Purchasing, estimating and supply chain expertise has never been in such short supply, a new study found.
The 2023 Hays Salary Guide discovered procurement professionals are so hotly sought after 68 per cent of those surveyed confirmed their financial situations would improve if they changed employer.
Skill Dynamic’s “Breaking the skill loss cycle” report also shows more than 25 per cent of junior supply chain professionals intend to switch jobs in the next two years.
Fifty six per cent of senior procurement professionals surveyed admitted employee retention dwindled since the year 2020, and another 57 per cent believe large numbers of people changing jobs could cause manpower challenges.
“We are seeing highest demand for procurement specialists, category managers, contract managers, contract administrators and procurement managers. Talent attraction remains competitive with experienced procurement professionals in demand,” Hays regional managing director for Victoria, Tasmania and the Australian Capital Territory Tim James told Procurement and Supply Australasia.
“With vacancy activity strong, staff shortages are the main constraint on growth for many employers. They do not see the shortage of skilled procurement professionals easing any time soon. In response, employers are reviewing their attraction and retention strategies, focusing on benefits, training and wellbeing.”
Meanwhile, Cozens Mabel identified the following hiring trends for procurement in 2023:
- Organisations must strategise during a potential slowdown, leading to hiring freezes and redundancies in certain sectors. However, demand for procurement and supply chain talent will remain strong. Growth is expected across permanent roles, with increased demand for contractors. Some organisations are also considering whether to use internal resources for talent retention
- A looming downturn could create opportunities to hire talented staff and a broader pool of skilled migrants from the United Kingdom, New Zealand, India and other countries. Organisations should consider ways to tap into this talent pool including visa assistance, sponsorship, international secondments, contracting positions and international sourcing campaigns
- Artificial intelligence and other talent pooling technology will provide valuable skills data and help target the right candidates for job vacancies
- With shifts in expectations for health, remote work options and flexible career paths businesses must adapt to attract and retain the best talent
- Digitisation, technology advancements and big data will keep fuelling demand for skilled talent. Soft skills will also be in high demand
- Childcare subsidies and rising living costs in Australia could drive demand for more working hours, including part-time workers seeking full-time positions
- Expect organisations to continue offering remote and flexible working options that include four-day weeks, focusing on outcome-based work
- Remote working conditions pose a threat to new hires making it through probation, with many struggling through online training and limited interaction with team members. Managers need to address these challenges to improve onboarding success including “in-person time” while integrating new employees.