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Certification may be the best bet for diehard purchasers

By William Atkinson -- Purchasing, 10/4/2001

In an old episode of "All in the Family," Mike ("Meathead") is excited about his college grades. The ever-cynical Archie chimes in: "Whoop de do, there, Meathead. With them grades and twenty-five cents, you can buy yourself a Hershey bar." In recent years, there have certainly been hundreds of procurement professionals asking themselves: "Is it worth my time, money and effort to seek professional certification? Or is it just a nice thing to tack onto the end of my name that has no value?"

According to a survey conducted by Purchasing [PUR; Feb. 22, '01, p. 54], 23% of respondents reported having earned Certified Purchasing Manager (CPM) status, up one point from the previous year and up three points from the year before.

CPM is a designation offered through the National Association of Purchasing Management (NAPM). Purchasing's Salary Survey [PUR; Dec. 8, '00, p. 54] notes that, on average, professionals with CPM designations earn $73,000, while those without certification earn an average of $58,000. While part of this may be due to the direct value of the certification itself, part may also be due to simple longevity: 34% of respondents who have been in the profession eleven years or longer have earned CPM status (compared to 23% overall).

The second most common certification among respondents is the CPIM (Certified in Production & Inventory Management), offered by the American Production & Inventory Control Society (APICS). According to APICS research, professionals with CPIM certification earn between 15% and 23% more than those without. "They are also more promotable within their profession," says Mike Clark, CPIM , deputy executive director for business development at APICS .

Jon M. Davis, CPM, director, office of purchasing, for Research Triangle Institute (Research Triangle Park, N.C.), set a goal to achieve certification shortly after he entered the profession in 1985. "I was looking for the 'soft' benefits of proving my dedication to the profession, enhancing my marketability, and learning about purchasing practices in different business sectors," he says. He got more than he bargained for, though. "Shortly after I began the process, I received a promotion to my current job, so I was even more interested in achieving certification to prove they had made the right choice." Then, last year, shortly after a new boss came on board who was very familiar with the certification, Davis received a very nice raise. "I believe part of it was due to the fact that I was certified," he says.

Drew Curtis, CPM, CPIM , director of strategic programs for TTI Inc. (Ft. Worth, Texas), is obviously a strong proponent of both certifications, both for himself and his staff. "When hiring people, the certifications show me the applicants have at least a fundamental background in purchasing and materials management," he says. Curtis believes that the time, cost and effort to achieve certification are quite reasonable. "If you already have experience, it takes less time to achieve certification. You can also participate in some self-instruction modules. In addition, many employers will pay for classes and tests."

Not for everyone

While certifications offer value to many people in the purchasing profession, they may not be for everyone. "I looked at the CPM twice, but it seemed very government- and manufacturing-focused," says Amanda Seymour, corporate purchasing director for Royal Caribbean Cruises in Miami, Fla. "This wouldn't help me, being in the hospitality industry."

Seymour has another concern: "The program seems very rules- and regulations-oriented, rather than emphasizing applied skills. I want to be able to suggest and implement new strategies, not just be a policeman to the rules."

Even some who have achieved certification find it has some limitations. "Being certified doesn't give you any more credibility in your organization once you have been hired," admits Curtis. "For example, being certified doesn't make it any easier to get ideas or projects approved by management."

One of the most significant concerns about certification relates to the possibility of being pigeonholed. That is, if you plan to stay in procurement or supply management for your career, then certification is an obvious plus. However, if you have your sights set on a more interdisciplinary career, there is some evidence that being certified in one specific discipline may be detrimental. "Being pigeonholed is a possibility with any type of professional certification, whether it be in inventory management, accounting, engineering, or customer service," says Clark. "When you try to move outside of your discipline, your move may be scrutinized more carefully than someone without certification. People wonder what qualifications you have to move into another area." Without certification, there seems to be more tolerance and acceptance of cross-disciplinary moves.

Along the same lines, some professionals believe that certification is not a necessity in meeting the demands of today's trend to create interdisciplinary and cross-functional initiatives. J. Thomas King, vice president, purchasing and logistics, for Ashland Inc. (Columbus, Ohio), has high praise for professional certification, but found that he personally did not need it. "I ran a series of businesses for a number of years, and the corporation needed someone to set up a vastly expanded purchasing and logistics group, culled from five or six different groups in the organization and consolidated into one group," he explains. "While I had some experience in purchasing, I was selected for the project because of my general business experience and background. Since I will be retiring in a year or two, I didn't see much value in seeking certification at this point." King does encourage subordinates to seek certification, though. "I think it demonstrates that they have the ambition to rise above their peers," he explains.

In other cases, certification may even be perceived as counterproductive in interdisciplinary efforts. Jon Lienert has a background in accounting and holds a CPA accreditation (although currently inactive), but has been involved in sourcing activities for the last five years as senior vice president and chief sourcing officer for KeyCorp in Cleveland. "I thought about procurement certification a couple of times, but decided not to pursue it," he says. His rationale: At the time he was asked to head up the company's supply chain initiative, it was considered a short-term project. "Eventually, that changed, and we have become a permanent strategic sourcing group," he explains.

When Lienert first began hiring people for the initiative, he was more interested in individuals who had industry-specific knowledge and experience, rather than procurement backgrounds. "In addition, we wanted to focus on strategic sourcing, which is much broader than just purchasing," he adds.

Lienert is not against certification. In fact, a few people in the group are certified, and one other person he recruited from finance and accounting has decided to pursue CPM certification. His point: In the midst of the trend toward cross-functional and interdisciplinary initiatives, it is important to have people who can see supply chains and companies as a whole, not people who see only the purchasing role. "We now have a nice mix of industry expertise and professional expertise," he says.

Expanding certification

Implied in much of the discussion is that, while the CPM and CPIM are useful tools for procurement specialists who wish to remain in the field, they may not hold as much value for those who either want to expand their influence in supply chain management or who may want to seek advancement opportunities in other areas of their organizations.

For these reasons, two organizations now offer "expanded" certifications. One of these is the Certified in Integrated Resource Management (CIRM), offered by APICS, which has been available for the last eight years. "In the typical enterprise, there are usually about 13 different functional areas," explains Clark. "Most of them have professional associations, each of which offers education and certification. What the CIRM coursework does is educate people in what all of the functions do and how the enterprise as a whole operates. It focuses on understanding interdisciplinary activities."

The "new kid on the block" is the Certified Supply Chain Manager (CSCM) designation, offered by the University of Tennessee (Knoxville), through its Supply Chain Management Forum. The new certification, launched this year, was suggested by the Logistics Management Council, which works closely with the Forum. "Members of the Council told us they wanted their people to have a strong background in supply chain management, but that they didn't want to have to send everyone for an MBA," explains John T. (Tom) Mentzer, distinguished professor of logistics and the person who is spearheading the new certification initiative.

"What I like about the CSCM is that if focuses on helping me understand other functions and emphasizes cross-functional collaboration," notes Royal Caribbean's Seymour. "I expect that it will help me implement new strategies in our organization along the whole supply chain."

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