Update for UK Procurement and Supply Chain Recruitment - Summer 2021
In the second quarter of 2021 we have seen a significant increase in activity, with many more roles coming on-stream and evidence of a significant market strengthening following slowly improving growth in the first quarter of the year. This mirrors IHIS Markit/CIPS, OECD and other economic indicators, suggesting a much faster economic growth rate in both UK Manufacturing and Services, than originally forecast, as an effective vaccine programme allows the opening of the UK economy.
We like many organisations that have weathered the Covid-19/pandemic storm, have come out fitter, leaner and wiser (although not without cost) and we are seeing the same amongst many of our clients, who are seizing on the opportunities of rapid demand inputs and their need to refocus supply chains in a volatile and fast changing world.
Permanent Recruitment
We like many organisations that have weathered the Covid-19/pandemic storm, have come out fitter, leaner and wiser (although not without cost) and we are seeing the same amongst many of our clients, who are seizing on the opportunities of rapid demand inputs and their need to refocus supply chains in a volatile and fast changing world.
Permanent Recruitment
Permanent procurement and supplychain recruitment activity have increased significantly, particularly in the second quarter. Unsurprisingly, we are seeing a lot of activity in Supplier Management roles, looking at diversity and risk mitigation, but also plenty of activity across Procurement and Purchasing roles too; at all levels and across almost all sectors, but primarily in pharmaceuticals, fintech, financial services, manufacturing and automotive. The majority of our client’s (except for pharma and possibly fintech) have been in a ‘holding pattern’ during the last 18 months and loosening of UK restrictions means significant ‘catch up’ activity and investment into their stalled medium and long-term recruitment plans.
Interim Recruitment
The Interim market is picking up and we are seeing an increased demand for wide variety of interim procurement specialists, across all sectors. The vast majority are engaged inside the IR35 Off-Payroll regulations or on a Fixed Term Contract basis.
The new Off-Payroll legislation changes continues to cause uncertainty amongst seasoned interims, but we believe the new normal inside IR 35 contracts are beginning to be accepted.
Market Rates - Interim and Permanent:
Market rates are showing signs of increasing as specific skill sets, become harder to find and demand increases. We are already seeing some upward pressure on Interim rates (partly to compensate for the inside IR35 determinations) as we move to a more candidate led market and we expect the Permanent market rates to slowly strengthen (assuming economic growth continues unaffected by further Covid-19 restrictions or other economic hindrances.)
Skills most in demand…
Procurement specialists with Supplier Diversity experience are in high demand, across all sectors and candidates with solid experience of implementing ethical, efficient and innovative sourcing strategies can secure great roles and can contribute to fundamental changes in organisational performance and reputation.
Procurement specialist with solid Supplier Risk Management experience are still in vogue, particularly in the Financial Services sector, and candidates with a strong experience in fraud, quality, compliance, cost and delivery strategy and implementation are being snapped up fast.
Procurement specialists with solid Cloud and IT Software experience are still in demand, particularly in the Financial Services sector.
Good Candidates are calling the shots…
“Candidates are moving jobs, because the want to, not because they have to”, was quoted recently by one of our Senior Consultants. As a rule, we try not to make sweeping generalisations, but there is some truth here. As demand for procurement and supply chain talent has increased we are seeing a move towards a much more candidate led market, with talented procurement and supply chain professionals having a choice of options. Clearly this impacts prospective employer’s recruitment strategies, on-boarding processes and market rates, so there are areas that organisations looking to secure the best talent need to be aware of: -
Clients that are quick and slick in their process are getting the best people…
Companies slow to react with a disjointed and slow recruitment and on-boarding process are losing out on good candidates. As the market moves from a client to candidate led one, the need for an effective, quick and comprehensive process becomes ever more evident; and organisations that don’t ensure their interview and on boarding processes present a seamless, efficient and timely recruitment picture to prospective employees run the risk of losing the best candidates, many of whom will have multiple offers on the table.
