2004 Enterprise Systems Salary Surveydownload.101com.com/ESJ/files/ESJ.com_SalarySurvey2004v2.pdf3...

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Enterprise Strategies • Storage Strategies • Security Strategies • BI This Week www.esj.com 2004 Enterprise Systems Salary Survey June, 2004 Sponsored by Enterprise Strategies (esj.com) Lumigent Technologies

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2004 Enterprise Systems Salary Survey

June, 2004

Sponsored by Enterprise Strategies (esj.com)

Lumigent Technologies

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Table of ContentsPart 1: Salaries Stagnant for ITStaff.................................page 1

Part 2: IT Middle Managers Feel the Pain......................page 10

Part 3: IT Follows Bicoastal Economy.............................page 19

Part 4: IT Attitudes and Demographics...........................page 24

APPENDIX: Job Descriptions............................................page 27

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Part 1: Salaries Stagnant For IT StaffSalaries and bonuses for ITpros have stabilized or aregrowing slightly. In oneposition, they actuallydeclined.

Joe McKendrick

Salaries and bonuses for IT proshave stabilized or are growing slightly since we surveyed IT professionals two years ago. In one position, compensation actually declined.

In this first of a four-part series on IT salaries, we look at how ITstaff — from programmers to systems administrators — are compensated. We examine salary differentials based on skill and experience level, and see where the bright spots are.

The good times may not be ready toroll again just quite yet, but at leastsalaries and bonuses for IT profes-sionals appear to have stabilized,and even show some signs of slowlycreeping upward. The past few yearswere tough on IT hiring and careeradvancement, but there were modestgains for most IT staff positionsacross the salary scale. For the mostpart — unlike the go-go days of thelate 1990s — increases are in linewith most other professions, averag-ing two to four percent. However,there are some hot growth spots forIT salaries, particularly in Unix envi-ronments, as well as in business-to-business and supply chain manage-ment applications.

These are the findings of a recentsalary survey of 1,130 enterprise ITsites conducted by EnterpriseSystems. The latest salary surveytracked salary figures for IT man-agers and professionals across abroad spectrum of organizations.Along with a range of managementpositions (see Part 2), our surveycovered seven IT line positions,including applications systems ana-lysts, programmer/analysts, applica-tion programmers, system program-mers, network administrators, sys-tem administrators, and databaseadministrators.

A majority of respondents (78 per-cent) support Windows Server 2003,2000, or NT server systems withintheir companies. Close to half of thesurvey participants (43 percent) report having mainframe systems,

while 42 percent support Unix.Another 29 percent run IBM i5 (for-merly known as iSeries or AS/400)systems, and 24 percent have Linux.

When it comes to IT staff pay, someIT organizations have been runningso tight that they squeak. "We've hada pay freeze for three years runningand no bonuses," said one respon-dent, a capacity and performanceanalyst with a Canadian informationtechnology services firm. Anotherrespondent laments: "We've had noraises at all in several years regard-less of high marks at evaluation time.Some respondents report salarydeclines as high as 20 percent overthe past three years. Still otherrespondents report that many newopportunities have gone to outsourc-ing firms, while internal IT salarieshave remained flat.

Survey respondents observe thatsalary gains tended to go to selectgroups. "Lesser-educated or -skilledemployees have had their salariesreduced," said a systems/businessanalyst from a large Midwestern util-ity. "Better-educated and -skilledemployees have not seen significantsalary increases for about threeyears."

"Specialists are out, generalists arein," said another respondent, networkmanager with a financial servicesfirm. "Those with diverse experienceare commanding the highestsalaries."

Note: N/A in the tables below indicates "notavailable" — the question was not asked inour 2001 survey.

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Systems AnalystsApplication systems analysts working in mainframe and Unixshops earn the highest salaries forthis position, our survey finds.Systems analysts, who typically workwith corporate management, endusers, and clients to plan and designsystems, saw annual base salariesgrow fairly conservatively, however.Currently, these IT professionalsearn about $70,900, compared to$66,500 in the previous EnterpriseSystems salary survey conducted in 2002. This translates into anincrease of close to seven percent over a two-year period.

Across the board, system analystsare projected to earn bonuses ofabout $4,200 on top of their basesalaries for this year — the highestbonus for any of the IT line positionsmeasured in this survey.

The typical systems analyst in oursurvey has about 10 years of industryexperience. On average, seasonedsystem analysts with 10 or moreyears experience make up to 27 per-cent more than their less-experi-enced or entry-level counterparts.Systems analysts working with busi-ness-to-business infrastructures farebest ($75,500), followed closely bysupply chain management systems($75,400).

By operating system environment,systems analysts in mainframe shopsfare best, drawing an average salaryof $73,900 — or more than four per-cent above the industry average.

"People with skills in quality manage-ment and enterprise architecturedevelopment are currently ourbiggest growth areas," said thedirector of information systems for amajor West Coast financial servicescompany.

System analyst salaries arestrongest within the services andsoftware industries, averaging about$75,000.

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YEAR-TO-YEAR CHANGE2004 2002 2001 Change 02-04$70,900 $66,500 $66,000 +6.6%Average annual bonus for 2004: $4,200

BY EXPERIENCE LEVEL< 5 years <10 years 10+ years Differential$58,800 $67,100 $74,900 +27.4%

BY OPERATING SYSTEM ENVIRONMENTMainframe OS/400 AIX/Unix Windows Linux*$73,900 $68,800 $73,000 $68,800 $72,200*Non-mainframe Linux

Systems Analyst Salaries

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Programmer/AnalystApplication programmer/analysts —those who develop applications andenvironments — saw only a hiccupin salary growth since 2002, up aboutthree-and-a-half percent from anaverage of $61,700 to $63,800. P/Asare projected to also earn bonusesof about $3,400 this year — or aboutfive-and-a-half percent of their basesalary.

The typical P/A in our survey hasabout nine years experience in thefield. Long-term salary growthprospects appear good for profes-sionals remaining in these positions,according to our survey. P/As with10 or more years experience make 57 percent more than their less-seasoned counterparts. Along withsystem programmers (see below),this is the highest salary differentialbased on experience in the IT staffpositions covered in this survey.

As with systems analysts, P/Asworking in companies with business-to-business and supply chain man-agement environments saw the high-est premiums, earning average basesalaries of $66,700 in each category.

By development language environ-ment, programmer/analysts in CICSshops fare best, drawing averagesalaries of $70,400, or ten percentabove the overall average.

P/A salaries are strongest within thecomputer industry itself, averaging$71,900 within this sector.

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YEAR-TO-YEAR CHANGE2004 2002 2001 Change 02-04$63,800 $61,700 $57,700 +3.4%Average annual bonus for 2004: $3,400

BY EXPERIENCE LEVEL< 5 years <10 years 10+ years Differential$47,800 $61,100 $75,100 +57.1%

BY OPERATING SYSTEM ENVIRONMENTMainframe OS/400 AIX/Unix Windows Linux*$70,300 $64,800 $66,200 $61,000 $58,400*Non-mainframe Linux

BY PROGRAMMING ENVIRONMENTCICS C/C++ COBOL VB Java XML$70,400 $65,800 $65,400 $61,300 $64,200 $65,900

Programmer/Analyst Salaries

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Applications ProgrammerApplication programmers — who aretypically code writers and testers —saw the largest jump in salariesacross the IT staff positions coveredin the survey. Programmers nowaverage about $53,000 — a rise ofmore than seven percent over the2002 survey. Since many of thesejobs tend to be entry-level, long-termcareer and salary growth in this cat-egory is limited, however. Applicationprogrammers that have remained inthese positions for five to ten yearsor more only make about 20 percentmore than their entry-level counter-parts. The typical programmer in oursurvey has about six years of indus-try experience.

