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AS400 Administrator Competitive Position Market Report

Title Page

Preliminaries Table of Contents Copyright, Address and Disclaimers Welcome Letter Salary Characteristics of the Job Market Characteristics of the Sample Data Sample Salary and Experience Averages and Variance Equation of the Expected Salary Offer Expected Salary Offer for Each Year of Required Experience Standard When Financial is listed in a want ad When Operator is listed in a want ad When Operator and Financial is listed in a want ad Extreme Salary Offers Entry Level 1 Year of Required Experience 2 Years of Required Experience 3 Years of Required Experience 4 Years of Required Experience Reference Graph Reference: Expected Salary Offer per Year of Experience Graph Reference: Extreme Salary Offers Statistical Test Results 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

Copyright 1997, 1998 by Whole Root Economic Research, Inc. All rights reserved. Whole Root Economic Research, Inc P.O. Box 603 South Glastonbury, CT 06073 http://www.wholeroot.com/ Toll Free: 1-888-413-1792 Fax: (860) 659-1792 E-mail: reports@wholeroot.com

This License allows a single user to store, backup and print this Competitive Position Market Report.
You must reproduce the Whole Root Economic Research, Inc. copyright notice on all prints. You may not modify, network, sell, subscribe, loan, electronically transfer or distribute this Competitive Position Market Report in whole or in part. Whole Root Economic Research, Inc. has carried out the Competitive Position Market Analysis and prepared the Competitive Position Market Report according to accepted statistical standards. The statistics present information about the data source. Possible biases and other errors may exist within the data source that Whole Root Economic Research, Inc. is not responsible for. Individual job placements can not be identified. Job placement and/or salary improvement is not guaranteed nor offered. The New York Times and the Washington Post are not associated with, do not endorse, and are not responsible for Competitive Position Market Analysis, Competitive Position Market Reports or Whole Root Economic Research in anyway. Computer hardware and/or software firms are not associated with, do not endorse, and are not responsible for Competitive Position Market Analysis, Competitive Position Market Reports or Whole Root Economic Research in anyway.

Welcome
I established Whole Root Economic Research, Inc. in 1996 to provide extensive market analysis to individual decision makers. My Competitive Position Market Reports enable individuals to assess salary opportunities and set employment goals. It is the first affordable market analysis designed specifically to assist all participants in the job marketplace. Whether you are a computer professional, data processing manager or human resource professional, I hope you find this material useful.

Thank you, Robert Gerald Vivona Economic Statistician Toll Free: 1-888-413-1792 Fax: (860) 659-1792 E-mail: bob@wholeroot.com

A Special Thanks to: Nicholas Vivona Computer Industry Consultant

AS400 Administrator Characteristics of Sample Data


Sample Source: The New York Times Sunday Employment section Dates: the 52 weeks (1 Year) from January 5 through December 28, 1997 Number of Classified Want Ads: 56

Qualifications listed in the Want Ads


To be Included Each Want Ad Must Have Responsibility System Administrator, System Manager, Network Administrator, System Analyst, Maintain System, Tech Support or System Operator AS400 Salary Effected When Listed Tech Support or System Operator = 12 Salary Not Effected when Listed Project Leader or Manager = 12

Hardware / OS

Language

RPG = 17

Database

Network

Novell = 12

MIS Software

Industry

Banking, Investment Banking, Financial, Wall Street, Insurance or Accounting = 9

Job Description
Oversee the day-to-day operation of scheduled system processing Develop and execute operation tracking facilities and status reporting Handle mail merge printer output and delivery Maintain user accounts, access permission, usage and fees Maintain integrity of software and data libraries Schedule and monitor execution of cyclic applications Recommend data purge, archive, & acquisition/reduction of hardware
Copyright 1997, 1998 by Whole Root Economic Research, Inc.

AS400 Administrator Sample Averages and Distributions


Sample Size: 56 Want Ads Sample Source: The New York Times Sunday Employment section 52 Weeks from January 5 through December 28, 1997

Salary Average and Distribution 60.9 = Average Salary Offer

40.5

81.2

68% of Want Ads list A Salary between these two Extremes (+/ 1 standard deviation of 20.4)

21.0
0 10 20 30 40 50 60 70 80 90

100.8

95% of Want Ads list A Salary between these two Extremes (+/ 1.96 standard deviations)

100 110 120 130 140 150 160 170

Salary in $1,000's Required Experience Average and Distribution 4.3 = Average Required Years

1.6

7.0

68% of Want Ads list Experience between these two Extremes (+/ 1 standard deviation of 2.69)

Entry Level is inside 95% extremes

95% of Want Ads list Experience between these two Extremes (+/ 1.96 standard deviations)

9.6
8 9 10 11 12

Number of Years of Required Experience


Copyright 1998 by Whole Root Economic Research, Inc.

