Supply Chain Director Salary

supply chain director

A Supply Chain Director is in charge of the entire supply chain, including procurement, inventories, vendor selection, and finished goods delivery. You will develop and implement a technique to guarantee that essential processes function smoothly. And that organizational objectives and KPIs are met.

As a supply chain director, you’ll coordinate product storage and make sure the proper amount of product is manufactured at the right time. Forecasting trends and handling inventory are important aspects of organizing the transfer of goods from distribution centers to customers and businesses.

Keep reading this article to find out what you should know about a supply chain director, including their salary.

Who is a Supply Chain Director?

A Supply Chain Director establishes and manages the techniques of a company’s supply chain. Their aim is to increase efficiency and productivity while lowering expenses and ensuring that their company receives high-quality materials.

What Does a Supply Chain Director Do?

Supply chain directors are very crucial for organizations that deal with commodities and other raw resources. They’re in charge of establishing networks that comprise the purchases and management of commodities to create products swiftly and efficiently.

Supply chain directors work in a variety of industries, including healthcare, technology, distribution, manufacturing, and so on.

Depending on the industry you work in, your responsibilities will vary. As a supply chain manager, though, you’ll most likely do:

  • Enhance the general performance of the supply chain and look for any potential process improvements.
  • Cultivate new and established supplier relationships.
  • Handle and minimize risks (such as operational and reputational risks) that could disruptor impact the supply chain.
  • Consider the supply chain’s environmental impact to meet sustainability goals.
  • Adopt new technologies and stay abreast of industry trends and developments.
  • Collaborate with buyers and procurement managers to find the best products.
  • Work with suppliers and customers to negotiate deals.
  • Maintain control over the manufacturing and distribution processes.
  • Plan and develop a logistical system to ensure that objectives are met.
  • Supervise product storage, managing, and delivery.
  • Track goods from point of origin to point of delivery using computer software.
  • Work on forecasts and stocks, providing detailed records of the process and evaluating results.
  • Keep costs under control while maintaining quality.
  • Make sure you’re up to date on everything that’s going on in the supply chain.
  • Supervise and motivate a supply chain team.

What Skills Do I Need To Possess To Become a Supply Chain Director?

Before you can become a supply chain director, you must possess certain skills. These skills include:

  • Relevant experience as a supply chain manager or in a related field is required.
  • Thorough understanding of supply chain processes.
  • Experience in working with related software (e.g. SAP MM).
  • Excellent communication abilities.
  • Strong project management and managerial skills.
  • Great attention to detail.
  • Good problem-solving skills.
  • A logical and analytical mindset.
  • Bachelor’s degree in supply chain management, logistics, or a related field is required.
  • Excellent planning skills.
  • A meticulous and logical approach to work.
  • Excellent time management skills, including the ability to work under pressure while maintaining accuracy and adhering to deadlines.
  • Computer literacy, Excel skills, and the ability to work with electronic data.
  • Working knowledge of risk management in the supply chain.

How To Become a Supply Chain Director

To work as a supply chain director, here are the things you should do:

1. Acquire a Degree in Supply Chain Management

A bachelor’s degree in supply chain management, business, engineering, finance, or an affiliate discipline is required to work as a supply chain director.

If you have a master’s degree, it can help you differentiate yourself and earn a higher wage. So, find a university that offers a solid supply chain management program.

2. Get work experience with jobs like a Warehouse Manager

Consider working part-time in a supply chain management-related entry-level position while you finish your degree. Ideal occupations include inventory supervisor, inventory clerk, receiving clerk, warehouse manager, and receiving supervisor.

Get a job in supply chain management once you finish your bachelor’s degree, whether you plan to continue your education.

Supply chain and logistics customer service agents, supply chain and logistics coordinators, supply chain and logistics sourcing specialists, and import-export specialists are some entry-level positions available for people with degrees.

Logistics analysts, purchasing agents, supply chain & logistics transportation specialists, operations managers, distribution managers, and supply chain managers are also included.

3. Obtain certifications such as Certified Professional in Supply Chain Management

Obtaining one or more supply chain management certificates isn’t compulsory, but it might help you stand out to prospective employers.

