What is Logistics and Material Management?
Logistics and Material Management plays an important role in the production and distribution of goods. Individuals operating as managers in the field are responsible for the procurement of raw materials, the establishment and maintenance of production lines, and the distribution of goods to wholesalers and retailers. Logistics and material management requires an understanding of various markets and how they affect one's field of production, as well as. develop relationships with sellers of raw material as well as distributors in order to manage costs and increase profit.
A degree in logistics and material management will prepare individuals to identify the fastest and most cost effective methods for delivering raw materials or completed goods to their destination. An education in logistics and material management requires individuals to study various aspects of business, including production, coordination and finance. Degrees are available from the associate level on, with a bachelor's degree being the most common for entry level positions in supply chain management. Masters degrees in logistics and material management are often obtained as a specialization of business administration.
A curriculum in logistics and material management may include:
- Business Law
- Cross Business Commerce
- Quality Control
- Business Management
A supply chain manager must find the cheapest and fastest methods to ship raw materials or finished products. Often such shipments require delivery to multiple locations spread across a large area. The supply chain manager is responsible for identifying the routes and processing the shipments. Additionally, supply chain managers may be responsible for the purchase of raw materials, and must identify the lowest costs, including shipment, to obtain such materials to maintain production.
A recent development, just-in-time production, has resulted in the need for more supply chain managers. Just-in-time production refers to the process by which goods are only produced based on need, and thereby reducing storage costs and limiting the possibility of overproduction. Though just-in-time production has increased the need for supply chain managers, there is already a healthy need for such professionals for business that produce goods.
Job Growth, Salary, and Related Fields
Logistics and material managers are expected to be in high demand, with increases in positions over the next decade due to increasing production and transportation costs and the need for professionals to keep such costs at a minimum while maintaining quality and meeting demand. The average salary of someone involved in supply chain management is $94,000 per year, but will vary based on position and experience.
Individuals interested in logistics and material management may also be interested in business administration, transportation and transportation management, or customer service management.