Supply Chain Manager Salary
Average Supply Chain Managers in the United States make around $79K annually. With some bonuses approaching $16K and certain profit sharing proceeds approaching $15K, overall incomes of Supply Chain Managers spread between $49K and $120K depending on individual performance. Compensation for this group is mainly affected by the particular firm, but geography and years of experience are influential factors as well. Most Supply Chain Managers survey respondents are men (71 percent). For the most part, Supply Chain Managers enjoy their work and report high levels of job satisfaction. Medical benefits are awarded to most, and a large number earn dental coverage.
Job Description for Supply Chain Manager
A supply chain manager oversees and coordinates key parts of the franchise supply chain. The three main job responsibilities of a supply chain manager include promoting teamwork between the sales team and customer service team, developing and maintaining policies on general logistics and procedures, and maintaining overall inventory based on demand. A supply chain manager is in direct communication with suppliers and should be able to analyze cost effectiveness of current contracts. They must provide leadership and guidance to a team of store managers within the supply chain.Read More...
Days can have irregular hours, and the job often requires frequent travel to various stores in the supply chain. Work is generally indoors.
Minimum qualifications typically include a four-year degree or higher in a related field such as business administration, logistics, or sales, as well as several years of work experience in business and/or customer service. Supply chain managers must be intimately familiar with the each region they handle. Since this job is heavily dependent on being able to develop interpersonal relationships, strong social skills are a must; a supply chain manager must have both good verbal and written communication skills. Having strong coaching skills is also very helpful for motivating regional and store managers.
Supply Chain Manager Tasks
- Optimize inventory and supply chain activities and documentation for productivity.
- Select, evaluate, and foster collaborative relationships with suppliers.
- Design, implement, and refine production system from materials to product shipment.
- Review employee schedules, tasks, and performance for productivity.
Common Career Paths for Supply Chain Manager
Supply Chain Managers who go on to become VPs of Supply Chain Management may see their salaries climb quite a bit. Median pay for VPs of Supply Chain Management is $164K annually. When Supply Chain Managers are ready for the next step in their careers, they often become Directors of Supply Chain Management or Senior Supply Chain Managers. Those roles pay an additional $41K and $37K, respectively.
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Popular Employer Salaries for Supply Chain Manager
Dominating the field, Apple Computer, Inc, Hewlett-Packard Company, U.S. Air Force (USAF), U.S. Marine Corps, and Lockheed Martin Corp are top firms with a reputation for hiring a great number of Supply Chain Managers. For Supply Chain Managers, comfortable salaries can be found at Apple Computer, Inc; in fact, average earnings are around $131K, the highest in the area, though the difference in the company's lowest and highest employee paychecks ($95K versus $172K) is great. Dow Chemical Co, Northrop Grumman Corporation, and Lam Research Incorporated also offer top salaries for Supply Chain Managers. Workers at these firms can expect to earn about $122K, $121K, and $118K, respectively.
The smallest paychecks in the field are found at U.S. Air Force (USAF), where the median salary is a mere $49K, 165 percent less than the top paying company. Others at the bottom of the scale for this job include U.S. Army at $50K, and U.S. Marine Corps where $58K is the norm, but it is worth noting that some Supply Chain Managers there earn up to $99K.
Popular Skills for Supply Chain Manager
Supply Chain Managers report using a deep pool of skills on the job. Most notably, skills in Strategic Planning, ERP, Project Management, and Supplier Management are correlated to pay that is above average, with boosts between 5 percent and 11 percent. Skills that are correlated to lower pay, on the other hand, include Purchasing, Microsoft Excel, and Inventory Management. It is often found that people who know Inventory Management are also skilled in Forecasting, Logistics, and Data Analysis. Most people skilled in Supply Chain are similarly competent in Logistics.
Pay by Experience Level for Supply Chain Manager
Median of all compensation (including tips, bonus, and overtime) by years of experience.
Experience does not seem to be a strong driver of pay increase in this role. Salaries for the relatively untried average out to around $65K, but survey participants with five to 10 years of experience earn a significantly higher median of $83K. The average pay reported by folks with 10 to 20 years of experience is around $92K. People who have worked for more than 20 years report a median income of $93K, which is barely higher than the median for folks with 10 to 20 years of experience.
Pay Difference by Location
For those looking to make money, Supply Chain Managers in San Jose enjoy an exceptional pay rate, 53 percent above the national average. Supply Chain Managers can also look forward to large paychecks in cities like Minneapolis (+24 percent), Atlanta (+19 percent), Philadelphia (+17 percent), and San Francisco (+14 percent). The smallest paychecks in the market, 9 percent south of the national average, can be found in Phoenix. Employers in Seattle and Houston also lean toward paying below-median salaries (8 percent lower and 5 percent lower, respectively).
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