Video – The Procurement & Spend Management Insider – Autumn 2021

See the newest video below from Andrew Daley about what to expect in our latest Insider report, which will be released any day now.

We’ve been recruiting since the mid 1990s and none of us have experienced a recruitment market quite like what we’ve seen so far in 2021. Demand for experienced staff across the European digital procurement ecosystem is remarkably high and growing rapidly, with permanent appointments up 134% (source: APSCo). In this report, we look at some of the factors fuelling this.

In procurement technology, there have been too many moves to list so we’ve focused on those we feel have real strategic importance for the sector. We also look at why there have been winners and losers and as we enter the final quarter of 2021, we identify what we are currently seeing in the sector. We would like to thank Jaggaer and Tealbook for their valuable contributions.

In this edition, we introduce our new section dedicated to ESG and sustainability to give some focus to this growing niche. We also review the corporate market and explain how this is bucking the trend.

There is no doubt that the conditions facing the sector are really challenging those companies serious about hiring great talent and we share out thoughts about how to best land your key hire.

Video – Preview for The Procurement & Spend Management Insider – Autumn 2021

Do you know the job market conditions for your particular skill set?

Do you really know the dynamics of the recruitment market that might affect your hiring plans?

Our Procurement & Spend Management Insider is the only report that offers a detailed analysis of the factors affecting job market conditions written specifically for the Digital Procurement & supply chain market. See the video below for a preview from Andrew Daley.

Here’s what to expect in the forthcoming Autumn report including:

Why we’ve never seen recruitment market conditions quite like the ones we’ve seen this year and what exactly they look like.

Why it’s so difficult to recruit for certain roles in the procurement tech ecosystem, yet it’s much easier in other parts of the digital procurement market.

The impact of the rise of Sustainability as a major factor in the Digital Supply Chain.

Video – Record Starting Salary Rises – Implications for the Digital Procurement & Supply Chain Markets

Starting salaries are rising at record rates due to shortages in candidates, according to KPMG.  Here are the thoughts of Andrew Daley  in the video below on the subject and the implications for the professional job markets.

Video – Do you know the market rate for the skills you want to hire?

In the video below, Andrew Daley considers the following questions:

Do you know the market rate for the skills you want to hire?

Is your budget a barrier to hiring the people your business needs?

Perhaps you want to know what your own skills are worth in the current job market?

What’s the best way to get this information?

If you want more information on this subject please contact Andrew via andrew@edburydaley.com

Video – Hiring Challenges Intensify in the European Procurement Tech Market

In the video below, Andrew Daley, Director of Edbury Daley, Europe’s leading specialist recruiter in the digital procurement and supply chain markets give us his insight into the current market conditions for hiring talent in the sector.

He asks:

Why is hiring proving so challenging in the procurement technology and digital supply chain markets at the moment?

Why are there so many open roles across Europe in the tech vendors and the consultancies that implement the solutions?

Why are so many companies in this space hiring?

If you want more information on this subject please contact Andrew via andrew@edburydaley.com

HICX reveals that more than 60% of top firms neglect supplier communications

Leading Supplier Information Management Vendor HICX recently published The Supplier Experience Survey report.

A new survey report reveals 64% of enterprises are disadvantaging themselves during the pandemic by not having strong communication channels in place with suppliers.

With the events of the coronavirus crisis revealing how dependent organisations are on their supply chains, HICX, the leading Supplier Experience Management provider, has published a survey report about supplier-centricity in the pandemic. 

The Supplier Experience Survey is the first of its kind and helps enterprises be more competitive by improving the relationships they have with suppliers. The study provides insights from a hundred of the most senior procurement professionals from global billion-dollar organisations, including more than 30 respondents from enterprises with an annual turnover of more than $10 billion. This bird’s eye view of the broader landscape offers business leaders a benchmark to identify any friction points, and therefore opportunities, within their own procurement functions. 

“In times of scarcity having resilient supply chains is the best way to gain a competitive advantage. To truly achieve this, enterprises must ensure they have the strongest, healthiest relationships possible with all their suppliers,” said chief executive officer, Costas Xyloyiannis.

