the general market. They remain fairly consistent throughout the year with the common end-of-year dip. Market Information Technology BY KEYWORD Which words appear most in IT job titles?

6 05 THE DATASET: AT A GLANCE BY SENIORITY LEVEL What is the breakdown of IT jobs sent to search by seniority level? 80% 13% 5% 2% NON-MANAGERIAL MANAGER DIRECTOR VP OR C-SUITE The overwhelming majority of Information Technology jobs sent to search are non-managerial positions. Employers in this industry tend to look for highly specialized candidates for roles in Software Development, Software Engineering, and IT Security. BY GEOGRAPHIC DISTRIBUTION Where are Information Technology jobs geographically located? While highest concentration of Information Technology job postings in 2016 were found on the East and West coasts of the United States, jobs were also spread across the country and abroad, with postings in 38 states, Canada and the European Union. Additionally, a significant number of IT roles featured remote work options. HIGHEST CONCENTRATION 43% of Information Technology jobs posted in the BountyJobs Marketplace in 2016 were located in the the Northeastern United States.

7 06 THE DATASET: AT A GLANCE BY INDUSTRY What industries had the highest volume of IT jobs sent to search in 2016? 33% 25% 11% Financial Services Information Technology Healthcare & Health Services Top Sub-Industries Include: Commercial Banking & Mortgage Top Sub-Industries Include: Computer Software & Internet/ E-Commerce Top Sub-Industries Include: Medical Records & IT Informatics BY JOB CATEGORY What job categories had the highest volume of IT jobs sent to search in 2016? Developer 24% System Development 9% IT Project Management 8% Security 8% Programming 6% System Analysis & Design 5% The largest search volume in 2016 within IT job categories was for Developers. Companies across industry verticals sent jobs for Developers out to search. At the top of the list: Financial Services (37%), Computer Software (17%) & E-Commerce (12%).

8 Salaries & Fees From Financial Services to Healthcare, companies across all verticals are sourcing candidates from the same talent pool for their critical IT roles. While some industries are accustomed to paying top dollar for specialized talent (e.g. Pharmaceutical and Biotechnology companies pay average salaries that are 22% higher than the general market), employers filling IT roles can pay mid-market rates and still fill their roles. However, IT roles cover a broad set of job categories, with a broad range of skill sets and corresponding salaries. For this reason, salaries and fees are a crucial leverage point for use in securing top IT talent. Employers need to stay up to date on salary and fee data for the specific IT roles they seek to fill so they can be competitive in the talent market. An organization that pays below industry averages for salary and fees is likely losing qualified candidates. Conversely, an organization that pays above industry averages may be spending more than they have to get the right candidate.

08 SALARIES & FEES: YEAR-OVER-YEAR TRENDS As noted previously, IT jobs are spread across industries, and because of this the corresponding salaries and fees tend to follow market trends fairly

9 08 SALARIES & FEES: YEAR-OVER-YEAR TRENDS As noted previously, IT jobs are spread across industries, and because of this the corresponding salaries and fees tend to follow market trends fairly closely. However, the average IT salary was $118,796 in 2016 almost 10 percent higher than the average market salary. After a significant jump in average salaries in 2015, IT salaries came back down in Despite this recent drop, average salaries are still trending upward. Agency fees have also trended slightly upward since 2010 leveling off in the last 3 years around 21%. Information Technology Market YEAR-OVER-YEAR SALARY AVERAGES Adjusted for Inflation YEAR-OVER-YEAR FEE AVERAGES

10 09 SALARIES: LAST 12 MONTHS SALARIES BY BAND What was the distribution of salaries for IT Jobs? 1% 26% 56% 14% 1% <1% >50K $50K $100K $100K $150K $150K $200K $200K $250K >$250K $118,796 AVERAGE SALARY OFFERED $400,000 HIGHEST SALARY OFFERED SALARIES BY SENIORITY LEVEL What were salary averages for IT Jobs by seniority level? $113,414 Non-Managerial $129,429 Manager $160,343 Director $154,583 VP or C-Suite Sr. Software Engineer UX Designer Quality Assurance Manager Sr. Project Manager Director, Architecture IT Program Director SVP, Digital Experience VP of Web Development

11 10 SALARIES: LAST 12 MONTHS SALARIES BY JOB CATEGORY What are the IT Job Categories with the highest average salaries? 1 Enterprise Software Implementation: $138,972 2 MIS Management: $132,269 3 System Development: $130,929 4 Security: $125,149 5 IT Project Management: $121,468 6 Programming: $120,555 7 Business Intelligence: $119, Developer: $117,347 Network Engineer: $117,165 $118,746 Average IT Salary 10 System Integration: $116,899

