BPM Salary Survey. Examining the profile, skills. and compensation of. BPM professionals. around the. world. MEMBERS ONLY RESEARCH REPORT

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1 MEMBERS ONLY RESEARCH REPORT 2015 BPM Salary Survey Examining the profile, skills and compensation of BPM professionals around the world.

2 2015 BPM Salary, Roles & Responsibilities Report Table of Contents About BPMInstitute.org BPMInstitute.org SM (hosted by BrainStorm Group, Inc.) is a leading provider of education and research on business process management (BPM) and related topics. It is dedicated to informing and educating BPM professionals on the methods, techniques, tools and trends in BPM. Services to members include a curriculum of training courses, certification, and regular articles, white papers and webinars on relevant topics. Objective, Approach & Demographics...1 Roles & Responsibilities...3 Compensation...5 Job Satisfaction...6 Summary...6 BPMInstitute prides itself on providing a combination of public events, onsite training, and online delivery for both training courses and certification by BPMInstitute.org SM, (hosted by BrainStorm Group, Inc.) All rights reserved. Reproductions in whole or in part are prohibited except by written permission. requests or feedback to info@bpminstitute.org.

3 Objective The 2015 salary survey of BPM Professionals represents the first such survey by BPMInstitute.org and as such will form the baseline for future research in this area. The objective was to examine the profile, skills, and compensation of BPM professionals around the world. This research examines factors such as age, gender, education, job satisfaction, salary and bonus, certification, background, and other characteristics. Approach This report is based on responses to a Web survey conducted during the summer of A total of 431 respondents participated in the survey and of these, 352 respondents completed all the questions in the survey. In order to ensure the greatest accuracy, this report is based on only the data from 352 fully completed survey responses. Demographics Demographics Respondents by Region USA 44.03% Canada Europe Austraila / New Zealand Asia Africa Mexico / Central America Middle East 10.23% 13.64% 5.40% 11.65% 5.68% 6.82% 2.55% Education and Gender masters 42.90% bachelors 44.32% male 69.03% It s important to understand the key characteristics of the 352 participants in this survey; including age, sex, education and location. Data was also collected on company size and industry participation. More than 54% of respondents were located in the USA and Canada. Respondents from Europe represented 13% of the total sample, and respondents from Asia accounted for an additional 11%. high school 8.80% PHD 3.98% Age female 30.97% Respondents from USA, Canada, Europe, Asia, Middle East and Mexico provided a truly global flavor to the survey. age 25 or less age age age over age % 24.72% 32.67% 27.84% 11.65% PAGE 1

4 Annual Revenue greater than $50 billion 5.40% $25 billion - $50 billion 4.83% $10 billion - $25 billion 5.97% $5 billion - $10 billion 6.25% $2.5 billion - $5 billion 4.55% $1 billion - $2.5 billion 6.82% $500 million - $1 billion 5.97% $250 million - $500 million 5.40% $100 million - $250 million 6.25% $50 million - $100 million 9.94% less than $50 million don t know 15.04% Primary Industry aerospace automotive 0.85% 1.42% banking 11.08% biotechnologogy brokerage education energy 0.85% 0.57% 3.41% 5.11% government 10.80% health care 1.70% insurance 7.95% manufacturing 6.82% pharmaceuticals 2.56% retail 2.27% technology telecom transportation 3.41% 1.42% utility 2.84% other 15.06% 23.58% 21.88% Demographics On an international basis, nearly 70% of respondents were male and 30% were female and 57% of respondents were between the ages of 26 and 45. On a global basis, 307 (87%) respondents out of a total of 352 reported that they had earned either a bachelor s degree or a master s degree. In North America, 161 or 84% of respondents reported that they had earned either a bachelor s degree or a master s degree. In response to the question; which best describes your organization s primary industry, the largest group on a global basis, with nearly 22% of respondents, came from the technology sector. Which included a mix of high tech firms, system integrators, and software vendors. In terms of industry representation, other sectors such as banking and government each accounted for more than 10% of participants in the survey. The insurance (8%) manufacturing (7%), and energy (5%) sectors were well represented. Other sectors such as automotive, transportation, utilities, education, brokerage, health care, pharmaceutical, and others each accounted for fewer than 5% of participants in the survey. The size of the represented organizations was measured by respondents estimate of the annual revenues of their organization. Here, we observed that smaller organizations with annual revenues of less than $50 million were the largest single category and accounted for nearly 24% of respondents. At the other end of the spectrum, 5% of respondents reported that they worked in organizations with more than $50 billion in annual revenues. The fact that 15% of respondents did not know the annual revenues of their organization may indicate that some BPM professionals occupy fairly junior positions. 61% of respondents were employed in organizations with annual revenues greater than $50 million per annum. PAGE 2