“With the changing landscape, businesses are starting to position themselves as the preferred client by offering suppliers a best-in-class experience. Apart from being a good thing to do because it benefits a range of other businesses, paying attention to suppliers’ needs can also result in enterprises being prioritised for the best R&D innovations, stock supplies and service,” said Costas. 

Bridging the perception-reality gap

The survey revealed that when it comes to data management and onboarding suppliers, there is a vast difference between what enterprises perceive is working well and the actual experience. While 98% of respondents believe it is effortless for suppliers to submit and update their data, and over three quarters feel they are best-in-class to do business with, some factors that contribute towards supplier satisfaction and success indicate the opposite.

According to the survey, suppliers need to invest a substantial amount of time, which is unpaid and non-value adding, into the customer-relationship. For instance, almost 100% of suppliers need to interact with two or more systems within a single organisation and only 5% have managed to reduce their onboarding period to only two weeks.

“Making these processes more efficient will help suppliers do a better job because they’re able to save on coordination time and reduce errors, which leads to mutual success,” says Costas.

Better communication will unkink the supply chain

64% of respondents cite communication between departments within enterprises and lack of clarity around who to contact for what, as a top three area for improvement.  According to Stephen Day, chief procurement officer at market research house Kantar, this casts the spotlight on a persistent pain point. When asked what their suppliers would view as a bugbear, 67% identified that the time it takes to resolve queries needs to improve. 

The report found that enterprises are not intentionally trying to frustrate communication efforts, however, the traditional technology landscape and set-up presents barriers to defining, routing and handling enquiries better. Investing in technologies to support digital processes, combined with the right skills, is key to changing this.

Supplier satisfaction needs to move up the ranks

While everyone wants to be ‘customer of choice’ and most assume that they are in a good position for that, the priorities of enterprises show they are not necessarily set up to make this happen. 75% ranked operational efficiencies in their top three priorities, however only 5% are interested in actively implementing the necessary supplier facing tools to help streamline activity. 

The tools and processes that can help improve operational efficiencies are frequently overlooked in favour of traditional goals which are often inward-looking, and operations driven. Costas’ view is that a simple shift towards focusing on activities that add value for suppliers can transform entire organisations from the inside out. 

Prioritising supplier-centricity to move forward 

As procurement leaders navigate the evolving business landscape, organisations should make it a strategic focus to prioritise having the strongest possible relationships with suppliers, for mutual success and the best outcomes. 

Because of the need to positions themselves as the customer of choice during periods of low supply caused by the pandemic, many organisations have already started to adopt a more supplier-centric approach to procurement. However, short term internal pressures to prioritise cost saving programmes, could pose a risk to procurement functions returning to a pre-pandemic state. 

Those organisations that recognise the opportunity in harnessing and accelerating the progress they have already made when it comes to supplier relationships, will find themselves leaps and bounds ahead of the competition.

To read the full Supplier Experience Survey report, visit hicx.com. And follow the conversation about Supplier Experience Management on LinkedIn.

Why has hiring become harder in the digital procurement and supply chain markets in 2021?

Get the latest on the 2021 Digital Procurement & Supply Chain Hiring Trends 

The early months of 2021 have seen some remarkable recruitment activity and hiring trends, particularly in the procurement and supply chain technology markets.

Demand for staff from both established S2P platform providers and the plethora of fast-growing best of breed vendors is higher than anyone might have anticipated as recently as six months ago, yet many are having difficulty hiring the talent they need.  Why is this?

In their recently published, two-page summary report, specialist recruiter Edbury Daley examines the recent hiring trends, offers brief case studies from organisations in the sector and explains why we are seeing so many open vacancies in the market at present. In particular, we address the following questions:

  • What are companies experiencing in the hiring market at present?
  • Why are job advert responses less relevant than previously? 
  • Which types of roles are Talent Attraction teams struggling to hire for?
  • Why are some people reluctant to move jobs?
  • How do you overcome these barriers to making key hires?

For a free copy of Edbury Daley’s 2021 Digital Procurement & Supply Chain Hiring Trends report please click here to send a brief email requesting the report.  No further registration is required.

The Hiring Landscape Q1 2021 – Recent Activity and Trends

As we embark on the recovery from the biggest global crisis in most of our lifetimes, current recruitment activity, often seen as a key barometer of economic health and confidence, suggests that there is evidence that the Procurement and Supply Chain world is in a stronger position than many other sectors.

The associated technology and consulting markets are in rude health by comparison to much of the wider economic landscape and there is genuine optimism that things will continue to improve. This is because the profession is at the heart of how companies will solve the challenges created by the events of 2020.

Despite a large proportion of Europe being in various forms of national or regional lockdowns, the early signs in 2021 are that the job market for the sector is remarkably busy already. A significant number of software vendors and consultancies are actively in the market for staff. In the case of the vendors, the main demand is for revenue generation roles such as sales, presales and customer success, whilst the demand in the consultancy market is driven by a thirst for people with transformation experience usually including the implementation and adoption of digital procurement tools.

In their report into the UK jobs markets published in early January KPMG and The REC reported that: “UK recruitment consultancies recorded a renewed rise in permanent placements at the end of 2020, thereby ending a two-month sequence of decline. That said, the rate of growth was only marginal. The upturn was generally attributed to increased business activity and an improvement in market confidence, partly due to recent vaccine news, which led clients to press on with previously delayed recruitment plans. However, there were also widespread reports that the COVID-19 pandemic, renewed lockdown measures and uncertainty over Brexit had dampened growth of permanent hires.”

The activity in the market in January suggests both an improvement in demand in early 2021 and that procurement and associated technology markets are amongst the most robust professional job markets. Using the KPMG vacancies index to assess sector by sector activity, two of the three fastest growing permanent job markets are technology and financial, which supports our theory to a degree without giving specific data on the particular niche sectors that we are focusing on here.

So how did we get to a stage where the market is so busy, so quickly bearing in mind that hiring markets largely ground to halt for large parts of the second and third quarters of 2020?

Knowing how many tech vendors faired last year against their revenue targets and also how their sales varied over the course of the year, we believe there is evidence to support the theory that the Covid pandemic has, and will continue to be, a catalyst for increased digital transformation of procurement and supply chain in a number of industries. We look into more evidence to support this theory later in this report.

Before that, let’s reflect on a brief summary of the market conditions in 2020 that illustrate just how much things have changed:

Q1 – The first quarter of the year was actually quite a flat hiring market in the procurement tech sector. 2019 had seen many organisations significantly increase headcount whilst enjoying strong market conditions but with Brexit uncertainty still in the air, there was a degree of caution around hiring with companies generally focusing on getting the best from existing resources.

Q2 – The implications of the Covid pandemic hit Europe and the lockdowns began. Companies are in survival mode and professional job markets cease to operate as priorities are elsewhere. As we head into May and June we start to see spikes of activity as companies focus on business critical hires that can’t wait any longer, but the overall market is still incredibly quiet.

Q3 – Spikey activity continues but professional recruiters are largely struggling for work, whilst internal recruiters become fearful of job security. Most moves are being done through existing personal networks, for example, ex-colleagues as these feel safer for both parties and don’t incur any recruitment costs. There are some exceptions as the strongest software companies seek to hoover up talent in a less competitive market. Some companies start to adapt to hiring over Teams/ Zoom. The core Procurement professional job market is one of the better professional markets but the solutions providers largely remain quiet with a few notable exceptions.

Q4 – The job market gradually starts to improve despite redundancies taking hold in certain sectors, particularly for companies who were either struggling prior to Covid, made bad decisions in the pandemic or their market died, often for reasons beyond their control. However despite all that overall activity steadily improves with confidence returning, possibly due to vaccine hopes. For many businesses, there was also a realisation that things had to change and the answer for many lies in increased or better use of technology. That is why December was the busiest month of the year and the signs in Q1 of 2021 are that we have a remarkably busy hiring market.

So are companies feeling bullish about their prospects in 2021 because of the nature of what digital transformation in procurement and supply chain can deliver for organisations? It would appear so and would correspond nicely to the theory that more is expected from procurement and supply chain functions in challenging times.

This article is an excerpt from our Procurement & Spend Management Insider Report for Spring 2021.

If you would like to discuss any of the points raised, please email andrew@edburydaley.com.