The latest annual Procurement Salary Guide and Insights survey has been jointly released by the Chartered Institute of Procurement & Supply (CIPS) and procurement recruitment experts at Hays. The report provides key insights for candidates seeking procurement jobs and procurement recruitment agencies alike, and is a great source of information for those keeping a finger on the industry’s pulse.
The 2018 report reveals that the demand for procurement professionals in the UK remains strong, and it routinely outstrips the available supply. One predictable effect of this trend is an increase in pay and, indeed, procurement salaries grew by an average of 5.1% over the last year. This is more than double the national average increase of 2.2%, and 4% more than in 2017. But this trend isn’t confined to the UK, as the survey shows that the pattern was mirrored in Australia and Sub-Saharan Africa.
UK professionals holding procurement jobs who also held CIPS qualifications did especially well. Those with FCIPS or MCIPS were able to command impressive salary increases between 11% and 12% in general. Beyond the UK, the benefits of CIPS qualifications were even more substantial, with professionals in the Middle East and North African countries (MENA) and Australia enjoying salaries that are 20% above the average for their roles.
With demand outstripping supply, companies are competing keenly to source the very best procurement professionals – and they’re prepared to pay for the talent. Graduate trainees, for example, saw an 8.8% salary increase on average.
A deeper dive into the report shows that procurement professionals who are designated as “analysts” command especially high salaries – hardly surprising given that they work in the “engine room” of the profession and demonstrate coveted skills in big data, AI and machine learning, predictive analytics and eProcurement.
In this highly competitive landscape, candidates who can combine procurement knowledge with soft skills have a special advantage. CIPS Brexit research found that one in seven EU firms with British suppliers had moved parts of their business out of the UK, so that professionals offering shrewd strategic skills and diplomatic negotiating skills are now more vital than ever.
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