Why you need to know
about supply chain
management
CANNEXUS 2015
AGENDA
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Brief introduction to SCMA
Why this sector is emerging in importance.
What is strategic supply chain management?
What is the difference between a professional
designation and an academic credential?
THE SCMA ADVANTAGE
ABOUT SCMA
• Established on September 3, 2013 as the result of an amalgamation of
the former Purchasing Management Association of Canada and the
former Supply Chain and Logistics Association of Canada
• Premier end-to-end association for Canadian supply chain
professionals
• Over 7,500 members across Canada
• Grants the SCMP designation – highest level of achievement in the
field
• Provides Continuous Professional Development opportunities to
members and designation holders (conference, Symposium, webinars)
• Unparalleled learning and networking for SCM professionals
THE SCMA ADVANTAGE
Why is this Sector Important?
THE SCMA ADVANTAGE
WHY IS THIS SECTOR IMPORTANT?
iPad mini with Retina display faces
supply chain delays
Reuters, October 03, 2013
A firefighter inspects a burnt garment factory after a fire in the
Bangladeshi town of Gazipur, 40 km (25 miles) north of Dhaka on October 9, 2013. (REUTERS)
Apple Inc will be unable to widely roll out a new version of the iPad mini with a high-resolution
"retina" display this month, people who work in the company's supply chain said, leaving the gadget
without the sharper screen found on rival tablets from Google Inc and Amazon.com Inc.
Target Canada's supply
chain gridlock - how
Barbie SUVs snarled
traffic
THE SCMA ADVANTAGE
Bangladesh factory fire exposes faults in
subcontracting
Prime Minister Stephen Harper, left, watches President of the
European Commission Jose Manuel Barroso speaks as they announce a free-trade agreement
between Canada and Europe during a press conference in Brussels on Friday Oct. 18, 2013
Canada, EU unveil ‘historic' free-trade
agreement
5
WHY IS THIS SECTOR IMPORTANT?
The Canadian supply chain sector employs an estimated 767,000 workers.
1. Senior Management
1.2%
2. Logistics Information Systems
5.5%
3. Warehousing
45.2%
4. Transportation
22.1%
5. Inventory/Material Control
14.1%
6. Purchasing
10.6%
7. Marketing and Sales
0.5%
Canadian Supply Chain Sector Council – 2012 Labour Market Study
THE SCMA ADVANTAGE
KEY FINDINGS
• Sector is facing shortage of skilled employees as experienced
employees retire and demand rises.
• Recruitment is a challenge due to low awareness of the sector
• Employees seen as lacking critical skills (numeracy, literacy,
leadership), despite Educators’ and Employees’ impressions that these
skills are being taught.
• Talent pool is small and diminishing (due to poaching and retirement).
• Companies are competing for the same resources at all levels
(managerial, tactical, or operational).
THE SCMA ADVANTAGE
EMPLOYMENT DEMAND
• Approximately 66,000* new and replacement positions are required
annually for the next five years to meet needs associated with demand
growth, retirements and workers leaving for positions outside of the
supply chain sector.
• Turnover rate is highest for Senior Management, Operational
Warehousing and Managerial Marketing & Sales positions.
* Based on the findings of the Canadian Supply Chain Sector Council – 2012 Labour Market Study
THE SCMA ADVANTAGE
Expected growth in demand evident across all categories and sub-functions
Total
(n=1,357)
Mean % Change
Occupational Category and Sub-function
5 Yrs
Managerial
12.4
Senior Management
12.9
Logistics Information Systems
10.3
Warehousing
9.3
Transportation
8.9
Inventory/Material Control
8.8
Purchasing
14.9
Marketing & Sales
Tactical
Logistics Information Systems
Transportation
Inventory/Material Control
Purchasing
Operational
Warehousing
Transportation
Total: All Positions
11.8
8.4
9.8
9.6
10.9
9.2
10.6
Canadian Supply Chain Sector Council – 2012 Labour Market Study
THE SCMA ADVANTAGE
SKILLS NEEDED IN THE NEXT FIVE YEARS
Computer skills
Project management skills
Negotiation skills
Customer relations skills
Analytical skills
Critical thinking skills
Optimization of workflow
Knowledge of intn’l business practices
Operational planning
Supervisory &/or management skills
Knowledge of laws and regulations
Financial planning and forecasting
Integrated supply chain skills
Knowledge of transportation systems
Mechanical skills
Total
Atlantic
Quebec
Ontario
Prairies
BC
North
(n=7731197)
%
69
60
58
56
55
55
50
48
48
48
46
45
43
33
17
(n=18*32*)
%
72
61
66
59
63
