supply chain talent development logistic summit & expo

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Supply Chain Talent Development Logistic Summit & Expo México

Abe Eshkenazi, CSCP, CPA, CAE

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Growing Awareness of Supply Chain and Operations Management

The profile of supply chain and operations management professionals is rising.

• Major news organizations discuss, e.g., • Supply chain disruptions (2011 tsunami) • Bill of materials (Apple products) • Ethical supply chains (manufacturing work conditions)

• Some confusion: UPS “We love logistics” campaign

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Corner Office: (SCM) Strategy Executive teams realize that supply chain excellence

is a competitive advantage. Traditionally, the advantage was cost reduction:

• Operate lean and efficiently → Reduce waste → Reduce inventory → Strategic use of capacity and assets

• Low cost labor Focus now is on value creation for the entire supply chain

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New and Growing SCM Challenges • Supply chain risk

• Supplier disruptions • Availability of capital; recessions

• Globalization-related • Emerging markets as suppliers and customers • McKinsey projects that 1.8 billion people will join the

global consuming class by 2025 expanding demand for products produced across the globe.

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New and Growing SCM Challenges • Sustainability – People, planet, and profit

• Satisfy customer expectations • Government regulations

• Moving from board room to shop floor • Lack of consensus on definition and measurement of

sustainability

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Manufacturing Still Matters • …the new era of manufacturing will be marked by

highly agile, networked enterprise that uses information and analytics as skillfully as they employ talent and machinery to deliver product and service to diverse global markets. In advanced economies, manufacturing will continue to drive innovation, exports, and productivity growth. In developing economies manufacturing will continue to provide a pathway to higher living standards.” Manufacturing the future: The next era of global

growth and innovation, McKinsey 2012

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highly agile, networked enterprise that uses information and analytics as skillfully as they employ talent and machinery to deliver product and service to diverse global markets. In advanced economies, manufacturing will continue to drive innovation, exports, and productivity growth. In developing economies manufacturing will continue to provide a pathway to higher living standards.”

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Talent Management is

39.0%

36.2%

17.4%

7.4%

0.0% 20.0% 40.0% 60.0%

More of a problem at mid level

Similar across all levels

More of a problem at senior leadership

More of a problem at entry level

CSCO Report 2011, SCM World

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Big Gaps in Problem Solving, Real-World Experience

64%

54%

52%

43%

31%

26%

17%

15%

14%

8%

8%

41%

55%

53%

55%

16%

27%

15%

5%

24%

4%

7%

Problem Solving

Ability to Work in Teams

Broad Understanding of Supply Chain Concepts

Analytics

Real-World Experience

Ability to Integrate Information

Balancing IT and Business Skills

Global Business Leadership Skills

Supply Chain Technology

Risk Management

Virtual or Matrixed Team Management

Should Have

Actual Strengths

N = 356

Talent and High-Performing Supply Chains, Gartner 2011

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Biggest challenges in SC Talent Acquisition

53.0%

32.0%

35.0%

34.0%

35.0%

0.0% 20.0% 40.0% 60.0%

Lack of available skilled or experienced talent

Slow/complex internal hiring processes

Poor leadership, soft skills, or others difficult to develop

Perceived lack of career path or future

Lack of budget to hire needed positions

APICS Research May 2012

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Biggest challenges in SC Talent Development

43%

32%

61%

36%

28%

12%

0% 20% 40% 60% 80%

Insufficient training for technology …

Best staff leaving for other …

Lack of recognition of SC training …

Meeting compensation and …

Developing talent globally

Demographic shifts causing loss of …

APICS Research May 2012

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Challenges in respect of knowledge workers

CSCO Report 2012, SCM World

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Oct. 2010 Roundtable MIT Center for Transportation and Logistics

• “… many participants sought what they deemed a “super-human” combination of people who have technical depth, business breadth, and the soft skills to be a leader, influencer, and diplomat. Modern supply chains call for deep subject matter expertise, an integrated understanding of broader business imperatives, and the ability to lead coworkers while operating across countries and cultures.”

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How Will You Be Prepared? Talent development through the university and

association. • University training

• Build foundational knowledge and experience • Professional association

• Guidance and direction • Validate knowledge • Build connections

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Role of the University • Provide broad overview of end-to-end supply chain

• Operations management (OPS) program • Hands-on experience

• Capstone consulting project • Internships

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Role of the Company • Engage HR in discussion • Provide rotational experience opportunities • Develop clear career milestones • Identify mentors • Commit to professional development

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ROE – Return on Education • The Shadow Value of Employer-Provided

Training • Employer-provided training exerts a positive and

significant effect on job satisfaction. On average, this effect is equivalent to a 17.7% increase in labour earnings.

Santiago Budría* – University of Madeira and CEEAplA Pablo Swedberg - Department of Business and Social Sciences, St. Louis University, December 2010

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Role of the Association: Career Paths • Provide career guidance

• What roles exist • Education requirements • Competencies (hard and soft

skills) • Provide a forum for information

exchange • Unbiased research

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APICS Career Packs • APICS Career Pack provides practitioners, hiring managers and

human resource professionals with the information they need to understand: • the skills, knowledge and experience professionals in this position

must possess; • typical career paths; • responsibilities of the position.

• Positions include: • Supply chain manager • Materials manager • Buyer/planner • Master scheduling manager • Distribution and logistics managers

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Operations Management Body of Knowledge (OMBOK) Framework • Expanded Content

• Sustainability • United Nations Global Compact

10 principles • Corporate social responsibility • Reverse logistics

• Risk • Risk management framework • Risk mapping

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Role of the Association: Build Connections

• Chapter membership and annual conferences provide opportunities to: • network • be mentored • participate in case competitions • attend plant tours and • job fairs

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Role of the Association: Post-graduation • Certifications

• Certified in Production and Inventory Management (CPIM)

• Certified Supply Chain Professional (CSCP)

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Rewards • Dynamic role • Consideration for special projects • Certified professionals:

• Recognition • Qualified for more job roles • Compensation

• CPIM on average earn 17 percent more than non-certified • CSCP on average earn 9 percent more than non-certified

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Thank you.

supply chain talent development logistic summit & expo

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