IT staffing and management strategies for the midmarket

For free advice and resources on more IT and business topics, visit our main IT Management Guide section.

Table of contents

Rise in IT value drives boost in pay, bonuses

Table of Contents

[Tom Kaneshige, Site Editor]

Two years ago, the First National Bank of Olathe in Kansas faced a seismic business shift with online banking that forced the midmarket company to become technically savvy and strategic. So First National hired Tony Vargas as its first vice president of technology, making him the highest-paid vice president in the bank's history.

Then Vargas scored a perfect 1.0 on his annual performance review and received "a great bump" in both salary and bonuses, he says. First Bank also plans to give him the lofty title of CIO. "Technology is taking on an important role here," he said. "The business purpose it serves has created an environment where ... technologists who have an understanding of both worlds are in high demand. I believe this has driven salaries upward."

As midmarket companies undergo a sea change with technology, many IT leaders like Vargas bear witness to a rising tide in prestige and compensation. SearchSMB.com recently surveyed nearly 2,000 IT leaders and found that the average salary for 2007 was $89,326, up from $84,731 in 2006, an increase of 7%. More impressively, some 500 respondents received an average of $18,585 in bonuses for 2007, up from $14,138 in 2006 -- a 26% spike.

   Learn more in "Rise in IT value drives boost in pay, bonuses." Also:

• Midsize companies show IT pros the money (eWEEK)
  Salaries for IT professionals are up in midsize companies, but down slightly in large ones in all but entry-level jobs, according to a new report.
• Senior IT execs leverage skills, earn big bonuses (SearchCIO.com)
  Senior IT execs are seeing the largest pay increases since 2001. Upshot: It's time to ask for a raise.

CIOs: Technical support teams understaffed

Table of Contents

[Linda Tucci, Senior News Writer]

You're not the only one whose technical support staff is working on a wing and a prayer.

A survey from staffing firm Robert Half Technology in Menlo Park, Calif., finds that CIOs believe their technical support teams are 40% smaller, on average, than they should be.

The survey, of some 1,400 CIOs from a random sample of U.S. companies with 100 or more employees, found that the mean ratio of employees to technical support staff was 136-to-1 When the CIOs were asked to give the ideal ratio, however, the mean response was 82-to-1.

   Find out more in "CIOs: Technical support teams woefully understaffed." Also:

• IT staffing steady, but optimism wanes heading into 2008 (SearchCIO.com)
  The latest numbers from staffing firm Robert Half Technology show hiring prospects dimming slightly, though certain skills (Windows administration) are hot.
• Skills….skills…skills, how to keep them? - IT Project Management (IT Knowledge Exchange)
  One of the challenges faced as a manager in any firm is how to find and retain employees with the right combination of skills. The global demand for manpower is overwhelming.

MBA no silver bullet for SMBs yet

Table of Contents

[Tom Kaneshige, Site Editor]

Call it the great CIO paper chase. Many midmarket CIOs are eyeing technical certifications and business degrees -- particularly the MBA -- to advance their careers. Some want the training to help make better decisions at their small to midsized firms. Or they want to improve interactions with business peers. Others hope the degrees will help them move up to bigger companies and higher pay.

SearchSMB.com recently surveyed more than 1,000 IT leaders at small to midsized companies and found that 65% of respondents have technical certifications and advanced degrees or are currently enrolled in programs to earn them. Nearly 45% want to move up in their organization, in IT or overall. And 18% aspire to move up to a larger company altogether. Advanced degrees can help you get there.

   Learn more in "MBA no silver bullet for SMBs yet." Also:

• Cisco introduces SMB certification, products (eChannelLine.com)
  With SMBs expected to dethrone enterprises from atop the IT spending heap this year, Cisco Systems is accelerating its focus on this market segment with a new certification and set of integrated communications products.
• CIO certifications: Do they matter? (SearchCIO.com)
  Many CIOs are certified in project management, ITIL and Six Sigma, according to the recent SearchCIO.com salary survey. But do certifications really matter?

IT rank and file nervous about security

Table of Contents

[Kate Evans-Correia, News Editor]

Despite few actual cases where the CIO or anyone within the IT ranks is fired because of a security breach, a new survey from King Research in Novato, Calif., found that 73% of the 256 IT workers polled are very concerned they will lose their job in the event of a security breach. More than half of the respondents were from medium-sized companies.

"IT professionals are not confident with their present security measures," said Rob Meinhardt, CEO of KACE Networks Inc., the Mountain View, Calif.-based systems management appliance firm that commissioned the survey.

About 65% of the respondents admit to not taking all the steps they should, the survey found. "So they're vulnerable," Meinhardt said. "They're not taking the next steps to protect their own jobs."

But the guys on the front lines aren't as empowered as they should be either, say experts, particularly in medium-sized companies where IT workers tend to be generalists. When you take a generalist and expect them to handle a complex problem with a complex tool, something is going to fall through the cracks.

   Find out more in "IT rank and file nervous about inadequate security." Also:

• IT hiring spike strongest in finance, real estate (SearchCIO.com)
  Recession, what recession? Some CIOs are out holiday shopping for IT staff, especially in certain regions and for certain skills.
• Keeping tech skills up to date stresses workers (SearchCIO.com)
  Researchers say IT workers are stressed out about keeping their technical skills sharp. Should they suck it up, or do you need to cut them some slack?

Short CIO tenures paralyze IT

Table of Contents

[Kate Evans-Correia, News Editor]

Despite few actual cases where the CIO or anyone within the IT ranks is fired because of a security breach, a new survey from King Research in Novato, Calif., found that 73% of the 256 IT workers polled are very concerned they will lose their job in the event of a security breach. More than half of the respondents were from medium-sized companies.

"IT professionals are not confident with their present security measures," said Rob Meinhardt, CEO of KACE Networks Inc., the Mountain View, Calif.-based systems management appliance firm that commissioned the survey.

About 65% of the respondents admit to not taking all the steps they should, the survey found. "So they're vulnerable," Meinhardt said. "They're not taking the next steps to protect their own jobs."

   Learn more in "Short CIO tenures paralyze IT." Also:

• Salary Report: Short-tenured middle managers a headache for CIOs (SearchCIO.com)
  With 70% of senior IT workers telling us they've been with their company for less than five years, CIOs might have a culture problem on their hands.

More resources

Table of Contents

• Resource center: IT and business management (SearchCIO-Midmarket.com)
• Resource center: IT staff development and retention (SearchCIO.com)