scm careers
TRANSCRIPT
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Careers in Acquisition/Supply Chain Management
MVTPC Business Summitfor
High School Teachers
Presented by:
Miami Valley Acquisition Consortium
June 13, 2007
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ACQUISITION LOGISTICS
DEPARTMENT OF DEFENSE
(WPAFB)
RIGHT PRODUCT, RIGHT PLACE, RIGHT TIME,REASONABLE COST
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ACQUISITION LOGISTICS
DEPARTMENT OF DEFENSE
(WPAFB)
SELECTION AND
PROCUREMENT OF
EXISTING ITEMS AND
SERVICES
RESEARCH,
DEVELOPMENT AND
PROCUREMENT OF
MILITARY SYSTEMS
TRANSPORTATION,
WAREHOUSING,
MAINTENANCE, AND
THEIR MANAGEMENT
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ACQUISITION LOGISTICS
SUPPLY CHAINMANAGEMENT
SUPPLY CHAIN MANAGEMENT
RESEARCH,
DEVELOPMENT AND
PROCUREMENT OF
MILITARY SYSTEMS
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Acquisition/SCMObjectives
Objectives of SCM:
- Provide an uninterrupted flow of materials, supplies,services required to operate the organization
- Keep inventory investment and loss at a minimum
- Maintain and improve quality
- Find or develop competent suppliers
- Standardize, where possible, the items bought
- Purchase required items, services at lowest total cost
- Achieve productive working relationships with otherfunctional areas within the organization
- Accomplish purchasing objectives at lowest possiblelevel of administrative costs
- Improve organizations competitive positionSource: Leenders, Michiel R., Fearon, Harold E., Flynn, Anna E., and Johnson, P. Fraser,
Purchasing and Supply Management, 12th edition, McGraw-Hill, Boston, 2002.
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Acquisition/SCMProcesses
Processes for coordinated supplier-to-consumer systems
Identifyingneeds for raw materials, supplies,
components, systems
D
evelopingspecifications, performance requirements Computingquantity requirements
Selectingsources and negotiatingagreements/contracts
Acquiring, transporting, and storinginventory
Managingand maintainingoperations
Managinglogistics
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Acquisition/SCMRegional Needs
Regional work force needs driven by private and public
sector influences
DoD presence at WPAFB
- Requires government employees and supportcontractors
- Specialized knowledge of all facets of acquisition
and logistics
"90 Minute Market" reach of Interstate 70/75 commerce
corridor
- Requires industry specialists
- Expertise in all aspects of supply chain management
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Acquisition/SCMRegional Needs (continued)
Driven by DoD needs, Greater Dayton area has majorconcentration
- Over 6,000 professionals in various areas of SCM
- Both private and public sectors
Other public agencies, private businesses require SCMexpertise
- Procurement, shipping, trucking, order fulfillment,warehousing
Ohio has nations sixth largest civilian workforce in
these professions
- Responsible for procuring goods and services
- Assuring global delivery to the U.S. militarywhenever needed
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Acquisition/SCMRegional Needs (continued)
DoD data indicate 50% of civilian workforce eligible toretire
- Local market need is critical to train and retain SCMprofessionals
Regional economic development associated with I 70/75commerce
- Drives growth in need for industry SCM specialists
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Acquisition/SCMCareer Fields
Specialized area; growing in importance
- Strategic challenges for businesses
- Consumer expectations, industry advancements, globalcompetition
Varied duties may include:
- Acquisition of materials, services and equipment
- Planning and policymaking
- Product development and control
- Contract development and forecasting
- Production planning and scheduling
- Warehousing and distribution
Source: Burt, David N., Dobler, Donald W., and Starling, Stephen L., World Class Supply
Management: The Key to Supply Chain Management, 7th Edition, McGraw-Hill, Boston, 2003.
