2011 Project Management Salary Survey

ASPE RESOURCE SERIES 2011 Project Management Salary Survey The skills we teach drive real project success.

Table of Contents Introduction... 2 Gender... 2 Region... 3 Regions within the United States... 4 Age... 5 Education... 7 Certificates held... 8 Length of PMP certification... 10 Job title... 11 Education... 12 Project Manager salaries globally... 13 Raise in 2010?... 14 Size of raise in 2010... 15 Bonus in 2010?... 18 Size of bonus in 2010... 19 Raise in 2011?... 21 Size of 2011 raise... 22 Unemployed in 2010... 23 Job concerns in 2011... 24 Training days... 25 PMO office... 26 Grade of employer's project management practices... 27 Salaries in the United States... 27 Average salary by US region, company size, and industry... 27 2012 ASPE all rights reserved Page 1

Introduction In order to better understand the salary, certification and training characteristics of the IT Project Manager market, ASPE-SDLC commissioned a global survey of project managers. More than 1,700 project managers from around the world participated; while just over half were from the United States, responses were received from 86 other countries as well. Gender As in previous years, nearly two-thirds (63.4%) of respondents were male. While the proportion of men has decreased slightly from last year (64.4%), it is clear that on a global scale, men dominate the profession. This, however, is not the case everywhere. In North America, men and women are equally represented, at 51.8% and 48.2% respectively. Women also slightly increased their representation of 46.8% from last year. Anecdotally, we do see more males than females in our American classrooms and at PMI chapter meetings. This coincides with collected data, but we are surprised at how large the gap is outside North America. Indeed, outside of North America, 82% of respondents were male. 2012 ASPE all rights reserved Page 2

Region As noted earlier, just over half of respondents were from the United States, with the next most common countries being India, Argentina, Canada, Mexico, Italy, the United Kingdom, South Africa and Australia. 2012 ASPE all rights reserved Page 3

Illustration 1: Percent of respondents from various countries Respondent country Other United States India Argentina Canada Mexico Italy United Kingdom South Africa Australia 6% 6% 5% 4% 2% 2% 2% 2% 21% 51% 0% 10% 20% 30% 40% 50% 60% Regions within the United States Within the United States, most respondents were from the southern and western regions, with California comprising 8.6% of respondents. In the United States, the technology industry is quite strong in western and southern states (notably California, Texas, and Washington), thus explaining the preponderance of respondents from those regions. 2012 ASPE all rights reserved Page 4

Age As in previous surveys, most respondents were in their thirties and forties. But if we compare the age distributions of men and women, we see that there is a difference: men are more likely to be both older and younger than women, and that, on average, female respondents were slightly older than men. One possible explanation for this is that men have dominated the project management field for a longer period of time, and are thus more likely to be older, and potentially find it easier to enter into it at a younger age, thus are also more likely to be younger. By contrast, women are less likely to have been working as project managers for some time and perhaps find it more difficult to enter into the role at a younger age. This makes them more likely to be concentrated around the 40-49 age group and, on average, slightly older than men. This can be seen in the box and whisker diagrams below. Half of all the respondents are represented by each box, and the line across the middle of each box is the median age. 2012 ASPE all rights reserved Page 5

Certificates held Respondents were also asked which project management certifications they had obtained. There was a strong geographic component to the results, with PMP being much more popular in North America than in other regions. In Europe, for example, PRINCE2 is more popular, and in Asia college-level certifications were more prevalent. World Region Total Africa Asia Europe North America South America Oceania Cert: PMP Count 13 55 28 437 47 6 586 % 32.5% 38.5% 21.9% 61.8% 42.3% 28.6% Cert: PgMP Count 0 3 1 3 0 0 7 %.0% 2.1%.8%.4%.0%.0% Cert: CAPM Count 2 1 0 8 1 1 13 % 5.0%.7%.0% 1.1%.9% 4.8% Cert: PMI Other Count 1 10 4 9 4 2 30 % 2.5% 7.0% 3.1% 1.3% 3.6% 9.5% Cert: PRINCE2 Count 7 2 18 6 0 3 36 % 17.5% 1.4% 14.1%.8%.0% 14.3% Cert: TSPM Count 0 0 1 3 0 0 4 %.0%.0%.8%.4%.0%.0% Cert: Other PM Count 12 23 22 93 8 6 164 % 30.0% 16.1% 17.2% 13.2% 7.2% 28.6% Cert: College cert Count 9 42 14 93 20 5 183 % 22.5% 29.4% 10.9% 13.2% 18.0% 23.8% Cert: None Count 4 24 43 126 25 2 224 % 10.0% 16.8% 33.6% 17.8% 22.5% 9.5% Cert: Other Count 3 36 23 136 25 3 226 % 7.5% 25.2% 18.0% 19.2% 22.5% 14.3% Total Count 40 143 128 707 111 21 1150 2012 ASPE all rights reserved Page 8

