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Supply Chain Manager: what it is, functions and salary

Posted: Thu Dec 05, 2024 10:05 am
by shikharani00192
The SCM (Supply Chain Manager) position is increasingly in demand at a business level. This is a job that is an important key when it comes to producing and developing a product or service, a person who can comprehensively manage the entire process from the acquisition of raw materials to the delivery of the final result to the customer.



What is a Supply Chain Manager?
A supply chain manager is responsible for managing and administering the entire process of acquiring, producing and distributing a product or service within a company. A person who must be trained to deal with the entire supply chain process, without forgetting that he or she must have an overview of suppliers, production centres, sales operators and, of course, end customers.

In other words, a supply chain manager is the most important figure in supply chain management. We are talking about a professional who has the ability to integrate operations, both at the level of bc data indonesia material flows and at the level of information flows, which requires skills in the fields of communication, negotiation and management.



What is a supply chain manager?

Supply Chain Manager Functions
As we have already seen, the functions of a supply chain manager flow through several departments and their time is occupied by different functions, which we detail below:

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Acquisition of raw materials
The field of supply chain management (SCM) also has the function of planning the purchase of materials with which the product is developed. It must be in contact with suppliers and manage and negotiate the contracts for the acquisition of these materials. Thus, its responsibilities include obtaining the best possible prices and having enough material to satisfy the needs of customers.

Organization and management of the logistics process
Transport, distribution and warehouse space are issues that supply chain managers will have to deal with. The functions of this manager are inherited from logistics managers, so it is extremely important that this process is very well controlled by them.

Stock control
It is very important for the supply chain manager to ensure that the customer's demand is covered or, failing that, that production can supply it quickly. In addition, since control of the warehouse is in the hands of this professional, it will be important that the product still under his control does not cause space problems.

Strategic planning
The supply chain area has a relevant strategic component , whether when coordinating the companies involved in the process, ensuring that the customer receives the product under the agreed conditions or actively participating in the design of the product.

It should be noted that the supply chain manager must not only manage the entire process, but also measure its effectiveness through different indicators, the SCM KPIs . Thus, he or she would monitor issues such as the number of suppliers, expenses, the effectiveness of the catalogue and many other issues.

How much does a Supply Chain Manager earn?
As we have already said, the supply chain manager is a position that is increasingly in demand in the labour market, as its appearance has been key in the transformation of the industry . This is a highly valued professional who is remunerated in accordance with his or her functions and responsibilities. In the same way as in other fields, the salary of a supply chain manager will vary depending on factors such as the size of a company, the sector to which it belongs or its geographical location.

In countries like Spain, the salary of a supply chain manager can vary between 60,000 and 80,000 euros per year, sometimes reaching 100,000 euros . In other places, such as Chile, the estimate is around 6,000 dollars per month, while in Peru or Argentina it is around 5,000 dollars.