Institute for Supply Management ™ 1 Total Men Women Average $102,218 $112,404 $85,433 High Salary $682,000 $452,000 $682,000 Median $90,000 $100,000 $75,057 Introduction T his report presents the results of a survey of supply management professionals conducted by Institute for Supply Management™ (ISM) during January and February 2012. Respondents were asked to report salary information for the 2011 calendar year. The information collected from the survey is reported here. The data are broken down into various catego- ries where that information was thought to be of interest. Caution should be taken when examining the various breakdowns, as low response rates in some categories may make the information less reliable. Items marked with a (*) indicate that three or fewer responses were received for this category and are not reported. Demographic information for all respon- dents is provided at the end of this report. Salary Data The average annual compensation for supply management professionals who responded to the survey was $102,218 (which includes wages, bonuses and other income received before taxes and deductions). The average salary for the men who responded was $112,404, compared with $85,433 for women respondents. The median salary was $90,000, with the highest salary reported at $682,000 and the lowest at $11,000. In all, 41 percent of respondents reported earning $100,000 or more. The average salary is broken down by a number of different variables in the tables and charts that follow. Average Salary 0 20,000 40,000 60,000 80,000 100,000 120,000 Women Men Total Median Average $ ISM’s 2012
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Institute for Supply Management™ 1
Total Men Women
Average $102,218 $112,404 $85,433
High Salary $682,000 $452,000 $682,000
Median $90,000 $100,000 $75,057
Introduction
This report presents the results of a survey of supply management professionals conducted by Institute for
Supply Management™ (ISM) during January and February 2012. Respondents were asked to report salary
information for the 2011 calendar year.
The information collected from the survey is reported here. The data are broken down into various catego-
ries where that information was thought to be of interest. Caution should be taken when examining the various
breakdowns, as low response rates in some categories may make the information less reliable. Items marked with a (*) indicate
that three or fewer responses were received for this category and are not reported. Demographic information for all respon-
dents is provided at the end of this report.
Salary DataThe average annual compensation for supply management professionals who responded to the survey was $102,218 (which includes wages, bonuses
and other income received before taxes and deductions). The average salary for the men who responded was $112,404, compared with $85,433 for women respondents. The median salary was $90,000, with the highest salary reported at $682,000 and the lowest at $11,000. In all, 41 percent of respondents reported earning $100,000 or more. The average salary is broken down by a number of different variables in the tables and charts that follow.
$500,001 - $10.9 million 76.8 64.0 82.6 100.3 187.1 393.0
$11 million - $39.9 million 87.9 71.9 92.9 113.9 140.6 93.0
$40 million - $100 million 104.3 85.8 100.3 143.3 170.0 161.5
More than $100 million 145.6 92.4 130.9 166.0 234.1 409.0
0 100 200 300 400 500 600 700
ChiefV.P.
Director
Manager
Experienced Professional
Total
Warehousing/Stores
Transportation/Traffic/Shipping
Sustainability
Supplier Diversity
Strategy Development
Social Responsibility
Risk Management
Relationship Management
Receiving
Quality
Purchasing/Procurement
Product/Service Development
Performance and Measurements
Outsourcing
Materials Management
Market Intelligence
Logistics
Inventory Control
Finance
Distribution
Disposition/Investment Recovery
Cost/Price Management
Business Planning
Thousand $
Average Salary by Position and Business Processes/Components of Supply
Management Responsibility (Thousand $)
Average Salary by Position and Dollar Amount of Annual Spend for Which They Are Responsible (Thousand $)
0
100
200
300
400
500
Chief
V.P.
