Introduction

Supply chain management has become a highly sought-after field. This is also a bit of a catch-all term. It can include procurement, transportation, and logistics, strategic sourcing, manufacturing, operations, plant management, and so much more. If your career path falls under this umbrella, then you could be in line for a lucrative promotion. But before you get too far down the path of accepting a job offer, it’s important to know your worth and to determine how to calculate your supply chain management salary. 

The Value of Supply Chain Sectors

If you’re reading this, it means that you’ve chosen a field with lots of growth potential. Consumer-based economies in a global market force supply and demand to the forefront. People will always need to eat and drink, right? That means there will always be a need to get the food and drink to the people. That’s supply chain in a highly distilled format.

The sectors have also become highly disrupted and volatile. Talent shortages have plagued supply chain disciplines for many years and are exacerbated even more by the pending exodus of boomers from the job market into retirement.

So what does this mean for early or mid-career supply chain professionals who are seeking to upgrade their current employment status? It means being thoughtful and intentional. Don’t be hasty. But most of all, know your worth and be willing to advocate for it.

Supply and Demand Impacts Salaries 

It should go without saying that the fewer people working in a sector means there’s a higher demand and value for those who can. The opposite also applies. If you’re looking to become a sales leader in the 3PL industry, you’re likely looking at low base and high yield commissions. But service providers have been taking on a more prominent role in the sector, especially third-party logistics. If that’s your route, go for it. But understand the variables that impact your path and your own worth.

Technology Knowledge Increases Value

Are you familiar with generative AI procurement methods? If you’re not, your salary requirements might take a hit. 

Can you develop and build a GEN AI sourcing agent? Your highly paid competitors can.

[This is the part in the article when we encourage you to step back and take some time to evaluate your current positions and determine if making a jump is the best idea for you. If you think it is, continue reading.]

Machine learning, automation, robotics, and now artificial intelligence have become some of the greatest disruptors of the supply chain talent landscape. Early adopters have been well paid and continue to drive the competitive windows. However, the US as a whole lags behind nations like China in terms of widespread adoption and public investment into these platforms.

What does that mean for you? It means you need to get some tech chops if you wanna make bank! That’s what it means.

Quantify Your Soft Skills

With all this technological brouhaha and AI everywhere creating distractions, everyday soft skills can be easily overlooked. But employers are finding that too many of their new hires have fancy tech chops but can’t communicate to save their hides. What good is solving the problem if you can’t communicate that it’s been solved?

Moreover, leadership skills is developed by engaging with disparate audiences and cohorts with the ability to synthesize and distill what you have learned in these settings. Yes, tech knowledge, analytics, and high-level ai knowledge is also a must. But someone needs to make sense of all the data and be able to interpret it and do the “why” and “so what” of it all. This is how leaders are made.

• Can you quantify your soft skills?
  Can you demonstrate critical thinking and problem-solving ability?
• Are you willing to immerse yourself in a different culture in a developing market to cultivate supplier relationships?
• Do you pursue knowledge of geopolitical machinations and look to determine future maneuvers and resultant impacts on you and your teams? 

These are all necessary questions you should be asking yourself if you want to accelerate your promotion track within the supply chain and work to be a more highly paid asset.

Salary Calculators

Let’s get the obvious stuff out of the way first. Your supply chain management salary for a new position should be at or more than what you’re currently making. Why would you take a new job for less money? Let that be your starting point.

Now get to work on due diligence. Hit up the job boards, LinkedIn, and job postings at analogous companies. You should be able to find what employers are offering for similar jobs as yours.

Supply chain associations like the Association for Supply Chain Management (ASCM) and the Chartered Institute of Procurement and Supply (CIPS) have online salary calculators that can help you come up with some ballpark figures.

Conclusion

Know your worth.

Research your position.

Don’t make hasty moves.

Quantify your soft skills.

Upskill your tech chops.

That’s how you do it. Salary growth isn’t just about years of experience in supply chain. It’s also about relevance, adaptability, and impact. The professionals that garner the highest compensation are those who can blend technical proficiency with leadership, communication skills, and critical thinking. Whether you’re taking advantage of generative ai in sourcing and procurement, improving supplier relationships across borders, or sharpening your ability to influence and inspire teams, your value is directly tied to your ability to drive results in a disrupted market.

You have to be your own advocate. Go to bat for yourself with the confidence of your knowledge and experience. Bringing hard skills and human skills to the table can get you a nice payday. Just be sure to do your homework first.

Additional Resources for Your Job Search:

• • Intentional Reflection and Strategic Career Moves
  • Map Your Supply Chain Career Path
  • Avoid the Regrettable Career Move

Need help hiring Supply Chain Leaders?

Connect with our recruiting team here at SCM Talent Group to elevate your team’s potential and secure the supply chain leadership talent your organization needs for future success!