2016 APICS Operations Management Salary and Employment Report L. Drew Rosen, Thomas Janicki, Judith GebauerCameron School of Business, University of North Carolina Wilmington

Comprehensive data for the current report was collected by Cameron School of Business, University of North Carolina Wilmington from June through October 2016.

2016 APICS Operations Management Salary and Employment Report 2

The job market for Operations Management professionals is growing Net growth of jobs in the operations industry had a 31% net gain in 2016, with 41% anticipating hiring within the next 12 months and 10% anticipating layoffs.

Jun ‘090%5%

10%

25%20%15%

40%45%50%

35%30%

Dec ‘09 Dec ‘10 Dec ‘11 Dec ‘12 Dec ‘13 Dec ‘14 Dec ‘15 Dec ‘16

Layoff

Hiring

Linear (hiring)

Linear (layoff)

Jun ‘10 Jun ‘11 Jun ‘12 Jun ‘13 Jun ‘14 Jun ‘15 Jun ‘16

% o

f Res

pond

ents

% EXPECTING TO HIRE/LAYOFF OM PROFESSIONALS IN THE NEXT 12 MONTHS

3

Operations management professionals specializing in execution and control of operations report the highest salaries in the industry

NOTE: Average salary across all respondents (salaries weighted by number of respondents in each job category)*Fewer than 25 responses for this category

Job Category Salary Bonus Salary + Bonus

Execution and Control of Operations $115,628 $12,856 $128,484

Purchasing/CRM $71,269 $7,337 $ 78,606

Resource Planning* $68,820 $2,509 $ 71,329

Supply Chain $95,377 $9,851 $105,228

Other* $92,161 $14,918 $107,079

Overall Weighted Average $91,890 $9,754 $101,644

2016 APICS Operations Management Salary and Employment Report

AVERAGE COMPENSATION BY JOB CATEGORY (IN USD)

for the execution and control of operations category,

for the resource planning job classification.

$128,484Average compensation ranged from a high of

$71,329to a low of

2016 APICS Operations Management Salary and Employment Report 4

Overall, the wage gap between men and women is still significant in the operations management industry, with men earning 25% more than women on average, but the discrepancy varies widely based on geography, job category, age, and experience level.

Women the North East and Midwest report higher average salaries than men.

NOTE: Average weighted by number of respondents in each categoryNo valid data from Alaska or Hawaii. Canadian salaries have been adjusted for currency differences.*Fewer than 25 responses for this category

Geographic AreaGender

Female Male

North West $80,000 $94,500

South West $86,833 $118,038

North Central $66,500 $109,333

Midwest $96,311 $89,225

South Central $70,300 $88,983

North East $134,256 $128,540

South East $86,358 $132,147

Canada* $59,424 $64,393

AVERAGE TOTAL COMPENSATION BY GEOGRAPHIC AREA AND GENDER

NOTE: Average weighted by number of respondents in each categoryNo valid data from Alaska or Hawaii. Canadian salaries have been adjusted for currency differences.*Fewer than 25 responses for this category

Geographic Area Average

North West $91,600

South West $106,336

North Central $87,917

Midwest $91,047

South Central $83,488

North East $129,926

South East $121,158

Canada* $61,743

AVERAGE TOTAL COMPENSATION BY GEOGRAPHIC AREA

Professionals in the North East reported the highest salaries. Lowest reported salaries came from the respondents in the South Central part of the United States.

2016 APICS Operations Management Salary and Employment Report 5

The wage gap between men and women is most pronounced for the area of Execution & Control of Operations, but women in Supply Chain report slightly higher salaries than men.

$0$20,000$40,000

$100,000$80,000$60,000

$160,000$180,000

$140,000$120,000

Tota

l Com

pens

atio

n

Exec

utio

n &

Con

trol

of

Ope

ratio

ns

Purc

hasi

ng/C

RM

Reso

urce

Pla

nnin

g

Supp

ly C

hain

Oth

er

AVERAGE TOTAL COMPENSATION BY JOB CATEGORY AND GENDER

*Fewer than 25 responses for this category

Job CategoryGender

AverageFemale Male

Execution & Control of Operations $74,736 $159,602 $128,484

Purchasing/CRM $70,370 $85,011 $78,606

Resource Planning* $66,500 $72,815 $71,329

Supply Chain $105,738 $105,067 $105,228

Other* $80,950 $114,046 $107,079

Overall Weighted Average $86,233 $107,897 $101,644

AVERAGE TOTAL COMPENSATION BY JOB CATEGORY AND GENDER

MaleFemaleAverage

2016 APICS Operations Management Salary and Employment Report 6

The wage gap is less pronounced for younger employees, and females under 25 report earning more than male employees.