Length of PMP certification Those respondents who held a PMP were asked for how many years they had their certification. On average, respondents had held the certification for 4 years, and the vast majority had held it for less than 10 years. While the PMP certification has been available for nearly thirty years, the vast majority of current holders received it within the last ten. This is either indicative of recent growth in the number of PMP holders, or that PMP holders after a certain number of years move on to other roles and are thus under-represented in surveys. Indeed, by reviewing the breakdown of project management experience and PMP tenure by age, we see that younger respondents were more likely to have obtained their PMP earlier in their careers. For example, those in their twenties had about 4 (3.98) years of project management experience and 2.5 years with a PMP, while those in their fifties had more than 15 years of experience but a PMP only for just over 5 years. 2012 ASPE all rights reserved Page 9

Project Age If you have your PMP, how many years have you had it? management experience (in years): 18-29 Mean 2.4231 3.9844 N 13 45 30-39 Mean 3.2568 6.8098 N 148 305 40-49 Mean 4.4472 11.3796 N 218 407 50-59 Mean 5.3636 15.6975 N 165 319 60-69 Mean 7.3261 19.5000 N 46 74 70+ Mean 15.0000 N 1 Total Mean 4.5847 11.6015 N 590 1151 2012 ASPE all rights reserved Page 10

Job title Perhaps as expected, more than half of respondents had the title of Project Manager or Senior Project Manager. However, approximately 20% of respondents had titles that indicated broader responsibilities, such as portfolio manager or other general management titles. This could be reflective of an increasing number of former project managers moving into other roles in the organization. 2012 ASPE all rights reserved Page 11

Education Project Management is a demanding and complex role, and to be successful practitioners require advanced education. On the whole, respondents were very well educated, with nearly 80% holding Bachelor or Master's degrees. Project Manager salaries globally When examining project manager salaries around the world, we see, as one would expect, that there is significant variation, ranging from an average of $36,200 per year in South America to $114,300 for the few respondents from the world's islands ( Oceania ). World Region Mean N Africa $58,652.67 40 Asia $39,475.70 139 Europe $65,988.98 126 North America $92,736.86 719 South America $36,219.05 114 Oceania $114,322.11 22 Total $77,129.05 1160 2012 ASPE all rights reserved Page 12

Size of raise in 2010 Those respondents who did receive a raise in 2010 had an average increase of 6.5% Looking more closely, we see that average raises varied significantly by region. Respondents in South America and Asia received significantly higher raises in 2010 than those in North America or Europe. Perhaps due to the resource boom putting pressure on the demand for skilled project managers, respondents in South America saw an average raise of 14%, and those in Asia received an average of 10.2%. 2012 ASPE all rights reserved Page 15

Size of bonus in 2010 Those respondents who had a bonus in 2010 received an average of 14%. Bonuses, however, were also distributed unevenly around the world, although not to the same extent as raises. The average percentage bonus was in the mid-teens. 2012 ASPE all rights reserved Page 18

Job concerns in 2011 Respondents were most concerned about a salary freeze or possible layoffs in 2011. Responses Percent of Cases Job concerns in 2010(a) N Percent Job concerns: Possible layoffs 348 19.9% 37.3% Job concerns: Hiring Freeze 204 11.6% 21.9% Job concerns: Salary freeze 450 25.7% 48.2% Job concerns: Salary decrease 105 6.0% 11.3% Job concerns: Outsourcing of job 152 8.7% 16.3% Job concerns: Skill requirements changes 253 14.4% 27.1% Job concerns: Reduced demand for your se 240 13.7% 25.7% Total 1752 100.0% 187.8% a Dichotomy group tabulated at value 1. 2012 ASPE all rights reserved Page 23