12 11 FEES: LAST 12 MONTHS JOB POSTINGS BY FEE CLASSIFICATION What was the distribution of jobs posted relative to fees? How does that compare to the market in general? The approach to fees for IT roles varies significantly from the market at large. While over half of the jobs in the overall market pay fees between 20 and 25 percent of the candidate s first year salary, 90% of IT roles fall into this fee category. Additionally, the use of premium fees is a relatively rare practice for employers filling these roles, as fees rarely exceed 25 percent. IT 8% 90% 2% DISCOUNT MARKET PREMIUM Below 20% Between 20-25% Over 25% Market 12% 32% 55% FEES BY SENIORITY LEVEL What were fee averages for IT Jobs by seniority level? 21% Non-Managerial 21% Manager 22% Director 21% VP or C-Suite

13 Performance Once you ve determined salaries and fees, when can you reasonably expect to see resumes, interview candidates, and hire your new employee? Comparing your company s internal recruiting data to benchmarks can be useful to help you measure your agency performance and identify areas for improvement. If, for instance, your first interviews take longer than the market average, consider running an intake session to become better aligned with your agencies. Keep in mind that there are a variety of factors that affect search activities and performance metrics. Some factors may be out of your control, such as a scarcity of talent in your area. Beyond that, every company s hiring process is unique, and your performance metrics should reflect that.

14 13 PERFORMANCE BOUNTYJOBS IT RECRUITMENT TIMELINE 8 min 2 days 6 days 23 days FIRST AGENCY INTRODUCTION FIRST AGENCY ENGAGEMENT FIRST RESUMES RECEIVED FIRST INTERVIEWS CONDUCTED Median amount of time it takes for an agency to raise their hand to engage on an IT role Average number of days until an approved agency begins their search for an IT role Average number of days for an actively engaged agency to begin submitting candidates for an IT role Average number of days to set up first interview for an IT role AGENCY PERFORMANCE STATISTICS FOR IT ROLES How does agency performance and engagement compare from the market to IT? Average number of agencies invited on a private IT position 3 Agencies Market Average: Candidates Average # of candidates submitted per IT position Market Average: Average number of agencies invited on a public IT position Market Average: Agencies IT roles tend to have a slightly higher number of agencies working on open roles as well as a slightly higher number of candidates. The common need for IT roles across verticals yields a higher number of agencies specialized in IT roles.

15 14 PERFORMANCE: TIME TO FILL TIME TO FILL A variety of factors affect time to fill, including title, salary, seniority level, and scarcity of talent in a particular role. In addition, IT roles require varying skillsets and technical experience that also factor into time to fill. Roles in other industries or job categories become more challenging to fill with increased seniority, but that s not the case with IT roles. Instead, the more technical and specialized non-managerial roles are the most difficult to fill. We ve selected a sampling of common IT roles filled on BountyJobs in 2016, and provided the salary and time to fill for each. Full Stack Engineer Salary: $170K TTF: 116 Days DevOps Engineer Salary: $102K TTF: 78 Days Lead Solutions Architect Salary: $210K TTF: 69 Days UX Architect Salary: $141K TTF: 72 Days Sr. Font-End Software Engineer Salary: $132K TTF: 42 Days Information Security Analyst Salary: $85K TTF: 89 Days

16 15 PERFORMANCE: BEST PRACTICES BOUNTYJOBS RECOMMENDS: IT Companies from every industry are competing for skilled candidates to fill their critical IT roles. Based on our marketplace activity for 2016, below are four best practices to increase the effectiveness of your agency collaborations for IT roles. Focus on fees: Reach new talent pools: Use one tried-and-true specialist agency, one new specialist agency, and one generalist agency on each search. 1 2 While most placement fees fall into the 21-22% range, you can utilize premium fees to stand out to the best agencies for your critical, time-sensitive roles. Research Compensation by Role: There are a variety of roles that sit underneath the IT job category, and salaries can very significantly from role to role. 3 4 Use technical assessments: Reduce your time to fill by asking agencies to provide candidates with technical assessments before they interview. Want fee & compensation information for specific roles? Ask BountyJobs Roles in IT vary widely, and your strategies for recruiting top IT talent should too. The best place to start is by looking at fee and compensation information for the specific roles you are interested in. Contact BountyJobs at info@bountyjobs.com so we can help.

CONTACT US: Looking for more information

info@bountyjobs.com or phone at 212-660-3960.

17 CONTACT US: Looking for more information about BountyJobs or the data contained in our marketplace? Please contact us via at or phone at BOUNTYJOBS HEADQUARTERS 1114 Lost Creek Blvd, Suite 420 Austin, TX

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