Monday, September 29, 2008
Logistics Management
Business logistics
Business logistics
Logistics as a business concept evolved only in the 1950s. This was mainly due to the increasing complexity of supplying one's business with materials and shipping out products in an increasingly globalized supply chain, calling for experts in the field who are called Supply Chain Logisticians. This can be defined as having the right item in the right quantity at the right time at the right place for the right price and is the science of process and incorporates all industry sectors. The goal of logistics work is to manage the fruition of project life cycles, supply chains and resultant efficiencies.
In business, logistics may have either internal focus (inbound logistics), or external focus (outbound logistics) covering the flow and storage of materials from point of origin to point of consumption (see supply chain management). The main functions of a qualified logistician include inventory management, purchasing, transportation, warehousing, consultation and the organizing and planning of these activities. Logisticians combine a professional knowledge of each of these functions so that there is a coordination of resources in an organization. There are two fundamentally different forms of logistics. One optimizes a steady flow of material through a network of transport links and storage nodes. The other coordinates a sequence of resources to carry out some project.
Job Profiles
Job Profiles
Supply chain management offers a wide variety of job options for entry-level managers and beyond. Your opportunities are only limited by the geographic scope of your search, the industries that you are willing to pursue, and the types of positions that you will consider. To help you understand the assortment of supply chain careers, profiles have been developed for ten different SCM positions.
Many of the positions profiled in the Careers website focus on jobs entry-level management positions. You may jump into these positions immediately or after completion of a management training program or a short stint in a learning role. A few of the positions are more advanced and require significant SCM experience. Those descriptions will help you understand future opportunities that exist for you in the future.
Check back periodically as new job profiles will be added to the website.
Job Profiles (minimum experience level) | |
First Level Management (0-4 years) | |
| Consultant Customer Service Manager | Fulfillment Supervisor Supply Chain Analyst |
Middle Level Management (5-10 years) | |
International Logistics Manager | Transportation Manager Warehouse Operations Manager |
Executive Level Management (11+ years) | |
| Vice President of SCM | |
Continuing Education
Continuing Education
What do you, Tiger Woods, Sidney Crosby, and LeBron James have in common? It's probably not the level of fame or fortune. No, the real link between you and them is the critical need to continually sharpen skills and knowledge in your chosen profession. Superstars don't sit around talking about their previous championships. They focus on achieving future success via hard work, regular practice, and attention to detail.
The same will be true for your supply chain career. Getting a college degree is a great accomplishment and a key to getting that first SCM job but it won't guarantee future success. You'll need to make a concerted effort to gain supply chain knowledge through your day-to-day responsibilities. It would also be smart to supplement your expertise by taking formal training courses, reading professional publications, and participating in professional meetings.
Fortunately, there are many resources to help you sharpen your supply chain skills. Online courses and webinars provide easy access to knowledge leaders. Professional organizations facilitate interaction with your peers. Certification programs are another option. Finally, don’t forget your alma mater. Many universities conduct cutting-edge supply chain seminars (and alumni often get a discounted rate).
Here are a few links that highlight the wide variety of continuing education options available to supply chain professionals:
Why You Should Get Involved!
Why You Should Get Involved!
Many students join SCM -focused student organizations on campus but think that professional organizations are reserved for industry executives. Nothing could be further from the truth! There's much to gain from membership and supply chain professional organizations actively encourage students to join. Sure, it looks great on your resume but there are far more valuable reasons for getting actively involved now rather than later:
- Job hunting resources. When it's time to start the job search process, you'll have valuable resources available through the professional organization's website. They provide job listings, resume posting services, salary information, and other career tools.
- Networking, networking, networking! SCM organizations hold dinner meetings, conferences, and other events where you can interact with supply chain thought leaders. The organization's membership directory will also provide contact information for supply chain professionals in your area.
- Information access . Need to learn about supply chain trends and issues for an interview, presentation, or paper? Professional organizations give you first-hand access to great resources on the current state of SCM and help you build useful knowledge.
- Reduced membership fees! SCM professional organization leaders realize that students don't have money to burn. In response, they offer major discounts on membership fees to full-time students. Spend a few bucks to join now instead of hundreds later!
Still not convinced? Click here for a full list of CSCMP student membership benefits.
Salary Wizard
Salary Wizard
Here is a great resource to find the most up-to-date information on salaries within supply chain and logistics. It is Salary.com You can run a search on supply chain/logistics jobs searching by job title, or job title and zip code to see what the salary range is in a particular area. Need a list of suggested titles to search? Check our Career job profiles or Career job descriptions page for ideas.
We welcome your feedback! Contact us and let us know if you found this tool helpful.
Salary Considerations
Salary Considerations
What Factors Impact Salaries?
Although there's no perfect formula for estimating the offers that you will receive, the following issues impact an employer's starting salary offers:
Factor | What Drives Salary Offers Higher? |
Education Level | Advanced degree such as an MBA produce higher salary offers than do Bachelor or Associate degrees. |
Relevant Work Experience | Extensive supply chain work experience (even as an hourly associate) or participation in SCM internships gives you a strong foundation and the ability to command more money. |
Grades and Accomplishments | Some companies pay a premium for students with high GPAs and related academic accomplishments. |
Leadership Experience | SCM is a people business. If you have a demonstrated ability to effectively lead people, your stock will rise. |
Scope of Responsibilities | The greater the responsibility (e.g., managing more people or controlling a larger budget), the higher the salary! |
Company Type | Historically, the highest SCM salary offers have come from the manufacturing sector. However, retailers, carriers, and 3PL firms are working to close the gap. |
Geographic Flexibility | Being open to relocation early in your work life will positively impact your career options and salary growth. |
Geographic Location | Jobs in larger cities and geographic areas (Northeast and West) with a higher cost of living pay more to offset your added expenses. |
Ability to Negotiate | Many SCM positions are pegged to a starting salary range rather than a single number. Your ability to sell your skills, motivation, and potential for success will determine what you are offered within that range. |
Don’t Forget the Benefits
In addition, SCM positions typically offer a full range of benefits and you are likely to be eligible for bonus pay. The article Benefits and Bonuses provides an excellent discussion of the wide array of perks that employers offer to new hires. Although it specifically addresses another service industry, the themes are on target for SCM grads. The author wisely suggests: “you need to understand what benefits employers will dangle under your nose, which employers offer the best deals and how to bargain your way to a more inviting work environment.”