Programmers in Unix and OS/400shops make the most, our surveyfinds, topping $57,000 a year in basesalary. By development languageenvironment, programmers in CICSand C/C++ shops fare best, drawingan average salary of $57,000 in bothenvironments. Applications program-mers working with XML also are seeing premiums in this range.

As with the previous categories,companies deploying and managingsupply chain management and busi-ness-to-business systems had themost generous compensation, payingannual base salaries of $58,600 and$56,600 respectively.

Application programming salariesare strongest within the retail andhealthcare sectors, averaging$58,000. Across the board, program-mers are projected to also earnbonuses of about $2,400, or aboutfour percent of their base salaries forthis year.

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YEAR-TO-YEAR CHANGE2004 2002 2001 Change 02-04$53,000 $49,400 $49,200 +7.3%Average annual bonus for 2004: $2,400

BY EXPERIENCE LEVEL< 5 years <10 years 10+ years Differential$47,100 $51,600 $57,200 +21.4%

BY OPERATING SYSTEM ENVIRONMENTMainframe OS/400 AIX/Unix Windows Linux*$55,900 $57,300 $57,300 $51,300 $54,500*Non-mainframe Linux

BY PROGRAMMING ENVIRONMENTCICS C/C++ COBOL VB Java XML$57,900 $57,400 $54,500 $53,100 $55,400 $57,200

Applications Programmer Salaries

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Systems ProgrammerFor systems programmers, main-frame skills are hot, according to ourrespondents. Overall, however,salary growth has lagged other categories. Systems programmers —who typically support the corporateinfrastructure and networks — areearning base salaries of about$70,400, or a 2.8 percent bump overthe last survey in 2002.

Systems programmers are projectedto also earn bonuses of about $3,000,or four percent of their base salariesfor this year. The typical systemsprogrammer in our survey may seetremendous salary growth through-out his or her career. Salaries rangebetween $48,000 at entry level to$75,000 for more than a decade'sworth of experience.

By development language environ-ment, systems programmers in CICSand COBOL shops fare best, drawingaverage salaries of $73,000 and$72,000, respectively. "Annualincreases are steadily declining,except for mainframes," said thetechnical support supervisor for alarge energy company. "Mainframeskills are becoming increasinglyscarce, and are starting to pay pre-mium salaries."

Another respondent echoed a similarview. "Our company flattenedsalaries, and eliminated bonus poolsacross the board. Premiums nowgiven for adaptability, and attitudeover raw skills — except for assem-bler language experience on main-frames."

Systems programmer salaries arestrongest within the financial services and insurance sector, averaging $80,500 annually.

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YEAR-TO-YEAR CHANGE2004 2002 2001 Change 02-04$70,400 $68,500 N/A +2.8%Average annual bonus for 2004: $3,000

BY EXPERIENCE LEVEL< 5 years <10 years 10+ years Differential$47,800 $61,100 $75,100 +57.1%

BY OPERATING SYSTEM ENVIRONMENTMainframe OS/400 AIX/Unix Windows Linux*$74,100 $75,400 $72,800 $61,900 $76,200*Non-mainframe Linux

BY PROGRAMMING ENVIRONMENTCICS C/C++ COBOL VB Java XML$73,100 $67,000 $72,400 $67,000 $70,000 $69,200

Note: N/A indicates not available — the question was not asked in our 2001 survey.

Systems Programmer Salaries

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Network AdministratorToday's companies are becomingmore and more networked, steadilyincreasing the value of professionalsthat make this connectivity happen.Network administrators, who monitorand troubleshoot network usage, areearning base salaries of about$57,300 – 6.5 percent growth over thelast survey in 2002.

Network administrator salaries arestrongest within the utilities andhealthcare sectors, averaging$61,800 and $60,900, respectively. Interms of annual bonuses for thisyear, network administrators are pro-jected to also earn about $2,000, orthree-and-a-half percent of theirbase salaries. The typical networkadministrator in our survey has abouteight years of industry experience,and seasoned network administra-tors are drawing salaries of up to$63,500.

"Cisco networking, Active Directory,and Unix are all skills drawing thehighest premiums," said the managerof information systems for aMidwest-based telecommunicationscompany. By environment, ourrespondents reported that networkadministrators in Unix shops farebest, drawing average salaries of$63,900 — 11 percent above theaverage for the profession.

However, much of this depends oncorporate priorities. "Our highest pre-miums going for newer skills such asMicrosoft networking," said thedirector of information systems for alarge midwestern university.

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YEAR-TO-YEAR CHANGE2004 2002 2001 Change 02-04$57,300 $53,800 $56,000 +6.5%Average annual bonus for 2004: $2,000

BY EXPERIENCE LEVEL< 5 years <10 years 10+ years Differential$46,900 $53,600 $63,500 +35.4%

BY NETWORK ENVIRONMENTEthernet Unix Linux Win 2000 Win 2003 Novell$58,300 $63,900 $63,000 $57,000 $58,000 $58,000

Network Administrator Salaries

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Systems AdministratorSystem administrators were the onlyIT line position to actually see adecline in salary averages since thelast survey, making this category thehardest-hit by the recent economicslump. System administrators, whodeploy and maintain operating sys-tems and servers, are earning basesalaries of about $56,000 — reflect-ing a decline of about 10 percentsince the last survey in 2002.

Across the board, network adminis-trators are projected to earn bonus-es of about $1,800, or three percentof their base salaries for this year —the lowest figure of the IT staff posi-tions covered in this survey.

While systems administrators took amajor hit in salary levels in recentyears, there are some strong spotswhere these professionals are com-pensated above the industry aver-age. "Storage/SAN skills hard to findand are demanding higher salaries,"said a storage/SAN specialist with amajor telecommunications provider."It feels very much like the Unix sysadmin shortage of the '90s."Interestingly, this demand stillappears to be holding for Unix sys-tem administrators, with salariesaveraging almost $62,000 at Unixsites in the survey – 10 percentabove the average.

System administrator salaries arestrongest within the healthcare andservices sectors, averaging $61,800and $60,100, respectively. Salariesalso above average for systemadministrators in application areassuch as supply chain managementsystems ($60,000) and data ware-house installations ($59,000).

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YEAR-TO-YEAR CHANGE2004 2002 2001 Change 02-04$56,000 $62,000 N/A -9.7%Average annual bonus for 2004: $1,800

BY EXPERIENCE LEVEL< 5 years <10 years 10+ years Differential$48,800 $53,200 $61,600 +26.2%

BY OPERATING SYSTEM ENVIRONMENTMainframe OS/400 AIX/Unix Windows Linux*$59,600 $50,500 $61,900 $54,800 $61,200*Non-mainframe Linux

Note: N/A indicates not available — the question was not asked in our 2001 survey.

Systems Administrator Salaries

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Database Administrator"Good DB engineers and DBAs arethe hardest to find," said the CIO of aCalifornia-based financial servicesfirm. "Our salaries have seen three tofive percent growth this year."