AS400 Administrator The Equation of the Expected Salary Offer


Salary offers are lowest at entry level and increase by a constant amount with each year of experience. Salary offers were smaller when Operator was listed in the want ad. Salary offers were larger when Financial was listed in the want ad. Entry Level Operator
Effect on Salary Offer only when listed in position description

Financial
Effect on Salary Offer only when listed in position description

Year of Experience
Dollars per Year Multiplied by Number of Years

Expected Salary Offer

$39.6

$10.6 (if Operator) or 0 $19.2 (if Operator) or 0 $2.0 (if Operator) or 0

$13.0 (if Financial) or 0 $3.7 (if Financial) or 0 $22.4 (if Financial) or 0

$5.0 Years

First = 95% Confidence Bound of Expected Salary Offer Second = 95% Confidence Bound of Expected Salary Offer

$47.0

$3.7 Years

$32.2

$6.3 Years

The first and second bounds are constructed from the upper and lower 95% confidence intervals of the variables presented above. The Expected Salary Offer Graphs present the minmum confidence interval of the equation.
Copyright 1996, 1997, 1998 by Whole Root Economic Research, Inc

AS400 Administrator
The Expected Salary Offer & its 95% Probability Range for Each Year of Required Experience
200 195 190 185 180 175 170 165 160 155 150 145 140 135 130 125 120 115 110 105 100 95 90 85 80 75 70 65 60 55 50 45 40 35 30 25 20 15 10 5 0 10

Salary in $1,000's

61.7 50.7 Highest $ Offer to be expected,


with 95% Certainty

65.4

70.1

76.4

82.7

89.1

54.4

58.0 64.6 63.8 69.6

74.6

79.6

84.6

47.0 44.6 38.5 32.2 49.6 54.6

59.6

80.1 69.1 72.7 76.4

Expected Salary Offer Lowest $ Offer to be expected,


with 95% Certainty

39.6

44.9

51.2

57.5

Years of Experience in Same Job


Sample Source: The New York Times Sunday Employment section 52 Weeks from January 5 through December 28, 1997 Copyright 1997, 1998 by Whole Root Economic Research, Inc.

Financial AS400 Administrator


The Expected Salary Offer & its 95% Probability Range for Each Year of Required Experience
200 195 190 185 180 175 170 165 160 155 150 145 140 135 130 125 120 115 110 105 100 95 90 85 80 75 70 65 60 55 50 45 40 35 30 25 20 15 10 5 0 10

Salary in $1,000's

101.2 88.6 75.9 58.3 63.3 69.6 72.6 77.6 82.6 82.3 87.6 92.6 94.9

107.5

97.6

Highest $ Offer to be expected,


with 95% Certainty

54.6

Expected Salary Offer Lowest $ Offer to be expected,


with 95% Certainty

52.6

57.6 57.0

62.6 62.0

67.6 65.6

69.3

73.0

76.7

80.3

84.0

87.7

50.7

Years of Experience in Same Job


Sample Source: The New York Times Sunday Employment section 52 Weeks from January 5 through December 28, 1997 Copyright 1997, 1998 by Whole Root Economic Research, Inc.

AS400 Operator
The Expected Salary Offer & its 95% Probability Range for Each Year of Required Experience
200 195 190 185 180 175 170 165 160 155 150 145 140 135 130 125 120 115 110 105 100 95 90 85 80 75 70 65 60 55 50 45 40 35 30 25 20 15 10 5 0 10

Salary in $1,000's

78.3 65.7 53.0 34.1 30.2 34.0 33.9 39.0 37.6 41.3 44.9 48.6 40.4 46.7 49.0 54.0 59.0 59.4 64.0 69.0 72.0

84.6

74.0

Highest $ Offer to be expected,


with 95% Certainty

44.0

Expected Salary Offer Lowest $ Offer to be expected,


with 95% Certainty

52.3

56.0

59.6

63.3

29.0

27.8

Years of Experience in Same Job


Sample Source: The New York Times Sunday Employment section 52 Weeks from January 5 through December 28, 1997 Copyright 1997, 1998 by Whole Root Economic Research, Inc.

