Technology Workforce

Challenges Facing Public Power

• A division of Find Great People, FGP Tech is a Greenville, SC headquartered IT Recruiting & Staffing firm. We assist companies nationwide in searches from the executive level down all the way to helpdesk

• We are here because Public Power serves the greater community and it is our civic responsibility to ensure you know and can prepare for the challenges facing you pertaining to your IT workforce

So who is FGP Tech and why are we here?

What that really means…• We are directly engaged with candidates and know what

they are looking for in their careers

• We have our fingers on the pulse of what skills are “hot” within the market and have the most current salary data available

• Above all, we follow hiring trends as well as future forecasting specific to the IT industry

This means that we are seeing both today and tomorrow’s pain points for Public Power… a severe shortage of IT

talent

Drivers influencing the IT workforce

The Cloud

STEM

BI

IoTMillenials

These factors and more are influencing your utility

So what is STEM…ScienceTechnologyEngineeringMathematics

And now there is STEAM (which includes Art)

By the numbers…• According to the Bureau of Labor Statistics, Computer

and Information Technology occupations are projected to grow by 22 percent from 2010 to 2020!

• More than half of all projected jobs in STEM fields are related to IT

• Exploring Computer Science reported that the percentage of US high school students taking STEM courses has increased, but that it has dropped from 25% to 19% for Computer Science

In short there are more IT-related jobs being created, but less children going into Computer Science-related majors

In addition…• Baby Boomers continue to leave the workforce

• Tighter immigration laws and “in-sourcing” has impacted the available talent pool

• The U.S. continues to slide in global rankings with regards to Math, Reading, and Science

So, demand is increasing while supply is decreasing. At the same time we are falling behind in the key subject areas that directly correlate to Computer Science

At the same time…• Innovation is occurring at record pace (ex. operating

system upgrades moving from 5 years to a continuous release models)

• The number of product offerings and/or the increase of functionality are greater than ever before (creation of the need to specialize)

• Reliance on technology has increased (we want it at all our fingertips and we want it all right now)

• Cyber threats continue to grow

Three key innovation movements within IT• Business Intelligence (BI)

• The Cloud

• Internet of Things (IoT)

Business Intelligence (BI)• Business users increased demand real-time reporting

and analytics

• It is now easier to combine data from varied sources into one database

• BI is moving in the direction of using natural language to empower end users to easily create their own reports/dashboards

• BI is enabling organizations to automate decision-making

BI challenges• One of the hottest skills sets in the market, so that

means it is a very expensive hire

• If the initial data architecture is not done correctly it can become a money pit

• The end user demands and desires continue to change and become a moving target

• When dealing with complex algorithms there is a very real risk for human error

The Cloud• The move from on-premise to being web-based

• Smaller organizations can now have enterprise-like capabilities

• Cost is generally minimal when compared to “owning” it in-house

• Updates and feature enhancements are generally free

• Employees can typically access services/applications with greater ease when offsite

Cloud challenges• You don’t control when/how changes are made

• Cyberattacks (vulnerability to DDoS attacks)

• The Cloud has not been standardized (there are no clear-cut guidelines)

• Business continuity (what happens when you lose access to the internet)

• Many organizations don’t even know their terms and conditions with their Cloud providers (data ownership, disaster recovery guarantees, compliances met, conditions of termination, etc.)

The Internet of Things (IoT)

• With everything connected you can control anything from anywhere

• More points of data collection means more opportunities to make numerically supported decisions

• Increased efficiency (be it time, automation, etc.)

• Opens up a new realm of potential revenue streams

IoT challenges• More interconnectivity increases potential for large-

scale attacks that could cripple US infrastructure

• With no universal language or protocol compatibility will be an issue

• More opportunity for device failures and domino effects

The Millennials are here• Millennials span 1982-2004 and have already surpassed

Generation X to be the largest make up within the labor force

• According to the Bureau of Labor Statistics 53% of all managers say that it’s difficult to find and retain Millennials

• 58% of Millennials expect to stay in their jobs less than 3 years (Generation X has averaged 5 years and Baby Boomers has averaged 7 years)

• 69% of Millennials stated that they would choose to freelance if they knew that they could find enough work

What motivates Millennials • According to Deloitte’s Millennial Survey, 78% of

Millennials are strongly influenced by how innovative a company is

• Flexibility in the workplace and non-traditional work schedules

• Millennials like collaborative environments

• Motivated by career growth and development opportunities

• Look for organizations that give back to the community

• Money, surprisingly, isn’t their biggest motivator

Ask yourselvesLook yourself in the mirror and give yourself an honest assessment…

•Do we have any current IT hiring needs?