Interviewing and Onboarding…
Clearly the COVID-9 Pandemic has changed the nature of work and interviewing, with almost all interviews currently undertaken on Zoom, Teams or similar. The fast adoption and familiarity of web conferencing technology across the board has allowed companies to shorten interview, assessment and on-boarding timelines; the need to get all interested parties ‘in one room’ is no longer the norm and the effective utilisation of web conferencing can speed up the recruitment process, reducing the risk of losing the talent. However, a word of caution; historically the most successful hires (in pre-pandemic days!) have usually spent time meeting stakeholders and seeing the environment they will be working in, so your remote on-boarding process still needs to also present the culture and ethos of your organisation, to avoid cultural fit ‘surprises’ later on.
Thoughtful Work/Life Balance policies will help get you the people you really need…
There is no doubt about it during pandemic and lockdown, many have re-valued their career choices and work/life balance. Covid-19 pandemic, home working and the significant changes in work patterns and expectations, all need to be considered and reflected in your corporate employment strategy. Where two years ago, home working was not usually detailed in employment contracts, now remote working expectations need to be clear to protect both employer and employee and should be formally evidenced organisation wide; and promoted to prospective candidates to maximise brand and candidate attraction. Home working and flexibility are critical… too rigid working practices will cut down your potential talent pool, but strategies need to be in place to protect the employee and the needs of the business.
A move from Internal Recruitment to Specialists…
Interim Recruitment
The Interim market is picking up and we are seeing an increased demand for wide variety of interim procurement specialists, across all sectors. The vast majority are engaged inside the IR35 Off-Payroll regulations or on a Fixed Term Contract basis.
The new Off-Payroll legislation changes continues to cause uncertainty amongst seasoned interims, but we believe the new normal inside IR 35 contracts are beginning to be accepted.
Market Rates - Interim and Permanent:
Market rates are showing signs of increasing as specific skill sets, become harder to find and demand increases. We are already seeing some upward pressure on Interim rates (partly to compensate for the inside IR35 determinations) as we move to a more candidate led market and we expect the Permanent market rates to slowly strengthen (assuming economic growth continues unaffected by further Covid-19 restrictions or other economic hindrances.)
Skills most in demand…
Procurement specialists with Supplier Diversity experience are in high demand, across all sectors and candidates with solid experience of implementing ethical, efficient and innovative sourcing strategies can secure great roles and can contribute to fundamental changes in organisational performance and reputation.
Procurement specialist with solid Supplier Risk Management experience are still in vogue, particularly in the Financial Services sector, and candidates with a strong experience in fraud, quality, compliance, cost and delivery strategy and implementation are being snapped up fast.
Procurement specialists with solid Cloud and IT Software experience are still in demand, particularly in the Financial Services sector.
Good Candidates are calling the shots…
“Candidates are moving jobs, because the want to, not because they have to”, was quoted recently by one of our Senior Consultants. As a rule, we try not to make sweeping generalisations, but there is some truth here. As demand for procurement and supply chain talent has increased we are seeing a move towards a much more candidate led market, with talented procurement and supply chain professionals having a choice of options. Clearly this impacts prospective employer’s recruitment strategies, on-boarding processes and market rates, so there are areas that organisations looking to secure the best talent need to be aware of: -
Clients that are quick and slick in their process are getting the best people…
Companies slow to react with a disjointed and slow recruitment and on-boarding process are losing out on good candidates. As the market moves from a client to candidate led one, the need for an effective, quick and comprehensive process becomes ever more evident; and organisations that don’t ensure their interview and on boarding processes present a seamless, efficient and timely recruitment picture to prospective employees run the risk of losing the best candidates, many of whom will have multiple offers on the table.
Interviewing and Onboarding…
Clearly the COVID-9 Pandemic has changed the nature of work and interviewing, with almost all interviews currently undertaken on Zoom, Teams or similar. The fast adoption and familiarity of web conferencing technology across the board has allowed companies to shorten interview, assessment and on-boarding timelines; the need to get all interested parties ‘in one room’ is no longer the norm and the effective utilisation of web conferencing can speed up the recruitment process, reducing the risk of losing the talent. However, a word of caution; historically the most successful hires (in pre-pandemic days!) have usually spent time meeting stakeholders and seeing the environment they will be working in, so your remote on-boarding process still needs to also present the culture and ethos of your organisation, to avoid cultural fit ‘surprises’ later on.