Director
Manager
Experienced Professional
Total
More than 100 million
40 million - 100 million
11 million - 39.9 million
500,001 - 10.9 million
Under500,000
Thou
sand
$
ISM’s 2012 Salary Survey
Institute for Supply Management™6
Accommodation and Food Services (Hotels, Food and Drinking Places) $161,417Agriculture, Forestry, Fishing and Hunting $108,540Arts, Entertainment and Recreation (Performing Arts, Museums, Amusement Industries) $77,587Construction $98,619Educational Services $72,828Finance and Insurance $121,754Government/Public Administration $74,690Healthcare and Social Assistance $97,311Information (Publishing, Motion Picture & Sound, Broadcasting, Telecommunications, Internet Publishing and Service Provider Industries) $110,549Management and Administrative Services $104,551Manufacturing $103,022Mining (Includes Oil and Gas Extraction and Other Mining) $113,493Professional, Scientific and Technical Services $115,944Real Estate, Rental and Leasing $99,000Retail Trade $113,959Transportation and Warehousing $111,076Utilities $100,825Wholesale Trade $91,848Other Services $96,490
Under $50 million $76,526
$50 million - $500 million $88,485
$500.1 million - $1 billion $100,811
$1.1 billion - $4 billion $109,158
$4.1 billion - $10 billion $117,911
More than $10 billion $113,885
Under 100 $74,990
101 - 500 $86,090
501 - 2,000 $91,368
2,001 - 5,000 $98,504
5,001- 10,000 $106,438
10,001 or more $115,342
Average Salary by Industry
Average Salary by Total Annual Gross Revenue of the Organization
Average Salary by Total Employees in the Organization
0 50,000 100,000 150,000 200,000
Other Services
Wholesale Trade
Utilities
Transportation and Warehousing
Retail Trade
Real Estate and Rental and Leasing
Professional, Scientific and Technical Services
Mining
Manufacturing
Management and Administrative Services
Information
Healthcare and Social Assistance
Government/Public Administration
Finance and Insurance
Educational Services
Construction
Arts, Entertainment and Recreation
Agriculture, Forestry, Fishing and Hunting
Accommodation and Food Services
$
0
20,000
40,000
60,000
80,000
100,000
120,000
More than 10 billion
4.1 billion - 10 billion
1.1 billion - 4 billion
500.1 million - 1 billion
50 million - 500 million
Under 50 million
$
0
20,000
40,000
60,000
80,000
100,000
120,000
More than 10,001
5,001 - 10,000
2,001 - 5,000
501 - 2,000
101 - 500
Under 100
$
ISM’s 2012 Salary Survey
Institute for Supply Management™ 7
Items marked with a (*) indicate that three responses or less were received for this category and were not reported.
Pacific (AK, CA, HI, OR, WA) $105,204
Mountain (AZ, CO, ID, MT, NM, NV, UT, WY) $92,324
West North Central (IA, KS, MN, MO, ND, NE, SD) $91,035
West South Central (AR, LA, OK, TX) $99,966
East North Central (IL, IN, MI, OH, WI) $103,391
East South Central (AL, KY, MS, TN) $89,712
South Atlantic (DC, DE, FL, GA, MD, NC, SC, VA, WV) $105,154
Experienced Supply Management Professional 52.6% 10.4%
Entry-Level Supply Management Professional 30.8% 4.7%
Other 46.4% 13.3%
0
5,000
10,000
15,000
20,000
25,000
% of Gross Salary
Amount
MedianAverage0
5
10
15
20
$ %
0
10
20
30
40
50
60
70
80
% of Gross Salary
Percentage
WomenMenTotal
%
0
20
40
60
80
100
% of Gross Salary
Percentage
Other
Entry-Level Professional
Experienced Professional
Manager
Director
Vice President
Chief
%
Average Amount of Bonus (before taxes and deductions, excluding stock options)
Percentage of Respondents Who Received a Bonus
Bonus by Position
BonusesBonuses were earned by 63.6 percent of all respondents. The average bonus received was $20,471, which represented about 20 percent of the total
gross salary received. The highest reported bonus was $357,000. Respondents were instructed to include any bonuses earned as part of their gross salary. The value of any stock options received is reported separately. Information on bonuses received is broken down by different variables in the tables and charts that follow.
ISM’s 2012 Salary Survey
Institute for Supply Management™ 9
Percentage % of Gross Salary
1-2 years 33% 13%
3-5 years 73% 8%
6-10 years 63% 19%
11-20 years 64% 21%
21 years or more 63% 23%
Company results 58.1%
Department/team results 14.8%
Individual results 23.0%
Other 4.0%
Average $26,533
High $338,000
Median $10,000
0
10
20
30
40
50
60
70
80
% of Gross Salary
Percentage
21 years or more
11-20 years6-10 years3-5 years1-2 years
%
Other
Individual Results
Department/Team ResultsCompany Results
0
5,000
10,000
15,000
20,000
25,000
30,000
MedianAverage
$
Bonus by Years of Experience
Criteria Bonus Is Based On
Average Estimated Value of Stock Options Received
Stock OptionsWhile stock options were not included as a part of salary, they were earned by 16 percent of the respondents. The average estimated dollar value of
the stock options received was $26,533. The median was $10,000. Information on stock options received is broken down by different variables in the tables and charts that follow.
