Written by Marijn Overvest | Reviewed by Sjoerd Goedhart | Fact Checked by Ruud Emonds | Our editorial policy

Supply Chain Manager Definition + Job Description

What is a supply chain manager?

  • A supply chain manager oversees the end-to-end flow of goods, information, and finances across the supply chain.
  • A supply chain manager ensures operations are efficient, cost-effective, and aligned with customer demand.
  • A supply chain manager manages supplier relationships and mitigates risks to keep the supply chain running smoothly.

What is a Supply Chain Manager?

A Supply Chain Manager is a key figure responsible for ensuring that every segment of the production and distribution process within an organization runs smoothly. This role involves planning, coordinating, and overseeing all activities related to the procurement of raw materials, production, storage, and delivery of products to end customers. The role of a Supply Chain Manager is critical as it directly impacts business efficiency, cost reduction, and customer satisfaction.

The Supply Chain Manager directly influences an organization’s profitability and competitive edge. Effective supply chain optimization leads to cost reduction, improved product quality, and higher customer satisfaction. This has driven companies to invest increasingly in modernizing their supply chains by leveraging advanced technologies and data analytics to remain competitive on a global scale.

The responsibilities of a Supply Chain Manager encompass a variety of tasks, including:

  • Planning and Strategy: Developing strategies to optimize inventory, production planning, and managing logistics networks.
  • Process Oversight: Monitoring and analyzing every step of the supply chain to ensure processes are efficient and any issues are promptly addressed.
  • Supplier Management: Maintaining strong relationships with suppliers to ensure the timely delivery of quality raw materials and components.
  • Logistics Coordination: Organizing transportation and storage of products while minimizing costs and delivery times.
  • Risk Management: Identifying potential risks within the supply chain and devising plans to mitigate these challenges
Supply Chain Manager Job Description Template

Job Title: Supply Chain Manager

Location: [Insert location]

Reports to: [Insert name and title of supervisor]

A supply chain manager oversees every stage of the organization’s supply chain process. They monitor how every stage of the supply chain is handled and make sure that it runs as efficiently as possible.

Key Responsibilities: 

  • Create, implement, and oversee the company’s supply chain strategy.
  • Data analysis of shipping and delivery processes to find issues that need to be resolved.
  • Monitor logistics and make sure that it runs as efficiently as possible.
  • Maintain and monitor supply chain inventory and records.
  • Recruit, train, and guide supply chain employees.
  • Find cost-effective and efficient solutions for supply chain processes.
  • Resolve any issues that come up during supply chain processes.
  • Coordinate and collaborate with other departments to create plans that can help grow the organization.
  • Create and implement safety guidelines in every aspect of the supply chain.
  • Ensure that for every aspect of the supply chain, legal requirements and standards are met.
  • Communicate and negotiate with suppliers and vendors to find the best deals.

KPIs for this role

  • Cash to Cash Cycle Time: Average amount of time to convert resources into cash flows.
  • Perfect Order Rate: The rate at which orders are delivered without any delays or errors.
  • Fill Rate: The percentage of orders that are completed successfully within the first shipment.
  • Customer Order Cycle Time: Average amount of time between when the customer orders and when the product or service is delivered.
  • Inventory Days of Supply: Average amount of time that the organization holds inventory before it’s shipped out.
  • Inventory Turnover: Inventory maintenance and how long stock is held before it’s replenished.
  • On-Time Delivery: Ability to deliver on time and without any delays.
  • On-Time Shipment: Percentage of orders shipped on time.
  • Supply Chain Costs: Costs related to the supply chain and how much of the budget is saved or wasted due to supply chain management.

Key Skills and Qualifications: 