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DoD Acquisition Career Fields
Auditing
Business, Cost Estimating,and Financial Mgt
Contracting
Facilities Engineering
Industrial/Contract PropertyManagement
Information Technology
Life Cycle Logistics
Production, Quality andManufacturing
Program Management
Purchasing
Systems Planning, Research,Development and
Engineering - Science &Technology Manager
Systems Planning, Research,Development andEngineering - Systems
EngineeringTest and Evaluation
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Acquisition/SCMPrivate Sector Career Fields
Accounts management
Contracts management
Contract negotiation
Cost projection
Distribution
Facilities management
Financial management
Forecasting
Inventory managementLogistics management
Maintenance management
Materials management
Manufacturing management
Operations management
Packaging management
Procurement
Product development
Production management
Production planning
Purchasing
Quality control
Requirements forecastingResearch and development
Supply management
Transportation
Warehousing
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Acquisition/SCMSalary Information - DoD
DoD Acquisition/SCM PositionsStep 1 Step 3 Step 10
Entry Level GS-04 $ 26,170 $ 27,914 $ 34,017GS-05 $ 29,279 $ 31,231 $ 38,062
Progression GS-07 $ 36,269 $ 38,687 $ 47,150GS-09 $ 44,364 $ 47,321 $ 57,672GS-11 $ 53,677 $ 57,256 $ 69,782GS-12 $ 64,335 $ 68,625 $ 83,639
Management/Professional GM-13 $ 76,505 $ 81,606 $ 99,459
GM-14 $ 90,405 $ 96,431 $117,524GM-15 $106,343 $113,432 $138,245
Plus very attractive benefits packages, including health and life insurance, education andtraining, leave, retirement savings plans
Source: www.fedjobs.com/pay/pay 2007 General Schedule Base Pay + Locality
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Acquisition/SCMSalary Information - Private Sector
Acquisition/SCM Professionals
Average Salary Top 20 %
$ 78,470 $100,000 or >
Average Salary Experience
$ 65,389 1- 5 years
$ 67,996 6 - 10 years
$ 77,187 11 - 20 years
$ 95,900 21 + years
Plus very attractive benefits packages, including health and lifeinsurance, education and training, leave, retirement savings plans
Source: Institute for Supply Management Salary Survey, Jan/Feb 2006
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Acquisition/SCM SalaryInfluenced by Education
In general, salary levels increase with educational level
Bachelors degree or higher- Typically higher than overall average- Average - $79,368
Masters degree- 25 % higher than Bachelors- Average - $99,373
All degree holders- Average salaries highest in technical degree fields- Average - $93,977
Source: Institute for Supply Management Salary Survey, Jan/Feb 2006
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Average Salary PurchaserPrivate Sector
Purchasers, 3 or < years experience $ 54,600
Purchasers, BS/BA in Business $ 69,000
Purchasers, BS/BA in Technical Field $ 70,900
Purchasers, CPM Certification $ 80,000
Purchasers, MBA $ 91,900
Source: Purchasing, December 2003
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Acquisition/SCMAverage Salaries - Private Sector
Chief, Purchasing/Supply Management/Sourcing $161,082
VP, Purchasing/Supply Management/Sourcing $158,256
Director, Purchasing/Supply Management/Sourcing $120,401
Manager, Purchasing/Supply Management/Sourcing $ 80,519
Agent, Buyer, Senior Buyer, Planner, Purchaser $ 57,081
Consultant $112,100
Source: Institute for Supply Management Salary Survey, Jan/Feb 2006
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Acquisition/SCM SalaryInfluenced by Certifications
With one or more professional certifications
- Higher average salary $80,758 vs. $76,411
With Certified Purchasing Manager (CPM) certification
- Average salary 10 % higher $83,172 vs. $75,337
Source: Institute for Supply Management Salary Survey, Jan/Feb 2006
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Acquisition/SCM SalaryInfluenced by Location
Location - Average salaries vary by location
- Wash. D.C. area - average $103,036
- North Carolina area - average $93,791
- Illinois area average $93,752
- Other states with average > $80,000
Ohio, California, Connecticut, Georgia, Iowa,Massachusetts, Maryland, New Jersey, New York,
Texas, Virginia
- Other states with average < $60,000Arkansas, Oklahoma, South Carolina.
Source: Institute for Supply Management Salary Survey, Jan/Feb 2006
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Acquisition/SCMSkills Needed
Benchmarking
Contract development
Contract management
Cost/price analysisDistribution
Economic forecasting
Electronic commerce
Inventory control
Logistics
Purchasing
Negotiations
New technology/software
Performance measurements
Relationship managementStrategic alliances
Strategic planning
Supplier evaluation
Team building
Transportation and traffic
Source: www/ism.ws/career center
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Acquisition/SCM Professions -Education Options
Associate:
- Business (general)
- Purchase/Supply Mgt
- Logistics
- Operations Mgt- Technical
Bachelor:
- Business (general)
- Purchase/Supply Mgt
- Supply Chain Mgt
- Logistics- Materials Mgt
- Distribution
- Transportation
- Liberal Arts
- Technical
Graduate Degree:
- MBA
- MS (technical field)
- Logistics
- LawCombination:
- Technical Undergrad
w/ Graduate in Bus
Source: www/ism.ws/career center
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Careers in Acquisition/SCMConclusion
Valuable career opportunities in Acquisition/SCM
Increasing demand in both public and private sectors
Attractive salaries and benefits
Opportunities for continuing career advancement
Wide variety of associated specialty skills areas
Numerous educational options availabl
For more information contact:
Bob Sheehan (937) 512-5161