ISM’s 2012 Salary Survey
Institute for Supply Management™10
Items marked with a (*) indicate that three responses or less were received for this category and were not reported.
Experienced Supply Management Professional 8% $3,373
Entry-Level Supply Management Professional 8% $1,500
Other 14% $9,008
1-2 years * *
3-5 years 9% $3,750
6-10 years 15% $18,699
11-20 years 18% $28,995
21 years or more 17% $31,349
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
Percentage
Average Estimated Value
WomenMenTotal0.0
5.0
10.0
15.0
20.0
$ %
0
24,000
48,000
72,000
96,000
120,000
Percentage
Average Estimated Value
Other
Entry-LevelProfessional
Experienced Professional
Director
Manager Vice President
Chief0
10
20
30
40
50
$ %
0
10,000
20,000
30,000
40,000
50,000
PercentageAverage Estimated Value
21 years or more
11-20 years6-10 years3-5 years1-2 years0
10
20
30
40
50
$ %
Percentage of Respondents Who Received Stock Options
Stock Options by Position
Stock Options by Years of Experience
ISM’s 2012 Salary Survey
Institute for Supply Management™ 11
Respondents were asked to indicate the additional benefits they received beyond wages, bonuses and stock options. The percentage of respondents who selected each option is reported below.
Accounting/Tax Services 3%Association Membership 35%Childcare 5%Dental Insurance 89%Elder Care 4%Health Club Membership 20%Health Insurance 92%Identity Theft Protection 3%Life Insurance 86%Long-Term Care 33%Long-Term Disability 73%Paid Maternity/Family Leave 46%Paid Training/Professional Certification 54%Personal Communication Device (Cellphone, Laptop, PDA, etc.) 51%Personal Legal Services 11%Pension/Retirement Plan/401(K) or Similar Plan 85%Sabbatical 2%Short-Term Disability 69%Tuition Reimbursement 70%Vehicle/Vehicle Allowance 9%Vision Insurance 72%
Respondents were asked to indicate the importance they place on the following items as they relate to their choice of job and employer. A 5-point scale was used, with 1 meaning “not important” and 5 meaning “very important.” Job satisfaction was the highest-rated option, with an average score of 4.60. The average scores for each item are reported.
Advancement Opportunities 4.19
Benefits Package 4.54
Bonuses 3.86
Educational Opportunities 3.64
Financial Stability of the Organization 4.56
Job Satisfaction 4.60
Organizational Commitment to Social Responsibility Programs 3.32
Organizational Culture/Work Environment 4.14
Wages 4.44
Work/Life Balance 4.39
Work Location 3.97
Other items of importance mentioned multiple times include f lexible work schedule and telecommuting options.
0 20 40 60 80 100
Vision Insurance
Vehicle/Vehicle Allowance
Tuition Reimbursement
Short-Term DIsability
Sabbatical
Pension/Retirement Plan
Personal Legal Services
Personal Communication Device
Paid Training/Professional Certification
Paid Maternity/Family Leave
Long-Term Disability
Long-Term Care
Life Insurance
Identity Theft Protection
Health Insurance
Health Club Membership
Elder Care
Dental Insurance
Childcare
Association Membership
Accounting/Tax Services
%
0 1 2 3 4 5
Work Location
Work/Life Balance
Wages
Organizational Culture/Work Environment
Organizational Commitment to Social Responsibility Programs
Job Satisfaction
Financial Stability of the Organization
Educational Opportunities
Bonuses
Benefits Package
Advancement Opportunities
Additional Benefits Received
Importance of Various Items in the Employment Decision
Multiple responses given for “Other” include: chief operating officer (COO), executive director, executive vice president, general manager and vice president of operations.