5 Roles and Responsibilities BPM practitioners, consultants and BPM Team Leaders were the three primary positions reported by respondents. These positions accounted for 78% of the total. In response to the question on work status, more than 86% of all respondents reported that they were full time salaried employees. The next highest category was independent consultant or contractor, which came in at 10%. Only 12 of the 352 respondents, or less than 4% - were working part time, unemployed or retired. In North America, 90% of respondents reported that they were working full time. BPM practitioners, BPM consultants and BPM Team Leaders were the three primary roles reported. Wherein, 80% of respondents reported spending greater than half of their time on BPM or process improvement. The four ranking roles within these categories were described as: business analyst business process analyst business process designer business process manager Globally, these four roles represented two-thirds of respondents. Project managers, business architects and enterprise architects were also well represented. Nine (9) respondents described their role as chief process officer, and six (6) of these were located in North America. While this appears to be high on the surface, the number of respondents who indicated that they earn in excess of $150,000 per annum appears to support this claim. Positions Reported BPM practitioner BPM team leader 28.99% 21.59% executive sponsor 2.27% consultant 27.84% solution provider professor or student Other 7.95% 2.84% 8.52% Categories of Roles business analyst 12.57% business process analyst 20.94% business process manager 21.99% business process designer 13.61% business process owner 2.62% chief process officer 3.14% business decision analyst 1.57% business architect 7.85% enterprise architect 5.24% project manager 10.47% Work Status 86.36% full-time salaried The average annual salary for 352 BPM professionals in the global survey was $83,402. The comparable statistic for the 191 respondents in North America was 19% higher at $99,097 USD. 3.41% part-time salaried, unemployed or retired 10.23% independent contractor PAGE 3

6 Highest Ranking Functions process modeling 76.42% process analysis 82.39% process governance 50% process design 76.14% process implementation 62.22% process automation 38.64% requirements gathering 66.76% project management 63.64% agile development 19.60% scrum development 13.07% other 14.77% Job Satisfaction 31.82% high 13.92% very high Responsibilities Regardless of role, respondents indicated that process modeling, process analysis and process design were the three highest ranked responses for the functions they performed. Requirements gathering, project management, and process implementation were the next highest ranked functions indicating that the majority of respondents were focused on process improvement. However, process governance was in the forefront as well with a score of 50%. Somewhat surprisingly, process automation came in at 39% and agile development (20%) and scrum development (13%) were cited with even lower frequency. This may indicate that BPM solutions may be implemented with existing technology and the adoption of Business Process Management Suites (BPMS) is still not the norm. When asked what percent of their time they spend on process improvement or BPM - more than 80% of respondents internationally reported to have spent at least half of their time on BPM and the results in North America were in line with global results where 78% of respondents spent at least half of their time on BPM. Job Satisfaction 12.22% low 3.97% very low 38.07% moderate Slightly more than 45% of respondents on a global basis indicated that they were either highly satisfied or very highly satisfied in their current position and 44% of respondents felt that they were fairly compensated. Interestingly, 12.5% of the respondents indicated that they did not know whether they were fairly compensated, implying that salary surveys such as the current one will provide BPM professionals with valuable information. In terms of the top priorities in selecting a new position, respondents ranked the following: Regardless of role, process modeling, process analysis and process design were the three highest ranked responses for the functions they performed. location challenging work company strategy opportunity for promotion PAGE 4

