Human Factor. Supply Chain Management Competencies: Make or Buy?

Transcription

1 Human Factor Supply Chain Management Competencies: Make or Buy? Director of Contracts, Procurement and Support Services, Ret. Texas Juvenile Justice Department

2 Supply Chain Management Competencies: Make or Buy? CSCP, CIRM, CISA, CQA, CSTE, CTPM, CTCM

3 Objectives Identify SCM competencies in greatest demand; Recognize the level of proficiency required; and Learn how to develop those competencies.

4 Competencies in Demand

5 2011 APICS The Association for Operations Management APICS SCM Competency Model

6 2008 Industry Survey Critical Skills Priorities: Now and in 2010 Critical Skills Priorities: Now and in 2010 Critical Skills Priorities: Now and in 2010 Critical Skills Priorities: Now and in AMR Research, Inc. Page AMR Research, 6 Inc. Page 17

7 2008 Industry Survey Skills Available from the Current Talent Pool Skills Available from the Current Talent Pool Critical Skills Priorities: Now and in 2010 Critical Skills Priorities: Now and in AMR Research, Inc. Page AMR Research, Inc. Page 18

8 Level of Competency Desired 2008 Industry Survey Level of Competency Desired Critical Skills Priorities: Now and in 2010 Critical Skills Priorities: Now and in AMR Research, Inc. Page AMR Research, Inc. Page 19

9 Competencies in Demand Customer Relationship Management. Supplier Relationship Management. Business ethics, legal requirements vs. trust. Business planning. Production planning process. Strategic collaboration and partnerships. Sales & Operations Planning S&OP. Material management. Joint training and development with suppliers and customers. SC information technology.

10 Leadership vs. Skill Competencies Leadership Competencies Vision Problem solving Decision making Strategic thinking Collaboration/team building Innovation/creativity Business acumen Technical competency Trust Skill Competencies Technology Enablement Strategy and Change Management Source Customer Management Governance Plan New Product Deliver Performance Measurement and Analytics Make Post Sales Support

11 Simplest and Fastest Method Hire well! But don t raid your SC partners or weaken the SC by stealing talent from those you depend on. 11

12 Certification Programs Competency APICS ISM CSCMP Vision Problem solving Decision making Strategic thinking Collaboration/team building Innovation/creativity Business acumen Technical competency Trust Education Experience

13 Balance Education with Learning & Doing Shadow Plan Do Education: Basic and Continuing 24 Months 13

14 Career Path Supply Chain Network design Transportation Optimization Supply Chain Analytics Inventory location planning with predictive analytics Supplier risk analysis

15 UT Austin Business Analytics Program One year program. Full-time engagement. Structured to have graduates analyze data and tell a story with analytical results. Not designed to produce decisions. Domestic and international students. Highly competitive. In-state tuition: $32,000. Out-of-state tuition: $38,000.

16 Development Process Education: Fundamental level of relevant education and knowledge requirement for consideration. Shadowing: Follow, attend meetings, ask questions, read but stay out of the way. Planning: Engage in planning processes for various phases of SC development and operation. Doing: Engage in SC operations; carry plans into operation. Critique: Evaluate every aspect of performance. 16

17 Timeframe for Developing Competencies Normal: 5 8 years. 1-2 years experience in three different SC related jobs. Appropriate project work. Intern Program: 6 12 months. 6 weeks 3 months in various locations or functions. Watch and learn assignments. Make-work reports. Fast-track: months. Specific projects. Executive critique. Transition from shadowing to planning to doing SC management. Avoid boss pet syndrome! 17

18 Requirements Capable, qualified development candidates. Executive leaders, not trainers or professors. Visionaries. Innovators/creators. Practical coalition builders. Strategic thinkers. Risk-takers who know when to take risks & when to walk away. Clear thinkers who make good decisions. Variety of learning exposures. More exposure in a compressed timeframe. Experiences. Critiques. Partners. Situations. Results. 18

