www.visualcapitalist.com/sp/ranked-the-top-performing-major-currencies-2014-2023/ Ranked: The Top Performing Major Currencies (2014-2023) Monetary policy, geopolitical events, and economic conditions-among other factors-significantly influence currency performance in the foreign exchange market. Which major currencies have performed the best and worst over the last decade, and what are the reasons behind their movements? To answer this question, we partnered with OANDA to visualize a decade of highs and lows of the top eight most-traded currencies, by volume, according to the Bank for International Settlements. The U.S. Dollar: The Top Foreign Exchange Performer on Our List The U.S. dollar (USD) was the best-performing currency of the last decade, taking top spot in six of the last 10 years. Relatively stable economic activity and the role of the USD as the world’s reserve currency contributed to its general strength. Importantly, the USD also represents a safe-haven investment in times of crisis, meaning investors will often put money in the currency during periods of instability, such as during the 2014-2016 oil price shock. Post-COVID-19, the USD peaked in 2022 in response to aggressive interest rate hikes, though it came off its highs in 2023. Conversely, a failure to pass healthcare and tax reforms led to the 2017 “Trump Slump.” In 2020, record low interest rates in the U.S. and the nation’s difficulties combatting the COVID-19 virus contributed to its over-7% decline that year. The Japanese Yen: A Struggle Against Low Interest Rates The Japanese yen was the lowest performing currency in the group over the last decade, coming in last in four of the 10 years we analyzed. The long-standing gap between interest rates in Japan and the U.S. is largely to blame. Higher interest rates typically attract foreign investment, so Japan’s ultra-low interest rates since the late 1990s have deterred capital inflows, thus lowering demand for the currency. This has put downward pressure on the yen in favor of the USD. Other Foreign Exchange Movements The Canadian dollar (CAD), which has historically exhibited a strong correlation to oil prices, also suffered in the 2014 oil price slump. However, the link between CAD and oil has broken down in recent years. The British pound suffered in the wake of the Brexit vote, falling nearly 17% in 2016 to a 31-year low, as noted by The Guardian. The pound also underperformed in 2022 following the disastrous fiscal policy announcements that prompted the resignation of former Prime Minister Liz Truss. On the back of economic growth hitting a 10-year high, the euro performed exceptionally well in 2017, gaining almost 14% during the year. Understanding the Markets Price movements in the foreign exchange market are complex, but understanding how currencies have performed in the past, and the factors driving those changes, can help investors prepare. Learning how to manage risk, and having a trading plan, are also important.

www.zerohedge.com/markets/usd-really-too-big-fail?Weekly%20Newsletter%20Campaign&_hsenc=p2ANqtz-9ocWyUzFGvdtDAFpjB66F08vlZeGJSYDz68GvY9a6r0IihmzLVWOm4aWNZSTfb_DkAipWwESNPxgN7aiMNLnndQ-rAfw&_hsmi=316125731& Is The USD Really Too Big To Fail? Tyler Durden's Photo BY TYLER DURDEN SUNDAY, JUL 14, 2024 - 07:50 PM Authored by Matthew Piepenburg via VonGreyerz.gold, Between politics (driven by self rather than public servants), markets (driven by debt rather than profits) and currencies (diluted by over-creation rather than chaperoned by a real asset), it is fair to say we live in not interesting but surreal times. But amidst the surreal, the dollar, as many believe, is our rock, our immortal albeit often unloved constant. The USD: Too Big to Fail?

www.linkedin.com/posts/sime-curkovic-61617a115_yes-most-of-this-is-still-very-relevant-activity-7084503801092608000-JqGU? FYI: more of my old school teaching material. My overhead transparencies from the 90s are NOT available upon request (they are lost). Yes, most of this is still VERY relevant today. Even “AI” agrees. See last 3 pages for list of chat prompts that could facilitate research on supplier selection. www.linkedin.com/posts/sime-curkovic-61617a115_yes-most-of-this-is-still-very-relevant-activity-7084503801092608000-JqGU? Feel free to use as you wish…teaching material on the complex, yet essential topic of "Supplier Selection". Why? Comprehensive research on supplier selection in procurement is critical. It helps make informed decisions that align with organizational strategies, ensures high-quality and cost-effective sourcing, and minimizes supply chain RISKS. Note, post-covid, we learned that a VERY large amount of industrial material procurement was being single-sourced, often unknowingly (seriously), posing significant disruptions and underlining the importance of SCM risk mitigation strategies (i.e., SUPPLIER SELECTION). Great reads for supply chain students (and managers)… This is a great read if you need an auto industry SCM 101 tutorial: Modeling Total Delivered Cost in the Automotive Industry… lnkd.in/gWi3rKnP In our program we try to teach SCRM in the context of faculty research streams such as ISO 31000, COSO’s Enterprise Risk Mgmt Framework, FMEA (as a SCRM tool), etc.: lnkd.in/gX3BhnjQ How should orgs use competitive bidding? lnkd.in/gS9vCRQ6 Assume a supplier estimates the following costs on an RFQ: lnkd.in/gxFBz3_U ROI & Your Core Competency (i.e., SCM?): lnkd.in/euh2rFdU To stay competitive, companies are forced to outsource commodities & focus on core competency: lnkd.in/g-DHtt8X The primary elements for sourcing a partner: lnkd.in/ga2xtDsi What does it mean to be hollow? Sourcing Strategy matters! lnkd.in/gHB-nzeJ The most reprinted article in HBR: The “Core Competence”: lnkd.in/gDsHme-r You have every legal right to say you want a “cost breakdown” : lnkd.in/gygd5bzs Procurement 101: Explanation on Commodities: lnkd.in/g_nEgvhJ How do companies outsource strategically? lnkd.in/gevbRKEq Advanced Contract Mgmt: lnkd.in/gcpHEEvw How SCM managers “prepare” to negotiate price increases. lnkd.in/gVrdpuer Supplier Cost Breakdowns and How To Negotiate Price Increases: lnkd.in/gp5naJxE & lnkd.in/gGRaKtVK lnkd.in/gMuhMNf6 lnkd.in/gQZ7HfWb lnkd.in/gvCpr6T5 lnkd.in/gPVMbWd6 lnkd.in/g6qdMvcS lnkd.in/gwFjDfx7 lnkd.in/g494sxYr lnkd.in/g6Uxkuby Break-even calculation: lnkd.in/gDr7DhJx Note, this was largely designed for consumption by 20 year olds (which means we all stand to benefit from a rehash). hashtag#supplychain hashtag#outsourcing hashtag#makeorbuy hashtag#procurement hashtag#riskmanagement

