In the next few weeks, we’ll be publishing the 20th Edition Global BCM Compensation Report. In light of this exciting news, I thought it might be worthwhile to provide a sneak peek into the interesting data findings from this year’s report as well as focus on competencies that are in an all-time high demand by our clients. First, thank you to everyone who participated in the survey, our advisory board and everyone from the BC Management / Castellan Solutions team for their efforts in developing this valuable report. Also, a special thank you to the Business Continuity Institute (BCI) for partnering with BC Management on this very important research endeavor. For those who have not participated, you may still contribute to the study to obtain a BCM Peer Compensation Dashboard (customized by job title or years of BCM expertise). The complimentary report and customized BCM Peer Compensation Dashboards will be published in April.
Now let’s jump right into the data findings!
The average global base compensation for all study respondents who noted full-time, permanently employed was $125,925 USD, which was a sizeable increase of 13% from the year before. The distribution of global annual base compensations started at $25,983 USD and went up to $380,000 USD. Additionally, those who noted independent, fixed-term contract consultants also got a bump up in their annual compensation with a global average of $123,809 USD (up 16% from 2021). Independent consultants also noted an average low hourly rate of $116 USD (up 26% from 2021) and an average high hourly rate of $185 USD (up 21% from 2021). Professionals from 39 countries contributed to the study, thus it is important to note that all compensations were converted to the US dollar currency for alignment in reporting purposes. Additionally, BCM compensation dashboards will be distributed to study participants in the following currencies (CAD, Euro, GBP, and USD). Additional dashboards may still be developed in other currencies based on the responses received up until when the study closes on November 30, 2022.
What were some of the most interesting data findings….?
Compensation by Experience:
One of the most significant contributing factors impacting your earning potential is years of experience. The dilemma for many hiring managers when looking to hire is that many professionals are dedicated in another discipline before settling into the Business Continuity/ Resiliency/ Crisis Management profession. For this reason, our report assesses not only compensation by years of Business Continuity (or related discipline) expertise, but also by total years of working experience. There are several transferrable skills that are learned earlier in one’s career and utilized in Business Continuity Management (BCM); such as program management, time management, etc. The report highlights that 74% of professionals have over 20 years total work experience while only 19% indicate the same for BCM. The average base compensation globally for professionals with 1-3 years BCM experience is $88,782 USD while those with 26+ years BCM expertise reported a global average base of $144,135 USD.
Compensation by Job Title:
Job focus is another important factor impacting your earning potential. Our study provided generic job definitions to provide conformity for reporting purposes as a Business Continuity Program Manager may have different levels of responsibilities between different organizations. (The job title definitions used within the study will be included in the appendix of the complimentary report.) The data highlighted that compensations increased from an “Entry-level/Analyst” (global average base of $83,499 USD) to a “Chief Officer” (Chief Risk Officer, Chief Security Officer or another similar role managing the BCM program) noting a global average base of $252,680 USD. Most of the respondents indicated “Manager/AVP/Program Manager” at 25% while 1% noted “Entry-Level/Analyst” and 1% were a “Chief Officer”.
Compensation by Real World BCM Skills:
Real world program management skills are in an all-time high demand by our hiring managers. Let’s assess further. Managing Business Continuity planning efforts and response to events globally can be a challenge and organizations are willing to compensate for this expertise. The data highlighted that 28% either do not have this level of expertise or it doesn’t apply to the organizations they’ve worked for. In comparison, 24% have 10+ years global Business Continuity planning expertise and these individuals on average may out earn others by more than 33%. Activating a program/ plans in response to a crisis is inevitable. Our data shows that those professionals in senior leadership roles will tend to be more experienced in this arena with 47% having to activate a program during a crisis 10+ more times compared to all study respondents at 36%. This responsibility not only involves proven expertise and significant knowledge, but also situational awareness and emotional intelligence. There are also professionals who thrive in crisis management roles and those who prefer a governance focused position. Designing and implementing a Business Continuity program from the ground up in addition to developing and rolling out a training program across the organization seems to be an opportunity that few professionals experience multiple times. It wasn’t unexpected when the data highlighted that 29% of the most senior professionals (VP and higher) have done so 5+ times.
Compensation by Leadership Expertise:
Being a leader within the BCM profession will not only impact your earning potential but open up opportunities. The data highlighted that those professionals who step out of their comfort zone with presenting at industry related events may on average out earn their counterparts who choose not to present by over 27%. Additionally, only 17% have presented more than 10 times. Surprisingly, 32% of the respondents have never presented. The data also highlighted that many professionals have never served on an industry related board (62%), but for those who have served on a board usually do so for 1 – 5 years (25%). It is important to note that anyone can develop their leadership skills at any point of their career. One doesn’t need to wait until they have 10+ years’ experience and it’s never too late.
Compensation by Degree:
The data also highlighted that just over 79% of the respondents have obtained an advanced degree, which was similar to the previous years. The earning potential increased from a High School Diploma (global average base of $118,473 USD) to a Masters Degree or equivalent (global average base of $134,533 USD). Additionally, it is common for only a few respondents to note a doctoral degree (1%). Overall few respondents (14%) received an advanced degree related to Business Continuity/ Resiliency planning. When reviewing the data in more detail we discovered that a majority of these professionals were based in the USA (65%), 77% were men, a majority worked as either a Manager/ AVP/ Program Manager (26%) or a Subject Matter Expert (13%), and 57% had been working in Business Continuity for 10 years or less.
Compensation by Certification:
Assessing how certification impacts earning potential continues to be an interesting trend as an increased number of Business Continuity professionals seek one or more certifications to maintain their marketability in a strong labor market. Hiring managers desire a strong level of subject matter expertise to manage their Business Continuity programs. As a result, job descriptions state certifications as a strong preference or requirement. Hiring managers continue to depend on certifying bodies to verify and endorse a professional’s knowledge and credentials, even though the employment market favors the job seeker. The data highlighted that 83% of the professionals have obtained a certification that is currently in good standing and a majority of professionals have obtained multiple certifications (59% permanently employed and 60% independent contractors). The complimentary report reviews earning potential for the most popular certifications within the BCM profession.
Our 2022 report also assesses earning potential by geography, gender, ethnicity, and secret clearance. Additionally, those professionals who confidentially contribute to our annual study receive a BCM Peer Compensation Dashboard (customized by job title or years of BCM experience). Not only do our customized dashboards provide an assessment by peer groups, but there is also a deeper dive into several data points not covered in the complimentary report. The dashboards will also continue to appreciate in value as responses from all new participants will auto-populate into the current and future dashboards. It is still not too late to contribute to receive your customized BCM Peer Compensation Dashboard….
Year over year, we strive to bring critical information to the Business Continuity profession and to increase the understanding of the analytical underpinnings of our industry. As we continue our efforts to advance the knowledge, insights, and value our business provides to the maturity of our industry, we know that to that end, the attraction of the very best talent and the focus on their retention, growth, coaching, and professional mentoring is of key importance. We advise professionals, when reviewing our compensation data, to identify where they stand in each of the data charts, and to take an average of those numbers to determine an appropriate compensation target range. One factor alone will not dictate your salary. We hope you find this report valuable. And as always, we are here to help. Please do not hesitate to contact us with any questions you might have. Arrange a complimentary discussion today at info@bcmanagement.com.