19 Development Experiences: Shadow Exposure to strategic and operating plans, strategies and budgets; and the logic behind them relative to markets, product/service lines, SC, finances, and partners. Critical discussions of factors considered in development of plans and response commitments for SC members and customers. Recognition of risk and reward associated with factors and risk management strategies. Development and balancing of S&OP and capital plans. Practical experience applying new knowledge before fade-out sets in. 19

20 Development Experiences: Shadow Exposure to market research and multiple interpretations of the data. Marketing: Regional, global, media, pitfalls, channels. Finance: Budgets; exchange, interest and tax rates; fees and tariffs; cash flow; ROI. Production: Domestic, global, outsourced, virtual, supply and demand matching. Supply Chain: Import/export, inventories, distribution processes and infrastructure, materials and information flow. Suppliers: Commodity, strategic, outsourced. Understand the impact of critical market analysis factors on plans and resource commitments. Understand interrelationships of data, data sources, quantitative vs. qualitative analysis. 20

21 Development Experiences: Plan Involvement in strategic planning process with customers and SC partners. Logistics: Cost, inventory, schedules, contracts. Order fulfillment process: End-to-end, cash-to-cash processes for the whole SC. Back-office operations: Information flow, streamlining. Technology applications: Implement/integrate/share systems. Cost & benefit sharing: Price structure, payment terms, ROI. Joint risk-taking: Risk analysis, acceptable/unacceptable risks. Joint problem solving: Lean Six Sigma projects, cross-silo projects, channel master leadership. Collaboration/team building across organizations: Joint planning and training, product/service development. Process integration across silos: Systems, processes, organizations, staff. 21

22 Development Experiences: Plan Draft change management plans: Draft plans to implement SC strategies, changes, and emergency response plans. Strategic partnerships: Structure, content. Automation: Processes, systems, standards. Structural changes: Organizations, budgets, outsourcing. New products/services: Bundles, mixed bundles, new development, new markets. Mergers and acquisitions: Background research, integration planning, restructures. Emergency and risk management plans: Disaster response. Participate in implementation projects to track, adjust and execute plants. 22

23 Development Experiences: Plan Draft contingency plans for potential changes/problems relative to fundamental assumptions in plans and contracts. Analyze research, forecast, SWOT, existing plans and budgets to identify potential problems. Draft corrective, preventive and predictive plans. Draft contingency plans with trigger points. Propose proactive plans to repurpose resources, redirect resources or allocate new resources across silos and organizations. 23

24 Development Experiences: Plan Create a shadow planning process with junior staff with a critique by senior staff over a month period. Given the vision, mission and operating results, conduct research, develop assumptions, create strategic plan and resource commitment plan for SC to support strategic and operating plans. Senior executives critique process, participation and results. Track and evaluate accuracy of forecasts, reliability of assumptions and results from shadow plans. Critique performance of shadow plan in supporting strategic and operating plans. 24

25 Development Experiences: Do Assign SC problems that cross multiple silos and organizations for analysis and resolution. Provide direct exposure to real problems with clear impacts on operations. Technology compatibility and implementation issues. Cross-silo process flow issues. Personnel and culture issues. Quality issues. Provide direct contact with suppliers and customers. Potentially provide direct contact with regulatory entities. 25

26 Development Experiences: Do Assign SC responsibilities. Manage a silo: Production, distribution, marketing, finance. Manage a supplier relationship: Demand management, schedules, quality, payments, information flow. Manage a customer relationship: Order processing, deliveries, payments, information flow. Manage a cross-silo process: Order fulfillment process, cash flow process, demand management, product/service development. Manage a SC information stream: System interface/integration/sharing, content, timeliness, format. 26

27 Expected Results: SC Leaders Initiate SC performance measures. Initiate efforts to improve SC performance across silos. Initiate product and service upgrades jointly with suppliers and customers. Share benefits and costs with SC partners equitably. Invest resources in commodities. Invest in reverse logistics. Create sustainability.

28 Bibliography University of Texas McCombs School of Business APICS Supply Chain Manager Competency Model USFWS Leadership Competency Model AMR Research