Less than $500,000 6%
$500,001 - $10.9 million 26%
$11 million - $39.9 million 22%
$40 million - $100 million 20%
More than $100 million 24%
Demographics of Respondents
Respondents by Position
Respondents by Who They Report
Respondents by the Dollar Amount of Annual Spend for Which They Are
Responsible
0
10
20
30
40
50
60
70
80
Women
MenTotal
Other
Entry-Level Professional
Experienced Professional
Manager
Director
Vice President
Chief
%
0
5
10
15
20
25
30
35
Other
Manager
Director
Vice President
Chief Purchasing/Supply Management
Officer
Chief Financial Officer
Chief Executive Officer or President
%
0
5
10
15
20
25
30
More than 100 million
40 million - 100 million
11 million - 39.9 million
500,001 - 10.9 million
Less than 500,000
%
$
ISM’s 2012 Salary Survey
Institute for Supply Management™ 13
Total Men Women
1-2 years 1% 67% 33%
3-5 years 7% 48% 52%
6-10 years 20% 55% 43%
11-20 years 37% 61% 38%
21 years or more 34% 61% 39%
Total Men Women
High School 4% 34% 66%
Some College 13% 46% 54%
Associate’s Degree 6% 41% 59%
Bachelor’s Degree 45% 65% 35%
Master’s Degree 29% 63% 35%
Doctorate Degree 0% 67% 33%
Liberal Arts 8%
Technical/Engineering 8%
Business, other than Supply Management 48%
Supply Management/ Supply Chain Management 9%
Other 9%
Multiple responses given for “Other” include: accounting, biology, communications, economics, finance and international business.
0
10
20
30
40
50
60
70
80
Women
Men
Total
21 years or more
11-20 years6-10 years3-5 years1-2 years
%
0
10
20
30
40
50
60
70
80
WomenMenTotal
DoctorateDegree
Master’s Degree
Bachelor’s Degree
Associate’s Degree
Some College
High School
%
OtherSupply Management/Supply Chain Management
Business, other than Supply Management
Technical/Engineering
Liberal Arts
Respondents by Years of Work Experience
Respondents by Highest Level of Education Completed
Respondents With a College Degree by Major
ISM’s 2012 Salary Survey
Institute for Supply Management™14
Overall, 56 percent of respondents reported that they held one or more certifications. The percentage of men with one or more certifica-tions was 63 percent, and the percentage of women with one or more certifications was 37 percent. The percentage of respondents holding various certifications and the breakdown by gender is reported below.
Total Men WomenCertified Professional in Supply Management® (CPSM®) 15% 67% 33%Certified Professional in Supplier Diversity® (CPSD™) 1% 86% 14%Certified Purchasing Manager (C.P.M.) 38% 65% 35%Accredited Purchasing Practitioner (A.P.P.) 5% 69% 31%Certified in Production and Inventory Management (CPIM) 4% 69% 31%Certified in Integrated Resource Management (CIRM) 0% 100% 0%Certified Professional Contracts Manager (CPCM) 0% 0% 100%Certified Professional Public Buyer (CPPB) 1% 60% 40%Certified Public Purchasing Officer (CPPO) 1% 43% 57%Certified Supply Chain Professional (CSCP) 1% 11% 89%Member of the Chartered Institute of Purchasing and Supply (MCIPS) 0% 100% 0%Project Management Professional (PMP) 1% 70% 30%Supply Chain Management Professional™ (SCMP™) 0% 67% 33%Other 8% 57% 43%
Multiple responses given for “Other” include: Certified Management Accountant (CMA), Certified Public Accountant (CPA), and Professional Engineer.
Capital Equipment 43%Chemicals 28%Construction 24%Electronics, Electrical Components 36%Food/Beverages/Perishables 14%Fuel/Energy/Utilities 18%Healthcare and Related 11%Indirect Goods 34%Information Technology 25%Machinery 25%Manufacturing Components/Materials 41%Metals 24%Office Equipment/Supplies 32%Packaging 28%Services 33%Telecommunications 17%Transportation/Logistics 26%
Multiple responses given for “Other” include: building materials, professional ser-vices, services and software.
Respondents by Certification
Respondents by Spend Categories for Which They Are Responsible
0
20
40
60
80
100
WomenMen
Total
Other
SCMP™
PMP
MCIPS
CSCP
CPPO
CPPB
CPCM
CIRM
CPIM
A.P.P.
C.P.M.
