benchmarking the bc profession presented by: cheyene haase of

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Benchmarking the BC Professio Benchmarking the BC Professio Presented by: Cheyene Haase of BC Management, Inc. Evaluating the Budgets, Reporting Structure, Personnel & Compensation

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Page 1: Benchmarking the BC Profession Presented by: Cheyene Haase of

Benchmarking the BC ProfessionBenchmarking the BC Profession

Presented by: Cheyene Haase of BC Management, Inc.

Evaluating the Budgets, Reporting Structure,

Personnel & Compensation

Page 2: Benchmarking the BC Profession Presented by: Cheyene Haase of

Introduction to BC Management, Inc.Introduction to BC Management, Inc.

Founded in March 2000. Headquartered in Irvine, CA. An executive search firm exclusively placing business

continuity, disaster recovery, information security and emergency management professionals internationally.

Confidential assistance in personnel placing. Free e-Newsletter detailing Top Talent & Current Job

Openings. Annual BC/DR salary and BC program review. Benchmarking individual companies on salary and

BC program review.

Page 3: Benchmarking the BC Profession Presented by: Cheyene Haase of

Topics of PresentationTopics of Presentation

Evolution of the Business Continuity Field.

Progression to Today’s BC Professional.

Profiling Today’s Business Continuity Professional.

Progression BC Program Planning.

Budgetary Issues.

Evaluating Personnel.

Where Should the BC Program Report?

Evaluating Compensation – National and Local.

Page 4: Benchmarking the BC Profession Presented by: Cheyene Haase of

The Evolving Business Continuity FieldThe Evolving Business Continuity Field

Contingency planning has become an enterprise focus integrating business and technology under one umbrella.

Evaluating where BCP reports to within an organization.

Blending and integrating business continuity with information security, risk management or emergency management.

Changing regulations to abide by.

Global awareness is becoming a top focus.

Page 5: Benchmarking the BC Profession Presented by: Cheyene Haase of

Progression of BC Careers over TimeProgression of BC Careers over Time

Technology Driven 1970’s – 1998• “Disaster Recovery”

• Data Processing/ Data Center focus

• Majority of careers not exclusively focused on DR

• Technology leads to a DR career

Business Driven 1998 – Present• ”Contingency Planning”

• Risk Management focus

• Exclusively focused on BC (BC Analyst – BC Global Manager)

• Many paths lead to a BC career

Page 6: Benchmarking the BC Profession Presented by: Cheyene Haase of

Profiling Current BC ProfessionalsProfiling Current BC Professionals

27% of BCP Personnel are Planners, Coordinators, Administrators, 30% are Managers, AVPs and Project Managers, 13% are VP/Directors, 4% are Global Managers and 2% Chief Officers.

37% BC, 20% DR & 5% each Crisis Mgmt, Emergency Mgmt, & Project Mgmt.

25% in Financial industry, 15% Consulting, 8% Insurance.

35% - 21-30 yrs Working Experience.

45% - 4-10 yrs Field Experience.

66% - IT Expertise of 5-8 (scale of 1-10 with 10 being the highest)

Page 7: Benchmarking the BC Profession Presented by: Cheyene Haase of

Progression in BC Program PlanningProgression in BC Program Planning

2005 BC Program 1% - No BCP Plan 9% - Currently

Developing BC Plans 10% - IT (DR) Plans Only 38% - Select

Departments Only 40% Full Corporate-wide

BCP Program

2006 BC Program 5% - No BCP Plan 11% - Off-site DR Only 21% - Assessing BC

and/or DR Planning 29% - Conducting BIA &

Risk Assessments 41% - Currently

Developing BC Plans 21% - IT (DR) Plans Only 43% - Select

Departments Only 40% Full Corporate-wide

BCP Program

Page 8: Benchmarking the BC Profession Presented by: Cheyene Haase of

Evaluating the BCP BudgetEvaluating the BCP Budget

2005 BCP Budget 20% - Under $250K 15% - $250-$500K 16% - $500K-$1M 20% - $1-$5M 6% - $5-$10M 4% - $10-$50M 2% - Over $50M

2006 BCP Budget 16% - Under $100K 17% - $100-$250K 15% - $250-$500K 18% - $500K-$1M 20% - $1-$5M 7% - $5-$10M 5% - $10-$50M 2% - Over $50M

Page 9: Benchmarking the BC Profession Presented by: Cheyene Haase of

Change in BCP Budget?Change in BCP Budget?

2005 Budget Change 47% - No Change in

BCP Budget

43% - Increase in BCP Budget

10% - Decrease in BCP Budget

2006 Budget Change 45% - No Change in

BCP Budget

35% - Increase in BCP Budget

6% - Decrease in BCP Budget

14% - Not Sure

Page 10: Benchmarking the BC Profession Presented by: Cheyene Haase of

Where Should the BC Program Report?Where Should the BC Program Report?

