What is Supply Chain Management, exactly?

Career Opportunities & Internships
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<p>Okay I know what its definition is, but what I want to know is how it ties with the company. Specifically, I want to know this: </p>

<p>Is SCM a true corporate job (sitting in his office with coffee in front of his computer doing analytical work) or is it just hyped up manual labor? </p>

<p>In Finance, your job is centered around money (where it comes from and where it flows). Your job setting is Wall Street; you work in a big office building; you wear nice suits; you meet rich clients in 5-star restaurants. THAT is business. Finance is usually what comes to mind when people think of "business."</p>

<p>But in SCM, you'll probably be in a factory or plant most of the time (Not always). Your job is centered around production and managing labor forces with possibly a union breathing down your neck. Not to mention, with US companies outsourcing their factories to 3rd world countries, you'll probably be there. And if you happen to be in the US, it'll probably in a very broken-down area that's almost a ghost town. At SCM you're in the back of the office producing stuff while Marketing, Finance, and other departments reap all the glory. </p>

<p>I originally dual-enrolled in a MS Supply Chain Management program because of all the news articles I've read about how it's going to become the "next big thing." But, right now that's just hype. In my school, I've met practically no people studying SCM but you'll always find a finance major. After noticing that, I've concluded that finance is far superior to SCM; the numbers speak for themselves. Maybe no one's studying SCM because it's just a terrible career path? Banks will always need several finance people, and so will many industries. But SC people? Maybe only a few. There's far fewer SC positions compared to other areas, so the opportunities are slim. I originally thought it was because people couldn't get the image of how "sexy" finance is out of their heads, but it doesn't take a genius to know that there's a reason why finance is so "sexy." </p>

<p>In addition to all that, over 80% of all students enrolled in the MS SCM program I'm in are int'l students from China. And these are straight up off-the-boat Chinese who don't speak English well. No US company is going hire someone from a program composed of so many Chinese students, especially given how bad US-China relations are.</p>

<p>And that concludes my rant. Sorry if I'm being to harsh but that was my point. I want to fully express my thoughts, and now I want to hear from others. And yes, please be harsh as well, because I want the full truth. If you think I'm wrong, tell me everything. Yes I've asked this before, but still never got a very clear answer. So far everyone who's told me something obviously has some kind of bias in the matter. No I'm not going to drop the SCM program now because I'm still not completely certain yet. </p>

<p>And please no "get an internship" answers. I'm going to get any internship if I'm still this uncertain.</p>

<p>Much of this is from my own experience, but also some from my mom. She works in production (not exactly like SCM though) at a biotech company, so she claims to be a know-it-all in SCM, even though it's not really SCM. Obviously, she warned me about SCM and think I should not pursue this at all, because at her company, they need only 1 (if any at all) per office and it doesn't pay well as banking. She only makes like 50-60k herself. So she's always saying I should go for finance because it's only "true" business job. While I want to disagree, I don't have firm evidence, whereas she actually has experience. Plus, it's not like I'm completed restricted from finance; I know finance too and can take on banking jobs.</p>

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<p>I am in SCM and my son is in SCM. He graduated about a year ago and is now employed by a major aerospace company. Many of his classmates in SCM got very good offers after graduation. It is just like any other profession, it is good to some but not to others. It is definitely a profession with future just like many others.</p>

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<p>Let’s break this down by paragraph:</p>

<hr>

<h2>“In Finance, your job is centered around money (where it comes from and where it flows). Your job setting is Wall Street; you work in a big office building; you wear nice suits; you meet rich clients in 5-star restaurants. THAT is business. Finance is usually what comes to mind when people think of “business.””</h2>

<p>You have a very glorified image of investment banking. Most people that work in “finance” don’t work on Wall Street, for one thing. Those that do work 100 hour weeks and sleep under their desks. Hardly flying around the world in first class with CEOs. Who cares what people think about what “business” is and isn’t? People say the same crap about lawyers, and that’s obviously not the case.</p>

<p>[No</a>, You Can’t Have It All: Why Finance Does Not Guarantee You $10 Million and Your Own Beach in Thailand | M&I](<a href=“http://www.mergersandinquisitions.com/finance-investment-banking-jobs-tradeoffs/]No”>http://www.mergersandinquisitions.com/finance-investment-banking-jobs-tradeoffs/)
[Investment</a> Banking Analyst: What You Do Day To Day](<a href=“http://www.mergersandinquisitions.com/investment-banking-analyst-life-worst-day/]Investment”>Investment Banking Analyst Job Description, Hours & Salary)</p>

