The Procurement Career Ladder

Vendor Management Category Management

Average TRP for Vendor Management candidates Average TRP for Category Management candidates
$126,804 $164,848

Highly Developed Capabilities Under Developed Capabilities Highly Developed Capabilities Under Developed Capabilities
1. Contract Formation 1. Market Analysis 1. Influencing & Negotiation 1. Market Analysis
2. Stakeholder Management 2. Risk Management 2. Stakeholder Management 2. Procurement Strategy
3. Business Diagnosis 3. Supply Chain Management 3. Risk Management 3. Supplier Management
The Procurement Career Ladder
Procurement Management Procurement Directors
Average TRP for Procurement Management candidates Average TRP for Procurement Director candidates
$198,249 $285,512

Highly Developed Capabilities Under Developed Capabilities Highly Developed Capabilities Under Developed Capabilities
1. Risk Management 1. Decision Making 1. Supply Chain Management 1. Risk Management
2. Contract Formation 2. Business Diagnosis 2. Business Diagnosis 2. Contract Formation
3. Procurement Strategy 3. Supply Chain Management 3. Stakeholder Management 3. Decision Making
The Procurement Career Ladder
CPO
Average TRP for CPO candidates
$440,327
Highly Developed Capabilities
1. Contract Formation
2. Supplier Management
3. Market Analysis
Under Developed Capabilities
1. Stakeholder Management
2. Decision Making
3. Business Diagnosis
Analysis & Insights – What can you expect?
Promotion from Vendor Manager to Category Manager
• To make the jump from Vendor Manager to Category Manager you can expect a circa 30%
rise in total package.
• Stakeholder Management will still be critical to your success, but you will need to develop
skills in Negotiation and Risk.
• It seems from the data that most Category Managers do not gain enough training and
leadership to develop strong market analysis and strategy capability.
Promotion from Category to Procurement/Portfolio Manager
• To make the jump from Category Management to Procurement Manager where emphasis
turns towards strong leadership and make/buy/sell capability, you can expect a circa 20%
rise in total package.
• Skills developed from Category Management such as Risk will be better leveraged with the
added emphasis on new skills such as procurement strategy.
• The ratio of females in ratio to males seems to decrease through the promotional phases of
Vendor Management (35%) through to Procurement Manager (21%).
Promotion from Procurement Manager to Procurement Director
• To make the jump from a Procurement Manager to a Procurement Director you can expect a
circa 44% rise in total package.
• Capability emphasis will broaden and broader supply chain knowledge will be required to
optimise category strategies and stakeholder credibility.
• Skills that apparently weaken are operational risk and contract formation. This could be due
to role be more relationship based and technically lower touch.
• Female to male ratio has levelled out and there is no change in diversity patterns from
Procurement Manager.
Promotion from Procurement Director to CPO
• To make the jump from a Procurement Director to a CPO you can expect a circa 54% rise in
total package. This will be due to inclusion of executive benefits.
• There is a worrying trend that skills developed from previous roles are watered down or no
longer relevant due to changing technologies and methodologies.
• The ratio of females to males has reduced further to only 12%.
• Stakeholder Management and Decision Making shows as a development area which is
concerning as they are still highly relevant to the role.