Culture Assessment.

What does your company value?

What may be beneficial to one company may not be beneficial for your company?

Breakdown – Where does BC reportaccording to BC Management’s Annual Survey Review?

Page 11: Benchmarking the BC Profession Presented by: Cheyene Haase of

2005 BCP Reporting2005 BCP Reporting

26.1% - Corporate 16% - Risk

Management 9.6% - Information

Security 30.5% - Information

Technology 2.5% - Strategic

Planning 5.3% - Facilities

Management

0.8% - Physical Security 1.2% - Audit/

Compliance 1.2% - Finance 2.2% - Operations 1.1% - Individual

Departments 0.5% - Legal 0.5% - HR 2.5% - Other

Page 12: Benchmarking the BC Profession Presented by: Cheyene Haase of

2006 BCP Reporting2006 BCP Reporting

7% - Corporate 10% BC/DR Office 10% - Risk

Management 10% - Information

Security 34% - Information

Technology 1% - Strategic Planning 3% - Facilities

Management

2% - Physical Security 1% - Audit/ Compliance 4% - Finance 7% - Operations 3% - Individual

Departments 1% - Legal Counsel 1% - HR 2% - Assurance 4% - Other

Page 13: Benchmarking the BC Profession Presented by: Cheyene Haase of

Increasing BCP PersonnelIncreasing BCP Personnel

Year Full-time Part-time2005 29% 13%2006 35% 16%

# of Potential Hires for 2006 Full-time Part-time

1 42% 44%2 20% 17%3 7% 4%4 6% 6%5 6% 7%6 2% 2%7 1% 1%8 1% 1%9 1% 2%

10 6% 7%11-15 2% 1%16-20 3% 3%

More than 20 3% 5%

Hiring Plans for BC/DR/EM Employees

Hiring Plans for 2006 (Those Seeking to Hire)

Page 14: Benchmarking the BC Profession Presented by: Cheyene Haase of

Evaluating Compensation

What is the value of a BC Professional?

$ Years of Field Experience

$ Job Title

$ Certification

$ Degreed

$ IT Expertise

$ Project Management

$ Leadership Capabilities

$ Staff Management

$ Intangible Skills – Soft Skills, Strategic Planning

Page 15: Benchmarking the BC Profession Presented by: Cheyene Haase of

National Compensation Review

Page 16: Benchmarking the BC Profession Presented by: Cheyene Haase of

Average Total FTE Compensation by Years of Field Experience - USA

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

Years of Field Experience

Tota

l Com

pens

atio

n

2005 Comp $80,515 $82,561 $95,901 $102,995 $102,018 $110,308 $100,750

% of Resp 18% 20% 22% 15% 12% 7% 6%

1-3 yrs 4-6 yrs 7-10yrs 11-15 yrs 16-20 yrs 21-25 yrs 26+ yrs

Page 17: Benchmarking the BC Profession Presented by: Cheyene Haase of

Average Total FTE Compensation by IT Expertise - USA

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

IT Expertise (Least to Greatest) - Self Evaluated

Tota

l Com

pens

atio

n

2005 Comp $75,643 $75,716 $87,424 $86,010 $87,965 $90,008 $98,620 $97,722 $113,641 $99,366

% of Resp 1% 3% 10% 7% 14% 13% 23% 18% 6% 5%

1 2 3 4 5 6 7 8 9 10

Page 18: Benchmarking the BC Profession Presented by: Cheyene Haase of

Average Total FTE Compensation by Degree - USA

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

Degree

To

tal

Co

mp

en

sati

on

2005 Comp $84,180 $85,735 $93,586 $102,641 $112,256

% of Resp 11% 17% 44% 25% 2%

High School Associate Bachelor MasterPhD/

Doctorate

Page 19: Benchmarking the BC Profession Presented by: Cheyene Haase of

Local Compensation Review

Page 20: Benchmarking the BC Profession Presented by: Cheyene Haase of

Profiling of Local RespondentsProfiling of Local Respondents

59 Respondents in southern CA (49 full-time employees & 10 independent contractors)

5.3% of total survey respondents (1,102 Permanently Full-time employed respondents from the United States.)