If this respondent's company is abellwether, then the near-term futurelooks bright for DBAs. Overall, DBAs,who oversee building and usage ofcompany databases, make more thanmost IT line positions, but our surveyfinds that they have seen little move-ment in terms of salaries. They cur-rently earn base salaries of about$71,400 — reflecting virtually nochange since the last EnterpriseSystems survey in 2002.

Top-rate database skills premiumsare paid to those who work withSybase and IMS environments, oursurvey finds. Database administratorsalaries are strongest within thesoftware and application develop-ment sector, averaging $78,300, orabout 10 percent above the industryaverage for DBAs. Across the board,DBAs are projected to also earnbonuses of about $3,600, or five per-cent of their base salaries for thisyear.

The typical DBA in our survey hasabout 11 years of industry experi-ence, and salary growth prospectsare excellent for this profession. Ourresults show a 52 percent differentialbased on experience — from $50,100a year at the entry level to $76,100 fora decade's worth of experience.

Most valuable skills are IT architect,data integration architect, and busi-ness intelligence (such as SAPBusiness Warehouse), reports thecontent management administratorfor a large West Coast manufacturer.Supporting business-to-businessapplication deployments is also a hotarea for DBAs, the survey finds,drawing up to $78,000 a year.

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YEAR-TO-YEAR CHANGE2004 2002 2001 Change 02-04$71,400 $71,500 $66,800 -0.1%Average annual bonus for 2004: $3,600

BY EXPERIENCE LEVEL< 5 years <10 years 10+ years Differential$50,100 $66,500 $76,100 +51.9%

BY OPERATING SYSTEM ENVIRONMENTMainframe OS/400 AIX/Unix Windows Linux*$74,800 $73,000 $78,700 $70,000 $81,500*Non-mainframe Linux

BY DATABASE ENVIRONMENTDB2 IMS Oracle SQL Server Sybase MySQL$74,200 $76,700 $75,000 $70,900 $76,700 $71,700

Database Administrator Salaries

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Part 2: IT MiddleManagers Feel the PainSalaries and bonuses for IT executives fell on hardtimes in recent years.Compensation is down in half of the positions surveyed.

Joe McKendrick

The recent IT slump dampened thecompensation of many IT executives,especially those in the middle. Whiletop-level executives (CIOs and ITdirectors) have escaped the cost-cutting carnage, front-line IT man-agers saw painful pay cuts. Some ITmiddle managers were lucky enoughto see salary growth, thoughincreases were small.

These and other findings about ITmanagement positions highlight thesecond part of our 2004 salary survey.

The recent IT slump dampened thecompensation of many IT executives,especially those in the middle. Top-level executives such as CIOs and ITdirectors may have escaped thecost-cutting carnage, but IT man-agers closer to the front lines under-went painful pay cuts that still res-onate in today's paychecks. Themore fortunate among IT middlemanagers are only seeing slowsalary growth.

Our salary survey tracked salary figures for IT managers and professionals across a broad spectrum of organizations. A majority of respondents (54 percent)are managers of IT departments orprincipals with their companies. Oursurvey covered eight IT managementpositions, including chief informationofficers/vice presidents, IS directors,IS managers, application develop-ment managers, data center/operations managers, networkingmanagers, help desk/support managers, and Internetmanagers/directors.

Respondents also come from a widerange of company sizes and indus-tries. About 38 percent representlarger organizations with more than5,000 employees; 35 percent are incompanies with 500 or feweremployees; while 22 percent are partof IT departments with more than1,000 employees.

Companies are providing the highestrewards to IT executives who havethe ability to build and deploy sys-tems that integrate business-partnerinformation. Executives engaged insupply chain management initiatives

for their organizations tend to seepremiums 10 to 23 percent higherthan the average salary. Those over-seeing mainframe sites also have thehighest salary levels.

The survey also picked up anotherdisconcerting trend: IT executivesalaries grow rapidly through thefirst decade of experience, but tendto top out after that point. With theexception of C-level executives,there's very little or no premium builtinto the base salaries of seasoned ITmanagers beyond two decades.

The survey also covered IT staffpositions, which were covered in last week's report. Notably, most ofthese positions experienced at leastslight gains in salary since the lastEnterprise Systems salary surveywas conducted in 2002. However,half of the eight management-levelpositions covered in this part of ourreport lost ground since the last survey.

Many respondents lament that theyare not quite out of the woods yet interms of IT budget cutting, a trendthat often hits managers hard."Almost everybody has taken somesort of cut in order to keep their jobhere," says the manager of network-ing for a Midwest auto dealership.

The fact that IT managers tend todraw higher salaries than line posi-tions also made them larger targetsfor cost-cutting moves. "We've had

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to cut a lot of higher-salary positionsdue to the computer-service industryshrinking and outsourced jobs," saysthe manager of information systemsfor a small Midwest-based servicefirm. "Higher-salary employees areunder greater scrutiny," relates thenetwork design engineer for a largemidwestern utility.

However, there are many brightspots, and not necessarily based ontechnical prowess. "My company hasbeen profitable throughout the down-turn. Intelligence, speed, precision,and hard work are drawing the high-est premiums this year," says thetechnical consultant for a large WestCoast computer equipment manufac-turer.

One area seeing increased value,cited by a number of respondents, isthat of project manager. While proj-ect manager is often a formal jobtitle, and formal certification is avail-able, many IT management jobs alsoincorporate project managementskills.

Note: N/A in the tables below indicates "notavailable" — the question was not asked inour 2001 survey.

CIO and Vice President of ITChief information officers or IT vicepresidents, who plan the company'sbroad IT direction and make all finaldecisions, also saw tremendousgrowth in their annual base salaries,reflecting a bounce back from thesluggish years of 2001 to 2002.Currently, these IT executives earnabout $130,000, compared to $110,560in the previous Enterprise Systemssalary survey conducted in 2002.This translates into an increase ofclose to 18 percent over a two-yearperiod.

Across the board, CIOs are projectedto earn average bonuses of about$25,400 on top of their base salariesfor this year. This is the highest per-centage bonus (19.5 percent) for anyof the IT management positionsmeasured in our survey.

At this level, experience counts for alot. On average, seasoned CIOs withmore than two decades of experi-ence make up to 65 percent morethan their less-experienced counter-parts. The typical CIO or IT vice pres-ident in our survey has about 19 years of industry experience. CIOsmanaging organizations with ERPsystems fare best ($151,100), followed by those at companies with data warehouse environments($144,200).

By operating system environment,CIOs in mainframe-driven organiza-tions earn the most, drawing anaverage salary of $164,300 — morethan 26 percent above the industryaverage. Those managing organiza-tions with OS/400 systems follow, atabout $148,900.

CIO salaries are strongest within theutilities/transportation sector, aver-aging about $181,000, followed byfinancial services, where CIOs typi-cally pull in about $158,500.

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YEAR-TO-YEAR CHANGE2004 2002 2001 Change 02-04$130,000 $110,560 $120,700 +17.6%Average annual bonus for 2004: $25,400

BY EXPERIENCE LEVEL< 10 years <10-20 years >20 years Differential$91,000 $122,800 $149,800 +64.6%

BY OPERATING SYSTEM ENVIRONMENTMainframe OS/400 AIX/Unix Windows Linux*$164,300 $148,900 $142,500 $115,100 $130,600*Non-mainframe Linux

CIO/VP Salaries

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Information Systems DirectorInformation systems directors, aswith many IT managers, saw rela-tively meager increases in salarygrowth but robust bonuses. IS direc-tors — who plan, direct and controlall day-to-day information systemsfunctions — saw average salariesgrow by three percent over the pasttwo years, up from an average of$92,510 to $95,250. However, salariesare still down from the level reportedin the 2001 Enterprise Systems salary— at that time, the average salarywas $99,100. IS directors are project-ed to also earn bonuses of about$10,600 this year — or about 11 per-cent of their base salary.