www.linkedin.com/posts/sime-curkovic-61617a115_yes-most-of-this-is-still-very-relevant-activity-7084503801092608000-JqGU? FYI: more of my old school teaching material. My overhead transparencies from the 90s are NOT available upon request (they are lost). Yes, most of this is still VERY relevant today. Even “AI” agrees. See last 3 pages for list of chat prompts that could facilitate research on supplier selection. www.linkedin.com/posts/sime-curkovic-61617a115_yes-most-of-this-is-still-very-relevant-activity-7084503801092608000-JqGU? Feel free to use as you wish…teaching material on the complex, yet essential topic of "Supplier Selection". Why? Comprehensive research on supplier selection in procurement is critical. It helps make informed decisions that align with organizational strategies, ensures high-quality and cost-effective sourcing, and minimizes supply chain RISKS. Note, post-covid, we learned that a VERY large amount of industrial material procurement was being single-sourced, often unknowingly (seriously), posing significant disruptions and underlining the importance of SCM risk mitigation strategies (i.e., SUPPLIER SELECTION). Great reads for supply chain students (and managers)… This is a great read if you need an auto industry SCM 101 tutorial: Modeling Total Delivered Cost in the Automotive Industry… lnkd.in/gWi3rKnP In our program we try to teach SCRM in the context of faculty research streams such as ISO 31000, COSO’s Enterprise Risk Mgmt Framework, FMEA (as a SCRM tool), etc.: lnkd.in/gX3BhnjQ How should orgs use competitive bidding? lnkd.in/gS9vCRQ6 Assume a supplier estimates the following costs on an RFQ: lnkd.in/gxFBz3_U ROI & Your Core Competency (i.e., SCM?): lnkd.in/euh2rFdU To stay competitive, companies are forced to outsource commodities & focus on core competency: lnkd.in/g-DHtt8X The primary elements for sourcing a partner: lnkd.in/ga2xtDsi What does it mean to be hollow? Sourcing Strategy matters! lnkd.in/gHB-nzeJ The most reprinted article in HBR: The “Core Competence”: lnkd.in/gDsHme-r You have every legal right to say you want a “cost breakdown” : lnkd.in/gygd5bzs Procurement 101: Explanation on Commodities: lnkd.in/g_nEgvhJ How do companies outsource strategically? lnkd.in/gevbRKEq Advanced Contract Mgmt: lnkd.in/gcpHEEvw How SCM managers “prepare” to negotiate price increases. lnkd.in/gVrdpuer Supplier Cost Breakdowns and How To Negotiate Price Increases: lnkd.in/gp5naJxE & lnkd.in/gGRaKtVK lnkd.in/gMuhMNf6 lnkd.in/gQZ7HfWb lnkd.in/gvCpr6T5 lnkd.in/gPVMbWd6 lnkd.in/g6qdMvcS lnkd.in/gwFjDfx7 lnkd.in/g494sxYr lnkd.in/g6Uxkuby Break-even calculation: lnkd.in/gDr7DhJx Note, this was largely designed for consumption by 20 year olds (which means we all stand to benefit from a rehash). hashtag#supplychain hashtag#outsourcing hashtag#makeorbuy hashtag#procurement hashtag#riskmanagement

www.linkedin.com/posts/sime-curkovic-61617a115_yes-most-of-this-is-still-very-relevant-activity-7084503801092608000-JqGU? FYI: more of my old school teaching material. My overhead transparencies from the 90s are NOT available upon request (they are lost). Yes, most of this is still VERY relevant today. Even “AI” agrees. See last 3 pages for list of chat prompts that could facilitate research on supplier selection. www.linkedin.com/posts/sime-curkovic-61617a115_yes-most-of-this-is-still-very-relevant-activity-7084503801092608000-JqGU? Feel free to use as you wish…teaching material on the complex, yet essential topic of "Supplier Selection". Why? Comprehensive research on supplier selection in procurement is critical. It helps make informed decisions that align with organizational strategies, ensures high-quality and cost-effective sourcing, and minimizes supply chain RISKS. Note, post-covid, we learned that a VERY large amount of industrial material procurement was being single-sourced, often unknowingly (seriously), posing significant disruptions and underlining the importance of SCM risk mitigation strategies (i.e., SUPPLIER SELECTION). Great reads for supply chain students (and managers)… This is a great read if you need an auto industry SCM 101 tutorial: Modeling Total Delivered Cost in the Automotive Industry… lnkd.in/gWi3rKnP In our program we try to teach SCRM in the context of faculty research streams such as ISO 31000, COSO’s Enterprise Risk Mgmt Framework, FMEA (as a SCRM tool), etc.: lnkd.in/gX3BhnjQ How should orgs use competitive bidding? lnkd.in/gS9vCRQ6 Assume a supplier estimates the following costs on an RFQ: lnkd.in/gxFBz3_U ROI & Your Core Competency (i.e., SCM?): lnkd.in/euh2rFdU To stay competitive, companies are forced to outsource commodities & focus on core competency: lnkd.in/g-DHtt8X The primary elements for sourcing a partner: lnkd.in/ga2xtDsi What does it mean to be hollow? Sourcing Strategy matters! lnkd.in/gHB-nzeJ The most reprinted article in HBR: The “Core Competence”: lnkd.in/gDsHme-r You have every legal right to say you want a “cost breakdown” : lnkd.in/gygd5bzs Procurement 101: Explanation on Commodities: lnkd.in/g_nEgvhJ How do companies outsource strategically? lnkd.in/gevbRKEq Advanced Contract Mgmt: lnkd.in/gcpHEEvw How SCM managers “prepare” to negotiate price increases. lnkd.in/gVrdpuer Supplier Cost Breakdowns and How To Negotiate Price Increases: lnkd.in/gp5naJxE & lnkd.in/gGRaKtVK lnkd.in/gMuhMNf6 lnkd.in/gQZ7HfWb lnkd.in/gvCpr6T5 lnkd.in/gPVMbWd6 lnkd.in/g6qdMvcS lnkd.in/gwFjDfx7 lnkd.in/g494sxYr lnkd.in/g6Uxkuby Break-even calculation: lnkd.in/gDr7DhJx Note, this was largely designed for consumption by 20 year olds (which means we all stand to benefit from a rehash). hashtag#supplychain hashtag#outsourcing hashtag#makeorbuy hashtag#procurement hashtag#riskmanagement