  • Associate’s or Bachelor’s Degree in Supply Chain Management, Logistics, or a similar field.
  • At least 3 years of experience as a supply chain manager or in a similar position.
  • A good working knowledge of supply chain processes.
  • Working experience with relevant software and willingness to learn new software if needed.
  • Excellent communication skills.
  • Excellent organizational and project management skills.
  • Attention to detail.
  • Creativity in problem-solving.
  • A strategic and analytical mind.
Supply Chain Manager Detailed Responsibilities & Tasks
  • Create, implement, and oversee the company’s supply chain strategy.
  • Data analysis of shipping and delivery processes to find issues that need to be resolved.
  • Monitor logistics and make sure that it runs as efficiently as possible.
  • Maintain and monitor supply chain inventory and records.
  • Recruit, train, and guide supply chain employees.
  • Find cost-effective and efficient solutions for supply chain processes.
  • Resolve any issues that come up during supply chain processes.
  • Coordinate and collaborate with other departments to create plans that can help grow the organization.
  • Create and implement safety guidelines in every aspect of the supply chain.
  • Ensure that for every aspect of the supply chain, legal requirements and standards are met.
  • Communicate and negotiate with suppliers and vendors to find the best deals.
Supply Chain Manager Detailed Skills Description
  • Risk management: Seeing possible internal and external risks and knowing how to avoid or minimize them.
  • Decision making: Well-thought-out decision-making even during high-pressure situations.
  • Negotiation: Ability to gain the maximum amount of benefits or advantages while getting quality service or products from a deal.
  • Time Management: Enhance operational efficiency.
  • Accounting skills: management of finance and knowing how to make data-driven decisions due to financial analysis of supply chain operations.
  • Data analysis: Analyzing the available data to make informed supply chain decisions and move forward with the most advantage.
  • Communication: Ability to effectively exchange meaningful information with others.
  • Budget management: Knowing how to handle the supply chain budget and use it to yield the most efficient and cost-effective results.
  • Project management: Managing various projects while knowing how to prioritize them by importance and urgency, and executing them all on time.
Supply Chain Manager KPIs for this role
  • Cash to Cash Cycle Time: Average amount of time to convert resources into cash flows.
  • Perfect Order Rate: The rate at which orders are delivered without any delays or errors.
  • Fill Rate: The percentage of orders that are completed successfully within the first shipment.
  • Customer Order Cycle Time: Average amount of time between when the customer orders and when the product or service is delivered.
  • Inventory Days of Supply: Average amount of time that the organization holds inventory before it’s shipped out.
  • Inventory Turnover: Inventory maintenance and how long stock is held before it’s replenished.
  • On-Time Delivery: Ability to deliver on time and without any delays.
  • On-Time Shipment: Percentage of orders shipped on time.
  • Supply Chain Costs: Costs related to the supply chain and how much of the budget is saved or wasted due to supply chain management.

Salary of a Supply Chain Manager 

According to data from Glassdoor, the average annual salary for a Supply Chain Manager is around USD 100,000, with figures ranging from approximately USD 70,000 to USD 150,000. These variations reflect differences in market conditions and specific organizational requirements.

On the other hand, Salary.com provides a detailed analysis indicating that the average salary for a Supply Chain Manager might be slightly higher, averaging around USD 120,000 per year. 

In addition to the base salary, the total compensation package often includes bonuses, profit sharing, and other benefits, which contribute to a more comprehensive financial package for professionals in this role.

The salary for this position can vary widely depending on several factors, including geographic location, company size and type, as well as the candidate’s experience and qualifications.

Several key factors influence the salary of a Supply Chain Manager:

  • Experience and Education: Professionals with extensive experience, advanced degrees, or specialized certifications often command higher salaries.
  • Company Size: Larger, multinational companies tend to offer more competitive compensation packages that include bonuses and additional benefits.
  • Geographical Location: Salaries can vary significantly by region or country, with higher figures typically found in areas with a higher cost of living.
  • Industry Sector: Different sectors, such as manufacturing, retail, or logistics, may have distinct pay structures based on market demands.

How to Become a Supply Chain Manager

Becoming a supply chain manager is a dynamic process that combines formal education, the development of key skills, practical experience, continuous education, and networking.

This path allows individuals to acquire a solid foundation in logistics, operations, and management, while simultaneously preparing them for the challenges of a rapidly changing business environment.

The following steps describe the pathway to a successful career as a supply chain manager.

Supply Chain Manager - [no title]

Step 1: Obtain the Relevant Education

The journey begins with securing a solid educational foundation. Aspiring supply chain managers typically pursue a bachelor’s degree in business, logistics, supply chain management, engineering, or a related field.

This formal education provides essential knowledge in areas such as logistics, operations, finance, and management. Additionally, online courses and certifications—like those offered on platforms such as Coursera—can complement traditional degree programs, keeping your skills current and relevant in a rapidly evolving industry.

Step 2: Develop Key Skills and Competencies

After obtaining the necessary education, the next step is to develop a robust mix of technical and soft skills. A deep understanding of logistics, inventory management, procurement, and data analysis is crucial. This includes becoming proficient with digital technologies and enterprise resource planning (ERP) systems.

In addition to technical expertise, analytical and problem-solving skills are vital for identifying trends and making data-driven decisions, while strong communication and leadership abilities ensure effective collaboration with teams, suppliers, and stakeholders.

Step 3: Gain Practical Experience

Practical experience is key to progressing in your career. Many professionals begin their careers in entry-level roles within logistics, procurement, or operations, which provide firsthand exposure to the day-to-day challenges of managing supply chains.

Internships and co-op programs offer additional opportunities to build relevant experience and expand your professional network. As you advance, taking on responsibilities such as managing small projects or leading teams prepares you for higher managerial roles.

Step 4: Pursue Advanced Certifications and Continuous Learning

While gaining experience, it’s important to enhance your credentials through advanced certifications and ongoing education. Professional certifications, such as the APICS Certified in Production and Inventory Management (CPIM) or Certified Supply Chain Professional (CSCP), are highly valued in the industry and signal your expertise.

For those aspiring to move into senior management, pursuing an advanced degree or an MBA with a focus on supply chain or operations management can provide a competitive edge. Continuous learning through workshops, seminars, and additional courses ensures that you stay abreast of emerging trends and technologies.

