SUPPLY CHAIN COMPENSATION SURVEY


the organization may heap praise but not money on you. So you may need take your talents [elsewhere] if the current organiza- tion is not willing to compensate you in the way the open market will. I would fi nd it hard to believe that in the majority of cases, significant compensation [change] came without changing organizations. “I don’t have a magic number, but I have noticed that the average number of years, with no career movement for this up-and- coming generation, seems to be between three and fi ve years,” he continued. “I will say that if I look at a résumé and there are several, two-to-three-year positions, that is a red fl ag for me. However, it seems like job hopping is becoming more acceptable with this generation.”


Education, Training and Certifi cation The trend seems to be the higher education


you receive – including degrees and learning new skills and thinking – the higher your income trajectory. But how does or should educational advancement – including certi- fi cation  really contribute to the direction of compensation levels against the backdrop of a demanding post-pandemic world? Noted the male Supply Chain Director in the Southeast:


“I believe that in every profession educa-


tioncertification levels affect earnings,” he indicated. “More and more a Master’s degree is the norm. Bachelor’s degrees are more like a GED. Especially advancement to a Director-level or VP requires that the can- didate has higher levels of education. It also


SALARY BY REGION NORTHEAST - 33%


*3.4% of survey responders opted not to share their gender but are included in the regional summaries.


Pacifi c $162,800 Mountain $86,666 PACIFIC - 12%


3% $142,500 6% $179,219


SOUTHEAST - 16% MOUNTAIN - 12%


5% $66,346 4% $110,681


CENTRAL - 28%


14% $73,378 7% $100,416


Charts above display the average composite salary across ALL TITLES broken out by the factors indicated. 22 June 2022 • HEALTHCARE PURCHASING NEWS • hpnonline.com


6% $73,676 5% $141,071


Central $85,087 Northeast


$122,649 Southeast


$106,818


9% $88,804 16% $142,500


is the norm to have a certifi cation in Supply Chain (CMRP or CSCP, etc.). Problem solv- ing, sourcing, critical thinking, communica- tion with all levels of management, use of professional connections all contributed to being successful during the pandemic. Also, those attributes can be related to the personal abilities that an individual needs to accom- plish with higher levels of education.” Noted the male senior-level IDN Supply Chain Executive in the Southeast: “I think that the industry as a whole needs to reevaluate the obsession with higher education,” he indicated. “In part because so many [human resources] application systems are set to automatically fi lter on the qualifi cations of the job description. In the past you may list the need for a degree, but you would get all of the résumés and you could weigh experience and skills against the need for a degree. You could talk to a variety of candidates with different backgrounds. In this way, you could match a person and their skills and characteristics to an organization’s needs and its culture.


“I am afraid what is happening more and more often is matching a job description to a CV on paper. Résumés for excellent and experienced candidates may never make it to a leader’s desk because of the bias toward a degree. A good part of many jobs, includ- ing Supply Chain, is [on-the-job training], and I think that is proving out more and more. Confi dent and strategic supply chain leaders managed the pandemic well, regard- less of their degree status. On the other hand,


leaders that looked good on paper were quickly overwhelmed.


Noted the female Supply Chain Director in the Southeast:


“Education is valued and required in sup-


ply chain without a doubt,” she indicated. “However, that has not always been the case. There are successful supply chain leaders who have risen in their careers – myself included – through hands-on learning and experience. Continuing to accept new obstacles, ask questions, and grow in the job will lead to advancement. “Yes, the certifi cation programs and higher education can help,” she continued, “but I think experience plays a larger role. Prior to 2020, supply chain was rarely spoken. The last two years of facing the daily shortages, back- orders, and other challenges within healthcare have brought new awareness to the industry. You can have a Master’s degree and still not know how to handle a crisis as we have been through. To be sure, there are great skills that can be taught in higher education, but then again, the task-oriented and relationship skills are usually obtained through experience.”


Lasting pandemic effects For the third consecutive year, the average annual salary for Supply Chain leaders at the director level has exceeded the $100,000 threshold. Granted, this partially can be attributed to cost-of-living concerns and the geographic location and organization type of the respondent. Further, most respondents said they feel rather secure in their positions. The pandemic certainly emphasized the need for – and value of – the supply chain and value analysis functions during a time of crisis and heightened demand for products and services. But as the pandemic subsides, is the profession seasoned enough to succeed in the future?


Indicated the female Value Analysis Director in the Northeast:


“The culture of each healthcare system was


challenged by the pandemic,” she said. “Some of those cultures were overwhelmed and some thrived. The ‘COVID Era’ has set the stage for high-demand information sharing, virtual networking, transparency, exchange of practices, a proverbial potpourri of ‘how are you handling that.’ Supply Chain leaders, arm-and-arm with their executives, must look inward and take stock of their foundational operations and human/physical/technol- ogy resources to reset their strategies, goals and tactics to meet the future path their organizations must take in the new, emerging healthcare swirling around them.” Indicated the male senior-level IDN Supply Chain Executive in the Southeast: “It is likely that supply chains that did well managing the past several years of ongoing supply chain issues, worked well


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