Financial AS400 Operator


The Expected Salary Offer & its 95% Probability Range for Each Year of Required Experience
200 195 190 185 180 175 170 165 160 155 150 145 140 135 130 125 120 115 110 105 100 95 90 85 80 75 70 65 60 55 50 45 40 35 30 25 20 15 10 5 0 10

Salary in $1,000's

52.4 Highest $ Offer to be expected,


with 95% Certainty

56.0

59.7

63.4

67.1

73.3

79.6

85.9

92.2

87.0 72.0 77.0 74.4 82.0 81.8

48.7 47.0 41.7 35.4 52.0 48.0 57.0

62.0

67.0

78.1

Expected Salary Offer Lowest $ Offer to be expected,


with 95% Certainty

42.0

54.3

60.7

67.0

70.7

Years of Experience in Same Job


Sample Source: The New York Times Sunday Employment section 52 Weeks from January 5 through December 28, 1997 Copyright 1997, 1998 by Whole Root Economic Research, Inc.

AS400 Administrator Extreme Salary Offers: 1 Year of Required Experience


44.6 = Expected Salary Offer

31.9

57.3

68% of Want Ads list A Salary between these two Extremes (+/ 1 standard deviation of 12.7)

19.7
0 10 20 30 40 50 60

69.6
70 80 90 100 110 120

95% of Want Ads list A Salary between these two Extremes (+/ 1.96 standard deviations)

130

140

150

160

170

Salary in $1,000's
Sample Source: The New York Times Sunday Employment section 52 Weeks from January 5 through December 28, 1997 Copyright 1997, 1998 by Whole Root Economic Research, Inc.

AS400 Administrator Extreme Salary Offers: 2 Years of Required Experience


49.6 = Expected Salary Offer

36.9

62.3

68% of Want Ads list A Salary between these two Extremes (+/ 1 standard deviation of 12.7)

24.7
0 10 20 30 40 50 60

74.6
70 80 90 100 110 120

95% of Want Ads list A Salary between these two Extremes (+/ 1.96 standard deviations)

130

140

150

160

170

Salary in $1,000's
Sample Source: The New York Times Sunday Employment section 52 Weeks from January 5 through December 28, 1997 Copyright 1997, 1998 by Whole Root Economic Research, Inc.

AS400 Administrator Extreme Salary Offers: 3 Years of Required Experience


54.6 = Expected Salary Offer

41.9

67.3

68% of Want Ads list A Salary between these two Extremes (+/ 1 standard deviation of 12.7)

29.7
0 10 20 30 40 50 60 70

79.5
80 90 100 110 120

95% of Want Ads list A Salary between these two Extremes (+/ 1.96 standard deviations)

130

140

150

160

170

Salary in $1,000's
Sample Source: The New York Times Sunday Employment section 52 Weeks from January 5 through December 28, 1997 Copyright 1997, 1998 by Whole Root Economic Research, Inc.

AS400 Administrator Extreme Salary Offers: 4 Years of Required Experience


59.6 = Expected Salary Offer

46.9

72.3

68% of Want Ads list A Salary between these two Extremes (+/ 1 standard deviation of 12.7)

34.7
0 10 20 30 40 50 60 70

84.5
80 90 100 110 120

95% of Want Ads list A Salary between these two Extremes (+/ 1.96 standard deviations)

130

140

150

160

170

Salary in $1,000's
Sample Source: The New York Times Sunday Employment section 52 Weeks from January 5 through December 28, 1997 Copyright 1997, 1998 by Whole Root Economic Research, Inc.

AS400 Administrator Extreme Salary Offers: 5 Years of Required Experience


64.6 = Expected Salary Offer

51.9

77.3

68% of Want Ads list A Salary between these two Extremes (+/ 1 standard deviation of 12.7)

39.6
0 10 20 30 40 50 60 70 80

89.5
90 100 110

95% of Want Ads list A Salary between these two Extremes (+/ 1.96 standard deviations)

120

130

140

150

160

170

Salary in $1,000's
Sample Source: The New York Times Sunday Employment section 52 Weeks from January 5 through December 28, 1997 Copyright 1997, 1998 by Whole Root Economic Research, Inc.

