In South Africa, procurement and supply professionals with MCIPS earn 78% more than their non-MCIPS colleagues, and the designation boosts their career prospects.
Key findings
- The average salary for a procurement and supply professional in South Africa is ZAR 587,539.
- 53% of employers in South Africa would prefer to recruit a candidate who either has MCIPS or is studying towards it.
- 55% of respondents expect to move to a new employer in the next 12 months.
- 88% say salary is the most important factor when considering a new job.
- 89% agree that a career in procurement and supply can enable positive social change.
Salaries
In line with the trend in many other regions, salaries for procurement and supply professionals in South Africa have fallen slightly since last year. The average salary is ZAR 587,539, down from ZAR 614,777 in 2024. This likely reflects the challenging economic conditions in South Africa last year, including weak growth and rising unemployment.
According to the World Bank, South Africa’s economy only grew by an anaemic 0.6% in 2024.1 Furthermore, in the last quarter of 2024, the country’s employment rate was 31.9%, one of the highest unemployment rates in the world.2 In May 2024, the average annual salary in the South African non-agricultural sector was ZAR 329,400, according to Statistics South Africa.3
Around three in five respondents (62%) have received a salary increase in the last 12 months. For those awarded a pay rise, the average salary increase is 6.46%.
MCIPS is highly valued in South Africa, with those holding the designation earning 78% more than their non-MCIPS peers – ZAR 996,232 compared with ZAR 559,568. Over half of employers (53%) in South Africa would prefer to recruit a candidate who either has MCIPS or is studying towards it.
Bonuses
Around two-thirds of respondents in South Africa (66%) report being eligible for a bonus – similar to 2024 (67%). The average bonus is 14.1% of salary. There is a noticeable gender gap in relation to bonuses, however, with 72% of men entitled to a bonus compared with 61% of women.
Those at the Influencing level are far more likely to be entitled to a bonus than their colleagues at other levels. Overall, four out of five (79%) of those at Influencing level are eligible for a bonus, compared with 62% of those at Leading level, 67% at Managing level and 64% at Delivering level. A high proportion of respondents in both the private sector (69%) and the public sector (62%) are eligible for a bonus.
Benefits
The top three benefits received by procurement and supply professionals in South Africa are private medical insurance (44%), support for study/career development (35%) and life assurance/death-in-service benefits (34%). While all these benefits feature in respondents’ top six preferred benefits, 40% would like to receive a car allowance/company car. This is something that many employers do not appear to be offering at present.
Career mobility
Despite the challenges in the South African labour market, over half (55%) of procurement and supply professionals expect to look for a role with a new employer in the next 12 months – up from 51% in 2024. This may be down to increased optimism about the country’s economic prospects as well as the potential to secure a pay rise by switching employer. They may also have concerns that their current jobs are not safe.
Salary is the most important factor when considering a new job, cited by 88%. While salary ranked highly as a motivator for moving in every region, it ranked highest of all in South Africa. Respondents also emphasise career progression opportunities (84%) and reassurance about job security (84%).
By far, the primary reason why respondents in South Africa are likely to stay with their current employer is that they need additional training and development to step up to a new role, cited by 52%. Other significant factors are lack of opportunity (25%) and enjoying the job they have now (22%).
Work-life balance has improved for 44% of respondents in South Africa over the past 12 months.
Talent shortage
As with other regions, talent shortages are a challenge in South Africa, although the problem appears to be easing slightly. Over half (51%) of employers have struggled to find the right talent in the past 12 months, down from 53% in 2024. The biggest challenges in recruiting are a lack of sector skills and experience (63%), a lack of technical skills/evidence of formal procurement training (61%) and finding candidates who are an organisational fit (55%).
Skills
Negotiation skills are deemed most important for procurement and supply professionals in South Africa, cited by 49%. Next come supplier relationship management skills (47%) and communication skills (42%). This year, there has been a notable jump in the importance of tendering skills. While this skill set does not make the top five, it is seen as very important by 25% of respondents, up from 18% in 2024.
Employers in South Africa believe that communication skills are the key skills required by procurement and supply professionals (cited by 50%). Negotiation skills (46%) and sourcing skills (38%) are also prized.
Respondents believe integrity and trust (61%), collaboration skills (45%) and communication skills (45%) will be the most important skills and characteristics for procurement and supply leaders over the next 10 years.
Perceptions of procurement
The value of procurement is clearly understood in South Africa. Over three-quarters (77%) of respondents say that directors and heads of other departments in their organisation understand what procurement specialists can offer. The same proportion (77%) agree that procurement is involved from the start of a project, up from 64% in 2024.
Furthermore, perceptions of procurement have noticeably improved over the past 12 months, with 71% saying that procurement is very much valued within their organisation, up from 65% in 2024. Over three-quarters (76%) agree that the perception of procurement has improved over the past 12 months, up from 73% last year.
In South Africa, procurement and supply is very much seen as a socially progressive profession. The vast majority (89%) agree that a career in procurement and supply can enable positive social change through its ability to influence equality, diversity and inclusion (ED&I) as well as environmental, social and governance issues. More than two-thirds (69%) say the profession offers a career path for people from disadvantaged social backgrounds.