Step 5: Build a Professional Network

Lastly, developing a strong professional network is essential for long-term success. Attending industry events, such as conferences, trade shows, and meet-ups, offers valuable opportunities to connect with other professionals and leaders in the field.

Membership in professional organizations—like the Institute for Supply Management (ISM)—can provide access to resources, mentorship, and job opportunities. Engaging with online communities and social media groups dedicated to supply chain management further enriches your network and keeps you informed about industry developments.

How to Find a Supply Chain Manager Job?

Finding a job as a Supply Chain Manager can be both exciting and challenging. The market is competitive, but with the right strategy and the use of effective job search platforms, you can increase your chances of landing your ideal role. Below are several strategies and resources to help guide your job search.

Key Strategies for a Successful Job Search

  • Networking: Establish and maintain professional relationships by attending industry events, joining professional associations, and connecting on platforms like LinkedIn. Networking is crucial in the supply chain industry, where personal recommendations often lead to opportunities.
  • Tailored Resume and Cover Letter: Customize your application documents to highlight relevant experience, certifications, and skills. This tailored approach can make a significant difference in how employers perceive your application.
  • Continuous Learning: Stay updated with the latest industry trends, technologies, and best practices. Advanced courses and certifications can enhance your profile and make you a more attractive candidate.

Where to Search for Supply Chain Manager Jobs

Utilize various online resources to broaden your job search. Here are some highly recommended platforms:

  • Argentus: This site offers a detailed guide with “10 Ways to Successfully Find a Supply Chain Job,” providing useful tips and actionable advice tailored specifically for supply chain professionals.
  • Indeed: One of the largest job boards globally, Indeed provides numerous listings for Supply Chain Manager roles. You can filter jobs by location, salary, and other criteria to find the most relevant opportunities.
  • LinkedIn: A powerful networking tool and job board, LinkedIn not only lists job openings but also allows you to connect with recruiters and industry leaders. LinkedIn’s Talent Solutions also provides insights and guides on how to effectively position yourself in the market.

Difference between a Supply Chain Manager and a Logistics Manager

In modern business, effective supply chain and logistics management is essential for a company’s competitiveness and sustainability. Although the terms Supply Chain Manager and Logistics Manager are often used interchangeably, they have different roles, responsibilities, and strategic aspects. 

The table below will show the differences in detail to fully grasp the importance and contribution of both titles in an organization.

Aspect
Definition & Scope
Approach
Key Competencies
Role in the Organization
Synergy
Supply Chain Manager
Responsible for the entire supply chain – from raw material procurement, production, and storage to distribution and final delivery to the customer.
Takes a strategic approach by overseeing long-term planning and optimization of all supply chain segments.
Systemic thinking, strategic planning, analytical skills, and interpersonal abilities for collaborating with various departments and external partners.
Defines the supply chain strategy and establishes integration among different functions and partners, enabling comprehensive process optimization and cost reduction.
Provides a broad perspective on business operations through strategic planning that connects all functions, ensuring competitive advantage.
Logistics Manager
Focused on transportation, storage, and distribution processes, ensuring the efficient movement of goods within the organization and to the end user.
Employs an operational approach, concentrating on day-to-day monitoring, organization, and problem-solving in logistics operations.
Operational precision, strong organizational skills, quick problem-solving in operational challenges, and technical knowledge of modern IT systems for tracking logistics.
Implements strategies through daily operations, ensuring that goods and materials are moved efficiently and on time, directly impacting operational efficiency.
Focuses on precise execution of operational tasks, thereby supporting and realizing the broader strategy set by the Supply Chain Manager.

Conclusion

In today’s dynamic business environment, the role of a Supply Chain Manager is increasingly vital. Their ability to integrate diverse segments—from procurement, production, and warehousing to distribution—allows companies to achieve a competitive edge through optimized processes and reduced costs. 

By implementing strategic planning and innovative solutions, a Supply Chain Manager not only enhances operational efficiency but also lays the foundation for long-term growth and adaptability in the face of market changes. 

This blend of strategic vision and operational precision makes the Supply Chain Manager a key figure in securing sustainable business success and ensuring the company’s readiness to navigate the challenges of the global market.

Now that you’ve finished reading the article, we want to let you know that we’ve turned everything you need to learn about becoming a supply chain manager into a free downloadable PDF.

Frequentlyasked questions

What is a Supply Chain Manager?

A Supply Chain Manager is a professional who oversees the end-to-end flow of goods, information, and finances within a supply chain—from sourcing raw materials to delivering finished products to customers.

What are the key responsibilities of a Supply Chain Manager?

Their responsibilities include developing and implementing strategies, monitoring supply chain processes, managing supplier relationships, coordinating logistics, and identifying and mitigating risks.

What skills are essential for a Supply Chain Manager?

Essential skills include analytical thinking, strong organizational abilities, effective negotiation skills, technological proficiency, and clear, efficient communication.

About the author

My name is Marijn Overvest, I’m the founder of Procurement Tactics. I have a deep passion for procurement, and I’ve upskilled over 200 procurement teams from all over the world. When I’m not working, I love running and cycling.

Marijn Overvest Procurement Tactics