The typical IS director in our surveyhas about 15 years experience andoversees a staff of close to 70employees. Long-term salary growthprospects appear good for profes-sionals remaining in these positions,survey respondents told us. IS direc-tors with 10 to 20 years of experi-ence have base salaries topping$104,000 — 38 percent more thantheir less-seasoned counterparts.However, this is the point wheresalary growth tops out. IS directorswho have stayed on longer than twodecades typically see lower salaries.This is a phenomenon found acrossmost IT management positions in thesurvey, which shows that many hitthe top of their salary range by thistime.

IS directors leading organizationswith ERP and supply chain manage-ment environments saw the highestpremiums, earning average basesalaries of $105,100 and $104,200respectively in each category. "Wehave had stagnated growth, but thehighest premiums go to those ITmanagers who interface well withcustomers/clients and have excellentbusiness and communication skills,"says the IT director of a large soft-ware development firm based in themid-Atlantic region.

"Business skills are the most indemand," echoed another respon-dent, the director of IS for a manu-facturer based in the western United

States. "The ability to interface withthe consumers of the system and beable to translate that into technicalspecs."

IS director salaries are strongestwithin the computer industry itself,averaging $108,900 within this sector.IS directors within utility/transporta-tion organizations followed with$106,800.

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YEAR-TO-YEAR CHANGE2004 2002 2001 Change 02-04$95,250 $92,510 $99,100 +3.0%Average annual bonus for 2004: $10,600

BY EXPERIENCE LEVEL< 10 years 11-20 years >20 years Differential$75,600 $104,000 $95,700 +26.6%

BY OPERATING SYSTEM ENVIRONMENTMainframe OS/400 AIX/Unix Windows Linux*$107,800 $97,700 $106,500 $88,600 $100,800*Non-mainframe Linux

IS Director Salaries

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Information SystemsManagerMoving down into middle manage-ment ranks, salary levels get a littleshaky, reflecting the tight IT budgetsthat have gripped the industry inrecent years. Information systemsmanagers — men and women whoplan and approve equipment andsoftware purchases, and also plan,direct, and control all day-to-dayinformation systems functions —now make average base salaries ofabout $81,100. This reflects a declineof almost six percent since the 2002survey.

There is still plenty of upward mobili-ty for this level, the survey shows.Seasoned IS managers — those withat least two decades' experience —make almost 24 percent more thanthose newer to the position. The typi-cal IS manager in our survey hasabout 13 years of industry experi-ence.

IS managers in mainframe shopsmake the most, our survey finds, top-ping $94,200 a year in base salary.Those executives oversee AIX andUnix environments now average$88,400 a year.

As with the previous categories,companies deploying and managingwith supply chain management anddata warehouse systems had themost generous compensation, payingannual base salaries of $90,500 and$87,900 respectively.

IS manager salaries are strongestwithin the financial services and util-ity sectors, averaging $92,800 and$89,800 respectively. Across theboard, IS managers are projected toalso earn bonuses of about $6,100, orabout 7.5 percent of their basesalaries for this year.

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YEAR-TO-YEAR CHANGE2004 2002 2001 Change 02-04$81,100 $86,100 $78,600 -5.8%Average annual bonus for 2004: $6,100

BY EXPERIENCE LEVEL< 10 years 11-20 years >20 years Differential$73,300 $83,500 $90,800 +23.9%

BY OPERATING SYSTEM ENVIRONMENTMainframe OS/400 AIX/Unix Windows Linux*$94,200 $84,200 $88,400 $76,600 $85,600*Non-mainframe Linux

IS Manager Salaries

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ApplicationDevelopment ManagersFor application development man-agers, salary levels fell slightly overthe last two years. AD managers —employees who plan, direct, andcontrol all day-to-day applicationdevelopment functions — are earn-ing base salaries of about $87,500, or a 2.2 percent bump over the lastsurvey in 2002.

In many cases, bonuses have madeup for some of this tepid salarygrowth. AD managers are projectedto earn bonuses of about $7,100, oreight percent of their base salariesfor this year. The typical AD manag-er in our survey may only see modestsalary growth throughout his or hercareer. Salaries range between$83,300 at entry level to $93,900 formore than a decade's worth of expe-rience. Beyond 20 years, salarygrowth stalls altogether.

AD manager salaries are strongestwithin the financial services andgeneral services sectors, averaging$95,000 within both. Those execu-tives leading supply chain manage-ment system environments have thehighest rates, averaging about$95,400. Those overseeing develop-ment efforts for business-to-businesssystems also are seeing premiumsalaries, averaging $93,200.

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YEAR-TO-YEAR CHANGE2004 2002 2001 Change 02-04$87,500 $85,600 $79,500 +2.2%Average annual bonus for 2004: $7,100

BY EXPERIENCE LEVEL< 10 years 11-20 years >20 years Differential$83,300 $93,900 $90,800 +9.0%

BY OPERATING SYSTEM ENVIRONMENTMainframe OS/400 AIX/Unix Windows Linux*$89,800 $92,600 $90,000 $87,000 $92,300*Non-mainframe Linux

Application Development Manager Salaries

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Data Center/OperationsManagerManagers charged with overseeingday-to-day operations of data centerenvironments saw relatively littlemovement in their salaries over thepast two years. Data center/opera-tions managers are earning basesalaries of about $79,300 – a rise ofonly about two percent over the lastsurvey in 2002.

Data center manager salaries arestrongest within the utilities and soft-ware sectors, averaging $85,600 and$85,300 respectively. In terms ofannual bonuses for this year, datacenter managers are projected toalso earn an average of $7,200, ornine percent of their base salaries.The typical data center manager inour survey has about 15 years ofindustry experience, and seasoneddata center managers are drawingsalaries of up to $80,000.

By environment, our respondentsreported that data center managersin Linux shops (with no mainframes)fare best, drawing average salariesof $89,900 — 13 percent above theaverage for the profession.

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YEAR-TO-YEAR CHANGE2004 2002 2001 Change 02-04$79,300 $77,800 N/A +1.9%Average annual bonus for 2004: $7,200

BY EXPERIENCE LEVEL< 10 years 10-20 years >20 years Differential$73,100 $80,800 $79,000 +8.1%

BY OPERATING SYSTEM ENVIRONMENTMainframe OS/400 AIX/Unix Windows Linux*$81,500 $72,500 $85,600 $77,200 $89,900*Non-mainframe Linux

Note: N/A indicates not available — the question was not asked in our 2001 survey.

Data Center/Operations Manager Salaries

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Networking ManagerNetworking managers saw a modestdecline in average salary since our2002 survey, placing this categoryamong the hardest-hit by the recenteconomic slump. These executives— who oversee the operation of thecomputer network — are earningbase salaries of about $70,500,reflecting a decline of about two per-cent since the last survey in 2002.

Across the board, networking man-agers are projected to earn bonusesof about $5,700, or eight percent oftheir base salaries for this year.