$0

$50,000

$100,000

$250,000

$300,000

$200,000

$150,000

Tota

l Com

pens

atio

n

<=25 26-30 31-35* 36-40 41-45 46-50 51-55* 56-60 61-65* 66+

AVERAGE TOTAL COMPENSATION BY AGE AND GENDER

NOTE: Average weighted by number of respondents in each category*Fewer than 25 responses for this category

NOTE: Average weighted by number of respondents in each category*Fewer than 25 responses for this category

Age RangeGender

AverageFemale Male

<=25 $66,500 $47,167 $54,900

26-30 $57,069 $66,512 $63,758

31-35* $173,360 $87,905 $113,038

36-40 $68,214 $90,449 $80,567

41-45 $83,625 $97,130 $94,781

46-50 $69,013 $110,604 $100,206

51-55* $108,584 $100,031 $103,006

56-60 $98,477 $114,312 $109,878

61-65* $55,528 $246,667 $208,439

66+ - $62,667 $62,667

AVERAGE TOTAL COMPENSATION BY AGE AND GENDER

MaleFemaleAverage

2016 APICS Operations Management Salary and Employment Report 7

While the average reported salaries of men follow a predictable upward trend based on years of experience in the industry, salary trends for women are more varied.

$0

$50,000

$100,000

$250,000

$200,000

$150,000Sala

ry

<=5 6-10 11-15 16-20 21-25* 26-30* 31-35 36+*

AVERAGE SALARY VS. YEARS IN INDUSTRY

NOTE: Average salary includes base salary and bonus compensation. Average weighted by number of respondents in each category*Fewer than 25 responses for this category

NOTE: Average salary includes base salary and bonus compensation. Average weighted by number of respondents in each category*Fewer than 25 responses for this category

Years in IndustryGender

AverageFemale Male

<=5 $66,986 $61,098 $62,780

6-10 $103,503 $93,901 $97,348

11-15 $71,134 $89,379 $83,088

16-20 $69,394 $111,102 $93,928

21-25* $70,614 $128,089 $113,721

26-30* $171,250 $131,735 $141,032

31-35 $95,333 $215,151 $195,182

36+* $55,000 $94,451 $91,164

AVERAGE SALARY VS. YEARS IN INDUSTRY

MaleFemaleAverage

2016 APICS Operations Management Salary and Employment Report 8

Respondents with an MBA earn more than those with other specialized Master’s degrees.

$0

Sala

ry

AVERAGE SALARY BY EDUCATION

NOTE: Average weighted by number of respondents in each category *Fewer than 25 responses for this category

Education LevelGender

AverageFemale Male

High School $69,531 $82,139 $77,205

Associate/Technical $71,358 $83,335 $78,677

Bachelor's $92,289 $103,432 $100,500

Master's* $64,466 $95,498 $86,371

MBA $64,029 $123,407 $111,182

AVERAGE TOTAL COMPENSATION BY AGE AND GENDER

MaleFemale

$20,000

$40,000

$100,000

$80,000

$60,000

$140,000

$120,000

Hig

h Sc

hool

Ass

ocia

te/T

echn

ical

Bach

elor

’s

Mas

ter’s

MBA

Average

2016 APICS Operations Management Salary and Employment Report 9

Most hiring managers prefer candidates with APICS certificatonsSeventy seven percent of respondants reported that CPIM certification would positively impact their hiring decision on a candidate, and seventy six percent reported that of CSCP. The impact of APICS certifications on hiring decisions has grown by 60% since 2009.

IMPACT OF CERTIFICATIONS ON HIRING

*Compared to respondents without the certification** Average increase from all data collected 2009 to present

Certification % of Respondents with Certification

Average % Increasein Compensation*

CSCP 33% 12%**

CPIM 43% 10%**

AVERAGE TOTAL COMPENSATION BY AGE AND GENDER

CPIMCSCP

Individuals with APICS certifications earn more on average.

0%

10%

20%

40%

50%

60%

70%

80%

90%

30%

Perc

ent o

f Res

pond

ents

Positive Impact No Impact