Graph Reference: Expected Salary Offer per Year of Experience

The Middle Black Line


This line depicts the expected salary offer for each year of required experience calculated from the sample of want ads. The expected salary for each year of required experience is shown in a box on the line. The expected salary is the most likely, and the average, salary offered.

The 95% Probability Lines Infer the Expected Salary Offer for the Entire Job Market
The sample of classified want ads enables inferences to be made concerning the entire job market for this position. The gray lines above and below the middle black line present the Highest and Lowest salary offers that can be expected in the entire job market. There is a 95% certainty that the average salary offer, within the entire job market for this position, lies between the High and the Low numbers that point to the gray lines at each year of required experience.

Please Note:
All three curves cross at the central tendency point. The further the number of years of required experience is from the central tendency point, the larger the 95% probability region of the expected salary offer.

Graph Reference: Extreme Salary Offers There are 3 statistics presented in this graph
Each statistic presents an assessment of the likelihood or frequency of a salary offer occurring:
= Expected Salary Offer 68% of Want Ads list a Salary between these two Extremes (+/- 1 standard deviation) 95% of Want Ads list a Salary between these two Extremes (+/- 1.96 standard deviations) The expected salary offer is the most likely salary offer as calculated from the sample of want ads The 68% probability extreme indicates the boundaries where salary offers become infrequent for the entire job market The 95% probability extreme indicates the boundaries where salary offers become extremely infrequent for the entire job market

Extreme Salaries
The 68% Probability Extremes: Salary offers are unlikely above or below this range Two Thirds (68%) of salary offers are in this range Only 1/6th (16%) of salary offers are greater than the high number Only 1/6th (16%) of salary offers are less than the low number The 68% confidence interval is constructed by taking one standard deviation then adding it to and subtracting it from the expected salary offer The 95% Probability Extremes Salary offers are extremely unlikely above or below this range 95% of salary offers are in this range Only 2.5% of salary offers are greater than the high number Only 2.5% of salary offers are less than the low number The 95% confidence interval is constructed by multiplying the standard deviation by 1.96 then adding it to and subtracting it from the expected salary offer For the complete presentation of the expected salary offer please see the "Expected Salary Offer per Year of Experience" graph.

AS400 Administrator Statistical Test Results


Regression Summary Salary vs. 3 Independents Count Num. Missing R R Squared Adjusted R Squared RMS Residual 56 0 .794 .630 .609 12.726

The R Squared statistic indicates: 1. 63.0% of the variability between salaries offered in want ads is explained by the expected salary offer line. 2. 37.0% of the variability between salaries offered in want ads is explained in the areas above and below the average salary offer line. This variability is depicted in the 95% probability range of the expected salary offer and the Extreme Salary Offer Graphs. The R Squared statistic calculates the percentage of the variation in salary offers away from the mean salary offer, explained by the expected salary offer line. An R Squared statistic of 1 would indicate that the expected salary offer line would be the only salary offered in the marketplace. A reasonable degree of variability should be expected due to the many factors influencing individual want ads.
ANOVA Table Salary vs. 3 Independents DF Regression Residual Total 3 52 55 Sum of Squares 14357.342 8421.423 22778.766 Mean Square 4785.781 161.950 F-Value 29.551 P-Value <.0001

Regression Coefficients Salary vs. 3 Independents Coefficient Intercept Operator Fin Years 39.621 -10.606 13.027 4.994 Std. Error 3.681 4.289 4.659 .657 Std. Coeff. 39.621 -.216 .237 .660 t-Value 10.763 -2.473 2.796 7.599 P-Value <.0001 .0167 .0072 <.0001

The statistical significance tests indicate a high level of quality for the expected salary offer numbers: 1. There is less than a . 01% (one ten-thousandth) chance that there is no relationship between salary offers and experience requirements (P-Value in ANOVA Table). 2. There is less than a . 01% (one ten-thousandth) chance that the entry level salary offer can't be defined (Intercept P-Value in Regression Coefficients Table). 3. There is less than a . 01% (one ten-thousandth) chance that the yearly increase in salary offer can't be defined (Years P-Value in Regression Coefficients Table). 4. There is a . 72% (seventy-two ten-thousandth) chance that the Financial effect can't be defined (Fin P-Value in Regression Coefficients Table). 5. There is a 1. 67% chance that the Operator effect can't be defined (Operator P-Value in Regression Coefficients Table).