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Greetings from Procurement Services Associates!

Procurement Services Associates’ quarterly newsletter is being sent to you as an industry professional who is involved with supply-chain management and/or hiring.

We are providing information that we believe you will find helpful, including professional advice, from our associate, Irene Marshall of “Tools for Transition.” Anyone involved in the hiring process, writing “job postings” and assessing candidates will benefit from Irene’s outlook and experience in improving success in “finding the right person.”

We are also including segments on “Employment Trends Outlook through 2012,” “Forecasted Price Changes for 2005," and some key staff members in our northern and southern California offices.

We hope you enjoy the newsletter and that you consider providing us your feedback for future issues.

Best regards,

Dan P. Plute, President

Purchasing, Supply Chain and Contracts: A Changing Profession

Recent articles indicate that Procurement/Supply Chain professionals will see changing employment conditions and changing methods to manage and control the purchase of commodities, materials, equipment and services.

The trend to shop global vs. domestic sources will continue. Global partnering will become more of an issue as we see changes to in-country import/export restrictions. Global shopping and the purchase of off-shore items have increased since the start of the new century. We believe this trend will continue.

NAPM Members can access a study on this topic at the link below.

Institute for Supply Management

Employment Trends-Occupational Outlook for 2002-2012

According to the California Employment Development Department, new occupational projections for the ten years from 2002 to 2012 show that California's employment will reach over 17 million jobs by 2012. Nearly 2.7 million new job opportunities will result from industry growth.

Employment in California is expected to grow at an annual rate of about 1.8 percent in 2005. The result will be about 537,000 new jobs by the end of 2005.

Top Ten Fastest Growing Occupational Groups Based on Percentage Change are (over 10 years):
Healthcare Support 35.6%
Computer and Mathematical 32.9%
Construction and Extraction 31.6%
Healthcare Practitioners and Technical 27.8%
Protective Services 27.0%
Education, Training, and Library 26.9%
Personal Care and Services 23.1%
Business and Financial Operations 23.0%
Life, Physical, and Social Science 22.5%
Management 21.4%

In addition to new jobs, almost 3.5 million jobs will become available due to separations as workers either leave the labor force or change occupations.

Sources:
EDD Short-term projections report
EDD Occupational Outlook for 2002-2012

Source: California Employment Development Department, 2005

Questions for Hiring Professionals and HR Specialists…

What criteria do you use to source and identify candidates for employment?

How do you establish the criteria for identifying the best candidate for a position?

Hiring mistakes are very costly. The best way to avoid repeating the process is to have a clear understanding about the position requirements before posting an opening. You want to find “a real person to join an existing team, not a resume to join your job description”!

You need to be clear on the distinction between "screening criteria" and "hiring criteria". This is particularly helpful when working with a staffing agency such as Procurement Services Associates / PSA.

The typical job description often only includes screening criteria. For example, a job posting for a Senior Buyer might say: Bachelor Degree in business required. 5-8 years medical device industry. 3-5 years management experience. C.P.M. certification preferred. JD Edwards experience a plus, etc.

A Company Staff Recruiter will use these criteria to establish a general pool of potential candidates. But that is only the first step in deciding which candidates to present. The focus then needs to move from the tangible aspects of a person’s background as the screening criteria to the intangible aspect of the hiring criteria.

What does a candidate really need to be successful at the job? Maybe you need someone to bring new energy to overcome poor morale and high turnover rate. You would not say that directly in a public job posting, but you can be clear with your PSA Staffing Specialist about the management style you think will stabilize your client department.

You need to clearly identify the personal and professional strengths you really want your new employee to bring to the company. The more specific you are,
the easier it will be to find the right person.

Here are some helpful guidelines:

Elements for the resume review

• Does the resume contain information that covers your screening criteria? This includes tangibles such as education, industry experience and previous relevant job history.
• Does the resume clearly describe the person’s past accomplishments and professional style? How did they accomplish what they did? Does this match what you need for the position? (Example: Do you need; staff stabilization, vendor renegotiations or process improvements?) What are the intangibles that match with your real hiring criteria?
• Is the resume clear on what the person wants to do, not just what they can do? Does this job seem to be a fit for a reasonable career path? Do the strengths highlighted in a resume match what your organization needs?

Elements for the interview

1. Ask direct questions about anything on the resume that you question, such as gaps in full-time work, changes in career path or recent job movement. Listen carefully and don’t make assumptions. Many of these can be explained reasonably and can become “non-issues.” Life doesn’t always happen in a straight line! These are probably the issues that make the candidate nervous about the interview. Address them directly and everyone will relax. Then you can continue to decide if the person fully meets your screening criteria.