<hr>

<h2>“But in SCM, you’ll probably be in a factory or plant most of the time (Not always). Your job is centered around production and managing labor forces with possibly a union breathing down your neck. Not to mention, with US companies outsourcing their factories to 3rd world countries, you’ll probably be there. And if you happen to be in the US, it’ll probably in a very broken-down area that’s almost a ghost town. At SCM you’re in the back of the office producing stuff while Marketing, Finance, and other departments reap all the glory.”</h2>

<p>Don’t know where you’re coming from with this. Sure, there are SCM jobs in factories and warehouses, kind of like how there are engineers working in factories. Part of the reason why SCM is growing is because of the outsourcing of production. Not sure what you mean by “broken-down” areas. There are also a lot of SCM jobs at corporate HQ’s, which tend to be in big cities. Nearly every director level position and up will also be in an office setting.</p>

<p>The whole “back office”/“front office” thing is really only a high finance distinction. Operations in a bank is not equivalent to operations in firm that produces physical goods. Please enlighten me about all of the other departments that “reap all the glory”.</p>

<hr>

<h2>“I’ve met practically no people studying SCM but you’ll always find a finance major. After noticing that, I’ve concluded that finance is far superior to SCM; the numbers speak for themselves. Maybe no one’s studying SCM because it’s just a terrible career path? Banks will always need several finance people, and so will many industries. But SC people? Maybe only a few. There’s far fewer SC positions compared to other areas, so the opportunities are slim. I originally thought it was because people couldn’t get the image of how “sexy” finance is out of their heads, but it doesn’t take a genius to know that there’s a reason why finance is so “sexy.””</h2>

<p>The number of people studying certain majors depends on the school. For example, one school that is particularly strong at SCM has a split of graduates of:</p>

<p>Accounting: 119
Finance: 195
Marketing: 99
SCM: 153</p>

<p>Your experience of not knowing any SCM majors is purely anecdotal. </p>

<p>By your logic, I could say: I don’t know anyone majoring in Computer Science. Therefore, Computer Science is a bad major, and there are no jobs. See how ridiculous that sounds?</p>

<p>Also, your image of Finance being “sexy” is really just the popular opinion of investment banking, which, as I showed above, is wrong. Most people that work in Finance work in Corporate Finance, which doesn’t pay any more than SCM does.</p>

<hr>

<h2>“In addition to all that, over 80% of all students enrolled in the MS SCM program I’m in are int’l students from China. And these are straight up off-the-boat Chinese who don’t speak English well. No US company is going hire someone from a program composed of so many Chinese students, especially given how bad US-China relations are.”</h2>

<p>This is patently false. As an example, I know that the UMich MSCM program is made up mostly Chinese students, but most of them found jobs, with a median salary of $97,000.</p>

<p>[Employment</a> Data - Stephen M. Ross School of Business](<a href=“Which MBA Format is Right for Me? | Michigan Ross”>Which MBA Format is Right for Me? | Michigan Ross)</p>

<h2>Also, If you’re an American enrolled in a MSCM program, how does having Chinese students impact YOUR job prospects at all?</h2>

<h2>“Much of this is from my own experience, but also some from my mom. She works in production (not exactly like SCM though) at a biotech company, so she claims to be a know-it-all in SCM, even though it’s not really SCM. Obviously, she warned me about SCM and think I should not pursue this at all, because at her company, they need only 1 (if any at all) per office and it doesn’t pay well as banking. She only makes like 50-60k herself. So she’s always saying I should go for finance because it’s only “true” business job. While I want to disagree, I don’t have firm evidence, whereas she actually has experience. Plus, it’s not like I’m completed restricted from finance; I know finance too and can take on banking jobs.”</h2>

<p>Let me get this straight. Your mom doesn’t work in SCM, but claims to know a lot about SCM?
The average STARTING salary for SCM majors with BACHELOR’S degrees is the same as what your mom makes. Sounds like she is just bitter that she makes less than 21 year olds.</p>

<p>You’ve made threads about this before. It really sounds like your trying to rationalize your decision to go into finance, you want to come up with reasons for why finance is so superior to SCM. That’s fine, even if you do get a banking job (unlikely), you’ll probably flame out into a corporate finance gig making less than the supply chain people.</p>

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<p>Ghost73, solid post. The OP’s initial post was so full of crap that I didn’t feel like responding - you did it quite well and thoroughly.</p>

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<p>Thanks, that’s exactly what I’m looking for. Deep down, I knew it was mostly crap but nowadays, hardly anything is what you’d think. I purposely posted this hoping someone, like you, would be angry enough and make a strong counter-argument to prove me wrong. The time I never got a thorough answer.</p>

