2015 Quarter 1. Market insight. Technology & transformation.
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1 2015 Quarter 1 Market insight Technology & transformation
2 Contents Technology & transformation Information Security IT Infrastructure IT - East of England
3 Information Security Over the past 18 months the Security market has seen huge growth around appreciation and maturity, with many of our clients taking steps to appoint dedicated Senior and Board level Information Security professionals and supporting teams. average increase in rates for infosec 10% professionals 31% Q1 increase in infosec job roles from Q to 2015 The Financial Services sector has predictably led this surge but other industries, such as Pharmaceuticals, Retail and Media have also experienced strong growth and increased investment which has led to greater competition for an in-demand talent pool. Candidate attraction With the increased presence of Information Security in mainstream media outlets in 2014 along with general growth in the sector itself, the drive to recruit top level Security professionals has seen salaries and contract rates on average increase around 10% in the last year alone, particularly within the Financial Services market. Retention and attraction continue to be a major challenge in the Information Security industry as candidates now actively seek out positions that will enable them to affect change on how their business treat Information Security, along with how they can drive on their own careers in the long term. Companies will no longer be able to adopt the wrong attitude towards Info Sec, as not only will it result in eventual cyber attacks but it will drastically reduce hiring power. Governance, Risk and Assurance roles have also taken a step into the limelight during 2014, with increasing importance placed on awareness and training in Cyber Security initiatives. Companies have continued to concentrate on developing their approach to combating the latest threats; however the frequency and complexity of security incidents have continued to outpace these improvements. Time to offer Hiring is now also at its highest rates since pre in both the permanent and contract markets, meaning the competition for candidates is now at an unprecedented level. As a result time to hire is now also being dramatically reduced. It is also increasingly important to keep engaged with your top talent as candidates often have multiple opportunities to consider as they look to change roles. Many of our clients this year have set about increasing internal awareness around Information Security, although many still face budgetary restrictions which will in the long term lead to problems when (not if) they face a cyber attack. The vast majority of assignments we now undertake request strong commercial and stakeholder management skills, to enable the Security message to be driven out across companies to employees of all levels. It is now hugely important for candidates to demonstrate they are not only able to effectively prevent breaches, but communicate to their businesses and wider networks how to help prevent and respond to any incidents. Scarcity of skilled talent has ensured that retention and attraction continue to be a major challenge for the Information Security industry Page 4 0f 12 Market insight Technology & Transformation Badenoch & Clark Market insight Technology & Transformation Badenoch & Clark Page 5 0f 12
4 IT Infrastructure The start of 2015 has continued to show a steady increase in growth on the back of a strong 2014 for the IT Infrastructure market, this has proven to be a vast contrast to the last 5 years where we saw a decreased, more streamlined approach to IT Support. New budgets bring new pressures. We have found that a number of organisations still approach hiring with a recession mentality, where in reality we are now currently in a candidate led market. We expect top candidates to have multiple opportunities which causes ripples throughout the industry. Significant rises in salaries Fewer candidates actively looking for work with relevant experience, especially at junior/entry level Hiring managers losing candidates due to slow decision making Over the last 12 months a number of our clients have over seen investment of financial input into their infrastructure teams, this has slowly allowed organisations to grow headcount and also to complete previously shelved upgrades and improvement projects. Interviewers having to sell at interview stage to attract candidates All in all we are finding that our consultants now need to re-educate employers to life post recession. From the technical front, the increased cost and pressures of hires has caused a number of our clients to have to think outside the box and/or adopt new technologies to stay within budget. Some of these trends include: The migration away from the historically more popular VMware to Microsoft s free virtual platform Hyper-V and the disposal of physical kit with cloud solutions finally surfacing, which include Office 365, the rise of Thin Clients and hosted Exchange. The reappearance of the large IT consultancy outsourcing model with organisation relying on the RRO industry. The next 12 months is a pivotal time for the typical infrastructure engineer. The migration away from traditional products and a move towards the cloud means a new skillset is required as old technology becomes obsolete. Page 6 0f 12 Market insight Technology & Transformation Badenoch & Clark Market insight Technology & Transformation Badenoch & Clark Page 7 0f 12
