The global electronics manufacturing industry has been talking about the huge talent gap for supply chain jobs. Universities are stepping up with new and more flexible educational programs. Now, it’s time to get the word out about the promising opportunity for those who choose a career in supply chain. Last week, the Association for Supply Chain Management (ASCM) released its 2019 Supply Chain Salary and Career Survey Report, which found that those in the supply chain have higher job satisfaction and salary prospects than average. Further, supply chain pros are less impacted by the traditional salary gap between men and women than average.
“We are seeing a shift in demand for knowledge workers and that bodes well for the supply chain. The responsibility that the supply chain is being given has transformed the technical and functional capabilities demands on the supply chain workforce,” ASCM CEO Abe Eshkenazi told EBN. With significantly more responsibility comes recognition and reward. We hope this survey will be a critical resource for individuals considering a move to the supply chain and those already working in supply chain who want to understand what the market looks like in terms of pay and growth opportunities. The ASCM surveyed more than 1,700 supply chain professionals from the United States participated in the annual survey.
The survey found that salaries are strong for supply chain workers. “The supply chain industry offers people of all profiles and backgrounds a fast-track to career advancement, professional and personal satisfaction, and high levels of compensation,” Eshkenazi said, adding that supply chain jobs often include benefits that contribute to healthy work and life balance which in turn leads to greater job stability.
The median salary for supply chain professionals in 2018 was $80,000, up from $78,000 in 2017. “Organizations are clear about metrics and those who drive success get rewarded,” said Eshkenazi. “Companies are willing to pay for individuals who drive results in strategy as well as implementation. The talent pool shortage means organizations are willing to invest more in individuals both in starting salaries and ongoing training and certifications.” Many of those responding enjoyed job stability. Over half remained in their current position, nearly a quarter were promoted, and 13% moved laterally within their company.
Most workers (85%) are displeased with their jobs, according to a recent Gallup World Poll. Supply chain professionals, meanwhile, reported much greater job satisfaction with 80% of those surveyed rating their satisfaction at a level of eight or above. Eight out of ten supply chain workers also said that they were likely to continue to work in the supply chain field for the next five years. Other key findings:
- Climbing salaries: Surveyed supply chain professionals received an average base salary increase of 4.2% in 2018, up from the reported 3% pay raise in 2017. Nine out of ten respondents (91%) received an increase.
- Certifications correlate with higher income: Supply chain professionals who hold one certification reported a median salary that was 18% higher than their uncertified counterparts. More certifications translated into additional salary increases. Supply chain professionals who hold an APICS Certified in Production and Inventory Management (CPIM); Certified Supply Chain Professional (CSCP) or Certified in Logistics, Transportation and Distribution (CLTD) designation reported a median salary that is 25% higher than those without a certification.
- Time off and flexibility: Nearly all respondents receive holiday pay, and 80% have three weeks or more of vacation. More than half are offered flexible schedules and can work from home as needed.
Although not completely solved in the supply chain profession, the gender pay gap appears to be narrowing especially for younger professionals (under 40). In the younger set, the salary gap is less than $1,000. In other industries, the average difference between male and female salaries was $10,000 in 2018, according to the U.S. Bureau of Labor and Statistics. “This shows that talent irrespective of gender is significant. We are seeing a gap closing in terms of recruitment and hiring of individuals and pay parity within the next five and ten years,” Eshkenazi said.
How does your supply chain organization compare? Do you love your job? Let us know why in the comments section below.
— Hailey Lynne McKeefry, Editor in Chief, EBN