Salary growth prospects for net-working managers is strong.Salaries range between $58,300 fornewer networking managers to$81,800 for those with more than adecade of experience — a 40 per-cent differential. However, averagesalaries fall off for managers at thejob for two decades or longer,according to survey respondents.

Networking manager salaries arestrongest within the software sector,averaging $80,000. Salaries alsoabove average for networking man-agers in application areas such assupply chain management systems($87,000) and business-to-businessimplementations ($83,700). The salarypremium for those executives withsupply-chain management systemsis more than 23 percent above theaverage, the highest differential byapplication area in the survey.

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YEAR-TO-YEAR CHANGE2004 2002 2001 Change 02-04$70,500 $71,900 N/A -1.9%Average annual bonus for 2004: $5,700

BY EXPERIENCE LEVEL< 10 years 10-20 years >20 years Differential$58,300 $81,800 $75,200 +29.0%

BY OPERATING SYSTEM ENVIRONMENTMainframe OS/400 AIX/Unix Windows Linux*$83,600 $74,400 $79,300 $64,800 $75,500*Non-mainframe Linux

Note: N/A indicates not available — the question was not asked in our 2001 survey.

Networking Manager Salaries

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Help Desk/ SupportManagerHelp desk/support managers —responsible for diagnosing, trou-bleshooting, and correcting end-usersystem access problems — haveseen declines in salaries. They cur-rently earn base salaries of about$59,800 — down four-and-a-half percent since the last EnterpriseSystems survey in 2002.

Help desk manager salaries arestrongest within the software andapplication development sector,averaging $66,300, or about 11 per-cent above the industry average.Across the board, help desk man-agers are projected to also earnbonuses of about $3,300, or five-and-a-half percent of their base salariesfor this year.

The typical help desk manager in oursurvey has about nine years ofindustry experience, and salarygrowth prospects are moderate forthis profession. Our results show a18 percent differential based onexperience — from $57,200 a yearfor less-experienced managers to$67,500 for a decade's worth ofexperience.

Supporting business-to-businessapplication deployments, as well assupply-chain management systems,is also a hot area for help desk man-agers, our survey finds, drawingmore than $65,000 a year.

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YEAR-TO-YEAR CHANGE2004 2002 2001 Change 02-04$59,800 $62,600 N/A -4.5%Average annual bonus for 2004: $3,300

BY EXPERIENCE LEVEL< 10 years 10-20 years >20 years Differential$57,200 $65,000 $67,500 +18.0%

BY OPERATING SYSTEM ENVIRONMENTMainframe OS/400 AIX/Unix Windows Linux*$67,800 $60,800 $65,600 $56,600 $58,200*Non-mainframe Linux

Note: N/A indicates not available — the question was not asked in our 2001 survey.

Help Desk/Support Manager Salaries

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InternetManager/DirectorOverall, Internet managers anddirectors, who are responsible fordevelopment and management ofcompany intranet and public Websites, have seen declines in terms ofsalaries. They currently earn basesalaries of about $71,000 — reflect-ing a nine percent decline since thelast Enterprise Systems survey in2002.

However, top-rate premiums are paidto those who support CRM and sup-ply-chain management environ-ments. Internet directors in theseindustry sectors make $80,20 and$77,400 respectively. By industry sec-tor, salaries are strongest within theservice sector, averaging $90,800, orabout 28 percent above the industryaverage. Across the board, Internetdirectors are projected to earnbonuses of about $5,000, or sevenpercent of their base salaries for thisyear.

The typical Internet director in oursurvey has about nine years ofindustry experience, and salarygrowth prospects are excellent forthis profession. Our results show a47 percent differential based onexperience — from $50,100 a year to$73,800 for those with more than fiveyears' worth of experience.

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YEAR-TO-YEAR CHANGE2004 2002 2001 Change 02-04$71,000 $78,400 $65,200 -9.4%Average annual bonus for 2004: $5,000

BY EXPERIENCE LEVEL< 5 years >5 years Differential$50,100 $73,800 +47.3%

BY OPERATING SYSTEM ENVIRONMENTMainframe OS/400 AIX/Unix Windows Linux*$85,700 $77,800 $76,100 $63,700 $69,800*Non-mainframe Linux

Internet Director/Manager Salaries

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Part 3: IT FollowsBicoastal EconomyThe Northeast and WestCoast continue to lead in ITcompensation

Joe McKendrick

When it comes to earning the high-est salary, the east and west coastsclearly dominate. In the third part ofour 2004 Salary Survey, we look atvariations in salary and bonuses forIT positions across the U.S., and tellyou which industry pays techies themost.

For IT professionals seeking top dol-lars, it's best to seek out places nearthe water. The two coasts — andone in the middle — dominate ashavens for IT managers and staffprofessionals seeking the mostmoney for their expertise. Companiesin the northeastern United States —with its constellation of major cities— offer the top IT compensation.Following closely are West Coastcities, with the Bay Area (stretchingfrom San Francisco to San Jose) stillserving as a top draw for IT talent —signaling a bounce from the post-dot-com malaise that gripped thevalley.

In addition, while conventional wis-dom dictates that the largest organi-zations will pay the highest salaries,there are some IT positions wheresize doesn't make a difference.Small firms still need to competewith large corporations for IT talent,and often will pay comparably.

These are among the findings of oursurvey of 1,130 enterprise-IT sites.We tracked salary figures for ITmanagers and professionals acrossa broad spectrum of organizations.A majority of respondents (54 per-cent) are managers of IT depart-ments or principals with their com-pany. Our survey covered eight ITmanagement positions, includingchief information officers/vice presi-dents, IS directors, IS managers,application development managers,data center/operations managers,networking managers, helpdesk/support managers, and Internet managers/directors.

The survey also covered seven ITline (staff) positions, including appli-cations systems analysts, program-mer/analysts, application program-mers, system programmers, networkadministrators, system administra-tors, and database administrators.

In this section we examine ITsalaries from both a geographic andindustry-specific perspective. Thesurvey divides the respondents intofour regions across the country, asshown in Table 1. Table 2 drills downfurther to explore salaries across 12major metro areas. Table 3 exploressalary differentials based on industrygroups, and Table 4 looks at theimpact of company size on ITsalaries.

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NortheastOverall, companies in the northeast-ern United States — defined as theregion that incorporates NewEngland and the Mid-Atlantic states(NY, NJ, PA, MD, DC) down toWashington, D.C. — pay the highestrates for most IT positions. Northeastrates top the rest of the nation in 10out of the 15 positions covered in thesurvey, and come in second placefor the remainder.

These high rates are in large partdriven by IT salaries in the New Yorkmetropolitan area, which includesNew York City, Long Island, the lowerHudson Valley area, southernConnecticut, and northern NewJersey. New York-area companiespay the fourth highest salariesamong 12 metropolitan areas exam-ined in the survey for upper IT man-agement ($124,000), and the highestfor developers/analysts ($74,000),and administrators ($79,500). Middle-management IT positions in NewYork companies come in fifth at$80,700. (Note: In the metropolitanrankings shown in Table 2, job titlesare aggregated into general cate-gories to compensate for smallersample sizes.)

The Northeast also includes suchheavyweight cities as Boston,Philadelphia, and Washington, D.C.— all of which pay above the nation-al average found in this survey. Infact, while C-level salaries are relatively low within the Washington, D.C. metropolitan

area, IT middle management andstaff positions ranked among thehighest in the country. The Bostonarea also has high IT salaries, partic-ularly for administrator positions.