Thoughtful Work/Life Balance policies will help get you the people you really need…
There is no doubt about it during pandemic and lockdown, many have re-valued their career choices and work/life balance. Covid-19 pandemic, home working and the significant changes in work patterns and expectations, all need to be considered and reflected in your corporate employment strategy. Where two years ago, home working was not usually detailed in employment contracts, now remote working expectations need to be clear to protect both employer and employee and should be formally evidenced organisation wide; and promoted to prospective candidates to maximise brand and candidate attraction. Home working and flexibility are critical… too rigid working practices will cut down your potential talent pool, but strategies need to be in place to protect the employee and the needs of the business.
A move from Internal Recruitment to Specialists…
With many organisations having to undertake major cost reduction programmes during the pandemic, we have seen many of them taking all their recruitment in-house. However, this, in some cases presented significant risk of internal recruitment teams presenting candidate shortlists that, in our opinion just do not include the best people that would consider a move.A number of times we have heard of internal recruitment teams struggling to identify and reach candidates with the necessary commercial, industry, category and soft skills required; and shortlisting, interviewing and indeed offering individuals (known to us) that we believe would be unlikely to make a good long-term hire. Utilising a good specialist agency, will help ensure the organisation will reach the best hidden talent ‘out there’.
Single Agency Agreements…
Where once almost all our large corporate clients were using multiple agencies, supplying a brief through their HR function or MSP and sometimes it would seem ‘hoping for the best’…. we are now seeing some clients moving towards a single agency arrangement with a trusted recruitment partner. Our thoughts are that these organisations are much more likely to secure the talent they need, by embarking on an intelligent and collaborative relationship from the off, with a recruitment partner that has the specific expertise required. Clients working with a multiple agency ‘first past the post’ approach, will not necessarily get the best candidates; the FPTP approach hits the HR/MSP numbers and KPIs, but does it really get the best people?
Summary
The Procurement and Supply Chain Recruitment picture looks far more positive than it did 6 months ago, with significantly increased activity in both interim and permanent recruitment in-line with increasing UK economic growth.
Candidates with hard to find category experience and skills, continue to secure high rates and will be snapped up quickly; organisations recruitment and on-boarding processes need to be quick and slick to ensure they don’t alienate great candidates, who have now have more options to choose from.
Corporate policies and recruitment processes need to embrace the changes in how we all work in a post-pandemic world, utilising remote interviewing and assessment methodologies to best advantage, whilst ensuring the personal touch, soft skills and cultural fit are not forgotten.
In conclusion, we are pleased to say that we are now working on as many exciting procurement and supply chain roles as we did pre-pandemic, although like everyone we see much uncertainty re: new strains of Covid-19, government policy decisions, inflationary pressures, US and international trade policies and the ongoing influence of Brexit; but fingers crossed the current momentum will continue.
Single Agency Agreements…
Where once almost all our large corporate clients were using multiple agencies, supplying a brief through their HR function or MSP and sometimes it would seem ‘hoping for the best’…. we are now seeing some clients moving towards a single agency arrangement with a trusted recruitment partner. Our thoughts are that these organisations are much more likely to secure the talent they need, by embarking on an intelligent and collaborative relationship from the off, with a recruitment partner that has the specific expertise required. Clients working with a multiple agency ‘first past the post’ approach, will not necessarily get the best candidates; the FPTP approach hits the HR/MSP numbers and KPIs, but does it really get the best people?
Summary
The Procurement and Supply Chain Recruitment picture looks far more positive than it did 6 months ago, with significantly increased activity in both interim and permanent recruitment in-line with increasing UK economic growth.
Candidates with hard to find category experience and skills, continue to secure high rates and will be snapped up quickly; organisations recruitment and on-boarding processes need to be quick and slick to ensure they don’t alienate great candidates, who have now have more options to choose from.
Corporate policies and recruitment processes need to embrace the changes in how we all work in a post-pandemic world, utilising remote interviewing and assessment methodologies to best advantage, whilst ensuring the personal touch, soft skills and cultural fit are not forgotten.
In conclusion, we are pleased to say that we are now working on as many exciting procurement and supply chain roles as we did pre-pandemic, although like everyone we see much uncertainty re: new strains of Covid-19, government policy decisions, inflationary pressures, US and international trade policies and the ongoing influence of Brexit; but fingers crossed the current momentum will continue.
Oliver Lewsley,
Beaumont Select
E: oliver@beselect.co.uk T: +44 (0)1403 248 448