V S C Vt Software Forum

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VSC Workforce & Business Development Network

Software Development Industry Forum

May 2007

Vermont State Colleges 2007

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Introduction

The Vermont State College Workforce and Business Development Network represents more than 40 full-time staff and trainers, plus an additional 40 to 50 part-time consultants focused on improving the bottom line of our partners. Every year, the network interacts with close to 18,000 Vermonters and provides 150,000 hours of instructional time.

A major component of VSC Workforce and Business Development Network mission is to support the development of the states and regions business and industry community through direct service and through the production of graduates trained to meet the workforce requirements necessary for continued economic growth in the state.

In March 2007, an Software Development Industry Workforce Advancement Forum sessions was conducted additional information was captured via one-on-one phone interviews.

The dialogue process included a review of current and future workforce requirements that can be met through the provision of quality degree, certificate, and training programs that produce well-trained and skilled graduates to support the growing Software Development sector needs of the state of Vermont.

In the coming months, the Vermont State College Workforce and Business Development Network will partner with the industry to determine specific advancement steps to enhance the future labor pool and to improve the efficiency of current employers.

-Allan Rodgers

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Software Industry Participants

Rick Lunt – Dynamic Business SolutionsMike Bethel – Castleton State CollegeCraig Damon – VTC, Software Engineering and IT programsGerald Ghazi – Vermont HITEC, Inc.Joe Golden – Green Mountain LinuxChris Johnson – Technical ConnectionsGreg Brand – BlueHouse GroupDavid Parker – Dealer.comChris Marcus – CONIX SystemsMelissa Dever – Competitive ComputingCarl Lorentson – Renaissance Info. Systems

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Overview

– This summary of findings contains a statistical analysis based on individual interviewee responses to direct questions, ensuing informal discussions, and conclusions drawn from the responses.

– Each person who participated in the forum was assured that his/her comments would be treated in confidence, and that any quotations used in this summary would not be attributed to any specific respondent.

– An analysis of responses is provided for each question, including a graph, data table, and/or representative respondent quotations.

– Statistics are based on the total number of interviewees who offered opinions in response to each question. Percentages are rounded to the nearest whole number.

Methodology

– Participants were asked a series of questions in a closed response format followed by a group discussion and closed confirmation to identify ways in which the college’s academic programs, career services, and corporate and professional programs could better serve local businesses and agencies.

– Data Collection Steps:– Question Review– Individual Brainstorming of Answer: Individual Answer Written

on Data Card– Consideration

– Individual Sample Answers– Group Feedback – Open Discussion– Answer Conclusion

– Individual Revision of Answer Written on Data Card– Data Card Collection and Advance to Next Question

– Phone participants were asked the questions in a one on one interview.

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Industry Challenges

What are the top three challenges facing Vermont’s Software Development industry over the next three years?

Analysis

Q1.

* Percentage is calculated by dividing the number of responses by the total number of participants responding to the question (n=11).

Rank Responses Frequency Percent

1Building a large enough labor pool of qualified candidates 5 45%

2Attracting software development and support professional to the state 4 36%

3Lack of access to capital to support new development and growth of the industry 4 36%

4Insuring a large enough number of software companies in the region to build and industry with critical mass 3 27%

5Promoting and cunitued support of the overall growth of the software development industry 3 27%

6

Building community awareness and image of the industry and current and future potential impact on the state 2 18%

7

Insuring a proper information technology and communication infrastructure to support the industry is in place 2 18%

8Keeping pace with the changes in technology and equipment 2 18%

9Meeting the competitive and business model challenges of moving to a global economy 2 18%

10Enhancing the image of the industry with state and local government leaders 2 18%

11 Insuring broadband and internet capacity to the home 2 18%

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Industry Expansion

How do you see your organization expanding over the next three years?

Analysis


Q2.