www.linkedin.com/posts/sime-curkovic-61617a115_yes-most-of-this-is-still-very-relevant-activity-7084503801092608000-JqGU? FYI: more of my old school teaching material. My overhead transparencies from the 90s are NOT available upon request (they are lost). Yes, most of this is still VERY relevant today. Even “AI” agrees. See last 3 pages for list of chat prompts that could facilitate research on supplier selection. www.linkedin.com/posts/sime-curkovic-61617a115_yes-most-of-this-is-still-very-relevant-activity-7084503801092608000-JqGU? Feel free to use as you wish…teaching material on the complex, yet essential topic of "Supplier Selection". Why? Comprehensive research on supplier selection in procurement is critical. It helps make informed decisions that align with organizational strategies, ensures high-quality and cost-effective sourcing, and minimizes supply chain RISKS. Note, post-covid, we learned that a VERY large amount of industrial material procurement was being single-sourced, often unknowingly (seriously), posing significant disruptions and underlining the importance of SCM risk mitigation strategies (i.e., SUPPLIER SELECTION). Great reads for supply chain students (and managers)… This is a great read if you need an auto industry SCM 101 tutorial: Modeling Total Delivered Cost in the Automotive Industry… lnkd.in/gWi3rKnP In our program we try to teach SCRM in the context of faculty research streams such as ISO 31000, COSO’s Enterprise Risk Mgmt Framework, FMEA (as a SCRM tool), etc.: lnkd.in/gX3BhnjQ How should orgs use competitive bidding? lnkd.in/gS9vCRQ6 Assume a supplier estimates the following costs on an RFQ: lnkd.in/gxFBz3_U ROI & Your Core Competency (i.e., SCM?): lnkd.in/euh2rFdU To stay competitive, companies are forced to outsource commodities & focus on core competency: lnkd.in/g-DHtt8X The primary elements for sourcing a partner: lnkd.in/ga2xtDsi What does it mean to be hollow? Sourcing Strategy matters! lnkd.in/gHB-nzeJ The most reprinted article in HBR: The “Core Competence”: lnkd.in/gDsHme-r You have every legal right to say you want a “cost breakdown” : lnkd.in/gygd5bzs Procurement 101: Explanation on Commodities: lnkd.in/g_nEgvhJ How do companies outsource strategically? lnkd.in/gevbRKEq Advanced Contract Mgmt: lnkd.in/gcpHEEvw How SCM managers “prepare” to negotiate price increases. lnkd.in/gVrdpuer Supplier Cost Breakdowns and How To Negotiate Price Increases: lnkd.in/gp5naJxE & lnkd.in/gGRaKtVK lnkd.in/gMuhMNf6 lnkd.in/gQZ7HfWb lnkd.in/gvCpr6T5 lnkd.in/gPVMbWd6 lnkd.in/g6qdMvcS lnkd.in/gwFjDfx7 lnkd.in/g494sxYr lnkd.in/g6Uxkuby Break-even calculation: lnkd.in/gDr7DhJx Note, this was largely designed for consumption by 20 year olds (which means we all stand to benefit from a rehash). hashtag#supplychain hashtag#outsourcing hashtag#makeorbuy hashtag#procurement hashtag#riskmanagement

