A career in supply chain management is one of attention and diligence. Guiding a product from the production phase to the consumer is not an easy task.
The journey goods take from manufacturer to consumer can be pretty daunting. It can take a toll on the producer, their income, and the eventual price of goods.
You were probably taught in economics about the manufacturer, wholesaler, retailer, and consumer. I call them the four backbones of demand and supply.
While that is still in play in various parts of the world, it can be stressful to keep track of the roadmaps these goods follow before they get to the eventual user.
This issue is what sparked the need for supply chain management.
What Is Supply Chain Management?
Supply chain management is a process by which the flow of goods and services from a business is managed. This management covers every phase of supply, including getting raw materials, producing the goods, and delivering them to relevant hands.
With productive supply chain management, you can increase a company’s consumer impact, make bigger sales, and hasten and ensure a keen supply process, among others. When such a process is set, companies, whether small or large, gain the upper hand in the marketplace. There would be more time to focus on the improvement of the products sold.
Is the supply chain a novel idea?
No, it isn’t. For a product to infiltrate the marketplace, it must have passed through the hands of relevant stakeholders.
For that product to stay in the market, it relies on the continuous, effective movement of products through these same stakeholders. It has been a process since time immemorial.
Questions began to arise.
How efficient is this linear supply chain? Is it possible to improve the system? What is the cost of the decision to neglect the supply chain?
Other questions like this and more. Hence, the birth of a relatively important sector, supply chain management.
How Does Supply Chain Management Work?
Imagine a smartphone production scenario:
Suppliers provide raw materials, like metals and plastics, to manufacturers. The manufacturer assembles the phone, and it moves to a distribution center.
From there, the phones are sent to retailers, and ultimately, consumers purchase the phones.
All these processes, however cumbersome, have been made easier and less costly than the traditional supply chain.
From the initial production to the hands of the end-users, supply chain management coordinates this entire process, ensuring timely and cost-effective movement of materials and products at each stage.
Now that you understand what supply chain management is, it’s time for us to delve into the career opportunities the world possesses.
Build A Career In Supply Chain Management
Under supply chain management, several roles leave you with a plethora of options to pick from.
The question you should be asking us is; if these roles are important, what makes supply chain management different from the traditional one?
Well, the answer is control.
In this career, you are centrally controlled by a particular company, where every movement of a product is watched, noted, and analyzed.
To the degree of your responsibility would command your immersion into company processes.
It’s all about starting small and rising in the ranks.
The following are career opportunities you can find under supply chain management:
1. Supply Chain Manager
The supply chain manager is responsible for overseeing the import, export, and creation of raw materials or finished products for a company.
Note: “Oversee”. The typical role of a manager
Likewise, they monitor the lifecycle of the product manufacturing process, ensuring the factories have enough supplies.
They manage the distribution and product flow from factory to warehouse in various countries.
Supply managers maintain ties with suppliers, negotiate contracts, and ensure timely, cost-effective material deliveries.
They also identify and prepare for potential disruptions, ensuring the supply chain stays resilient and reliable.
With forecasts and data, they prevent shortages or excess costs and also keep the right amount of stock.
2. Demand Planner
Here, they study market trends and customer behavior to forecast future product demand accurately.
Using data analytics, they can understand past sales patterns and predict future demand, aiding in decision-making.
They work closely with the sales team to gather insights, align strategies, incorporate customers, and much more.
The demand planner is an extremely adaptable person. They must be adaptable because the marketplace is a wavy place and they must move as it goes.
3. Production Planner
Is the company producing more than the demand or less? In this department, it’s mostly about maintaining and improving production strategies.
With consistent feedback from the market, there is a need to listen to the hands that buy to ensure a longer life for your product out there.
Production planners allocate resources such as manpower, equipment, and raw materials effectively to optimize the production process.
They also create efficient production schedules, coordinating with different departments to streamline workflows and meet production targets.
Production can be challenging, especially with very high demand. It’s as hard as keeping up with the KKK.
4. Supplier Manager
If you are here, you need good negotiation skills. Your primary role is engaging in negotiations with suppliers, finalizing contracts, and ensuring favorable terms for both parties.
You are also a performance evaluation officer, monitoring supplier performance and assessing delivery times, product quality, and reliability to maintain high standards.
Due to the instability of people, you must identify potential risks with present or future suppliers and curb them effectively.
The goal is to seek opportunities for cost reduction without compromising quality or reliability.