1Developing current intellectual properties into sellable products 5 45%

2Growth is dependent on the organization's ability to recruit additional employees 4 36%

3 Entering new geographic markets out side of the state 3 27%4 Capturing new clients by increasing marketing efforts 3 27%5 Expanding service offerings 2 18%

6Specialization of services and niche market development 2 18%

7 Increasing collaboration with other software developers 2 18%

8Managing the changes in business models and economic cycles 1 9%

9 Development of new languages and skills 1 9%10 Increasing web based products and services 1 9%

11 Development of new value added services or partners 1 9%12 No growth is currently projected 1 9%

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Technological Challenges

What are your organization’s top three operational challenges?

Analysis


Q3.


1 Expanding marketing and sales efforts 6 55%2 Recruitment of new employees 5 45%3 Management of he growth of the organization 5 45%4 Increasing government regulations and mandates 4 36%

5Profit margin pressures due to increased competition (local, national and global) 4 36%

6Training of current employees to keep pace with innovations 3 27%

7Maintaining corporate culture and motivating employees 2 18%

8 Escalating healthcare and salary costs 2 18%

9Tax levels and policies in the state that are unfriendly to business 1 9%

10Changing demographics of the state due to aging workforce 1 9%

11 Management of national and global business cycles 1 9%12 Limited air travel in Vermont 1 9%

13States poor ground transportation and communication infrastructure 1 9%

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What are your organization’s top three information technology challenges?

Analysis


Q4.


1

Value of the software development industry and information technology not being recognized by other business leaders and government leaders 5 45%

2Lack of availability of a pool of qualified software employees 5 45%

3Broadband access and costs to business locations as well as to the home 4 36%

4 Cost of keeping pace with technology and equipment 3 27%5 Cyber security maintenance and updating 3 27%

6Insuring efficient and effective use of software programming 3 27%

7Dependable and access of communication and information technology systems 3 27%

8 Training and professional development needs 3 27%

9Recruitment and retention of employees with proper technical and soft skill sets 1 9%

10 Website development, maintenance, and security 1 9%11 No major challenges currently 1 9%

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What are the top three energy issues that are impacting your organizations competitive efforts?

Analysis

Q5.


Rank Responses Frequency Percent1 Increasing prices fluctuations are difficult to manage 6 55%2 High cost of electricity 5 45%

3Need to become knowledgeable of conservation techniques and taxation issues 4 36%

4Increased fuel cost are impacting employees willingness to commute 3 27%

5High heating cost compared to other parts of the county make it difficult to attract companies to the state 2 18%

6 Limited impact on organization 2 18%7 Increasing environmental concerns 2 18%

8Changes in day light savings time impacting the industry 2 18%

9 No major challenges currently 1 9%

10Leaders not understanding the pass on costs to business and industry of policy changes 1 9%

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Employee Shortages

What are your top three concerns with the region’s employment climate and its effect on the industry?

Analysis

Q6.


1 Scarcity of qualified applicants in the labor pool 8 73%

2High tax rates and cost of living make it hard to recruit employees to the state to the region 6 55%

3Schools not producing enough graduates to meet industry needs 4 36%

4 Aging workforce 3 27%5 Increasing turn over rates as employees "job jump" 3 27%

6Increasing trend to outsourcing of operations outside of Vermont 3 27%

7Increasing cost of recruitment and longer new employee orientation 3 27%

8Perception that the state does not have a significant software development industry 3 27%

9 Increasing salary costs 2 18%

10Young not interested in working or career advancement 2 18%


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Employee Shortages

What are the top three job areas in which the industry is facing the most severe employee shortages?

Analysis

Q7.


1 Software engineers 6 55%2 Web developers 5 45%3 System administrators 5 45%4 Programmers 4 36%5 Cyber security 3 27%6 Business administration 2 18%7 Database management 2 18%8 Search engine analyst 2 18%9 Client business solution managers 2 18%

10 Project managers 1 9%11 Cisco certified 1 9%12 Virtual office administrators 1 9%13 Business analyst 1 9%


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Labor Pool: Labor Level Candidates

Do you anticipate industry in the region having a large enough pool of qualified software technical skill candidates from which to draw employees in the next 18 months? In the next 3 years?