2024 Gartner SCM School Rankings: www.linkedin.com/posts/sime-curkovic-61617a115_full-webinar-presentation-activity-7212062957772382209-6-y4? and www.linkedin.com/posts/sime-curkovic-61617a115_gartner-2024-scm-school-rankings-activity-7211766783026835456-dW_G? and www.linkedin.com/posts/sime-curkovic-61617a115_top-25-school-rankings-2024gartner-has-activity-7211751965171613696-vGVF? This is the last time that I am posting these rankings…for today…maybe. Note, during the webinar, it was said that getting top SCM students from top SCM programs on avg was costing employers north of $68K. Not a bad way to start off your career as we have several students starting in the $70s and some in the $80s (many are at $100K by age 30). FYI, Full Global ASCM Salary Report 2024 (U.S., Canada, Europe, India): lnkd.in/eqXaFZcA. Note, from Gartner “2022”: U.S. SCM undergrads finding their first jobs are earning $1,600 more/yr than in 2020. While the avg starting salary is $61,769, grads from top 10 programs can expect around $65K. lnkd.in/gMKdmwx9 lnkd.in/gwKJD6hY Great read…Translation: Success = Pick the right major (i.e., demand > supply) + Get work experience (i.e., internships related to major) + Pick the right first job (i.e., they pay a premium for your major because of supply/demand conditions and you are job ready day one because you have professional work experience). lnkd.in/efcJQEXJ. Notice: “More than any other factor analyzed-including race, gender and choice of university-what a person studies determines their odds of getting on a college-level career track. Internships are also critical.” I chuckled at this one: "He also regrets taking an entry-level sales job in logistics after months of fruitless job hunting after graduation." “Bachelor’s degree holders in college-level jobs earn nearly 90% more than people with just a high-school diploma in their 20s.” “…most of the graduates who don’t find work reflecting their degrees are what they call “severely underemployed, meaning they’re in jobs that only require a high school education or less.” Picking a college major: lnkd.in/eX8XUHxj. The 16 worst-paying college majors, five years after graduation: lnkd.in/eTyx7YpW. But…If You Majored in One of These 18 Subjects, You’ll Likely Have a Comfortable Retirement: lnkd.in/exHB9Duj. Our new "apprenticeship" program: We just concluded a co-op pilot program with a F500 company that was highly successful and has started its second iteration in 2024. So, what makes this Co-op program different? lnkd.in/eBTbaQui. Top 25 School Rankings 2024: Gartner has ranked the WMU SCM program yet again (15 years running). Thank you to all the alumni and friends of the program that stay engaged w/ us & keep giving back. We are very grateful & you are a huge part of this ranking. It is our hope that we keep adding “value” to your degree. Now, go brag a little. OK, current & future students, very cool, but…pay attention to what matters most (not rankings). "Students who are able to build strong relationships w/ professors are far more likely to find engaging work after graduation, according to Gallup-Purdue polls." lnkd.in/gSuzhcjP - those who believe a professor cared about them as a person, made them excited about learning, & encouraged them to pursue their dreams had more than double the odds of being engaged at work & experiencing a higher degree of well being overall, these studies find. …only 3% of grads reported having the kind of positive experiences in school that these studies find to be valuable. Another study: Students who choose to specialize are having better experiences than those who stay generalist. Also, professors have the most influence on major. lnkd.in/ex89namH. Great read from WSJ…Translation: Success = Pick the right major (i.e., demand > supply) + Get work experience (i.e., internships related to major) + Pick the right first job (i.e., they pay a premium for your major because of supply/demand conditions & you are job ready day one because you have professional work experience). lnkd.in/eXWmK5kC. From me: if you are a student majoring in SCM, but your school is not on this list, do not worry about it! I am 99.9% certain that you are still getting a world class education that is extremely comparable to the schools on this list. In fact, in some ways, you might be getting a better education (i.e., smaller classes, closer mentors, better ROI maybe, etc.). Note also, all rankings are somewhat dubious & suspect (Gartner puts a lot of rigor into this one, but it is not perfect). At the undergraduate level, pay less attention to the brand & reputation of the school, & pay attention to your major (i.e., does demand exceed supply which means you will have multiple job offers upon graduation) & make great decisions while you are in school (i.e., work experience, networking, grades, passing a drug test, build your brand, etc.). Employers: trust me, you can find world class SCM talent at the unranked schools that are every bit as good. I meet these students all the time and they have sooo much to offer. Employers owe it to themselves to recruit the best talent from multiple schools. Yes, it requires more effort & expense, but it will keep your SCM org fresh and current. I know of one org that exclusively recruits from only two schools & over time the weaknesses of those two schools became this org's weakness. So predictable. More important than rankings (our student success stories): lnkd.in/eK99Fuiv

The ISM MFG PMI Index has contracted for the 19th time in the last 20 months. Yes, that is a MFG recession, but does this predict and/or is a precursor to an overall recession? Maybe. During the 2006-2009 time period, the ISM MFG and employment indices were below 50 for several years, for nearly 40 consecutive months. Long before America started its overall economic great recession in 2008, there was a mfg recession going on. Some economists believe the ISM MFG index might be a precursor and leading economic indicator for what will happen in the overall economy. Either way, supply chain managers need to follow this measure closely. IMPORTANT: Any number above 50 means mfg expanded from the previous month (they made more stuff). Any number under 50 means they made less stuff than the previous month. If the ISM PMI MFG Index is above 50 for the month, then that simply means American mfg output expanded compared to the previous month. That is good because if it keeps being above 50 every month that means we are cranking out more and more stuff and that means jobs will be created. Note, before the covid contraction in 2020 March, April, and May, the U.S. economy grew "131" consecutive months. Why does this ISM MFG index (the PMI) matter? Answer: If MFG keeps shrinking month to month, our overall economy might start to shrink (eventually that means recession). In my opinion, if the ISM PMI gets back to be above 50, then we will avoid a recession, especially a LABOR recession. Remember, 1 factory job might create another 10-20 jobs for everywhere else. While only around 10% of Americans work in mfg, the remaining 90% employed in the service sector are either directly or indirectly connected to those mfg jobs. So, people losing their jobs in MFG matters to everyone. Everyone needs the ISM MFG index to be above 50 every month, then the ISM employment index will eventually get above 50 every month and then that will hopefully spill over into the service sector (which is where most Americans work). That factory in town might employ 1000 people with great paying jobs but those jobs create supplier jobs and service sector jobs. Those service sector jobs include: the pizza shop in town, the accountants in town, the lawyers in town, the nurses in town, the grocery stores in town, etc. Here's to getting out of the mfg recession. Don't forget, America has around 300,000 factories that employ 13M people and we make close to 20% of the world's stuff. 37% of all domestic jobs in the U.S. are in the supply chain.

