WHAT SCARES CIOs (Chief Information Officers)In the May 15, 2006 article, Is Your IT Talent at Risk? in Computerworld.com, author Thornton A. May shares some interesting data about what is on the minds of CIOs. Based on information collected from 250 executives, CIOs are worried about how “solid, secure, and sustainable their talent pipelines are.” When CIOs peers into their crystal ball, they are worried about hiring and retaining top talent for their organization. Here are the numbers:
68% are Worried
18% are Not worried
14% Don’t know
The article goes on to say that CIOs taking steps to “prevent strangers from seducing away their A-listers.” This is great news for IT workers who are on the A-List. Not long ago, the IT worker was being pressed for every concession imaginable, especially compensation. Over the last two years, the supply/demand pendulum has crept back and is beginning to favor more and more job seekers.As the tide continues to turn, you want to be on the A-List, so you can ride the next wave and stay on the board longer than your co-workers.
As I look into my crystal ball, these are the hiring trends I predict we will see:
o More formal and more structured hiring practices
While talent may be in short supply, companies will be reluctant to hire anyone less than an A Player. To assure they are getting the best, more companies will invest in job specific, pre-employment assessments. Performance-based job descriptions and behavioral interviews will be more prevalent.
o A tighter job market will make it more difficult to attract top-level talent. Forward thinking companies will adopt out-of-the-box hiring practices to attract the upper echelon of talent. Instead of taking their clients to the baseball game, they will court their top candidates. Maybe the offer will come with a paid weekend package to Cancun if they accept in 24 hours or less.
o Overtime pay is generally associated with non-exempt blue collar employees. I know of one company that expects their exempt (professional level) employees to work 50 hours. However, instead of paying them only their base salary, the company pays straight overtime for any hours beyond 40. Someone with a base salary of $80,000 could realistically earn another 20% annually, for a total of $96,000. Look for more creative compensation plans.
o While salaries will continue to creep up, companies will remain sensitive to payroll cost. Companies will become more flexible in how they structure the offer – maybe more training or less overtime. Maybe a shorter vesting schedule on the 401K or a higher match.
While improvement is evident in almost every area of IT, if is important to be the best in your class – to be on the A-List. You have to constantly and consistently show the value of your talent. Remaining visible in the company will provide the leverage you need to remain on crest of the wave.