Analysis

Q8.


0%

20%

40%

60%

80%

100%

18 Months 36 Months

No

Somewhat

Yes

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Labor Pool: Skilled Craftsman Candidates

Do you anticipate industry in the region having a large enough pool of qualified computer hardware technician skilled candidates from which to draw employees in the next 18 months? In the next 3 years?

Analysis

Q9.


0%

20%

40%

60%

80%

100%

18 Months 36 Months

No

Somewhat

Yes

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Labor Pool: Technical Trade Candidates

Do you anticipate industry in the region having a large enough pool of qualified network technician candidates from which to draw employees in the next 18 months? In the next 3 years?

Analysis

Q10.

0%

20%

40%

60%

80%

100%

18 Months 36 Months

No

Somewhat

Yes


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Labor Pool: Qualified Supervisory Candidates

Do you anticipate industry in the region having a large enough pool of qualified supervisory-level candidates from which to draw employees in the next 18 months? In the next 3 years?

Analysis

Q11.


0%

20%

40%

60%

80%

100%

18 Months 36 Months

No

Somewhat

Yes

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What top three areas of improvement are most important in helping technical skilled software development employees become more effective in their jobs? What degree or certification (s) do you feel are most important in a networking employee’s career development?

Analysis


Q12.


1 Problem solving and critical thinking 6 55%2 Team building and team work 5 45%3 Client management and customer service 4 36%4 Professionalism and workplace behavior 4 36%5 Cyber security 3 27%6 Project and time management 2 18%7 Communication skills (written and oral) 2 18%8 Windows administration 2 18%9 Linux 2 18%

10 Reuter fundamentals 2 18%11 Promote a willingness to learn 2 18%12 Public speaking 1 9%13 Networking design 1 9%

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Labor Pool: Qualified Supervisory Candidates

Do you anticipate industry in the region having a large enough pool of qualified professional non-computer technical skilled candidates from which to draw employees in the next 18 months? In the next 3 years?

Analysis

Q13.

0%

20%

40%

60%

80%

100%

18 Months 36 Months

No

Somewhat

Yes


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Internships and Apprentice Program

Do you feel that students should participate in internship / apprentice programs prior to graduating?

Analysis

Q14.

0%

20%

40%

60%

80%

100%

Yes Somewhat No


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Internships and Apprentice Program

Would your organization be willing to provide internships, apprenticeship or mentoring opportunities to VSC students?

Analysis


Q15.

0%

20%

40%

60%

80%

100%

Yes Somewhat No

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Partnering

What three areas do you believe that “partnering” with the college can improve your industry and your organization’s chances or success?

Analysis


Q16.


1Building awareness of career opportunities and the industry in general 6 55%

2Increasing the labor pool of software developer employee candidates 6 55%

3Offering special topics to provide professional development 5 45%

4Curriculum development and new program areas to meeting emerging industry needs 4 36%

5Enhancing software developers marketing techniques and skills 3 27%

6Employability, professionalism, work ethic and behaviors 3 27%

7Promoting further software development industry partnering with colleges and k-12 3 27%

8 Workforce training programs 3 27%9 Internship and mentoring program expansion 3 27%

10 Hosting software professional development seminars 3 27%

11Improving new and current employee's communication skills 2 18%

12Assist in planning to productive current intellectual properties 2 18%

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About This Report

This report was supported through a collaboration between the Vermont State Colleges, the State of Vermont and members of the Vermont software developer’s community.

For additional information or questions please contact:

Linda RossiProject ManagerStrategic Projects and Business DevelopmentVermont Small Business Development Center(802) [email protected]

- or –

Allan RodgersDirectorVSC Workforce & Business Development Network(802) 879 [email protected]

Vermont State Colleges 2007