Another great read from the folks are Metal Miner (see below)...Remember, in general, when the dollar goes up in value, American stuff gets more expensive, non-American stuff gets cheaper... agmetalminer.com/insights/ ...But the USD also has a special relationship to metal prices. It has historically traded somewhat inversely, and the correlation is tighter between the USD and copper when looking at recent years. When the dollar goes up, commodities tend to fall. This also means the opposite is true: when the dollar falls, commodity prices tend to rise. In addition, and perhaps more significantly, the move could add more volatility to the USD and thus to metals prices. But the concern about de-dollarization involves lower liquidity and increased price volatility. Moreover, if demand for the USD falls, the dollar would likely depreciate relative to other currencies. Finally, a weaker dollar could lead to higher import prices, which would contribute to additional domestic inflation as global goods become more expensive. Analyst Commentary Is the Move Away from the Petrodollar a Larger Macroeconomic Indicator of Metals Prices? A fairly significant story that could have implications on global metals markets somehow has barely seen the light of day. The story involves a little-known agreement between Saudi Arabia and the US involving the pricing of a commodity, specifically oil, in petrodollars. The agreement, first signed in the early 1970’s required Saudi Arabia to price its oil exports in US dollars in exchange for military support and security guarantees from the U.S. The expiration of this agreement means the Middle Eastern nation can now sell oil in multiple currencies, including the Chinese RMB, Euros, yen and even digital currencies (two weeks ago we reported on the first Russian-Chinese metal trades conducted via crypto). What the non-renewal of the agreement implies is that the global shift away from the US dollar and toward other currencies could impact domestic inflation and U.S. interest rates, along with potentially lower demand for U.S. treasuries. All of this comprises the de-dollarization conversation happening in business and financial circles. So what does it mean for metals markets? With the exception of the Shanghai Futures Exchange, the two big exchanges, the LME and CME price metals in US dollars. When local currencies fluctuate against the dollar, the currency risk is typically born by the buyer. The rise of alternative currencies and crypto means buyers have other means of mitigating currency risk. Many global companies might even argue that this presents natural hedging opportunities to use different currencies. But the USD also has a special relationship to metal prices. It has historically traded somewhat inversely, and the correlation is tighter between the USD and copper when looking at recent years. When the dollar goes up, commodities tend to fall. This also means the opposite is true: when the dollar falls, commodity prices tend to rise. In addition, and perhaps more significantly, the move could add more volatility to the USD and thus to metals prices. But the concern about de-dollarization involves lower liquidity and increased price volatility. Moreover, if demand for the USD falls, the dollar would likely depreciate relative to other currencies. Finally, a weaker dollar could lead to higher import prices, which would contribute to additional domestic inflation as global goods become more expensive. As we have often repeated, volatility appears live and well. Source: MetalMiner Insights, charts & correlation analysis

Rehash of the Mini case study in video (Part 3)... Current Supplier Cost Breakdown Per Part: Cost of Direct Material: $8.00 Cost of Direct Labor: $8.00 Fixed OH (150% of Labor): $12.00 __________________________ Prime Cost: $28.00 G & A OH (10% of PC): $2.80 __________________________ Total Cost: $30.80 Profit (10% margins): $3.08 __________________________ Your Price: $33.88 Let’s say you think you are paying too much and/or you really need a cheaper price… Option 1 25% reduction in profit through competitive bidding: Cost of Direct Material: $8.00 Cost of Direct Labor: $8.00 Fixed OH (150% of Labor): $12.00 __________________________ Prime Cost: $28.00 G & A OH (10% of PC): $2.80 __________________________ Total Cost: $30.80 Profit: $2.31 (you got them to agree to a lower price through competitive bidding, but you did nothing to help them reduce their costs, so you simply hacked away at their profit margins - it was 10% and now it is less) __________________________ Your New Price: $33.11 2.27% cost reduction, you saved $227,000 on $10M in purchases, right? Maybe. Option 2 25% reduction in “direct” labor costs by visiting their facilities several times and giving them ideas (do not mess with their profit margins): Cost of Direct Material: $8.00 Cost of Direct Labor: $6.00 (notice the change here) Fixed OH (150% of Labor): $9.00 (notice the change here because you helped them reduce their direct labor costs) __________________________ Prime Cost: $23.00 (notice the change here) G & A OH (10% of PC): $2.30 (notice the change here) __________________________ Total Cost: $25.30 (notice the change here) Profit (10% margins): $2.53 (notice you did not change their profit margin) __________________________ Your New Price: $27.83 17.86% cost reduction, you saved $1,786,000 on $10M in purchases, right? Even better and you did not mess with their margins! All you did was help them reduce their direct costs. Note, today, most of the direct costs tend to be in Direct Material purchases (in most industries). Direct costs (final points)... -Of primary importance since -They are usually the major portion of costs -Overhead costs usually allocated based on direct costs -Profit usually a small percentage of total cost.

Being 100% job ready is the hallmark of the WMU food marketing program. According to the latest WMU Career Outcomes Report: lnkd.in/e_JDF2QW. 100% of food marketing graduates are employed or continuing their education quickly after earning their degree. 100% of recent food marketing graduates participated in experiential learning while earning their degree. 100% of recent food marketing graduates felt their education and experiences as a student at WMU prepared them for their profession. KALAMAZOO, Mich.-Aidan Paciorek came to Western Michigan University as an undecided business major looking to investigate all the Haworth College of Business has to offer. “I had no idea what I wanted to do. Luckily, I had an older sister who had been at Western as a food marketing major. Initially, I didn’t want to feel like I was copying what she had done by majoring in the same area, but she convinced me to go to a Food Marketing Association (FMA) student organization meeting, and I never looked back. I instantly felt at home and loved everything to do with the major including all the professors; it felt like I had a community,” says Paciorek of Grand Rapids, Michigan. Rest of story: lnkd.in/e_yf-Jha WMU named to top talent list for consumer packaged goods industry… Top 11: Two Michigan Universities made the list (one in Kalamazoo & the other in Ann Arbor): Western Michigan University Haworth College of Business…As noted in the intro, numbers and rankings never tell the whole story, and this list would be incomplete without adding Western Michigan's dedicated Food and CPG Marketing program. Deeply embedded within the CPG industry, WMU offers a bachelor's degree in food marketing and sends students on to work at such consumer goods stalwarts as E. & J. Gallo, Hormel Foods, SpartanNash, The Kellogg Company (now Kellanova), and Kraft Heinz. Russell Zwanka, director of the program, has deep roots in the retail and CPG industry, including tenures at Price Chopper Supermarkets and The North West Company, and the program is widely accepted to be a strong feeder to today's major CPGs." Top 11: lnkd.in/gemXrQ_x

