Traits of tomorrow's purchasing exec
Purchasing executives are in high demand, with compensation reaching levels only dreamed about in years past.
By Agatha Ciancarelli -- Purchasing, 4/8/1999 6:00:00 AM
The purchasing function has undergone radical change over the past two decades. Today, purchasing/supply management is broadly recognized as a critical and strategic business function, and proven purchasing executives are in high demand, with compensation reaching levels only dreamed about in years past.
When companies and recruiters seek purchasing executives, an entire new list of qualifications and traits must be met. Today, the "ideal" candidate for a purchasing executive job has:
* Management experience in areas other than purchasing, especially technology and finance.
* Global experience, or at least a global mind-set.
* Experience in, and knowledge of, using computers and the Internet to enhance supply management.
* Ability to be flexible to change and to manage people as they experience change.
Experience always key
In general, a purchasing professional must have had at least several years of experience to be considered for an executive-level position. However, in recent years the type of experience needed has changed.
"Purchasing executives need to branch out into different areas because purchasing has become more team-oriented and involves more cross-functionality," says Donna McMillan, vice president of recruiting firm McMillan Associates. "Purchasing and engineering departments now work hand-in-hand, as well as materials and quality departments."
Fortune personnel representative, Karl Zimmermann agrees: "Branching out into other disciplines within the materials function is helpful, such as experience in production control, material control, and inventory, because the experience provides additional understanding of the supply chain."
In fact, some companies are shifting other functional heads into purchasing, and moving purchasing executives into other functions as part of a long-term strategic plan to build top executive teams. This approach has been used by Chrysler Corp. and Delta Airlines, to name two notable examples.
Wanted: Global thinking
Today's marketplace is truly a global one, and purchasing executives that have global experience are in high demand. Says McMillan, "We are now competing in a global marketplace and purchasing executives need to be prepared for this in order to deliver world-class service and strategies into the twenty-first century."
To be effective in today's global business environment, it is important that executives are able to work in diverse social and business cultures. Purchasing executives in coming years will interface with foreign languages and cultures more and more.
Execs need technology
Like all other areas of business, the purchasing function has been tremendously affected by the rapid deployment of advanced information technology. The Internet, for example, has had a tremendous effect on how business is conducted. Tomorrow's purchasing exec will have to manage a team of highly skilled, computer-friendly professionals.
Also, as technology becomes more significant in the industry, organizations look for skills in analyzing and drafting technology-related contracts, software licensing, and other technology-related agreements. A purchasing pro whose high-tech knowledge is cutting-edge will have a major leg up on competitors.
Embrace change
Says Zimmermann, "Regardless of the industry you are in, business today requires executives to be flexible in terms of how things are done. Also, they must be willing to accept and have a diversity of experience and ideas. Most important, they must be able to deal with change."
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