5 IT in East of England There is a real shift in momentum in the IT market, with a considerable increase in permanent hires. As per our recent Market Update 2015, clients expected confidence that investing in major IT projects will become a reality. With new apps, websites and consumer interfaces coming into the market, there has been a considerable increase in demand for skilled developers. The areas of focus have been C#, Java, C++ and newer developement tools such as ios. European Politicians have voted in favour for newer, stricter laws to safeguard citizens data Focus areas: C#, Java, C++ and ios Client pressure points Information security European Politicians have voted in favour for newer, stricter laws to safeguard citizens data. Essentially, the level of compliance is much higher and the penalty for not complying is also greater, with (potential) hefty fines relative to global annual turnover for offenders. Therefore, it is paramount for businesses to be aware of the changes in order to stay safe, but also stay clear of what could be a detrimental penalty. Future growth Within East Anglia, a new 15 million technology centre was launched at Cambridge Science Park adding further proof that Cambridge has the highest future growth potential of all areas outside London as revealed by financial and business advisers Grant Thornton. The findings show that although London tops the overall rankings with nine of the top 10 dynamic growth areas, outside the capital Cambridge leads the way. A new 15 million technology centre was launched at Cambridge Science Park adding further proof that Cambridge has the highest future growth potential of all areas outside London Page 8 0f 12 Market insight Technology & Transformation Badenoch & Clark Market insight Technology & Transformation Badenoch & Clark Page 9 0f 12
6 East of England Skill-sets in demand Permanent staff in high demand in the technology sector were: Business Analysts (particularly with Java and.net) Web Developers Digital Marketers SAP Security On the contract side Java.NET Developer Business Intelligence SQL The C# market has one clear trend and that is the need for candidates with.net experience. Over the last quarter, we have seen an increase of 39% in this space. There are fewer managerial roles available in both Java, C++ and C# due to a focus on finding Technical Leads, who can provide guidance but not get involved in the day-to-day managerial decisions. Outlook 80% of our clients are confident in economic prospects facing the East of England and 84% are confident in their company s prospects for 2015 and beyond. The outlook for the next quarter is positive with many clients predicting an increase in their workforce. Local businesses are stepping up their hiring efforts, creating new roles (as having to battle with attrition) to capitalise on growth initiatives and new business wins. 80% of our clients are confident in economic prospects facing the East of England and 84% are confident in their company s prospects for 2015 and beyond. 39% increase in developer roles over the last quarter Page 10 0f 12 Market insight Technology & Transformation Badenoch & Clark Market insight Technology & Transformation Badenoch & Clark Page 11 0f 12
7 Contact us Take the first step in a lasting partnership. Contact us to discuss your career or business goals. Birmingham Brighton Bristol Cambridge Part 5th Floor, 35 Livery Street, Birmingham, B3 2PB +44 (0) birmingham@badenochandclark.com 3rd Floor, Ovest House, 58 West Street, Brighton, BN1 2RA +44 (0) brighton@badenochandclark.com 101 Victoria Street, Bristol, BS1 6BH +44 (0) bristol@badenochandclark.com Sidney Street, Cambridge, Cambridgeshire, CB2 3HX +44 (0) cambridge@badenochandclark.com Edinburgh Glasgow Leeds London 3rd Floor, The Capital Building, 13 St Andrew Square, Edinburgh, EH 2AF +44 (0) edinburgh@badenochandclark.com 17a Blythswood Square, Glasgow, G2 4AD +44(0) glasgow@badenochandclark.com First floor, Civic Court, Calverly Street, Leeds, LS1 3ED +44 (0) leeds@badenochandclark.com Millennium Bridge House, 2 Lambeth Hill, London, EC4V 4BG +44 (0) londoncity@badenochandclark.com Manchester Middlesbrough Milton Keynes Newcastle 12th Floor, Lowry House, 17 Marble Street, Spring Gardens Manchester, M2 3AW +44 (0) manchester@badenochandclark.com 1o Albert Road, Middlesbrough, North Yorkshire, TS1 1QA +44 (0) middlesbrough@badenochandclark.com Part 2nd Floor, Chancery House, 199 Silbury Boulevard, Milton Keynes, MK9 1JL +44 (0) miltonkeynes@badenochandclark.com Apollo House, Northumberland Road, Newcastle, NE1 8JF +44 (0) newcastle@badenochandclark.com Norwich Nottingham Reading 41 Prince Of Wales Rd, Norwich, NR1 1BL +44 (0) norwich@badenochandclark.com 3rd Floor Angel House, Cheapside, Nottingham, NG1 2HU +44 (0) nottingham@badenochandclark.com 3rd floor, St Mary s House, Reading, RG1 2LG +44 (0) reading@badenochandclark.com Badenoch & Clark All right reserved. The information contained in this publication is intended for general purposes or guidance only. It does not purport to constitute professional advice. Badenoch & Clark accepts no liability for the accuracy of the contents or any opinions expressed herein.
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