63
45
55
64
64
48
48
50
42
17
(n=52*98*)
%
62
55
49
51
35
37
37
50
36
36
37
39
46
30
8
(n=207284)
%
74
65
60
58
64
62
55
57
54
51
52
51
52
36
20
(n=90*119)
%
69
59
70
64
61
63
59
53
47
54
58
42
50
40
11
(n=53*77*)
%
64
60
59
55
58
61
45
47
46
57
46
44
45
32
13
(n=1**)
Canadian Supply Chain Sector Council – 2012 Labour Market Study
THE SCMA ADVANTAGE
%
**
**
**
**
**
**
**
**
**
**
**
**
**
**
**
TOP 10 MOST ATTRACTIVE ASPECTS OF SECTOR
Total
(n=289)
Atlantic
(n=17*)
Quebec
(n=41*)
Ontario
(n=121)
Prairies
(n=53*)
BC
(n=37*)
%
%
%
%
%
%
Range of positions/potential for progression
34
41
29
36
32
43
Pay/benefits
24
24
27
22
28
16
The work itself/variety/diversity
23
12
27
24
23
27
The skills/knowledge acquired
20
18
12
25
21
16
Global/the wide reach of SC
14
12
15
16
11
14
People (clients, customers)/collaboration
12
29
15
11
15
5
Delivering profit, service, decisions/see results
12
6
5
14
15
11
The challenges
11
12
2
15
13
5
Prestige
10
6
17
12
2
8
Job security
10
12
7
9
9
11
Canadian Supply Chain Sector Council – 2012 Labour Market Study
THE SCMA ADVANTAGE
What is Strategic Supply Chain
Management?
THE SCMA ADVANTAGE
WHAT IS STRATEGIC SUPPLY CHAIN
MANAGEMENT?
Definition
The process of strategically managing flows of goods, services, finance
and knowledge, along with relationships within and among organizations,
to realize greater economic value through:
• Supporting enterprise strategic objectives
• Contributing to the achievement of strategic competitiveness of the
enterprise
• Contributing to the enhancement of the competitive advantage of the
enterprise
• Enhancing customer satisfaction
THE SCMA ADVANTAGE
THE COMPETENCY PROFILE OF A SUPPLY CHAIN MANAGEMENT PROFESSIONAL
1
THE COMPETENCY PROFILE
Functional Competencies
• Supply Chain Management
• Procurement and Supply Management
• Logistics and Transportation
• Operations and Process Management
• Knowledge Management
• Global Sourcing
• Supply Chain Management for the Public Sector
• Supply Chain Management for Services, Capital Goods and Major
Projects
• Competitive Bidding, Contract Preparation and Contract Management
THE SCMA ADVANTAGE
THE COMPETENCY PROFILE
Management Competencies
• Leadership and Professionalism
• Negotiation Skills
• Communication and Relations Skills
• International Business and Multi-Cultural Skills
• Ethical and Social Responsibility Skills
THE SCMA ADVANTAGE
SCMA EDUCATION PROGRAMS
• Two streams: tactical and strategic
• Supply Management Training (SMT) – entry-level, skills-based,
tactical learning
• Supply Chain Management Professional (SCMP) Designation –
leadership program focused on marrying tactical ability and
strategic thinking
• Classroom and self-study programs
• Online delivery launched in September 2013
• On-site training courses
• Continuous Professional Development opportunities
THE SCMA ADVANTAGE
SMT CERTIFICATE PROGRAMS
• Entry-level training in SCM
• No membership or pre-requisites
• Four technical courses – intro to all aspects of
SCM
• Basic business skills seminars
• Interactive seminars that cross over with SCMP
• Bridging to SCMP program in development
• Online delivery for technical courses fully
launched
THE SCMA ADVANTAGE
SCMP DESIGNATION
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Dynamic advanced training for SCM professionals
Competency-based and strategically aligned
Covers all aspects of SCM and includes soft-skills
Work experience & university degree pre-requisites
Training in leadership, communications, and negotiation
Prepares graduates for management and senior management roles
CPD required to maintain designation
International designation reciprocity agreements with ISM/CIPS
First designation program in North America to achieve IFPSM's Global
Standard
THE SCMA ADVANTAGE
Professional Designation
vs.
Academic Credentials
THE SCMA ADVANTAGE
ACADEMIC CREDENTIALS
• Demonstrate successful completion of a course of study
• Multiple institutions can great that same credential with
widely ranging quality/entry requirements (e.g. MBA)
• No accountability for grads
• May be delivery agents for professional designation
training, which blurs the lines
THE SCMA ADVANTAGE
PROFESSIONAL DESIGNATIONS
• “warrant of professional behaviour”
• Competence, expertise and ethics
• Ongoing accountability (CPD or recertification as well as
maintaining membership)
• Complaints and discipline processes, Code of Ethics
• Practical experience always a component
• Built on competencies
• Only one designation authority - consistency
THE SCMA ADVANTAGE