We must be doing something right...Our WMU Supply Chain students, coached by Dr. Marcel Zondag, won the 2024 Rams Supply Chain Challenge. Students Bryan Hagenbarth, Marley Miller, Keaton Peyser, and Ainsley Rahm dominated the two-round competition between 18 SCM programs featuring schools like the University of Arkansas, Kansas State, Texas Tech, Oklahoma, and Indiana. Wayne State, Grand Valley, and Central Michigan were the other Michigan schools competing. lnkd.in/e-kUUhAc. Also: Sales students showcase skills and win Desert Cup Our Sales and Business Marketing students, coached by Mary Nielsen, won the Arizona Collegiate Sales Competition. Students Ellen Worobec and Aleksander Slotwinski took 3rd (and some cash) with their marketing presentation, and students Piper Berg and Parker Bidelman easily moved out of the first-round sales event with Piper securing a place in the finals and ultimately taking 1st place. This earned WMU #1 as a team across both the Marketing and Sales events and sent the team home with another great trophy and big checks. lnkd.in/e3hEHw28. The competition included Arizona State, University of New Mexico, Chico State, University of San Diego, Cal State Fullerton, Northern Arizona University, University of Arizona, Weber State, Utah State, Washington State, Colorado State, University of Wyoming, Brigham Young University, and the University of Missouri. More WMU SCM student & program success stories… lnkd.in/eK99Fuiv According to the latest WMU Career Outcomes Report, 100% of supply chain management graduates participated in experience-driven learning while earning their degree, and 98% of supply chain management graduates working full time have a job related to their degree. lnkd.in/eNs5yzEd lnkd.in/eyPKi7bf

Our new "apprenticeship" program: We just concluded a co-op pilot program with a F500 company that was highly successful and has started its second iteration in 2024. So, what makes this Co-op program different? It is based on the European apprentice programs, whereby students work part time as an integral part of their studies. The advantages are that students learn from hands-on experience, while also earning college credits. It is not students with a part time job next to their studies. In this program students work with company mentors and WMU-SCM faculty on projects that are directly linked to the SCM curriculum. At the end of every semester presentations are made to the company and WMU-SCM faculty members. At this point it is decided if both parties want to continue the engagement and, what the student’s grade is. Students can earn up to three courses (nine credit hours). Because of the required time, effort, and resources, i.e., investments, that the employer commits to the students, the learning experience and personal growth the students achieve from the Co-op program is unique. At the same time, the engagement between employer firm and WMU-SCM faculty improves on our industry relations, and provides yet additional opportunities for research support from the firm to the WMU-SCM program. The next company who will start a similar Co-op program will be another F500, yet another board member AND a corporate sponsor of the WMU-SCM program, underlining the commitment of our industry partners to the success of our students. Students are selected through a half day long hiring event. Together with employer and input from the WMU SCM leadership, we pre-select students. We travel up to HQ with them, where the students take an office tour, learn about the company, and they take part in interviewing sessions with several managers. ___ WMU Supply Chain Management Program: lnkd.in/erU3yTTW More WMU SCM student success stories… lnkd.in/emQrD2mk The Supply Chain Of Supply Chain Talent Is Broken: lnkd.in/euv9nwwc hashtag#supplychainmanagement hashtag#logistics hashtag#college hashtag#careers

Free classes: www.linkedin.com/posts/shruti-mishraa_microsoft-python-ai-activity-7169625280205053954--LSB? Very cool list, but…Just a word of warning, the lack of interactivity (hand-holding) & support at MOOCs causes a super low retention rate (9% - 16%). MOOC stands for Massive Open Online Course. I think/hope we have it covered w/ our students. Generative AI (e.g., ChatGPT, Google Bard, CoPilot, etc.) is a major focus in our new CIS 5550 course. lnkd.in/e2ngRKQc. I kind of like these bootcamps from high profile companies & schools but they seem to have aggressive designs. Often, topics listed under their “Market-Driven Skills” is usually a semester-long course. I am not sure if they are targeting people w/ some experience in these areas. But, they seem to be interesting programs. The same thing applies to analytics certificates offered through MOOCs, such as Coursera, EdX & others. One caveat that future college grads should know is that many of these online programs lack the required hand-holding experience. This is why the retention rates of MOOCs are usually in single digits. We find that this hand-holding experience is essential to motivate students to complete the training. MOOC stands for Massive Open Online Course. It is an online course that is designed to be open & accessible to a large number of participants. MOOCs offer a flexible learning environment, allowing participants to learn at their own pace & from anywhere in the world. MOOCs are typically delivered through an online platform that provides access to course materials, videos, quizzes, & discussion forums. MOOCs are usually free & open to anyone who wants to enroll. Some MOOCs may also offer a paid option to receive a verified certificate of completion or academic credit. MOOCs are offered by a variety of institutions, including universities, educational organizations, & private companies. Another example… Is Python a must-have skill in the supply chain? lnkd.in/dcEJuZJX. How much Python do I need? lnkd.in/e6Rmzpw. Our CIS 2650 is not just a Python class, but instead a Python class for analytics. lnkd.in/dcEJuZJX. I had a SCM professional ask: “I don’t even know basic python yet . I want to get to the more advanced items but I am not ready yet . I’ve done research into different courses but there are so many basic courses, I’m not sure which 1 is actually useful for someone looking to do supply chain analysis.” Some options: You could try an intro python classes at Coursera or Udemy. Warning, MOOCs, low retention rate (9% - 16%). The person needs quite a bit of dedication to successfully finish it. After that, look for a 2nd course in analytics, data science or machine learning using python. This assumes they are interested in using python for those. Otherwise, invest time in pre-built specialized software packages (e.g., Rapidminer, XLminer, Knime, SAS, SPSS, etc.). hashtag#supplychainmanagement hashtag#ai hashtag#artificialintelligence hashtag#bigdata

