Figures compiled by Hays Procurement, the leading recruiting expert, and the Chartered Institute of Purchasing & Supply (CIPS) show that there has been a significant increase in demand and reward for procurement and supply management professionals during the course of the past year.
Data from Hays Procurement shows that the number of procurement and supply chain job vacancies has risen significantly, with 33 per cent more jobs advertised in Q2 2011 compared with the same period in 2010. Vacancies for Procurement Officers increased most sharply (200%) followed by Senior Buyers (110%) and Procurement Managers (75%).
The highest concentration of job vacancies is in the South East (22%) and London (18%), followed by the Midlands (12%) and the South West (12%), with growth strongest in the Automotive Manufacturing sector – up on average 73% per quarter in the first half of the year.
Whilst overall five out of six available procurement jobs remain within private companies there was a notable increase in the number of public sector vacancies, with an average 29% increase in the first two quarters of 2011. This is despite otherwise high rates of job cuts in the public sector – predicted at current rates to reach 610,000 by 2014/15 , but also perhaps because of increased pressures within the public sector to reduce costs.
These increases are also reflective of an on-going trend of procurement becoming recognised as a high-level strategic function within organisations during the past decade, shown particularly in terms of salary increases. According to Hays Procurement the number of senior procurement jobs with advertised salaries of between £75,000 and £100,000 per annum rose by 35% in the first half of 2011.
Similarly, 60 per cent of respondents to the CIPS/Supply Management Profile of the Profession Survey earlier this year, reported that their salary had increase in the past 2 years. An overwhelming 86% said their procurement department was doing more than it was 5 years previously, and 39% said they report to a higher level of the company than they did 5 years ago.
David Noble, CEO of the Chartered Institute of Purchasing & Supply says: “The financial crisis and continuing uncertainties weighing on the global economy, have led many companies to review their business strategies and to expand parts of their operations that ultimately help them to reduce costs and ensure the sustainability of future growth. Meanwhile, recent scrutiny of government procurement strategies has led to more strategic employment in the sector.
“This entails much more than finding the cheapest possible solution, and needs people with the skills and knowledge to understand the true value that procurement and supply management professionals add to the reputation and success of the organisation, along with robust risk management strategies”.
With an average twenty (19.65) applicants per procurement and supply chain job, compared to an average thirty (30.40) for human resources jobs, and thirty-one (31.09) for non-qualified finance jobs, the data from Hays also suggests that there may be comparatively attractive opportunities as well as higher demand for candidates – particularly those who may be looking to switch careers.
Meanwhile, 94% of procurement professionals surveyed for the CIPS/Supply Management survey earlier in the year, said that they would recommend purchasing and supply as a career.
Pat Law, Director, Hays Procurement said: “Whilst overall unemployment levels have increased we continue to see a strong demand for procurement professionals. The number of applicants per job may initially seem high, but with research on graduate job opportunities indicating rises upwards of 80 applications per job, procurement and supply chain could still be a more tempting career choice for many.
“The onus is on job seekers looking for a procurement related role to make sure they have the skills and experience, alongside relevant qualifications, that are sought after by employers. There are some exciting procurement roles but job seekers really need to demonstrate that they are a solid investment and that they are able to add value to an organisation if they are to be successful in this competitive marketplace.”
For more information visit www.hays.co.uk.
Emma Price, Hays
T. 020 7259 8821
Notes to editors
Figures from Hays Procurement vacancy data and CIPS/Supply Management Profile of the Profession Survey 2011.
The Chartered Institute of Purchasing & Supply
The Chartered Institute of Purchasing & Supply (CIPS) is the leading international body representing purchasing and supply management professionals. It is the worldwide centre of excellence on purchasing and supply management issues. CIPS has over 65,000 members in 150 different countries, including senior business people, high-ranking civil servants and leading academics. The activities of purchasing and supply chain professionals have a major impact on the profitability and efficiency of all types of organisation and CIPS offers corporate solutions packages to improve business profitability. www.cips.org
- strategic partners include the United Nations and the UK Government
- support donor-funded capacity and capability training all over the developing world and beyond to build effective, sustainable supply chains
- offices in South Africa, Australia, the Middle East, the UK
- 20% increase in membership in 2010
- supports over 47,000 studying members across the globe
- over 6,000 members a year attend our events including our annual conference
- 1.2 million unique visitors to the CIPS website each year
Hays plc (the "Group") is a leading global professional recruiting group. The Group is the expert at recruiting qualified, professional and skilled people worldwide, being the market leader in the UK and Asia Pacific and one of the market leaders in Continental Europe and Latin America. The Group operates across the private and public sectors, dealing in permanent positions, contract roles and temporary assignments.
As at 30 June 2011, the Group employed 7,620 staff operating from 255 offices in 31 countries across 20 specialisms. For the year ended 30 June 2011:
- the Group reported net fees of £672 million and operating profit** of £114 million;
- the Group placed around 60,000 candidates into permanent jobs and around 190,000 people into temporary assignments;
- 31% of Group net fees were generated in Asia Pacific, 33% in Continental Europe & RoW (CERoW) and 36% in the United Kingdom & Ireland;
- the temporary placement business represented 54% of net fees and the permanent placement business represented 46% of net fees;
- Hays operates in the following countries: Australia, Austria, Belgium, Brazil, Canada, Colombia, China, the Czech Republic, Denmark, France, Germany, Hong Kong, Hungary, India, Ireland, Italy, Japan, Luxembourg, Mexico, the Netherlands, New Zealand, Poland, Portugal, Russia, Singapore, Spain, Sweden, Switzerland, UAE, the United Kingdom and the USA.