<p>Also, wow. 97,000 starting salary? That’s mighty impressive considering a MSCM is NOT an MBA, so you’d be starting off in the same position as people with just a BS. A 97,000 salary is usually only seen by MBAs.</p>

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<p>Not angry. I just don’t like when people (not criticizing you, personally) say stuff like what’s in the OP, and then other people reading the thread get bad information (This thread has 143 views as of me posting this).</p>

<p>That 97,000 figure is also just for the median for international students. The range of salaries for domestic graduates was from 80,000 - 138,000. Students at Arizona State’s MBA program specializing in SCM/Operations also had an average starting salary of 97,000.</p>

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<p>Well I’m glad you said what you said because it’s nice to finally to get a truly honest opinion.</p>

<p>Also, when I say “finance” I really mean investment banking. I’m aware that corporate finance isn’t the glorious type of job I’m referring to. Then again, if you’re planning on finance, investment banking (or even commercial banking) is probably the best way to go.</p>

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<p>one would hope that a high starting salary would come from being in UM’s supply chain grad program. it costs almost 80k! not saying it’s not worth it, but it’s extremely pricey and very competitive from the looks of it</p>

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<p>As far as competition goes, I don’t think it’s as competitive as one would think (Not just my school or UM, but all schools). A Specialized MS is not an MBA, so there’s nothing inherently special about having a MS in the first place. If you can get a job easily in 4 years, you will not need to be in school any longer. The only people who are competing for it are those who find it necessary (ie who can’t get a job in 4 years). I know it sounds insulting but it’s the simple truth. </p>

<p>Education doesn’t substitute work experience and employers want experience, not education.</p>

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<p>I don’t think that’s true at all. Looking at the UM program, the average amount work experience is 6.4 years. It’s more geared toward people who have work experience that is not necessarily in SCM, but want to transition into SCM (a lot of engineers, for example). I know that MSU requires at least two years of work experience for their MSCM program, also.</p>

<p>There’s also nothing inherently special about having an MBA, either.</p>

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<p>6.4 years? That’s very odd, are you sure those aren’t statistics from the MBA or even PhD program? Specialized Master’s are usually pursued right after school, as almost an extension on what you’ve already learned. But I guess it all varies by school. If the program requires work experience then it is that which grants you a higher base salary, not the actual degree itself.</p>

<p>Usually, ALL MBA programs require work experience. And employers typically assume that, so a starting MBA would be at a higher position at any firm. But MSCM (or any MS program) may not have that, depending on whether that particular program requires work experience.</p>

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<p>[Master</a> of Supply Chain Management - Stephen M. Ross School of Business](<a href=“http://www.bus.umich.edu/Admissions/MSCM/Profile.htm]Master”>http://www.bus.umich.edu/Admissions/MSCM/Profile.htm)</p>

<p>University of Michigan MSCM Class of 2013 Profile:</p>

<p>Full time work experience:
Average: 6.4 years
Range: <1.5-11 years</p>

<p>[Master</a> of Supply Chain Management - Stephen M. Ross School of Business](<a href=“Master of Supply Chain Management | Michigan Ross”>Master of Supply Chain Management | Michigan Ross)</p>

<p>"Q: How much work experience do I need before I can apply?</p>

<p>A: We do not require a minimum number of years of work experience prior to entering the MSCM Program. However, we expect that most of our admitted students will have at least one year of work experience. We evaluate work experience not in terms of quantity but in terms of quality – the impact the applicant has had on their organization and his or her natural leadership qualities. Those who are joining us at an earlier stage of their career should use the application to demonstrate what they will be able to contribute to the Ross experience. In addition these candidates should come to the program with superb academic credentials, as well as the maturity and self-confidence to handle the intensity of the program.</p>

<p>Q: What type of work experience are you looking for in the admissions process?</p>

<p>A: We seek diversity in the professional backgrounds of our admitted students, just as we do in other parts of our applicants’ profiles. No one industry or field is favored over another. We are more interested in the applicant’s contribution to the group or organization. Experience in the areas related to supply chain, including purchasing, logistics, transportation, distribution, retail, and international trade, etc. will be considered a plus."</p>

<p>[Admissions</a> | Department of Supply Chain Management](<a href=“Department of Supply Chain Management - MSU Broad College of Business”>Department of Supply Chain Management - MSU Broad College of Business)</p>

<p>Michigan State University
Admissions Requirements:
5. Possess a minimum of two years of professional supply chain work experience</p>

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<p>Where do they get these rankings from anyway?</p>