5. Logistics Manager
These are the guys focused on the movement of these goods. The question, “How do these goods get to where they should go” is theirs to answer.
They have to choose the right carriers based on cost, reliability, and efficiency to transport goods.
Implementing systems for real-time tracking of shipments is important. This helps to ensure visibility and timely responses to any issues.
Logistics is not a new word in our world today. Especially since the pandemic, middlemen have increased astronomically.
They ensure compliance with transportation regulations and customs requirements to prevent delays and legal issues.
6. Supply Chain Analyst
The supply chain analysts are a step down from the supply chain managers. It doesn’t lessen their importance in any way.
They develop key performance indicators (KPIs) to assess the efficiency and effectiveness of the supply chain processes.
These KPIs are like a bar to measure the reality of the supply chain process. Without it, there would be no understanding of the success or failure of it.
Insights from there drive continuous improvement initiatives, optimizing processes, reducing costs, and enhancing overall supply chain performance.
7. Inventory Manager
The inventory managers ensure optimal inventory levels to prevent stockouts or excess stock, aligning with demand forecasts.
They manage the procurement process, placing orders, and coordinating with suppliers to replenish stock efficiently.
Based on importance and value, they categorize inventory, allowing for prioritized attention to critical items.
These and many more are the various job titles under the supply management chain. Bear in mind that each company may allocate these responsibilities to different job titles.
You might find yourself doing what an analyst or planner should do. It’s up to the company.
Skills Needed To Build A Career In Supply Chain Management
The skills needed to be an expert in supply chain management are soft skills.
They are essential because you would be dealing with people more and would need every fiber in your body to maintain business relationships.
Apart from this, you’ll also need to understand logistics and have experience in supply chain management. You can get that by interning at a company.
The following are soft skills needed in Supply Chain Management.
- Analytical Skills: Ability to analyze data and make informed decisions.
- Communication Skills: Effective communication with stakeholders.
- Problem-solving: Quick and efficient issue resolution
- Strategic Thinking: Long-term strategy development and implementation
- Adaptability: Ability to adjust to changing conditions and disruptions.
Other skills include Time management, leadership skills, Negotiation, and Management skills.
How To Become A Supply Chain Manager
Supply chain management is a field that can be learned through various educational paths.
Many universities and business schools offer degree programs, such as Bachelor’s or Master’s degrees in Supply Chain Management or related fields.
There are certifications, workshops, and online courses that provide specific knowledge and skills in supply chain management.
To learn supply chain management, here are some steps you can take:
1. Formal Education
Pursue a degree in supply chain management, logistics, business, or a related field. Look for reputable institutions that offer comprehensive programs.
2. Certifications
Consider obtaining certifications such as Certified Supply Chain Professional (CSCP), Certified in Production and Inventory Management (CPIM), or others relevant to your interests.
3. Online Courses
Explore online platforms offering courses in supply chain management. These courses can provide flexible learning opportunities.
4. Internships and Work Experience
Gain practical experience through internships or entry-level positions in companies with strong supply chain operations.
5. Networking
Connect with professionals in the field, attend industry events, and join supply chain management associations to expand your network and stay updated on industry trends.
Well, the world keeps evolving. It is best to stay within the scope of things by continually updating yourself.
For the most part, you are sufficiently sorted.
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Conclusion
There are three words I would use to describe the importance of supply chain management. They are clarity, pace, and ease.
These words affect everybody involved in the supply chain management process and you can expect growth and comfort if you are worth your salt.
Frequently Asked Questions (FAQs)
Is a career in supply chain management good?
Choosing a career in supply chain management offers a world of opportunities for logisticians seeking a dynamic and impactful profession. With its central role in orchestrating the seamless flow of goods, information, and services, supply chain management presents an exciting and rewarding path.
Which country pays the highest salary for supply chain management?
- United Kingdom.
- Singapore.
- Ireland.
- Germany.
- The Netherlands.
- Japan.
- France.
- Poland
Is there a demand for supply chain management?
Demand planning is a supply chain management process of forecasting, or predicting, the demand for products to ensure they can be delivered and satisfy customers.
What are the disadvantages of a supply chain management career?
There are a few drawbacks to making a career in Supply Chain Management. For an entry-level professional, it requires a lot of time and energy investment initially.
They have to face many challenges and solve problems.
Making a career in Supply Chain Management can be quite challenging and hectic at times.