2. Ask questions about past accomplishments, focusing on what skills and strengths the candidate used to achieve them. Identify which of these are transferable skills that your organization can use. Do these match with your hiring criteria? Example: Is this person skilled at implementing new technology changes, including training all staff? Is that really what you need?

3. Determine if this person is a good fit for your general corporate culture. Consider the intangibles, such as energy level, communication skills, level of professionalism and intended career path. These are part of the hiring criteria as you try to identify the right person (not a resume!) for your position.

Talk with your PSA Staffing Specialists/Recruiters in detail about your “real hiring criteria” and avoid the screening criteria focus. The result will be a “Candidate Search” that is focused on finding “The Right Person for the job!”

Irene Marshall, MBA
President, Tools for Transition
CPRW (Certified Professional Resume Writer)
CPCC (Certified Professional Career Coach)
CEIP (Certified Employment Interview Professional)
www.toolsfortransition.com • (510) 790-9005 • irene@toolsfortransition.com

About Irene:
I have been helping people get jobs for five years and was a recruiter for over three years, working with both hiring managers and candidates. My professional background includes accounting, finance, sales and marketing in a number of industries. I have been a small business owner for many years with my husband. I established “Tools for Transition” to provide resume writing, interview coaching and career coaching services for people nationwide. I collaborate with good agencies such as PSA to support the job transition and hiring processes.

My main focus is to help both job seekers and hiring managers develop one clear message. I focus on; what will really make someone successful at their new job? How will they contribute to the organization on a long-term basis? How will that job use the person’s best strengths and talents for the next step in their career path?

Click for more information on Irene Marshall, "Tools for Transition"

What’s In Demand and What’s Not?

Aluminum
Demand was so strong in 2004 for aluminum sheet and foil products that supply tightened and lead-times increased by as much as 75% over 2003. And, with a supply shortfall expected again this year, expect prices to continue to rise, but at a much lower level than in 2004.

Highlights of what flat-rolled aluminum buyers should monitor:
1. London and New York commodity exchange prices for aluminum ingot.
2. Production and consumption trends of products in key markets.
3. Consumption, supply and price forecasts.
http://www.purchasing.com/article/CA502105.html

Coiled Steel
Coiled steel plate transaction prices have leveled off at an average $760/ton (which is $20 to $40 under published list prices from some of the mills). Atop that, a proposal by Ipsco for a list price increase in April hasn’t won any support from other producers. International Steel Group is planning a second quarter restart of the 700,000 ton/year 110-inch plate mill at the former Bethlehem Steel works in Burns Harbor, Ind.
http://www.purchasing.com/article/CA503774.html?industryid=2151&nid=2418

Polyethylene market has stalled
Polyethylene producers expect prices to continue to rise in 2005 to cover continued cost increases. Buyers appear to have backed off resins purchasing—partly because downstream plastic parts buying has stalled.
http://www.purchasing.com/article/CA501941.html?industryid=2148&nid=2418

Natural Gas
Prices of natural gas sold to industrial customers at spot markets this month are around $6.75/million cubic feet—somewhat higher than the 2004 average ($6.33 mcf) and the January average ($6.15 mcf) and also substantially higher than most analysts had forecasted earlier.
http://www.purchasing.com/article/CA503775.html?industryid=21950&nid=2418

Cobalt dips with weaker demand
Cobalt prices dipped in February from January's average $19.36/lb because of weaker demand, reflected in lower offers on the benchmark website of Australian miner WMC.
http://www.purchasing.com/article/CA503780.html?industryid=2151&nid=2418

Communications Chips
Buyers should be alert for lower average sales price (ASP) erosion for various communications semiconductor products in 2005. The reason: The worst of the inventory excesses are largely behind us.
http://www.purchasing.com/article/CA503781.html?text=semiconductor

Source: Purchasing.com, 2005

Forecasted Price Changes for 2005

Manufacturing
According to Institute of Supply Management’s semiannual forecast, higher prices are expected in 2005, with 69 percent expecting an average price increase of 7.8 percent, while 16 percent expect an average decline of 6.5 percent. The remaining 15 percent expect no change in their average prices paid for the coming year. The net average of the responses indicates an increase of 4.4 percent overall by the end of 2005.

