News

Procurement Trends & Salary Guide 2018

 

ProcurementGuide

We predict the challenges of the coming year, the strategic position of Procurement and widening skills gaps will have an impact on salaries and day rates of Procurement Managers and Procurement Interims.

We’ve written a paper about it, pegging salaries and rates and comparing them by sector, location and category.  Read the blog post below to get an idea of the sort of issues it covers.

If you’d like a full copy, contact Jon Pollard, our Head of Procurement Recruitment, here

Or, if you want to discuss a career move or hiring requirement, or simply have a chat about the market, give him or the team a call on 020 3587 7909

 

Elevating Procurement – the fight is not yet over.

Over the past decade or so, Procurement has fought its way to the Board room, having at last been recognised as a strategic priority rather than merely a transactional function performing the buying for an organisation.

As supply chains have increased in complexity and unpredictability, and as the digital revolution continues unabated, Procurement continues to prove it has more to offer than saving money.

The commercial landscape will continue to change, requiring Procurement to be more agile than ever before.

The fight to the board room may be largely won.

Now begins the fight to stay there.

A year of challenges

2018 is set to be a year of heightened challenges:

  • The new GDPR regulatory environment brings a whole new ere of data protection into force.
  • The threat of cyber crime and hacking is putting security at the top of the agenda
  • Digital transformation, the 4th industrial revolution, continues to march on
  • The global economic and political landscape is volatile to say the least…
  • …and that includes, for the UK, the unchartered territories of Brexit.

For Procurement to stay at the top table, it needs to be able to add to the debate, and not just from a supply chain risk or cost perspective.  It needs to contribute to the strategic viewpoint, engage with major stakeholders across the business and drive to align its objectives to that of the rest of the business.

Is it equipped to cope?

In part yes.  Risk to supply chains has grown, as these figures from Deloitte’s recent CPO survey show.

ProcGuide1

 

 

 

 

 

 

 

With this level of disruption, Boards have rightly invited Procurement to talk strategically, think creatively and engage with the entire business.

But in other areas, Procurement departments are struggling.

According to the same survey, 60% of CPOs think their teams lack the skills to deliver the strategy.

Procurement isn’t a traditionally digital skill. But, with technology pervading every aspect of business life, digital and tech skills will become ubiquitous in every function, including Procurement.

You can’t move without coming across another new system promising real-time data analytics or increased efficiency through cloud based dashboards and smartphone apps reporting on everything from spend analysis to team evaluation and efficiency.

Traditionally though, Procurement professionals haven’t needed the digital, data and online skills necessary to navigate this new world.

The result – a skills shortage is inevitable, and this is something we are very familiar with.  Not to mention the necessity to pay a high price for people who do possess the holy grail of a mix of procurement and digital skills.

Yes, Procurement has fought its way to the Board room.

But it will have to adapt to the new world of technology and digital disruption in order to stay relevant and stay there.

 

 

If you’d like a copy of the full report, contact Jon Pollard, our Head of Procurement Recruitment, here

Or, if you want to discuss a career move or hiring requirement, or simply have a chat about the market, give him or the team a call on 020 3587 7909