Supply chains involve a series of processes that takes a product from the manufacturer to the consumer. For supply chain networks to function suitably, they require operational and management support.

Choosing a career in the supply chain industry- here is all that you need to know

A career in the supply chain industry offers so much diversity. It gives you an in-depth overview of the complete organization where you not only learn the suppliers’ business but learn customers’ business as well. There are many departments from production, procurement, shipping, finance, and accounting to warehousing, marketing, R&D, and sales.

In this constantly and ever-changing industry you can gain a variety of experiences. Simply put, the industry offers something for everyone- there are numerous opportunities for those who like to be led and inspired, and for those who like to lead and manage.

To get started with a career in supply chain management, here are some important things to consider-

Understanding the supply chain industry

Depending upon the industry and organization, supply chain management roles can vary. One needs to keep in mind the size of the company as well as ownership as these factors can have a significant impact on your career. In big enterprises, you may have to start working within a function or segment of the supply chain that has a lot of resources. Whereas, in smaller organizations, you might have to manage multiple tasks that may give you wide exposure to the supply chain processes, but has limited resources. Therefore, it is vital to understand the requirements of the industry thoroughly before you begin your journey.

Pick a supply chain management area that interests you

There are innumerable career options within supply chain management, however, you must opt for an area that interests you. You should get yourself acquainted with that specific area by reading about topics related to it. This will help you to determine whether you want to pursue it. Typically people choose the following career paths in the supply chain field-

• Production/Operations Management
• Supply chain planning and/or Technology
• Supply Management/ Procurement
• Distribution Management/ Logistics

Keep yourself abreast with the latest and upcoming trends in supply chain management

You can keep yourself updated with the latest trends and technologies in supply chain management as it will allow you to take important career decisions. You can enroll for supply chain management sessions or read blogs or can engage in various discussions forums.

What qualification do I need to start a career in supply chain management?

The most common way to pursue career in supply chain is a bachelor’s degree in SCM, logistics or international transport. In addition there are various courses available such as CPM (Certified Purchasing Manager), CPIM Certified in Production and Inventory Management, Certified Supply Chain Professional, Supply Chain Operations Reference (SCOR) Professional, and Certified in Logistics, Transportation, and Distribution.

You may also pursue a master’s degree in supply chain, logistics, and/or transport. Doing MBA is also a great option.

How do I enter the supply chain industry?

There are several ways to break into the supply chain industry. Typically people start by using the services of recruitment agencies or by putting up a profile on various job portals. One can also use networking- looking out for industry-type events in your area that can give you an opportunity to meet and interact with professionals.

Another option to get real-world experience is by looking for a supply chain internship that is closely related to the job role that you are interested in.

What career options do I have in the supply chain industry?

There are many entry-level jobs that you can explore that do not require prior experience but only some kind of degree/diploma or certification. These jobs require a period of on-job training. For instance- cost estimators, quality controllers, customer relations, marketing and advertising, and buyers.

But that is not all, supply chain management offers many other possibilities as well such as –IT specialists, Data Managers, Finance Managers, Human Resource Personnel.

In case you are graduated with a bachelor or master’s degree in the supply chain you can also consider the following career options-supply chain analyst, supply chain coordinator, production planner/ inventory controller, purchasing agent, logistician, procurement analyst, and warehouse manager.

Final Word

Supply chain management is a vast field that offers a lot of opportunities. All you need to do is to carefully choose your niche and then set about gaining relevant knowledge and expertise.

The post Getting started with a career in supply chain management appeared first on ScaleUp Consulting..

The years 2020 and 2021 were hugely disruptive years. 72% of the companies experienced external disruptions to their manufacturing supply chain as per 3D Hub’s Supply Chain Resilience Report.

After years of globalization, trade disruptions such as US-China trade war, Brexit and the ongoing pandemic is prompting economies to reduce dependency on global integration and focus on themselves and their neighbors. Many manufacturers are trying to reduce their dependency on China as pandemic exposed the fragility of the supply chain network, be it due to factory lockdown, tariffs or logistics disruptions. However, global supply chain network revamping has to be followed carefully without hampering critical relationships.

Only 21 percent of the respondents in a recent survey done by Gartner indicated that they have a highly resilient network today; that means good visibility and the flexibility to shift sourcing, distribution, and manufacturing activities much faster. This advocates that growing resilience will be a primacy for many as they emerge from the ongoing crisis. According to this survey, more than half are going to be highly resilient in the next two to three years.

Diversifying sourcing – a vital step to build a resilient supply chain network

Last year, when the COVID crisis began in China, known to be the world’s factory the entire supply chain was disrupted across industries. Diversifying sourcing became an obvious way to mitigate risks in future.

However, to design a multi-sourcing strategy, it is essential that the supply chain leaders know their supplier network in-depth and should be able to classify suppliers not just by spend, but also by revenue impact in case of a disruptive event.

Diversification can be achieved by giving business to additional suppliers or working with a single supplier who can produce goods at several locations.

Predictably, the increasing interest in supply chain diversification brings to the fore the theme of re-shoring or near-shoring which goes arm-in-arm with a bigger focus on domestic markets. A Standard Chartered research indicated that 74% of US corporations and 84% of European companies are prioritizing their home regions as a source of growth.

All this calls for more production nearer to the home and to make supply chains less vulnerable. The organizations are now assessing their complete sourcing strategy and supply chain network design. This approach will ensure that the companies have multiple options and can determine the right balance between off-shore and near-shore manufacturing.

Multiple choice in the supply chain also means a wider opportunity to analyze cost, range of goods available, and location. Diversifying sourcing can also encourage competition among suppliers to drive down prices.

However, to diversify sourcing the suppliers also need to keep in mind certain factors to determine their supply chain network’s optimal resilience.

Vital Partners

While large enterprises might have resources to invest in a diversified network, their vital suppliers might not. Supply chain leaders will have to evaluate if their partners are weakened by the present conditions and are not able to support diversification strategy. In that case, they will have to look for more capable partners or slow down and may have to consider supportive actions.

More resilience involves more cost

An organization may choose to absorb the cost, or raise prices for its customers or share them with upstream suppliers. Similarly, the cost of not investing in resilience can also be high in terms of longer lead times, tariffs, negative impact on the brand, or decreased customer satisfaction.

National policies and incentives

Governments in many countries are now offering incentives to enterprises that move manufacturing closer to the end consumer or back. Bringing manufacturing back to the United States got a major push from politicians.

The crux

With the ongoing pandemic, there has been a heightened desire to shift production and sourcing out of China to other locations in Asia. Although this trend was going on for some time due to rising production costs in China but has strengthened by a sense of over-reliance.

However, shifting from China is easier said than done. A study from CBRE, a commercial real estate giant cited last year that while production costs in Vietnam were 30% lesser than in China, but the productivity was almost 20% lower and there were more quality issues. Industry experts suggest that there is more benefit in the ‘China plus one’ strategy for sourcing considering manufacturing capacity and sophistication in the Chinese industries.

All these things suggest that supply chains may be becoming more resilient by diversifying sourcing, but it’s not going to be that simple. The companies will have to still juggle with complexities and would need versatile and agile supply chain providers. 

The post Are Supply Chains Diversifying Sourcing To Become More Resilient To Global Disruptions? appeared first on ScaleUp Consulting..