Breakout of industry respondents:

21 - Financial/ Banking 7 - Professional Consulting 4 - Manufacturing 3 - Biotechnology, Government, Healthcare, 2 - Entertainment, Insurance, Mortgage & Utilities 1 – Brokerage/ Investment, Computer Software,

Internet, IT Services, Logistics, Non-Profit, Retail, Telecommunications, Transportation & Other

Page 21: Benchmarking the BC Profession Presented by: Cheyene Haase of

Profiling of Local RespondentsProfiling of Local Respondents

1 – Entry-level/ Analyst 16 – Planner/ Coordinator/ Administrator 18 – Manager/ AVP/ Project Manager 5 – VP/ Director 1 – Global Manager 10 – Independent Contractors 3 – Other 5 – Professional Services

4 – Sr. Consultant 1 – Sr. Manager/ Director

Page 22: Benchmarking the BC Profession Presented by: Cheyene Haase of

Profiling of Local RespondentsProfiling of Local Respondents

40% Business Continuity 23% Disaster Recovery 8% Emergency Management 6% Project Management 4% Information Technology 3% Audit, Compliance & Crisis Management 2% Health & Safety & Information Security 1% Change Management, Facilities, High Availability,

Physical Security, Records Management, Risk Management & Other

Page 23: Benchmarking the BC Profession Presented by: Cheyene Haase of

Profiling of Local RespondentsProfiling of Local Respondents

Average of 7-10 years field (BC/DR) experience.

Average of 26-30 years work experience. Average travel is less than 25%. Majority are degreed professionals

3 – HS, 12 – AD, 26 - Bachelor, 14 – Master, 4 - Doctorate

Average IT expertise rating of 4.7 (scale of 1-10 with 10 being the highest).

11 respondents changed jobs in 2005.

Page 24: Benchmarking the BC Profession Presented by: Cheyene Haase of

Profiling of Local RespondentsProfiling of Local Respondents

68% of respondents are certified (62% of those certified are CBCP certified)

Number of Certifications 21 – 1 Certification 10 – 2 Certifications 4 – 3 Certifications 3 – 4 Certifications 1 – 5 Certifications 1 – 6 Certifications

Page 25: Benchmarking the BC Profession Presented by: Cheyene Haase of

Profiling of Local RespondentsProfiling of Local Respondents

Breakout of certifications 25 – CBCP 7 – CERT 5 – ABCP 4 – NIMS & PMP 3 – CRP, CEM & CISSP 2 – LDRPS & CPA 1 – CHMM, CISA, CISM, CIA, CCSA, ACP & Six Sigma -

Green 6 respondents attributed a salary increase to receiving their

certification. Average increase in salary - $4,250 Maximum increase in salary - $10,000 Minimum increase in salary - $1,000

Page 26: Benchmarking the BC Profession Presented by: Cheyene Haase of

BCP Salaries Increased LocallyBCP Salaries Increased Locally

Average Base Average Bonus Average Total2004 $83,971 $13,315 $93,3192005 $88,692 $16,175 $100,048

Minimum Base Average Base Maximum Base2004 $12,000 $83,971 $170,0002005 $12,000 $88,692 $170,000

Page 27: Benchmarking the BC Profession Presented by: Cheyene Haase of

Bonus Payout Locally in 2004Bonus Payout Locally in 2004

33 respondents received bonuses both in 2004 and 2005.

The breakout for those who received bonuses.

Minimum Bonus Average Bonus Maximum Bonus2004 $1,500 $13,315 $70,0002005 $1,500 $16,175 $100,000

Page 28: Benchmarking the BC Profession Presented by: Cheyene Haase of

Profiling for Local BCP Profiling for Local BCP Planners/ Coordinators/ AdministratorsPlanners/ Coordinators/ Administrators

16 Local Respondents (9 – Financial, 2 – Mortgage & 1- Brokerage/ Investment, Manufacturing, Internet, Government & Healthcare) 36% Business Continuity 20% Disaster Recovery 8% Project Management 7% Emergency Management 5% Compliance 4% Crisis Management 3% Health & Safety & Other 2% Audit, Change Management, Facilities, High

Availability, Information Technology, Risk Management 1% Physical Security & Records Management

Page 29: Benchmarking the BC Profession Presented by: Cheyene Haase of

Profiling for Local BCP Profiling for Local BCP Planners/ Coordinators/ AdministratorsPlanners/ Coordinators/ Administrators

Average of 7-10 years field (BC/DR) experience. Average of 21-25 years work experience. Previous career: 6-Other, 4-IT, 1-Health & Safety,

Emergency Mgmt, Project Mgmt, Information Security, Facilities & Government (other).

Less than 25% average travel. 2 - High School, 3 - Associate, 9 - Bachelor, 1 -

Master & 1 - Doctorate. Average IT expertise rating of 4.2 (scale of 1-10 with

10 being the highest). 2 respondents changed Jobs in 2005.

