Welcome to our latest update on the employment market conditions for Procurement and SRM professionals. Since our last update in January we have observed the following:
The permanent market is much improved for Senior Buyers, Category Managers, Procurement Managers and SRM specialists since Q3 2009. There is certainly more confidence amongst employers and the number of vacancies is up on earlier this year and late 2009.
It appears that the battle for talent that was a key feature of the pre recession market is starting again although there appears to be more restraint on salary increases at present. The busiest area is the £50-£70k bracket.
The interim market has stabilised after a difficult period last year. There remains pressure on both day rates and recruiter’s margins but the number of interim procurement specialists looking for a contract is certainly down from Q3 2009.
In both markets there are encouraging signs that some industries which suffered the most last year are beginning to look forward again and make key appointments. The sectors include banking, retail, leisure and FMCG.
Back in Q1 2009 and through our research into the impact of the recession on procurement (see link below) we predicted that there would be a significant rise in demand for experienced staff from procurement consultancies. They anticipated a busy year as potential clients looked for quick wins and specialist advice on cost base reduction. This demand hasn’t materialised as much as we anticipated as some potential clients decided against engaging consultants to the extent that had been hoped.
The technology sector remains quite cautious with a number of hiring freezes still in place and the demand for IT and Telco category specialists from end users has not recovered to the extent seen in other areas.
As we expected in our recent research into SRM (link below) there appears to be a growing demand for specialists with experience of developing and implementing leading edge supplier management strategies. We anticipate demand outgrowing supply in the next 12 months as numerous organisations have realised the value and potential competitive advantage that lies in more productive relationships with key suppliers, particularly as a result of the impact of the recession, a trend observed last year in the research mentioned above.
We have been contacted by a lot of jobseekers with SRM experience and are in the process of developing a specialist recruitment practice to focus on this area. You can join the SRM networking group we have set up here: http://www.linkedin.com/groups?gid=2837993&trk=fulpro_grplogo
Would you like to comment on any of the issues addressed here? Join the discussion here: http://www.edburydaley.com/wp/2010/03/19/procurement-market-update-–-march-2010/
Links to research reports
The growing importance of SRM: http://www.edburydaley.local/wp-content/uploads/2010/02/EdburyDaley-SRM-jan-2010.pdf
The impact of the recession on procurement: http://www.edburydaley.local/wp-content/uploads/2009/04/edbury-daley-the-impact-of-the-current-economic-climate.pdf
We welcome your comments on how useful you find our research here: http://www.edburydaley.com/wp/2010/02/24/the-growing-importance-of-supplier-relationship-management/