Europe’s procurement and supply salary market is characterised by a mix of talent challenges and demand for skills. Employers in the region are particularly on the lookout for those with soft skills.
Movement in the job market is noticeable here, with most looking to change jobs for a higher salary or greater career progression opportunities.
Distinguishing factors for this region include its lower-than-average gender pay gap and its perception that AI will reduce headcount.
Please note: Our survey sample for Europe this year focuses mainly on those with lower base salaries. Roughly 63% of this year’s sample respondents were those at delivering and managing competency levels, with delivering level professionals accounting for approximately 27% of the sample.
Salaries, bonuses and benefits
The average salary for procurement and supply roles in Europe this year is €78,612 and the average reported salary increase is 9.6% – higher than the global average (8.0%).
Fewer people in this region (65%) reported having a salary increase in the last 12 months, but this is a 5 percentage points improvement on last year.
The proportion of respondents eligible for bonuses in this region has increased from 68% in 2023 to 73% this year. Our survey shows eligibility for bonuses generally increases with the seniority of an individual’s job role. For comparison, those at an influencing competency level were 80% likely to have been eligible for a bonus in the past year, vs 54% of people at a delivering competency level.
85% of employers in the region say bonuses are awarded based on whole company targets; 71% by personal targets; and 38% by team targets.
Employees in the region, however, would rather their bonuses were awarded based on personal targets (85%) than company targets (60%).
The top three benefits offered by employers in Europe are working from home (76%), provision of a work mobile phone (73%), and flexible working hours (61%).
Skills
Soft skills are rated as important in Europe. Procurement and supply professionals in the region say the top five skills are negotiation (47%), supplier relationship management (41%), communication (37%), international stakeholder management (32%), and leadership (31%). Perception of the importance of soft skills varies by job level, with those at an influencing and leading competency level rating them differently to those at a managing or delivering competency level. For example, leadership is ranked as a top skill for those at leading level (76%) but not for those at delivering level or managing level, where it fails to make the top five. Communication is not listed as a top skill for those at managing level despite appearing in the top five for those at all other competency levels. Overall, procurement and supply professionals should maintain a balance of soft and technical skills and be proficient in both.
Communication is the most in-demand skill for employers in this region (48%).
Job moves
44% expect to move to a new employer in the next six to 12 months.
The top factors driving people to consider a new job are salary (83%) and career progression (71%).
Employees in the region say their top reason for remaining in their existing position is that they enjoy their current job (37%).