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10 May 2014 | Gurjit Degun
Procurement and supply chain salaries in the US fell by two per cent last year compared with 2012, according to research by the Institute for Supply Management (ISM).
The Institute’s ninth annual salary survey for 2014 found the average base salary was $101,608 (£60,237) last year, and $103,793 (£61,532) in 2012.
“Overall it was a year where employers appeared to be careful in managing their expenses and many organisations may have cut back on salaries and bonuses,” said ISM director of research Paul Lee. “However we do not feel this will have an adverse effect on salaries moving forward as there are signs that supply management remains an industry where competition for the top talent remains fierce.”
The average wage for a female CPO last year was recorded at $364,091 (£215,842), much higher than for a male counterpart at $276,622 (£163,988) and the overall average at $295,037 (£174,905). But this difference in pay between genders was not repeated at lower levels of the profession.
More than 62 per cent of professionals received a bonus in 2013, compared with 68 per cent in 2012. ISM said the median bonus was $8,300 (£4,920), up four per cent from 2012. The study also demonstrated total salary packages that includes bonuses and stock options significantly increases pay.
The majority of the 2,316 respondents to the survey said wages were the “most important factor” when looking at job opportunities. This was followed by “likely job satisfaction,” then “prospect of improved work/life balance” and “benefits package offered”.
Respondents who were professionally certified earned $103,415 (£61,308) on average in 2013, more than the $96,655 (£57,296) for those who did not hold a qualification.
ISM said supply management professionals working in the field for 15 or more years can expect to earn 56 per cent more than those with four or fewer years of experience.