7 Compensation We examined compensation in terms of base salary and bonus. We also examined the impact of participating in a certificate program of education and earning a BPM certification. With respect to the base salary earned by respondents in 2014 expressed in US dollars, more than 51% of survey participants on an international basis, earned between $60,000 and $120,000. As might be expected, only 3 out of 352 respondents earned more than $200,000 USD. However, the impact of part time employees was evident in that 58 survey participants or 16.5% of the total earned less than $30,000 USD in The weighted average salary for all 352 international respondents was $83,402 USD. In comparison, the weighted average salary for the 191 respondents in North America was 19% higher at $99,097 USD, and more than 64% of BPM professionals in North America earned between $60,000 and $120,000 USD. Slightly more than 60% of respondents reported that they had received a bonus during In terms of the percent of salary increase in the prior year, 168 out of the 352 respondents or about 48% - reported that they had received an increase between 1% and 5%. However, 60% of respondents in North America reported that they had received between 1% and 5%. The trend for higher compensation levels in North America was observed to continue with respect to bonuses. Internationally, 59% of respondents received a bonus in 2014, while 64% received a bonus in North America. Those business process analysts who have earned a BPM certification earned up to 25% more than the average business analyst. Annual Salary greater than $200, % $150,001 - $200, % $135,001 - $150, % $120,001 - $135, % $105,001 - $120, % $90,001 - $105, % $75,001 - $90, % $60,001 - $75, % $45,001 - $60, % $30,001 - $45, % less than $30, % Bonus 61.9% received a bonus 38.1% no bonus Bonuses Earned Last Fiscal Year greater than $50, % $35,001 to $50, % $20,001 to $35,000 $10,001 to $20,000 $5,001 to $10,000 $1,001 to $5,000 less than $1, % 10.51% 13.07% 16.76% 8.81% PAGE 5

8 BPM Credentials The survey results indicate that BPM professionals are increasingly recognizing the value of obtaining a certificate and professional certification. More than 30% of the respondents indicated that they had earned a certificate or certification from organizations such as BPM Institute, BA Institute, Project Management Institute (PMI) or the International Institute of Business Analysis (IIBA) Average Salary in 2014 $100,000 $75,000 $50,000 $76,500 $88,558 $75,880 $75,880 $70,772 $70,103 business business process analyst analyst $92,636 $78,178 BPM designer $98,312 $89,121 BPM manager BPM certification BPM certificate no BPM credentials Looking at the base salary earned by title in 2014, business analyst and business process analysts earned slightly more than $70,000 USD on average, while business process designers earned close to $78,172 or around 11% more than business analysts. BPM managers earned $89,121 on average, which was 14% more than the average amount earned by business process designers and 26% more than the average amount earned by business analysts. Those individuals who had completed a certificate program earned up to $5000 more than the average business analyst. Earning a BPM certification provided even greater levels of compensation. Although fewer than 10% of respondents reported that they are currently certified in BPM, slightly more than 50% of noncertified respondents indicated that they intend to earn a BPM Certificate and nearly 49% of non-certified respondents indicated that they intend to earn a professional BPM Certification. Respondents who had completed a certificate program of study earned up to $5,000 USD more than the typical business analyst. Further, those respondents who had received a professional certification made up to $28,000 USD more than the typical business analyst. Another perspective on the value of BPM credentials is that such credentials allow subject matter experts to realize earnings on par or even above the amount earned by a typical BPM Manager. Summary This research examined factors such as age, gender, education, job satisfaction, salary and bonus, certification, background, and other characteristics based on completed surveys by 352 respondents on an international basis. The positions of BPM practitioners, consultants and BPM Team Leader accounted for nearly 80% of respondents to this survey and the four primary roles reported by respondents were business analyst, business process analyst, business process designer, and business process manager. The five main functions performed by respondents were process modeling, process analysis, process design, requirements gathering and process implementation. Nearly 67% of respondents reported that they had more than 4 years of BPM experience and nearly 60% of respondents have been employed 4 or more years at their current company. More than 80% of respondents dedicated at least 50% of their time to BPM or process improvement. In terms of compensation, more than 40% of respondents earned between $75,000 and $120,000 USD and nearly 17% of respondents earned more than $120,000 USD. This salary survey of BPM Professionals will form the baseline for future research in this area. PAGE 6