South/SoutheastInformation technologies in theSouth/Southeast region of the coun-try — defined in our survey as theregion extending from Virginia toTexas — kept in synch with thenational average. The region led insalaries for two positions — IS

managers and programmers.However, the salaries for most ITstaff positions lagged other regionsof the country.

The picture for the major southernmetropolitan areas covered in thissurvey — Atlanta, Miami, Dallas, andHouston — is mixed. While top-levelmanagement salaries in the twoTexas cities were well above thenational averages, staff IT positionslagged. Conversely, in the EasternSeaboard cities of Atlanta andMiami, upper-management compen-sation lagged, while staff positionsexceeded the national average.

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Region NE SE MW WCIO/VP 135.2 112.9 138.6 128.9IS Director 101.1 92.4 90.5 95.7IS Manager 84.1 84.5 74.2 81.7App Dev Mgr. 89.9 87.3 84.1 91.5Data Center Mgr. 85.5 77.5 77.7 77.2Network Mgr. 79.3 68.1 66.8 68.2Help Desk Mgr. 63.3 60.9 56.7 62.2Internet Mgr. 76.7 70.2 62.8 74.5Sys. Analyst 76.6 67.7 73.2 70.4P/A 68.5 64.1 61.6 66.6Apps. Prog. 53.7 55.4 52.7 52.8Systems Prog. 75.9 68.0 76.6 70.0Net. Admin. 63.8 56.1 53.1 58.2Sys. Admin. 67.2 54.0 54.9 54.2DB Admin. 77.8 70.8 68.7 71.3

Salaries in thousands of dollars ($ 000)

TABLE 1: IT Salaries by Region

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MidwestIn this region, Chicago clearly leadsas the corporate capital. The surveyfinds top executives in the Chicagometropolitan area garner an averageof $128,200 annually in base salaries,leading the 12 areas covered in thissurvey. Middle management andstaff positions also exceed thenational average in this survey.

However, Chicago's high salaries donot extend beyond its far suburbs tothe rest of the nation's heartland.Information technology salaries inthe Midwest — defined in our surveyas the region that extends from Ohioin the East to the Great Plains statesin the west — lag those of otherregions. While CIO/vice presidentsalaries top all other regions at$138,600, most other positions ranklowest of the four regions covered.A lower cost of living, of course, maymitigate the impact on salaries

WestThe West — all states from theRocky Mountains to the PacificOcean — is a strong contender withthe Northeast in high salary levels.Two major areas drive much of thesesalary levels — southern California(anchored by Los Angeles) and theBay Area (San Francisco, San Jose,and everything in between). For top-level IT executives, L.A. is the placeto work, with average annual basesalaries of $125,100, our survey finds.

The Bay Area still appears to be theplace to be for many IT profession-als. Upper managers bring in a$122,400 annual base salary, andmiddle managers are making $86,200— the second-highest level for allmetro areas covered in the survey(cost of living notwithstanding). BayArea salaries for developers/analystsand administrators also rank higherthan the national average at $72,400and $65,400 respectively.

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Upper mgt Middle mgt Developer AdministratorNew York NY/NJ/CT 124.0 80.7 74.0 79.5Chicago IL/NW IN 128.2 78.6 70.3 64.8Los Angeles/So. CA 125.1 81.1 69.5 63.2Boston MA/RI 124.6 77.2 72.3 76.4San Francisco/San Jose CA 122.4 86.2 72.4 65.4Houston TX 118.4 73.3 52.4 55.1Philadelphia PA/NJ/DE 116.2 78.6 70.0 50.9Washington DC/MD/VA 113.8 88.0 70.4 70.8Dallas TX 112.4 79.5 67.1 62.5TOTAL U.S. 106.6 74.9 64.5 61.1Atlanta GA 89.7 82.5 70.3 61.8Miami FL 88.0 75.6 60.8 58.3Seattle WA 87.5 66.8 60.5 60.0

Salaries in thousands of dollars ($ 000)

TABLE 2: IT Salaries by Metropolitan Area

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High-Tech Pays Techies the MostOverall, IT managers and profession-als in the software and high-techindustries are commanding the high-est annual base salaries in the sur-vey. Table 3 provides salary break-outs by major industry group.

Software and high tech do not domi-nate in pay for top IT executives,however. For CIOs and vice presi-dents of IT, the highest rewards arefound in the utility/transportationsector, where the average salary is$181,000. C-level executives in theretail/distribution sector follow at$158,500 a year, and healthcare CIOsmake about $137,500. Software/high-tech does top the list for IT directors,however, with salaries averaging$108,900. IT directors at utility/trans-portation organizations follow closelyat $106,800.

The software/high-tech sector com-petes with financial services/insur-ance for salary rates across most ofthe middle-management positionssurveyed. Information systems andapplication development managerswithin financial organizations com-mand the highest rates in the survey,earning $92,800 and $95,500 respec-tively. Data center, networking, andhelp-desk managers within soft-ware/high-tech make the most withintheir categories, at $85,300, $80,000,and $65,900. Among Internet man-agers, the highest draw is withinservice-sector organizations ($90,800), followed by healthcare

organizations ($86,000) and retailers($84,500).

Overall, software/high-tech organiza-tions also compete for the highestsalary rates for staff-level developersand administrators. Computer com-panies pay about $75,800 a year forsystems analysts, along with $75,800paid by service-sector companies.These IT companies are also lockedin a virtual tie with financial servicesfirms for programmer/analysts

($71,900 versus $72,700). Financialservice firms pay the highest ratesfor systems programmers ($80,500),while retailers pay the highest premi-ums for basic programmers ($58,900).

Software/high-tech and financialservices firms also are paying topdollar overall for administrator posi-tions. DBAs at computer companiesare averaging $78,300, followedclosely by those with financial serv-ices firms at $77,800.

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IT/High Tech Mfg. Gov't./Educ. Finance/Ins.CIO/VP 122.1 135.0 102.8 158.5IS Director 108.9 91.7 82.3 101.3 IS Manager 90.9 78.1 73.3 92.8App Dev Mgr. 94.2 83.2 78.5 95.5Data Center Manager 85.3 72.8 71.8 85.1Network Mgr. 80.0 66.1 64.1 78.7Help Desk Mgr. 65.9 63.6 59.1 60.9Sys. Analyst 75.8 67.4 64.1 72.2P/A 71.9 55.7 57.9 72.7Programmer 54.4 52.4 47.8 56.3Systems Prgr. 70.6 79.4 63.2 80.5Net. Admin. 61.1 53.1 55.9 55.8Sys. Admin. 61.4 52.8 54.7 57.5DB Admin. 78.3 77.6 61.1 77.8

Retail/Dist. Health Uts//Trans. ServicesCIO/VP 150.0 137.5 181.0 122.7IS Director 97.9 100.5 106.8 95.0IS Manager 74.6 80.1 89.8 82.3App Dev Mgr. 89.2 80.6 86.3 95.0Data Center Manager 69.0 83.0 85.6 75.1Network Mgr. 78.8 78.1 67.6 67.5Help Desk Mgr. 56.2 65.0 59.5 49.9 Sys. Analyst 66.0 71.8 69.6 75.8P/A 61.7 67.9 61.9 62.0Programmer 58.9 58.0 49.7 48.9Systems Prgr. 74.2 73.7 65.3 72.6 Net. Admin. 59.2 60.9 61.8 53.1Sys. Admin. 50.5 61.8 57.5 60.1DB Admin. 66.7 74.8 68.8 74.0

Salaries in thousands of dollars ($ 000)

TABLE 3: IT Salaries by Industry

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Company Size Matters, butthere are Exceptions It comes as no surprise that largercompanies pay better for many ITpositions than smaller ones.However, the survey finds that ITsalaries at the largest organizationsparticipating in our survey are com-parable to those of their mid-sizedcounterparts. For example, CIO andvice presidential-level salariesremain fairly competitive across allcompany sizes, with no clear patternapparent from the survey results.Table 4 provides average salary fig-ures sorted by company sizes.