•Are there any planned IT team loses we anticipate over the next 2 years?

•Do we invest enough in IT and technology (would it excite someone to work here)?

•Do we have a company culture that people want to be a part of?

•What do we do for the community at large?

Let’s review the challenges

that impact hiring•There is a severe and growing IT talent shortage

•Technology is changing at breakneck speed

•Organizations continue to rely more and more on technology and analytics to drive efficiency/revenues

•The Millennials are vastly different than proceeding generations and so are the things that they are looking for

There are solutions•Concentrate on retention (it is almost always less costly)

•Create contingency plans

•Stop treating IT like a cost center and start treating it like an efficiency and revenue center

•Monetize IT by offering aggregate IT services and look to similar organizations to augment talent/skill gaps

•Ensure that you are committed to innovation, quality of life, and a service driven culture. Ask yourself, “do we offer those 3 things”

Retaining talent•Evaluate compensation and benefits structure

– You don’t have to be a market leader, but you cannot lag behind either

– Know what every person on your team could make on the open market (trust me, firms like us are calling them every day)

•Listen to your employees and what motivates them– Poll your workforce to learn what they like and don’t like

•Invest in their growth– Trainings/certifications relevant to their roles– Look for ways to expand their roles (lead projects, part of cross-

functional teams/boards, etc., teach them the business, etc.)

•Create a culture of treating people fairly, not equally– Top producers can earn right to work from home– Quarterly reviews with top grades earn an extra day off– Discretionary bonuses

Contingency planning•Are you following IT best practices…

– Extensive documentation– Know your vendors and whether they offer consulting services

(Staffing Firms and Managed Services Providers are additional potential solutions)

– 3rd party IT health checks/audits

•Cross-train employees to create redundancies

•If you know someone is retiring consider bringing their replacement early for a 3-6 month overlap

Invest in technology•If you do not invest in technology you will lose talent

•User “power in numbers” to drive down technology costs – Know what the pricing breaks are for various expenditures– Many industries are creating GPOs to increase negotiating power

to reduce IT spend

•Teach IT employees about the ROI of technology purchases

– They will be happier if they are part of the of the decision-making process

– Employees will better understand not making an IT purchase that has a poor ROI

Think outside the box•Offer aggregate IT services

– Offer municipalities/customers MSP-like services (red tape and inability to generate revenue has left many of them with very real IT needs)

– This can turn IT into a revenue center and pay for additional headcount and technology investments

•Create partnerships to augment deficiencies– Split costs/time for employees– Swap or outsource to someone who already knows your industry

Change your brandYou have to be a “brand” that people want to be a part of…

•Innovation: Commitment to technology doesn’t always mean more money, it means openness to doing things differently

•Quality of Life: Work-life balance, flexible scheduling (think sick children work from home forgiveness), paternal child leave, nursing care leave, including adoption benefits

•Service Culture: Be an organization that gives back to the community, allow for volunteer opportunities during work hours, Computer Science outreach at the K-12 level

Hiring best practices•Interview, but always sell your organization

– People like to feel wanted

•Know your strengths and weaknesses, but share both– Being genuine and transparent wins candidates over because so

many places don’t operate that way

•Hire attitude and aptitude, skills can be taught– Don’t get caught in the “perfect” candidate trap

•Don’t forget about internship programs – You can model these programs a number of ways to lock down

future employees

Blake ColemanBusiness Development – FGP Techwww.fgptech.com

Direct: 864-553-7222E-mail: blake@fgptech.com

Twitter: @FGPTech

http://www.slideshare.net/blake_coleman/fgp-tech-appa-conference-september-2015