Smaller suppliers’ finances have deteriorated since pre-pandemic Large buyers have been pressuring suppliers, dragging down smaller, private firms’ operational efficiency, according to RapidRatings analysis. www.supplychaindive.com/news/financial-risk-health-supply-chains-suppliers-buyers-pre-pandemic-Rapid-Ratings/708789/ It might be time for price risk sharing in these buyer-supplier relationships: lnkd.in/eRm5Cdxw. Also, get ready for another supply chain disruptor: no succession planning…Do not forget where most of the supply chain is: Small Businesses. From HBR article: “The U.S. has an opportunity to do more than just get its supply chains back on track. It can prevent future disruptions by fundamentally improving how they operate...Supply chain companies - defined as those that sell their output primarily business-to-business (B2B) - represent about 44% of U.S. private employment…Companies with fewer than 500 employees make up 98% of supply chain firms and over 20% of U.S. private employment.” Small Businesses Play a Big Role in Supply-Chain Resilience: lnkd.in/eY_zBxqz. Biden will convene his new supply chain council and announce 30 steps to strengthen U.S. logistics: lnkd.in/gKbkNhpE. I hope the WH council has tons of industry representation, including small and family owned businesses. I am guessing not. Get ready for another supply chain disruptor: no succession planning. My thoughts: lnkd.in/grPgwwPV. lnkd.in/gxWRefNu hashtag#familyownedbusiness hashtag#familybusiness hashtag#successionplanning hashtag#supplychain hashtag#smallbusiness

Smaller suppliers’ finances have deteriorated since pre-pandemic Large buyers have been pressuring suppliers, dragging down smaller, private firms’ operational efficiency, according to RapidRatings analysis. www.supplychaindive.com/news/financial-risk-health-supply-chains-suppliers-buyers-pre-pandemic-Rapid-Ratings/708789/ It might be time for price risk sharing in these buyer-supplier relationships: lnkd.in/eRm5Cdxw. Also, get ready for another supply chain disruptor: no succession planning…Do not forget where most of the supply chain is: Small Businesses. From HBR article: “The U.S. has an opportunity to do more than just get its supply chains back on track. It can prevent future disruptions by fundamentally improving how they operate...Supply chain companies - defined as those that sell their output primarily business-to-business (B2B) - represent about 44% of U.S. private employment…Companies with fewer than 500 employees make up 98% of supply chain firms and over 20% of U.S. private employment.” Small Businesses Play a Big Role in Supply-Chain Resilience: lnkd.in/eY_zBxqz. Biden will convene his new supply chain council and announce 30 steps to strengthen U.S. logistics: lnkd.in/gKbkNhpE. I hope the WH council has tons of industry representation, including small and family owned businesses. I am guessing not. Get ready for another supply chain disruptor: no succession planning. My thoughts: lnkd.in/grPgwwPV. lnkd.in/gxWRefNu hashtag#familyownedbusiness hashtag#familybusiness hashtag#successionplanning hashtag#supplychain hashtag#smallbusiness

Smaller suppliers’ finances have deteriorated since pre-pandemic Large buyers have been pressuring suppliers, dragging down smaller, private firms’ operational efficiency, according to RapidRatings analysis. www.supplychaindive.com/news/financial-risk-health-supply-chains-suppliers-buyers-pre-pandemic-Rapid-Ratings/708789/ It might be time for price risk sharing in these buyer-supplier relationships: lnkd.in/eRm5Cdxw. Also, get ready for another supply chain disruptor: no succession planning…Do not forget where most of the supply chain is: Small Businesses. From HBR article: “The U.S. has an opportunity to do more than just get its supply chains back on track. It can prevent future disruptions by fundamentally improving how they operate...Supply chain companies - defined as those that sell their output primarily business-to-business (B2B) - represent about 44% of U.S. private employment…Companies with fewer than 500 employees make up 98% of supply chain firms and over 20% of U.S. private employment.” Small Businesses Play a Big Role in Supply-Chain Resilience: lnkd.in/eY_zBxqz. Biden will convene his new supply chain council and announce 30 steps to strengthen U.S. logistics: lnkd.in/gKbkNhpE. I hope the WH council has tons of industry representation, including small and family owned businesses. I am guessing not. Get ready for another supply chain disruptor: no succession planning. My thoughts: lnkd.in/grPgwwPV. lnkd.in/gxWRefNu hashtag#familyownedbusiness hashtag#familybusiness hashtag#successionplanning hashtag#supplychain hashtag#smallbusiness