Grade of employer's project management practices Most respondents gave their employer middling grades in terms of project management practices, with 70% saying that they would rate them as Fair or Good. Salaries in the United States What factors most influence salaries? One would expect that years of experience, certifications, education level, industry, and regional wage rates would strongly influence average project manager salaries. Because of concentration of respondents in the United States, and the very wide geographic distribution of other respondents, a more detailed salary analysis can only be meaningfully applied to respondents from the United States. Average salary by US region, company size, and industry Three broad variables that have a significant impact on average salaries are the size of the organization, the industry within which it operates, and the region where it is located. Generally, respondents in the Northeast, who worked for the federal government, and for organizations of less than 50 people had the highest salaries. Similarly, those in the South, and who worked for mid-sized organizations or in the non-profit sector had the lowest average salaries. 2012 ASPE all rights reserved Page 26

Company size 1-49 $ 50-99 $ 100-999 $ 1,000-9,999 $ 10,000-49,000 $ 50,000-99,999 $ US Region Northeast Midwest South West Group Total 57125.00 101762.50 119500.00 106872.87 100764.29 165600.00 64000.00 90500.00 96022.12 89065.87 92300.00 99223.13 88926.83 98222.81 94240.60 108135.05 90226.23 90008.07 99550.00 95247.86 107912.50 99088.86 95777.78 92197.50 96369.16 97600.00 89050.00 93583.33 100596.25 97265.81 10,000+ 105510.00 103611.03 101104.91 100234.29 102174.18 Group Total 100984.17 94800.45 93584.17 98554.83 96472.53 Company Agriculture / Mining $ type of. 93573.00 104000.00. 95658.40 business Beverage $ 85000.00... 85000.00 Communications / Media $ Construction / $ Engineering Education $ Energy $ Finance / Banking $ Government $ US Federal Government $ Information Technology $ (IT) hardware Information Technology $ (IT) services Information Technology $ (IT) software Manufacturing $ Medical / Pharma $ Non-profit $ Retail / Distribution / $ Consumer Services, including $ consulting Transportation $ Utilities $ 135500.00 93666.67 72400.00 85721.86 88087.75 105000.00 157500.00 114500.00 108666.67 117692.31 57500.00 87000.00 73333.33 111750.00 86923.08 81000.00 160.00 100250.00 113133.33 98632.86 102800.00 86846.05 96991.58 91908.67 92558.74 89250.00 97916.67 87005.30 93811.71 91350.00 125117.75 110000.00 120000.00 107125.00 116580.92. 82500.00. 114333.33 106375.00 103125.00 99313.76 91690.48 107683.14 100938.54 109507.69 96052.38 90601.43 99378.40 98409.46 92875.00 97477.57 91457.91 94302.43 94509.44 92133.33 112818.18 96599.52 101218.75 100775.74 116000.00 72114.00 88400.00 78500.00 81739.41. 83100.00 99222.22 90987.50 90279.31 85800.00 94860.00 123766.67 97792.52 99987.65. 94000.00 90666.67 84000.00 89000.00. 111006.50 83428.57 80941.71 85787.81 Other 99900.00 100308.73 94180.00 109784.81 101501.10 Group Total 100577.51 94906.74 93740.17 98718.86 96568.64 2012 ASPE all rights reserved Page 27

Reviewing in more detail, it's possible to build a model that analyzes the findings more closely and provides a better understanding of what specific attributes are closely related to increased or decreased salary for American respondents. With the information available it's possible to explain a quarter (R 2 =0.254) of the salary variation. The analysis finds that the biggest predictors of base salary for Project Managers are their job title, their amount of work experience, and their gender. While all variables were analyzed only a subset were found to be predictors. The table below summarizes these effects: Variable Base Amount $74,890 Male $6,069 For every year of paid project management experience Increase (decrease) in base salary when other variables are held constant $1,431 Have a job title of 'Project Manager' -$17,051 Have a job title of 'Senior Manager' or equivalent $12,353 Have a job title of 'Project Lead' -$16,867 Have a job title of 'Senior Project Manager' -$7,461 Work in the IT services industry $9,605 Work in the US federal government $20,060 Work in the medical or pharmaceutical industries $8,884 As in previous years, women, even with the same education, title and experience, tend to have lower salaries than men about $6,100 less per year. As one would expect, increased experience wins a higher salary about $1,400 per year of experience. Those with lower level job titles ( Project Manager ) tend to earn less than those with more senior titles like Senior Manager. Above all, it pays to work in the IT services, medical or pharmaceutical industries, or the federal government. All three of these industries tend to pay significantly more, all other things being equal. 2012 ASPE all rights reserved Page 28