Page 30: Benchmarking the BC Profession Presented by: Cheyene Haase of

BCP Salaries Increased for Planners/ BCP Salaries Increased for Planners/ Coordinators/ AdministratorsCoordinators/ Administrators

Average Base Average Bonus Average Total2004 $68,737 $9,712 $74,2872005 $74,286 $10,667 $81,143

Minimum Base Average Base Maximum Base2004 $43,000 $68,737 $92,5002005 $50,000 $74,286 $97,500

Page 31: Benchmarking the BC Profession Presented by: Cheyene Haase of

Bonus Payout for Planners/ Bonus Payout for Planners/ Coordinators/ AdministratorsCoordinators/ Administrators

8 Respondents received bonuses in 2004 while 9 respondents received bonuses in 2005.

Minimum Bonus Average Bonus Maximum Bonus2004 $3,000 $9,712 $25,0002005 $3,000 $10,667 $30,000

Page 32: Benchmarking the BC Profession Presented by: Cheyene Haase of

Profiling for Local BCP Profiling for Local BCP Managers/ AVPs/ Project ManagersManagers/ AVPs/ Project Managers

18 Local Respondents (6 – Financial, 2 – Manufacturing, Insurance & Biotechnology & 1 – Entertainment, Healthcare, Telecommunications, Logistics, Utilities & Other) 45% Business Continuity 23% Disaster Recovery 7% Information Security 6% Emergency Management 4% Compliance 3% Crisis Management & Project Management 2% Facilities, Health & Safety & Risk Management 1% Audit & Records Management

Page 33: Benchmarking the BC Profession Presented by: Cheyene Haase of

Profiling for Local BCP Profiling for Local BCP Managers/ AVPs/ Project ManagersManagers/ AVPs/ Project Managers

Average of 7 - 10 years field (BC/DR) experience. Average of 21 - 25 years work experience. Previous career: 5-IT, 3-Health & Safety, 2-Business

Analyst, Project Management & Other & 1-Audit, Information Security, Physical Security & Military.

Less than 25% average travel. 1 – High School, 4 – Associate, 7 – Bachelor & 6 –

Master degree. Average IT expertise rating of 5 (scale of 1-10 with 10

being the highest). 6 respondents changed Jobs in 2005.

Page 34: Benchmarking the BC Profession Presented by: Cheyene Haase of

BCP Salaries Increased for Managers/ BCP Salaries Increased for Managers/ AVPs/ Project ManagersAVPs/ Project Managers

Average Base Average Bonus Average Total2004 $85,350 $8,228 $91,7492005 $90,583 $10,105 $98,443

Minimum Base Average Base Maximum Base2004 $46,000 $85,350 $106,0002005 $48,000 $90,583 $116,000

Page 35: Benchmarking the BC Profession Presented by: Cheyene Haase of

Bonus Payout for Managers/ AVPs/ Bonus Payout for Managers/ AVPs/ Project ManagersProject Managers

14 Respondents received bonuses in both 2004 and 2005.

Minimum Bonus Average Bonus Maximum Bonus2004 $1,500 $8,228 $14,0002005 $1,500 $10,105 $15,774

Page 36: Benchmarking the BC Profession Presented by: Cheyene Haase of

Profiling for Local BCP Profiling for Local BCP VPs/ DirectorsVPs/ Directors

5 Local Respondents (3 – Financial, 1 – Entertainment & Retail) 44% Business Continuity 28% Disaster Recovery 20% Audit 6% Physical Security 2% Crisis Management

Page 37: Benchmarking the BC Profession Presented by: Cheyene Haase of

Profiling for Local BCP Profiling for Local BCP VPs/ DirectorsVPs/ Directors

Average of 11 - 15 years field (BC/DR) experience. Average of 31 - 35 years work experience. Previous career: 2-Project Management & 1-

Information Technology, Health & Safety & Other. Less than 25% average travel. 2-Associate, 2-Bachelor & 1-Master Average IT expertise rating of 5 (scale of 1-10 with 10

being the highest). 1 respondent changed Jobs in 2005.

Page 38: Benchmarking the BC Profession Presented by: Cheyene Haase of

BCP Salaries Increased for BCP Salaries Increased for VPs/ DirectorsVPs/ Directors

Average Base Average Bonus Average Total2004 $126,200 $34,000 $160,2002005 $130,400 $42,500 $172,900

Minimum Base Average Base Maximum Base2004 $112,000 $126,200 $170,0002005 $118,000 $130,400 $170,000

Page 39: Benchmarking the BC Profession Presented by: Cheyene Haase of

Bonus Payout for Bonus Payout for VPs/ DirectorsVPs/ Directors

All Respondents received bonuses both in 2004 and in 2005.

Minimum Bonus Average Bonus Maximum Bonus2004 $11,000 $34,000 $70,0002005 $12,000 $42,500 $100,000

Page 40: Benchmarking the BC Profession Presented by: Cheyene Haase of

QuestionsQuestions

??BC Management, Inc.Phone: (888) 250-7001Website: www.bcmanagement.com