More WMU SCM student & program success stories… Our new "apprenticeship" program: We just concluded a co-op pilot program with a F500 company that was highly successful and has started its second iteration in 2024. So, what makes this Co-op program different?...lnkd.in/eBTbaQui. 1. Dylan Sing is a team player as a student athlete on the WMU men's soccer team & as a SCM major. lnkd.in/ggqPmMyw. 2. SCM student wins prestigious scholarship. Madison Dober excels as a woman in the supply chain field, winning a scholarship from the Transportation Club of Detroit. lnkd.in/d5UEQVJV 3. Pursuing career in supply chain management is a slam dunk for Megan Wagner. Junior Bronco basketball player and integrated supply management major Megan Wagner is making the most of her time in college. lnkd.in/dBiNSWbC 4. Women in supply chain receive expert professional development from one of their own. This summer a group of women majoring in supply chain management participated in a 6-week professional development class facilitated by WMU supply chain graduate, Trisha Terns. lnkd.in/gKu9XcVy 5. Leading the way with Lean Six Sigma: WMU students earn certification. Students in several process management courses earned their Lean Six Sigma Yellow Belt Certifications, demonstrating their commitment to continuous improvement and ability to become business leaders before graduation. lnkd.in/g2VDbEPx & lnkd.in/ehdKSBUE. 6. Supply chain spotlight: Industry insight and problem solving put to the test. lnkd.in/gxm-T4Xz & lnkd.in/gGxJYDCZ. 7. WMU supply chain program named top program for 13th straight year. lnkd.in/g4Ch_qxY 8. Jessy Mutombo: Going the extra mile. lnkd.in/gU_Mag6i 9. 2022: Presidential Scholar, Miranda McNiven. lnkd.in/gFG75HSJ. 2023: Lidya Kartika. lnkd.in/geqRcp6A. 10. Two WMU ISM students, Madison Dober and Alexandra Henson, have been honored with a scholarship from Achieving Women’s Excellence in Supply Chain Operations, Management and Education (AWESOME). lnkd.in/g4VyPcUq 11. Madison Dober: 2023 Supply Management Scholarship & Award: R. Gene and Nancy D. Richter Foundation. lnkd.in/gVz4tR85 12. Senior Ally Resa awarded the 2023 Achieving Women’s Excellence in Supply Chain Operations, Management and Education (AWESOME) Excellence in Education Scholarship. lnkd.in/e-qrWJsg 13. Delia Dohm’s curiosity guides her to success as the first WMU student in new co-op program. lnkd.in/eGex9fzK. WMU supply chain grads from 2022 have a median wage range of $65-$75K. lnkd.in/dkGr4_uX. hashtag#supplychainmanagement hashtag#logistics hashtag#career hashtag#college

Today (they did drop Scope 3): www.cnbc.com/2024/03/04/the-sec-votes-this-week-on-controversial-climate-change-rule-heres-whats-at-stake.html The SEC votes this week on controversial climate change rule: Here’s what’s at stake “…Scope 3, which is emissions from their supply chains and users of their products. The Scope 3 disclosure requirements have drawn strong criticism from many corporations, who claim the regulations are too burdensome. Reuters has reported that the Scope 3 disclosure requirements will be dropped in the final proposal, and that parts of the Scope 1 and 2 disclosure requirements have been softened.” lnkd.in/gT7-XgHG. The 4th State of Supply Chain Sustainability Report by MIT Center for Transportation & Logistics. Website: sscs.mit.edu/. Full 2023 report at: lnkd.in/gzrSG5Tj. FYI, Visualizing All the World’s Carbon Emissions by Country: lnkd.in/gMvaFZmC. __ Also, Western Michigan University recognized for innovation in sustainability: lnkd.in/gF6WZxxy as a top performer in the 2023 Sustainable Campus Index: lnkd.in/gQQDxyVA. FYI, the WMU business college is a signatory to the United Nation’s Principles for Responsible Mgmt Education (one of 800+ globally): lnkd.in/gRzceQe6 & lnkd.in/gqamx4hH. Also, every WMU business major has to take our BUS 4500 - Business Ethics & Sustainability: lnkd.in/gD3E2UaX hashtag#sustainability hashtag#esg hashtag#career hashtag#supplychain

Today (they did drop Scope 3): www.cnbc.com/2024/03/04/the-sec-votes-this-week-on-controversial-climate-change-rule-heres-whats-at-stake.html The SEC votes this week on controversial climate change rule: Here’s what’s at stake “…Scope 3, which is emissions from their supply chains and users of their products. The Scope 3 disclosure requirements have drawn strong criticism from many corporations, who claim the regulations are too burdensome. Reuters has reported that the Scope 3 disclosure requirements will be dropped in the final proposal, and that parts of the Scope 1 and 2 disclosure requirements have been softened.” lnkd.in/gT7-XgHG. The 4th State of Supply Chain Sustainability Report by MIT Center for Transportation & Logistics. Website: sscs.mit.edu/. Full 2023 report at: lnkd.in/gzrSG5Tj. FYI, Visualizing All the World’s Carbon Emissions by Country: lnkd.in/gMvaFZmC. __ Also, Western Michigan University recognized for innovation in sustainability: lnkd.in/gF6WZxxy as a top performer in the 2023 Sustainable Campus Index: lnkd.in/gQQDxyVA. FYI, the WMU business college is a signatory to the United Nation’s Principles for Responsible Mgmt Education (one of 800+ globally): lnkd.in/gRzceQe6 & lnkd.in/gqamx4hH. Also, every WMU business major has to take our BUS 4500 - Business Ethics & Sustainability: lnkd.in/gD3E2UaX hashtag#sustainability hashtag#esg hashtag#career hashtag#supplychain

Based on my observations: employers that interview very selectively for internships & pay market value, tend to convert exceptional talent into full-time employees. In fact, they pay their interns a salary that is very close to what their full-time offers are. For example, from a student: “My interview process with Firm A was amazing. They started off with a logic test and then proceeded w/ 3 rounds of virtual interviews. The last round was me personally with the vice president of Purchasing, which I thought was a sign of care of their interns…compared to Firm B where I had a single round interview w/ 2 younger people in their job rotation program. Also, Firm A is offering me 20% more in salary. Firm B also put a bad taste in my mouth when they made the offer 1.5 months after the interview. And Firm B said that I would have a decision from them a week after my interview, which obviously did not happen.” Prepping for a job interview? Here's how to answer 'What is my biggest weakness?' Demonstrating self-awareness during an interview is huge. I tell my students to always answer the “what is your weakness” question in the context of having a strategy to fix it (explain what you have done about it, actual RESULTS). For example: lnkd.in/gQnHZd9Y. