SUPPLY CHAIN COMPENSATION SURVEY


“You may move to a different state or region to become Chief of Supply Chain while earning less with résumé/career building in mind or you want a different personal lifestyle experience versus profes- sional job hopping in a more affordable market,” she reasoned. “This has more to do with where the care is or transitioning to than where the job is.


“I did not think I would be using the ‘double-edged sword comment,’ but here it is,” Strain continued. “On one hand a shift to non-acute care and telehealth may mean those with the expertise and infrastructure will succeed, which may not be what supply chain is typically known for. On the other hand, this is an opportune time to be the disruptor in your area as a business strategy. This requires the right leader, in the right place, with the right team – new positions, new titles, new skills, which lead to salary reviews.”


Greenhealth’s Starr offers something of a horizontal rationale bisecting a vertical one. “Generally speaking, for most sectors – not just healthcare – organizations located in an urban setting have higher pay scales,” she surmised. “Additionally, the larger hospi- tals with more complex supply chains are typically located in urban areas. Therefore, I think it’s a combination of the challenge and the location that attract high performers.


Non-profi t For-profi t


$100,272 $81,590


Government-owned $92,125 None of the above $108,750


URBAN SUBURBAN RURAL $116,250 $102,500


SALARY BY REGION


*3.7% of survey responders opted not to share their gender but are included in the regional summaries


Pacifi c $106,296 Mountain $91,018 PACIFIC - 10%


5% $91,346 4% $131,041


MOUNTAIN - 10%


5% $73,846 5% $106,964


CENTRAL - 30%


17% $72,180 10% $102,589


Charts above display the average composite salary across ALL TITLES broken out by the factors indicated. 56 June 2021 • HEALTHCARE PURCHASING NEWS • hpnonline.com Central $85,875 Northeast


$100,337 Southeast


$106,276 SOUTHEAST - 17%


9% $73,599 7% $143,625


NORTHEAST - 33%


17% $83,532 16% $118,452


$74,010


And the results of both location and skill set required result in the higher salary averages for these locations. “As for the for-profi t hospital systems,” she continued, “most of these organizations have more centralized supply chains. As a result, the higher-skilled – and therefore, higher-salaried – positions are working at the corporate level with the individual loca- tions having supply chain professionals that execute on the overarching strategy.”


Education, training, certifi cation Not surprisingly, the higher education attained – including degrees, certificates, skills and strategic thinking – seems to propel the income trajectory. In many cases, experts concur, but it requires patience more than patients.


“I had someone tell me once that the reason why they liked to see someone with a gradu- ate degree apply for a role is that they prob- ably had the discipline that comes with the rigors of education,” observed Texas Health Resources’ Clinton. “I tend to agree with that. And now that Supply Chain programs abound in many universities, there should be encouragement from those of us that have been doing this for a while to the next generation. Certifi cation is important  but


it really needs to be in conjunction with a well-rounded education plan. Experience is a great teacher, but it can be a really slow one!” Starr wonders whether high performers already represent those who seek additional education and certifi cation. “Education and certifi cations can certainly enhance one’s ability to perform in a position, but those alone are no guarantee of a better position or salary,” she said. “I think the same salary/position drivers in other industries can be applied here. You need the educa- tion or certifi cation to gain the technical or management knowledge, but the ability to measure information and make decisions to move work forward, anticipate and mitigate risk, as well as strong communication and work ethic are critical for success regardless of education.”


Much depends on the organization itself, according to Dolan. “The organization can set the tone for edu- cation,” he noted. “Some organizations do not consider education level in the compen- sation model unless required for the role. For example, suppose an organization hires an individual with a doctorate into a role that requires a bachelor’s degree. In that case, the compensation level is not immediately impacted by their higher degree. “Educationcertifi cation should factor in as an example of an individual’s dedication to professional growth,” Dolan said. “The organization should develop detailed career progression models that tie advancement to these factors and experience, involvement in initiatives, etc. Certifi cation is a specifi c example of this as it demonstrates value and commitment for the organization. These must be detailed in a well-constructed career model tied to the organization’s objectives.” Strain expresses caution about reading too much into the data, however.


“Overall, job descriptions for the types of


roles for middle management positions col- lected by the survey may state ‘must have’ an associate degree to apply with a ‘prefer’ bachelor’s or higher degree,” she said. “If the position has historically been fi lled with associate-degreed individuals the salary may remain organically lower and infl uenced by other factors – geography, salary ranges, titles.”


Training andor certifi cation also vary by type of role, Strain insists.


“Based on personal experience, certain roles require training beyond a degree – laboratory, pharmacy, radiology, physicians, to name a few,” she said. “In turn, some positions require that individuals hold a certifi cation that can be accomplished either by taking a prescribed set of curricula or pass- ing a certifi cation exam from a recognized professional organization or federal/state/


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