For the next level of IT directors,however, the disparity between largeand small organizations becomesevident. IT directors in the smallestfirms (50 or fewer employees) makean average of $75,900 in annual basesalary, a figure which tops $100,000in employees with 1,000 or moreemployees, and reaches $118,200 inthe largest organizations in the sur-vey — companies with 50,000 ormore employees.

Across middle management posi-tions, the smallest firms in the surveypay between $52,800 and $76,600.This range increases to $63,400 to$108,200 within upper-echelon organ-izations. The disparity is greatestamong networking managers, whoare paid an average of $54,100 in thesmallest firms. This is exactly halfthe salary level for networking man-agers in the large organizations sur-veyed.

The disparity for IT development staffpositions is not as dramatic as thatof IT managers. In fact, some devel-opers in smaller companies makealmost as much as their large-organ-ization counterparts. For example,there is no discernible pattern for theinfluence of company size on sys-tems programmer salaries. Systemsanalysts in larger organizations makebetween $76,200 and $83,100, whichis roughly one-fifth to a third morethan the average $63,100 in smallerto mid-size companies.

Administrative professionals in largerorganizations clearly enjoy higherrates than their small to medium-sizecompany counterparts. Databaseadministrators average about $58,300in the smallest companies surveyed,a level that rises to $82,000 in thelarge-organization categories — a 40percent bump. Network administra-tors in some of the larger categoriesearn almost double their small-com-pany counterparts — $68,600 versus$46,900 in annual base salaries.

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# employees: 1-50 51-500 501-1k 1-5k 5-10k 10-50k 50k+CIO/VP 112.6 108.1 139.2 118.0 204.4 151.7 130.6IS Director 75.9 84.9 81.1 101.0 103.8 116.3 118.2

IS Manager 62.6 70.8 70.1 78.8 93.7 95.3 97.5AD Mgr. 76.6 84.2 74.2 81.7 93.6 97.8 95.3DC Mgr. 49.9 74.1 62.8 77.0 103.1 92.1 90.9Net. Mgr. 54.1 63.3 55.8 75.2 78.3 108.2 94.4H/Desk. Mgr. 52.8 53.3 48.8 67.0 70.9 63.4 66.2Internet Mgr. 59.8 59.3 63.3 74.1 74.9 99.1 n/a

Sys. Analyst 63.1 63.5 63.9 68.5 69.0 83.0 76.2 P/A 59.8 60.5 58.2 63.0 62.2 68.3 71.0Progr. 43.7 50.3 46.9 55.6 52.3 62.2 60.3Sys. Progr. 79.9 58.5 49.2 71.6 67.0 76.3 75.8

Net. Admin. 46.9 56.0 53.1 58.9 68.6 63.5 64.4Sys. Admin. 56.3 49.1 50.9 57.8 62.9 58.2 62.8 DB Admin. 58.3 64.5 67.6 73.8 82.5 75.4 81.2

Salaries in thousands of dollars ($ 000)

TABLE 4: IT Salaries by Company Size

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Part 4: IT Attitudes andDemographicsMost IT Workers Happy withJobs, Unhappy with Salaries

Joe McKendrick

Respondents to our survey seem to be taking the punishing nature of their jobs in stride. There is lesssatisfaction as you work down thechain (from executive to staff posi-tion) — and outright dissatisfactionwith compensation among IT technical staff.

In many professions, having to copewith punishing hours, complex prob-lems, short deadlines, and demand-ing customers is the sure route toburnout. This may be the case formany in IT as well, but overall, ITprofessionals appear to be takingthings in stride. But the recent eco-nomic slump appears to be taking atoll, and dissatisfaction with salaryrates is rising in the ranks.

Wrapping up the last of our four-partseries, we look at the demographicsand attitudes of survey respondentstoward their jobs and compensationlevels.

As shown in Table 1, there has beena decline in overall satisfaction withcompensation levels. The surveyfinds that four out of 10 IT staff mem-bers are unhappy with their currentcompensation levels. Satisfactionwith compensation is relatively highat the executive level, but dropsnoticeably when looking at rank-and-file IT professionals (see Table 2).About 64 percent of top IT executivesare happy with their salary levels,compared to about half of IT staffworkers – in fact, 39 percent expressdownright dissatisfaction.

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2001 2004Satisfied 63 % 58 %Dissatisfied 31 % 33 %

TABLE 1: Salary Satisfaction

IT staff 39 %Middle manager 34 %Consultant 30 %Executive 28 %

TABLE 2: Salary Dissatisfaction By Job Level

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The recent Enterprise Systems salarysurvey found that top IT executivesmake up to $130,000 a year, alongwith bonuses of between $10,000 and$25,000 a year. Line IT positions(analysts, programmers, administra-tors) average between $61,000 to$64,000 a year, with bonuses of$2,000 to $3,000 a year. Our surveyfinds that companies raised salaryrates for five out of seven key staffpositions. However, increases onlyranged between three percent andseven percent over the two yearssince our last survey.

IT managers and professionals areworking just as hard as ever, the sur-vey also confirms. As shown in Table3, very few IT people simply put intheir 40 hours and go home. About 18percent, in fact, work more than 50hours a week, the same as in our2001 survey. Another 60 percentwork between 40 and 50 hours aweek. Of course, work hours vary byjob level. Among those respondentsholding top executive positions, 39percent work more than 50 hours aweek. By contrast, 21 percent ofmiddle managers and nine percent ofIT staff members put in these kindsof hours.

All this hard work is worthwhile for amajority of IT professionals, however.More than seven out of ten (72 per-cent) say they are satisfied with theirjobs, and 20 percent categorizethemselves as "extremely" satisfied(see Table 4—remainder of respon-dents were neutral or had no opin-ion). However, this has slippedsomewhat over the past few years.In our 2001 survey, 79 percentexpressed job satisfaction, and 25percent at that time said they wereextremely satisfied. Overt job dissat-isfaction has gone up during thistime, increasing from 15 percent to22 percent.

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2001 200440 or less 18 % 21 %41-45 31 % 32 %46-50 32 % 29 %More than 50 18 % 18 %

TABLE 3: Hours Worked Per Week

2001 2004Satisfied 79 % 72 %Dissatisfied 15 % 22 %

TABLE 4: Job Satisfaction

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2004Enterprise Systems Salary Survey

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As shown in Table 5, more than oneout of four IT staffers is unhappywith his or her position. While this isunchanged from our 2001 survey, thiscontinuing undercurrent of job dis-satisfaction may portend issues withturnover as the economy improvesand companies are again forced tocompete more aggressively for quali-fied professionals. Perhaps not sur-prisingly, the higher up in the foodchain one is, the more satisfied he orshe is with her position. Only 15 per-cent of top IT executives express anytype of job dissatisfaction, comparedwith 27 percent of IT staffers.