CPSD™
CPSM®
%
0 10 20 30 40 50
Transportation/Logistics
Telecommunications
Services
Packaging
Office Equipment/Supplies
Metals
Manufacturing Components/Materials
Machinery
Information Technology
Indirect Goods
Healthcare and Related
Fuel/Energy/Utilities
Food/Beverages/Perishables
Electronics, Electrical Components
Construction
Chemicals
Capital Equipment
%
ISM’s 2012 Salary Survey
Institute for Supply Management™ 15
Business Planning 22%
Cost/Price Management 58%
Disposition/Investment Recovery 11%
Distribution 11%
Finance 6%
Inventory Control 32%
Logistics 21%
Market Intelligence 17%
Materials Management 36%
Outsourcing 34%
Performance and Measurements 32%
Product/Service Development 9%
Purchasing/Procurement 78%
Quality 17%
Receiving 15%
Relationship Management 62%
Risk Management 22%
Social Responsibility 14%
Strategy Development 31%
Supplier Diversity 31%
Sustainability 14%
Transportation/Traffic/Shipping 15%
Warehousing/Stores 15%
Multiple responses given for “Other” include: category management and strategic sourcing.
Women 40%
Men 60%
American Indian 0.6%
Asian 3.2%
Black 5.6%
Caucasian 83.5%
Hispanic 4.5%
Pacific Islander 0.1%
Other 2.0%
Respondents by Business Processes/Components for Which They Are
Responsible
Respondents by Gender
Respondents by Race
0 10 20 30 40 50 60 70 80
Warehousing/Stores
Transportation/Traffic/Shipping
Sustainability
Supplier Diversity
Strategy Development
Social Responsibility
Risk Management
Relationship Management
Receiving
Quality
Purchasing/Procurement
Product/Service Development
Performance and Measurements
Outsourcing
Materials Management
Market Intelligence
Logistics
Inventory Control
Finance
Distribution
Disposition/Investment Recovery
Cost/Price Management
Business Planning
%
Men
Women
Other
Paci�c Islander
Hispanic
Caucasian
Black
Asian
American Indian
ISM’s 2012 Salary Survey
Institute for Supply Management™16
Accommodation and Food Services (Hotels, Food and Drinking Places) 1.5%
Agriculture, Forestry, Fishing and Hunting 0.6%
Arts, Entertainment and Recreation (Performing Arts, Museums, Amusement Industries) 0.5%
Construction 1.8%
Educational Services 4.1%
Finance and Insurance 3.1%
Government/Public Administration 5.9%
Healthcare and Social Assistance 6.5%
Information (Publishing, Motion Picture & Sound, Broadcasting, Telecommunications,
Internet Publishing and Service Provider Industries) 2.5%
Management and Administrative Services 0.8%
Manufacturing 46.4%
Mining (Includes Oil and Gas Extraction and Other Mining) 3.8%
Professional, Scientific and Technical Services 3.0%
Real Estate, Rental and Leasing 0.1%
Retail Trade 2.1%
Transportation and Warehousing 2.0%
Utilities 5.8%
Wholesale Trade 2.3%
Other Services, Except Government 5.4%
Under $50 million 11%
$50 million - $500 million 21%
$500.1 million - $1 billion 9%
$1.1 billion - $4 billion 15%
$4.1 billion - $10 billion 14%
More than $10 billion 25%
Under 100 5%
101-500 14%
501-2,000 16%
2,001-5,000 14%
5,001- 10,000 10%
10,001 or more 38%
0 10 20 30 40 50
Other Services, Except Government
WholesaleTrade
Utilities
Transportation and Warehousing
Retail Trade
Real Estate and Rental and Leasing
Professional, Scientific and Technical Services
Mining
Manufacturing
Management and Administrative Services
Information
Health Care and Social assistance
Government/public Administration
Finance and Insurance
Educational Services
Construction
Arts, Entertainment and Recreation
Agriculture, Forestry, Fishing and Hunting
Accommodation and Food Services
%
Respondents by Industry
Respondents by Total Annual Gross Revenue of the Organization
Respondents by Total Employees in the Organization
More than 10 billion
4.1 billion - 10 billion
1.1 billion - 4 billion
500.1 million - 1 billion
50 million - 500 million
Under 50 million
10,001 or more
5,001 - 10,000 2,001-5,000
501-2,000
101-500
Under 100
ISM’s 2012 Salary Survey
Institute for Supply Management™ 17
Under 10 25%
11-30 20%
31-80 12%
81-150 9%
151 or more 25%
Respondents by the Number of Employees in the Supply Management Organization151 or more