The Association of Supply Chain Management awards those who ace the exams, have a bachelor’s degree & have at least 3years of entry-level job experience the Certified Supply Chain Professional title.

Supply chain design, supply chain improvements & best practices, and supply chain planning & execution are all included in the three-part test. And it will charge you a testing fee if you’re not a member of the association.

You can sit the Institute for Supply Management’s exam to become a Certified Professional in Supply Chain Management if you don’t have a degree, but have three years of experience.

If you have a master’s degree and at least 5 years of experience, you can earn the Certified Professional Logistician credential from the International Society of Logistics. This certification, unlike the other two, needs no renewal.

4. Prepare yourself for high-pressure and unexpected circumstances and hone your skills

Enhancing a variety of key skills will help you perform better as a supply chain director. Critical thinking and problem-solving skills will be essential as you must respond swiftly to unexpected, high-pressure situations.

You must possess computer knowledge is also required. Working with supply chain management software and inventory will take up a huge part of your time.

To effectively coordinate your teams as a director, you will need strong interpersonal communication, leadership, and organizational skills.

Throughout your career, you’ll need to maintain a variety of relationships with distributors, suppliers, consumers, and others. So, refine your customer service and communication skills.

Career Outlook For Supply Chain Director

Supply chain management is a growing field with a lot of job opportunities. In today’s global market, supply chain directors must know where to find the best products and resources. And also know how to build effective supply chain strategies.

Because of these factors, the Bureau of Labor Statistics in the United States has very positive statistics for this industry.

The demand for Logisticians will grow by 4% between now and 2029, says the Bureau of Labor Statistics. As fast as the average is how this figure is described.

The Bureau of Labor Statistics says that the median compensation for logisticians is more than $76,000 before bonuses.

In the meantime, incomes in similar sectors range from $40,000 for quality control to more than $108,000 for industrial production managers.

Supply chain management professionals may even decide to pursue a career as a consultant. Alternatively, their skills could lead to a position as a project manager.

Smaller businesses also can hire SCM professionals to help them build a supply chain system, better manage their transport & distribution systems, or keep inventories under control.

Procurement specialists, import/export entrepreneurs, and inventory managers are all potential supply chain management professions.

What Is The Average Salary Of a Supply Chain Director?

Let’s have a peek at the average salary of a supply chain director according to various sources.

According to salary.com, the average Supply Chain Director’s pay in the U.S. is $175,058. However, salaries frequently range from $153,641 to $197,151. Salary ranges rely on a variety of things, including certifications, education, skills, and experience level in your field.

Glassdoor says that the estimated total pay for a Supply Chain Director in the United States is $167,702 annually. And an average salary of $124,831. The additional salary is estimated to be $42,871 per year. Cash bonuses, commissions, tips, and profit-sharing could all be options for extra pay.

The average base salary of a supply chain director according to payscale.com is $129,124. But the typical salary ranges from $85k to $172k.

Whereas, zippia.com reportedly asserts that supply chain directors earn an average salary of $146,272 a year.

Summary

A supply chain director oversees a company’s supply chain strategies. Their goal is to improve productivity and efficiency while making sure that their company receives quality products at cost-effective rates.

Supply chain directors are paid well. However, the average salary of a supply chain director depends on factors like education, skill level, certification, and experience level.

FAQs

How many hours a week do supply chain directors work?

Supply chain directors typically work 40 hours a week. But during project deadlines, they could work overtime.

What are the 4 types of risks in the supply chain?

The majority of risks that the supply chain faces are categorized into four including political, economic, ethical, and environmental categories.

Which country is best for supply chain management jobs?

Such countries include Denmark, Japan, Singapore, Sweden, Hong Kong, Netherlands, Finland, and Germany.

Why is supply chain management difficult?

Supply chain management is seemingly difficult because the risk in it creates pressure.

Is supply chain a stressful job?

It’s quite a stressful job because emergencies frequently occur. Shipments are usually late, workers may slouch, etc and this can be stressful. Therefore, supply chain directors should be able to manage stress.

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