With salaries 35% higher than that of other productive sectors, the software industry does not stop growing. The tech "world" already employs almost the same number of people as the auto industry. Experts consulted by iProfesional.com explain the causes of the "phenomenon"
The strong growth that the computer sector experienced in recent years positioned it "head to head" with the automotive industry in terms of the creation of registered jobs.
The impetus for such a significant expansion came hand in hand with the place that Argentina found in world markets as an export platform for services.
Thus, while the automotive industry (between terminals and auto parts) has 77,362 registered jobs, IT activities (software development and implementation, consulting, program supplies, services related to databases, data processing and support, maintenance and repair services) employ some 76,501 people, according to data from the Ministry of Labor in the first quarter.
So far in 2010, the incorporation of "technological" profiles does not stop growing. The search for professionals in the IT area increased between 40 and 50% between January and October of this year compared to the same period in 2009, according to estimates by the consulting firm Michael Page International Argentina.
In this regard, Daniel Iriarte, Head-Office of the company in Buenos Aires, commented that the data confirms that the Information Technology (IT) area is now becoming one of the most active and dynamic sectors of the regional industry.
According to the executive, among the triggers of the incipient rise in the sector is, in the first place, the technological investment made in the country in the course of the last periods.
Likewise, the advantages that local IT specialists have are relevant, and that are expressed not only through their competitive cost (given the exchange rate) or their cultural similarities with demanding poles in the industry, but also in terms of their professional and academic training.
Meanwhile, Lucia Zunino, Project Leader and selector specialized in the IT area of the consultancy, said that "the computer sector was the one that has grown the most so far in 2010".
Based on the experiences of his client companies, Zunino pointed out that the growing activity and intensity in hiring is a consequence of the significant number of projects that were postponed or "freezados" and that this year were resumed.
The flip side of the phenomenon
However, the flip side of this change is the lack of qualified resources to cover the different positions required by companies, whether multinational or SME.
According to experts, the famous "talent shortage" in the IT market is increasingly felt.
It is that, for example, the number of graduates of the careers linked to Computer Science does not grow at the rate that the industry does. In fact, from the Chamber of Software companies and Computer Services of Argentina (CESSI) warn that from 3,275 (2009) graduates will fall to 2,783 by 2011.
Currently, the following graph details, the bulk of employees in this industry have a complete (38%) or incomplete (31%) university level.
In this sense, the manager of the Finance & IT division of Michael Page, Miguel Carugati, warned that "today it is essential to work according to the increase in the percentage of professionals technically trained and prepared to face the demands of the current market".
The most wanted
Currently, companies are looking for professionals not only oriented to the technical and operational, but also focused on the business, with the ability to link specialized knowledge with aspects related to the budget and the perspective of economic growth of a company.
According to Michael Page, the most requested profiles at the moment are:
1. Specialists who hold managerial positions in the IT area
2. Professionals in the ERP sector (SAP in particular)
3. Staff for the areas of Project Management and Functional Analysts.
According to Zunino, the demand comes from line companies that need to strengthen their Systems areas, but above all from development consultancies that sell their services to both the internal and external markets.
In this last group of companies, the case of Globant, a company dedicated to the creation of software products, is more than illustrative.
So far this year, the firm has recruited about 1,000 new profiles and expects to end 2010 with a total of 2,300 employees. Looking ahead to 2011, the bet is even stronger: its managers estimate to add between 1,500 and 2,000 people to the team.
Speaking to iProfesional.com, Guibert Englebienne, leader of Globant's software product development (CTO) and Human Capital practices, said: "We are looking for professionals with a certain seniority, but also very specific profiles such as, for example, with a lot of knowledge in mathematics or physics to work on the development of animation tools for films.
"He tells us to find this kind of young professional. We are targeting PHP, PhD people or very good programmers," Englebienne admitted.
As part of its expansion, Globant opted this year to "federalize" and regionalize: it opened offices in Tandil, La Plata, Córdoba, Rosario, Chaco, Montevideo and recently in Bogotá, while also doubling its space in Buenos Aires. And, in the short term, the goal will be to land in the United States, creating service delivery centers in Silicon Valley.
Wages
According to data from CESSI, on average the salaries of the software industry are 35% higher than that of other registered productive sectors.
"This bonus that we have been paying grows year by year," said the president of the chamber, Fernando Racca, in a dialogue with iProfesional.com.
And as if this difference were not in itself significant, salary levels are even higher in technology companies and in those whose main business is software development, compared to the Systems areas of line companies.
And even, in some specific cases, the shortage causes a marked arbitrariness when it comes to agreeing on wages.
As shown in the graph below and taking into account the 18% average adjustment that -according to a survey by the consulting firm Mercer- will be granted in the High Tech sector, as of December 2010 the remunerations of the will be:
From Michael Page, Zunino did not hesitate to point out that "salaries in the IT sector are above the market average" and that "in the Companies themselves of Systems are even higher".
"Companies find it very difficult to incorporate a new professional, in the same seniority range, such as senior analyst, with the Finance or Supply Chain area and it impacts them a lot in the remuneration structure, since they have to pay more because they are difficult positions to get in the market", warned the consultant.
In line with data provided by market analysis firm Prince & Cooke, Zunino noted that "remuneration varies according to technology, but the salary of a senior analyst can easily reach $ 8,000 gross, a salary that in other areas corresponds to the levels of leadership."
He added: "In this market, professionals go to interviews knowing that they have the upper hand and that they can get the salary they have in mind. However, this creates mortgages that may end up being paid off in the future."
In this line, Juan Martín Giachino Chavez, director of RH Humans Group, a firm specialized in the selection of IT profiles, said that "as companies that work on the latest IT applications have to ensure the resources to work and meet certain deadlines and projects, they do not speculate with salaries, but offer as much as possible to have the resources."
Like Zunino, the consultant said that "as there is little demand for specialists in new technologies such as .NET and Flex, among others, in many cases it is the same candidates who determine the remuneration to work."
Meanwhile, Verónica Contin, Human Resources selector also an expert in IT profiles, said that "among these profiles, speculation often comes into play."
He added: "To accept a position, candidates usually establish requirements such as four weeks of vacation, part-time work for the same salary as full time, annual bonus, short-term growth prospects and even the condition that the distance from work to home does not exceed ten blocks or within the same neighborhood where you reside."
Source: iprofesional.com
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