With the surge of investments pouring in from the West has made Asia, the growing economic powerhouse and organisations in the region are looking forward to expand their business. However, with the expansion plans signalled comes the calling for global talent and skill shortage, which has made it difficult for most industries to thrive in a competitive era. Logistics industry is not spared of the impact either.
Singapore has been ranked by World Bank as the No.1 Logistics Hub in Asia in the 2014 Logistics Performance Index. Being strategically located in the heart of South East Asia at the nexus of well-connected 200 shipping lines to 600 ports in 123 countries has made it the most important logistics hub in Asia for world trade.
According to EDB, “Singapore offers a base of home-grown talent, including more than 8,500 graduates in science and engineering annually, as well as graduates of specialised SCM courses. Singapore’s high quality of life additionally, draws global and regional talent who can further enhance Singapore’s vibrant logistics/SCM sector. As such, there is a surge in demand for PMETs (Professionals, Managers, Executives and Technicians) in the supply chain and logistics sector.
Professionals looking for jobs in supply chain and logistics need to be abreast of the technological advancements and timely upgrade their skills to meet the industry expectations of evolving supply chain models.
Besides great perks and benefits, the industry has a lot to offer to those professionals, who are keen on seeking a long-time fulfilling career in supply chain management.
Culling through sources and industry predictions for the supply chain and logistic industry in Asia Pacific and specific to the Singaporean workforce, here are salary trends that professionals can look up to in the year ahead:
Logistics/Warehouse Professionals: Salaries for professionals into logistics and warehouse operations with less than 5 years of experience could range between SGD1,800 to SGD3,000 per month and for logistic/ supply chain managers depending on their experience and skills it could increase upto SGD 8,000 per month.
Those into warehouse supervision, transportation and warehouse management could expect salaries between SGD2,500 to SGD8,000 per month.
Operations and Management: A junior associate and middle-management executive into operations could earn between SGD1,800 to SGD 5,000 per month. However, those into senior roles as operations head and manager could earn anywhere between SGD6,000 to SGD10,000 per month.
Procurement/ Purchasing: Professionals into procurement with 2-5 years of experience will earn SGD2,000 to SGD4,500 per month. However those with more than 5 years of experience would have earning potential of SGD6,500 to SGD9,000 per month.
Managers and senior heads into procurement and purchasing with more than 10 years of experience under their belt, would earn minimum of SGD8,000 per month, depending on their skills to increase up to SGD12,000 per month.
Supply Chain Management: Executives handling supply chain with less than 5 years of experience could earn anywhere between SGD2,500 to SGD4,000 per month. However, those with additional skill set and approximate 8 years of experience into middle-management and supervisory roles would have a monthly earning potential of SGD5,000 to SGD8,000 per month.
Supply chain managers with more than 8 years of experience can earn up to SGD14,000 per month.
Planners: Planners into logistics and supply chain with less than 5 years of experience will be earning SGD2,500 to SGD4,500 per month. However, those with industry-specific technical skills, significant knowledge and experience could earn potentially high than the predictions sighted.
Quality Control/Analysis: Professionals into quality control and management, those into the executive level can expect salary between SGD3,500 per month to SGD7,000 per month. However, those into director levels with more than 10 to 15 years of experience will have an earning potential of up to SGD 250k annually.
Customer Service: Professionals handling customer service functions in the supply chain with less than 5 years of experience could earn SGD2,800 per month; however those into specialist job roles of managing a team with significant years of experience, more than 5 years to be precise can command worth of SGD4,000 to SGD7,000 per month.
Irrespective of the department you specialise in, supply chain professionals into directorial levels will be earning anywhere between SGD18,000 to SGD25,000 per month, depending on their skills, experience and value-addition to the business.
Putting Things in Perspective
In the year ahead and going into 2017, more supply chain and procurement functions would experience consolidation and restructuring. Candidates into project management in supply chain would be seeing a steady stream of opportunities in 2016-17.
In a candidate-short market, professionals with industry-relevant qualifications such as CSCP (supply chain), CPIM and CPIS (procurement) will be most sought-after by companies. Since these logistic and supply chain majors are willing to offer a pay rise, they would like to hire best talent with industry knowledge, relevant qualifications and experience.
While locals are generally preferred into junior and mid-career level positions owing to government employment guidelines, but the demand for international talent with global experience continues to be the hiring trend in senior management and directorial job roles.
Kenneth Koo, associate director of supply chain and logistics at Spring Professional (Singapore), told Channel News Asia that, “There will be a huge demand for creative new supply chain talents and potential fierce competition for these people and obviously … (it will be) potentially more expensive than anticipated to hire these people.”
This indicates that the future trend in the supply chain and logistics industry would be leaning towards staff movement out of third-party logistics service providers into in-house logistic team of companies.
Overall salary increases for supply chain professionals in Singapore will be in the range of 10% to 20%. Demand of skilled supply chain and logistics workers is expected to increase by 15%-20% in the next two years.
next read: Top 5 Logistics Skills in Demand in Singapore