Interestingly, managers and profes-sionals in Windows environmentsseem the happiest with their jobs —about 79 percent express content-ment. Those with the lowest levelsof job satisfaction are managers andprofessionals in mainframe shops.

The overwhelming majority ofrespondents to this survey — whichreflects much of the large-systems ITworld, in general — are male.Eighty-five percent are men, downfrom 89 percent in our 2001 and 2002surveys. The survey also confirmsthat the glass ceiling still predomi-nates in the IT world. Only eight per-cent of top-level IT executives arewomen, compared to 16 percent ofmiddle managers and 16 percent ofIT staff positions.

Joseph McKendrick is an independ-ent consultant and author, specializ-ing in surveys, technology researchand white papers.

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IT staff 27 %Consultant 22 %Middle manager 19 %Executive 15 %

TABLE 5: Job Dissatisfaction By Job Level

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APPENDIX: JOBDESCRIPTIONS

Chief Information Officer/VicePresident Information Systems

Approves budgets; oversees thecompany's information systemsfunction; considered a part of thesenior management team. Makesfinal decisions on standards and pro-tocols. In charge of the company'sInternet strategy. Approves out-sourcing arrangements. May alsooversee electronic commerce func-tion.

Director, Information Systems

Plans, directs and controls all day-to-day information systems func-tions, including systems design andanalysis, applications programming,project scheduling and computeroperations. Plans and approvesequipment and software purchases.Responsible for full and part-timestaffing, as well as hiring of contrac-tors. May be responsible for over-seeing internal and external Internetdevelopment as well.

Manager, Information Systems

Plans and approves equipment andsoftware purchases related to sys-tems (operating systems, relatedsoftware, storage devices, etc.).Plans, directs and controls all day-to-day information systems func-tions, including systems design andanalysis, applications programming,project scheduling and computeroperations. Responsible for full andpart-time staffing, as well as hiring ofcontractors. Manages the systemsanalysis and programming of appli-cations. Responsible for cost andtime estimates, feasibility studies,and design and implementation ofnew or modified systems and pro-grams. Oversees systems adminis-trators and analysts.

Manager, Application Development

Plans, directs and controls all day-to-day application development func-tions, applications programming,project scheduling, and computeroperations. Plans and recommendsequipment and software purchasesrelated to applications. Responsiblefor full and part-time staffing relatedto application development, as wellas hiring of contractors. May beresponsible for Internet developmentteams as well. Often reports to adirector, VP of technology, CTO orCIO.

Manager, Data Center/Operations

Oversees day-to-day operations ofproduction data center environ-ments. Develops and implementsplans and budgets for operation andstaff utilization. Responsible for run-ning a 24x7x365 operation to meetservice level agreements (SLAs) forinternal and external customers.Oversees systems monitoring, back-ups, storage, job scheduling, andsystems management reporting.Negotiates contracts with vendors.Tracks and maintains inventory forequipment, licenses, software, andrelated items. Typically leads teamsof system administrators, databaseadministrators, and computer opera-tors.

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Manager, Networking

Oversees the operation of the com-puter network. Designs, installs, andmanages building local area net-works and wide area networksacross the organization. Plans andimplements current and future devel-opment, including connectivity onand off-site from remote locations.Manages the organization's IPaddresses. Advises or makes recom-mendations on networking issues.Oversees installation and mainte-nance of network files, file servers,routers, VPNs, concentrators, net-work software, network cards, andrelated hardware and software.Designs and installs file back-up rou-tines and network security systems.Manager's group is responsible forsecuring network, managing useraccess, protecting against or recov-ering from attacks, viruses, and othervulnerabilities. Oversees networkadministrators and analysts.

Manager, Help Desk/Support

Responsible for diagnosing, trou-bleshooting, and correcting end-usersystem access problems. Interfaceswith end-users primarily by tele-phone, e-mail, Web, and in cases ofhardware failure, face-to-face. Mayoversee staff of help-desk analystswithin a larger company; or workalone in smaller companies or divi-sions of larger companies.Establishes procedures for trouble-ticket submission and actions. Maybe involved in Web site creation,design and maintenance as it per-tains to FAQs and other supportsites. Interfaces frequently with ITnetwork staff to resolve issues.

Applications Systems Analyst

Works with corporate management,end-users and clients to plan anddesign systems. Devises processesfor solving specific business prob-lems. Recommends specific applica-tions. Prepares charts and diagramsand develops documentation. Alsoprepares test cases and reviews testresults. May be a team lead; maymanage others.

Applications Programmer/Analyst

Develops applications and environ-ments. Formulates statements ofbusiness problems and devises pro-cedures for the solutions of the prob-lems. Works with end-users to deter-mine their information requirementsin new or modified systems.Prepares logic flow charts, codesand specifications. May be a teamlead; but does not directly manageothers.

Applications Programmer

Typically an entry-level position.Writes coded instructions or soft-ware, or modifies packaged applica-tions, from descriptions outlined bysystems analysts. Outlines detailedequipment requirements. Designsdetailed flowcharts, verifies programlogic by preparing test data for trialruns. Tests and debugs programs.Does not manage others.

Systems Programmer

Deploys, monitors, maintains, andreports the performance of allaspects of the system. Overseesserver operating systems, compilers,communications and database man-agement software, utilities, and stor-age systems. Ensures system per-formance and integrity. Provides sys-tem analysis, maintenance support,disaster recovery support, generalsystems support and documentation.Usually does not manage others.

Network Administrator

Monitors network usage. Overseesnetwork security and integrity; trou-bleshoots network bottlenecks orfailed connections in routers, switch-es, hubs, or concentrators.Responsible for backup and recoveryof the network. Conducts installationand maintenance, recommends pur-chase of network hardware, soft-ware and network middleware. Mayalso have responsibilities for publicand private Web site connectionsand performance. Administrator'sgroup is responsible for securingnetwork, managing user access, pro-tecting against or recovering fromattacks, viruses, and other vulnera-bilities. May be a team lead; does notdirectly manage others.

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2004Enterprise Systems Salary Survey

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Systems Administrator

Deploys and maintains operatingsystems and servers in a LAN orWAN. Configures boxes, establishesstandards, evaluates hardware andsoftware. Adds or removes useraccounts, performs data backup andrecovery, maintains system databasefiles. Writes scripts in administrativelanguages. Also responsible for inte-gration, maintenance, performancemanagement, and data management.Plays a key role in network security,builds firewalls, applies cryptographyor authentication systems.Troubleshoots networking and oper-ating system problems; may alsoserve as part of help-desk function.May be a team lead; does not direct-ly manage others.

Database Administrator

Oversees building and usage of com-pany databases. Oversees databasesecurity and integrity. May beresponsible for backup and recoveryof data. Recommends purchases ofdatabase software and hardware.May be a team lead, or may manageothers.

Internet Manager/Director

Responsible for development andmanagement of company intranetand public Web sites. May beresponsible for contracts with out-side Web hosting services/ISPs. Mayalso be responsible for security,integrity, and troubleshooting of net-work bottlenecks or failed connec-tions. Manages Web developmentteams, including HTML and Javaprogrammers. Works across depart-ments and technologies.

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Copyright © 2004 Lumigent Technologies, Inc. All rights reserved. Lumigent, Entegra andthe Lumigent Logo are trademarks or registered trademarks of Lumigent Technologies, Inc.

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