Data Engineering – HackerRank Blog https://www.hackerrank.com/blog Leading the Skills-Based Hiring Revolution Tue, 27 Jun 2023 16:27:52 +0000 en-US hourly 1 https://wordpress.org/?v=6.5.5 https://www.hackerrank.com/blog/wp-content/uploads/hackerrank_cursor_favicon_480px-150x150.png Data Engineering – HackerRank Blog https://www.hackerrank.com/blog 32 32 What Does a Data Engineer Do? Skill Sets and Expectations https://www.hackerrank.com/blog/data-engineer-role-overview/ https://www.hackerrank.com/blog/data-engineer-role-overview/#respond Wed, 29 Jun 2022 14:22:10 +0000 https://bloghr.wpengine.com/blog/?p=18264 Every day, the world creates 2.5 quintillion bytes of data. That’s 912.5 quintillion bytes each...

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Every day, the world creates 2.5 quintillion bytes of data. That’s 912.5 quintillion bytes each year — a staggering rate that’s only accelerating. With this massive rate of data generation in mind, it should be no surprise that more than 90 percent of the world’s data was generated in the last two years alone. 

Data engineers are responsible for capturing, processing, and managing this growing ocean of data. In this post, we’ll break down the statistics, job requirements, and responsibilities of a career in data engineering.

Overview of Data Engineering

Companies of every size and industry need data to make business decisions. Businesses in every industry employ data scientists and data analysts to process and analyze raw data to gain actionable insights. But before these analytical professionals can work with this data, someone needs to capture it.

Data engineers are responsible for building systems that collect, manage, and convert raw data into usable information. The concept of data engineering is fairly new, with the data engineer role becoming more widespread around 2011. However, as a discipline, data engineering evolved from the more established field of information engineering, which dates back to 1976.

On a more technical level, the core job responsibilities of data engineers include:

  • Writing code to obtain, manipulate, and process data
  • Acquiring datasets for particular business goals
  • Writing algorithms to process and transform data
  • Building data validation and analysis tools
  • Building and maintaining relational and non-relational databases
  • Ensuring compliance with data privacy and security regulations
  • Communicating with both technical and non-technical stakeholders 
  • Working with stakeholders to align systems to business objectives
  • Keeping up-to-date with advancements in technology

What Kinds of Companies Hire Data Engineers?

Any company that’s looking to use data to make business decisions will need to hire data engineers to capture that data. With companies in every industry becoming increasingly data driven, the demand and opportunity for data engineers is endless. The top sectors hiring for data engineers include:

  • Fortune 500: 21%
  • Technology: 19%
  • Finance: 9%
  • Startups: 8%
  • Professional Services: 6%
  • Retail: 6%
  • Media: 5%
  • Internet: 5%

Types of Data Engineer Positions

The titles data engineers hold vary drastically, depending on their experience, education, and company. The title of a graduate from a coding bootcamp might look different than a candidate with a four-year degree. And the role of a data engineer in a five-person startup will be different than at a 5,000 person company.

At the beginning of their career, a data engineer will start out with an entry-level role, like junior data engineer or data engineering analyst. A new data engineer usually works in one of these roles for one to three years.

From there, they’ll have the opportunity to move into more senior-level and specialized roles with hands-on engineering experience. Data engineering job titles include: 

  • Data architect
  • Machine learning engineer
  • Business intelligence engineer
  • Big data engineer
  • Data warehouse engineer
  • Technical architect
  • Solutions architect

While they spend several years honing their skills, their responsibilities expand to include taking ownership of projects, working independently in a team environment, and mentoring project team members. Senior data engineers might also choose to specialize in a particular technology or discipline, such as big data, machine learning, and business intelligence.

With some experience under their belt, a data engineer often faces a crossroads in their career having to choose between two paths. 

The first path is to pivot into people and team management functions. Hiring, mentoring, resource planning and allocation, strategy, and operations become a larger component of the responsibilities of data engineers pursuing this career path. At the higher levels of an organization, these job functions might include:

  • Director of Data Engineering
  • Data Engineering Manager
  • Data Operations Manager
  • Information Systems Manager
  • Chief Information Officer (CIO)
  • Chief Technology Officer (CTO)

The second possible career path is to continue as an individual contributor. Many data engineers opt to continue their careers as individual contributors, enjoying equally fulfilling careers and developing deeper technical expertise in various languages and frameworks.

The motivation behind this decision is that experienced data engineers may not be interested in or qualified to be managing a team. And engineers in an individual contributor role have the opportunity to focus on growing their technical skills and learning the newest emerging technologies. However, the career path for data engineers and the larger data science field as a whole is still being defined, as data engineering is still a relatively new field.

Salary Comparisons & Job Outlook

On average, data engineers receive highly competitive compensation packages. However, data sources on technical salaries often present vastly different, and at times conflicting, numbers at both a regional and global level. Estimates of average base salary for data engineers in the U.S. range from $116,427 to $131,871.

Junior data engineers can expect to occupy a lower salary band at the beginning of their career. In contrast, senior positions provide a higher average compensation, though data for this specific salary band is hard to find. Industry and company size also affect the salary band dramatically.

Current market conditions have made technical salaries especially volatile. Because of this, public salary data may be low or out of date. Total compensation packages, including equity and bonuses, are also changing rapidly. Hiring teams will need to conduct their own research to identify salary bands based on their company’s requirements and the technical needs of the role.

The job outlook for data engineers is equally promising. As the quantity of data the world produces accelerates, so too will the demand for engineers to process that data. In 2019, data engineering was the fastest-growing tech occupation, with a growth rate of 50%.

Requirements to Becoming a Data Engineer

Technical Skills

Data engineers use a range of programming languages to work with data. These include, to name a few:

  • SQL
  • Python
  • Scala
  • C
  • C++
  • R

Many data engineering roles also require knowledge of cloud technologies such as AWS, Azure, or GCP. Data engineers might also need to have an understanding of machine learning, data APIs, and ETL (extract, transfer, load) tools.

Recruiters and hiring managers looking for data engineers should look for proficiency with in-demand tools and frameworks. These include:

  • Kafka (data streaming)
  • Cloudera Data (data management systems)
  • Apache Airflow (workflow automation)
  • Apache Hadoop (big data processing)
  • Apache Spark (large-scale data processing)
  • MySQL (relational database system)
  • Oracle (relational database system)
  • Cassandra (Non-relational database management system)
  • Amazon Redshift (data warehousing)
  • Azure (cloud analytics systems
  • Google BigQuery (data warehousing)

It’s worth noting that there’s a degree of fluidity to the technologies that data engineers use. A framework that’s in demand today might be outdated a year from now.

Soft Skills

Technical competency alone isn’t enough to succeed in a data engineering role. Mathematical, analytical, and problem-solving skills are a must in any technical role. And soft skills are even more critical in a digital-first or digital-only environment.

Employers may have a preference for data engineers with strong soft skills, such as:

  • Time management
  • Communication
  • Project management
  • Problem solving

Communication skills, in particular, are critical to data engineering. Data engineers work with data scientists, data analytics, machine learning engineers, and developers on a regular basis. The ability to translate technical subject matter into digestible, actionable information that anyone can understand is highly valuable to data engineers — and the teams who employ them.

Experience & Education

After competency, the most important qualification for data engineers is experience. On-the-job experience and training is a critical requirement for many employers.

Then, there’s the question of education. 65% of data engineers have a bachelor’s degree and 22% have a master’s degree. Many employers still require data engineering candidates to have four-year degrees. But competition for skilled data engineers is fierce, and it’s common for job openings requiring degrees to go unfilled.

There are simply not enough engineers with degrees to fill thousands of open roles out there. Companies looking to hire data engineers will have access to a much larger pool of talent and achieve their data initiatives if they recognize other forms of education and experience. 

Resources for Hiring Data Engineers

Developer Hiring Solutions

HackerRank Projects for Data Engineering

How to Evaluate Data Engineering Skills

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[Checklist] Screening Data Scientists vs. Analysts vs. Engineers https://www.hackerrank.com/blog/checklist-screening-data-scientists-vs-analysts-vs-engineers/ https://www.hackerrank.com/blog/checklist-screening-data-scientists-vs-analysts-vs-engineers/#comments Tue, 07 Aug 2018 17:31:12 +0000 http://bloghr.wpengine.com/?p=12537 This is part of our hiring checklist series, where we share insights to help you...

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A pair of hands holding a tablet that lists the job titles Data Scientist, Data Analyst and Data Engineer on its screen

This is part of our hiring checklist series, where we share insights to help you screen developers. You can find our other checklists here: 


If you’ve been tasked with recruiting for roles within data teams, you may think to yourself, “What’s the difference between Data Analysts, Data Scientists, and Data Engineers?”

While the titles may sound similar, each role actually focuses on a different aspect of data utilization, all equally necessary in helping organizations use data to make better business decisions.

At their best, data-driven teams’ skill sets complement one another, facilitating the capture, interpretation, and dissemination of huge amounts of relevant data. Together, they help companies become more data-driven with quantitative evidence – and they rely on one another to do it.

The nuances between Data Analysts, Data Scientists, Data Engineers may seem minute at first, but each has a distinct role to play in deriving and conveying meaningful insights from data. Here’s a great overview on what to expect from each respective role.

 

Data Analyst

A Data Analyst is a generalist, tasked with interpreting an eclectic range of data to inform business decisions. They bridge the gap between the technical and non-technical, spending as much time cleaning and analyzing data as they do creating explanatory visuals and descriptive reports.

This role is instrumental in helping dissect the quantitative ramifications of key business decisions. At their core, they play the role of a technical interpreter, relaying technical insights in a way that resonates with the company’s non-technical stakeholders.

Here’s what to search for:

Expertise

  • Do they have a basic understanding of statistics and a firm grounding in basic data analysis principles (e.g. relevant experience through coursework or previous positions and projects in an “Analyst” role of some kind?)  
  • Do they have a track record of helping companies make effective decisions through data, with quantifiable success (whether as a Business Analyst, Operations Analyst, Business Intelligence Analyst, or through similar roles or projects)?   
  • Are they familiar with your analytics stack of choice? Or are they familiar with tools/methods that would help them pick it up quickly?
  • Do they have hands-on experience with exploratory data analysis and data visualization? (e.g. personal projects, school projects, work experience, internships)
  • Do they have a background in the programs most frequently utilized by your data science team (e.g. SQL, Python, R, and so on)?

Team Compatibility

  • Are they an effective verbal, written, and visual communicator, with the ability to interpret and explain complex technical topics to a non-technical audience?
  • Are they an attentive listener, capable of turning ambiguous non-technical requests into actionable technical tasks with little guidance?
  • Do they possess excellent business acumen, allowing them to peacefully mediate the needs of various stakeholders with aplomb?
  • Are they self-motivated, and capable of problem-solving independently, with minimal oversight or guidance? When they get stuck, do they rely on others for help or do they take the initiative to figure things out themselves?

Soft Skills

  • Do they exhibit an innate curiosity and a willingness to dig deep across datasets to provide thoughtful and relevant intel?
  • Do they possess a strong sense of creativity that allows them to analyze and interpret data through numerous business lenses?
  • Do they have natural business savvy and an understanding of the company’s business model? Can they think like a member of your C-Suite?
  • Are they open-minded and willing to follow the story the data exhibits? Can they regularly put aside their opinions on the business to provide truly objective analysis?

Data Scientist

A Data Scientist is an expert in math and statistics who uses data to make intelligent business predictions and continually improves the way the company uses data.

Like Data Analysts, they’re tasked with answering core business questions through the power of data. That said, unlike a Data Analyst, they’re also expected to utilize their expertise in algorithms, machine learning, statistics, and other quantitative fields to anticipate core business questions and needs before they arise. They don’t just interpret data; they help to optimize its usage across the company.

Though they’re generally more specialized than their Analyst counterparts (often possessing a secondary degree in a quantitative field), they span a variety of seniority and experience levels. Be sure you clearly align with your hiring manager on the seniority level they need before starting your search.

These are key characteristics to search for:

Expertise

  • Do they have experience bringing order to large sets of disorganized datasets, both structured and unstructured?
  • Do they have an in-depth understanding of general statistics, applied statistics, and/or machine learning, verified by previous projects, work experience, or coursework?
  • Have they previously worked in a capacity where they were able to maintain and/or train machine learning models, with quantifiable successes for the business?  
  • Do they have an extensive background in the programs most frequently utilized by your data science team (e.g. SQL, Python, R, and so on)?

Team Compatibility

  • Do they have a history of successful collaboration across a data-driven team, including Data Analysts, Data Engineers, and fellow Data Scientists?
  • Do they have an eye for detail that will allow them to catch inconsistencies and inefficiencies in the data, promoting continual improvement of the architecture they work in?
  • Can they advocate for their needs in the context of a team? When they encounter architectural issues, can they convey and insist on the changes they need?
  • Are they effective communicators, with the ability to effectively convey their findings across a variety of channels (written, verbal, and visual)? Can they do this for both technical and more non-technical audiences?

Soft Skills

  • Do they possess basic business savvy that will allow them to train models in a way that produces meaningful, impactful data insights for the company?
  • Are they curious, probing, and even skeptical by nature? Do they depend on their investigative skills to evaluate and design solutions, or do they tend to take assumptions at face value?
  • Are they willing to experiment and iterate on how to use data effectively across the company?
  • Are they objective in the workplace, allowing them to dissect key analytical questions in a pragmatic way?
  • Do they demonstrate strong storytelling skills, with the ability to showcase their findings in a way that’s both meaningful and compelling?
  • Do they prioritize thinking about the deep ethical questions around using data to influence decisions?  

Data Engineer

Data Engineers make both Data Analysts’ and Data Scientists’ jobs possible. With a much heavier focus on software development, Data Engineers build and manage the architectures that capture the data Data Analysts and Data Scientists use. If they’re not building or managing data pipelines, they’re maintaining databases and large-scale processing systems.

Data Engineers are effective generalists with a background in both software development and data science. Since they’re tasked with maintaining the environment that both Data Analysts and Data Scientists work in, it’s important that they’re not only technically effective, but team-oriented; their job has a huge impact on the roles of others, both positively and negatively.

Here’s where to start:   

Expertise

  • Do they come from a “generalist” background in software development, with the ability to comfortably switch between and combine technologies to achieve an overarching goal?
  • Are they familiar with the needs of a data-driven team and the architectural groundwork necessary to allow Data Analysts and Data Scientists to thrive?
  • Do they have an extensive background in one or more of the frameworks utilized by your data engineering team (e.g. Hadoop, NoSQL, Spark, Python, and so on)?
  • Do they have proven experience promoting data accessibility, efficiency, and quality within an organization?

Team Compatibility

  • Are they responsive and empathetic to the needs of their teammates, especially when it comes to requests for optimizations and other architectural changes?
  • Are they receptive to constructive feedback and suggestions from their teammates? Do they implement the feedback they’ve received or are they cemented in their ways?
  • Are they familiar with your team’s development methodology of choice (e.g. agile, scrum, spiral, and so on)? Or are they familiar with a similar framework that would help them to pick it up quickly?
  • Are they collaborative and team-oriented? Are they as focused on the needs of their teammates as they are on their own?

Soft Skills

  • Do they show an interest in continual self-development within their area of expertise, or do they prefer to stick to the methods and concepts they already know? 
  • Are they objective and willing to adjust their methods to promote team-wide success, instead of their own personal preferences?
  • Are they focused and self-motivated? Can they manage their work proactively with little to no oversight?
  • Do they have advanced technical and non-technical communications skills that they can utilize to interpret and implement their teammates’ requests?

Stay aligned with your technical teams

What’s your evaluation process when searching for the roles above? How do you determine which skills your team is most focused on in their next hire? Tell us your best practices in the comments. 

An illustration of a checklist next to the words "Data Scientists vs. Analysts vs. Engineers"

Hiring for other technical roles? Learn the right skills to target for specialized roles in our full guide:

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