Industries expecting to pay above average prices by the end of 2005 are: Transportation & Equipment, Paper, Rubber & Plastic Products, Glass, Stone & Aggregate, Primary Metals, Chemicals, Textiles, and Apparel.

Non-Manufacturing
For all of 2005, non-manufacturing purchasing and supply executives expect their prices to rise an average 3.6 percent. Seventy-one percent expect increases averaging 6 percent, 10 percent anticipate prices to drop an average 6.2 percent, and 19 percent foresee no change in prices during the next year. Industries expecting to pay above average price increases by the end of 2005 are: Construction, Wholesale Trade, Public Administration, Legal Services, Real Estate, Mining, Business Services, and Utilities.

Source: Institute of Supply Management, 2005

PSA's Recent Awards

We thank our clients for the recent awards:

• California State Automobile Association
• Calpine
• Compton Unified School District
• Catholic Healthcare West
• County of Alameda Medical Center
• eCost.com
• Genentech
• Littler Mendelson
• Los Angeles Unified School District
• Melles Griot
• Orange County Sanitation District
• Perini Management Services
• St. Francis Medical
• Union Bank of California

Click to access our website

Southern California Office Successes

PSA's southern California office has enjoyed recent success with two of its major clients, UCLA and the Los Angeles Unified School District.

PSA currently provides seven contractors to UCLA Healthcare's Purchasing and Transition Planning departments. UCLA has utilized PSA's services continuously for more than two years for positions ranging from Purchasing Assistant up to Senior Buyer. Several PSA contractors have been hired on by UCLA Healthcare due to the excellent work they provided.

LAUSD selected its first PSA contractor in October 2004 and now has four on site supporting the Procurement and Contract Administration departments. The positions range from Assistant Buyer to Senior Contract Administrator.

Click to access our website

PSA's Management Team

In this issue of the newsletter, we would like to introduce to you three of our dynamite staff members with a short biography of each of them.

Richard Cerefice – Vice President, Northern CA Operations.

Richard Cerefice joined (PSA) Procurement Services Associates in 2004 to utilize his Procurement, Contracts and Operations management background working on consulting RFP and RFQ sourcing projects for clients as well as staffing services. After a short time, Richard became involved in procurement staffing services as a Recruiter and has progressed from Senior Consultant / Recruiter to Vice President of Northern California Operations. Working closely with major Clients and PSA’s growing candidate pool, Richard facilitates the efforts to meet staffing needs and coordinate candidate activities at the highest level, helping candidates advance their careers in today’s employment environment.

Richard’s background includes thirteen years of US and international purchasing and materials management in Biotech, Biopharmaceutical, and Aerospace Technical Manufacturing industries. Prior to his purchasing management experience, he was Management Services Officer at the University of California at Berkeley where he contracted and managed outsource services for Campus Transportation and Automotive Fleet services. Richard’s operations and logistics management career, of more than ten years, began after his military service with the US Air Force and includes highly specialized transportation and logistics management for the Radioactive Diagnostic Pharmaceutical industry.

Emily Goldbach, J.D. - Business Development Representative.

Emily Goldbach received her B.A. in Psychology from U.C.L.A. and her J.D. from the University of San Diego School Of Law. Upon graduation from law school, Emily began in the legal recruiting industry, recruiting attorneys, paralegals and legal support staff for law firms and in-house corporate legal departments in both Los Angeles and Orange Counties. Emily has over ten years of experience in the industry and applies her skills to help PSA's southern California clients find top-notch employees!

Ed Woo - Executive Search Consultant.

Ed Woo is the newest addition to PSA's staff. Ed is an experienced Staffing Consultant with over 14 years in providing HR solutions, staffing/recruitment, sales, management, and training, and over 5 years as staffing consultant/search firm owner. His experience includes placing individuals in new and exciting opportunities for the Staffing Industry as well as corporate America and over 2 years of sales, training and consulting in the Career Management Consulting industry. Ed’s 14+ years of experience and background in consulting, sales/business development, recruitment, management, and operations will be invaluable in his new role as Executive Search Consultant for PSA's clients.

Interested in Applying for Current Openings?

If you are currently in the job market, or know someone who is, please refer to our online job listing. Here you can view all of our current openings and even apply for positions online.

Click for our current job listings

PSA Newsletter Archive

Issue 8 Winter 2008
Issue 7 Fall 2006

Issue 6 June - August 2006
Issue 5 March - May 2006
Issue 4 December 2005 - February 2006
Issue 3 September - November 2005
Issue 2 June - August 2005
Issue 1 March - May 2005

 

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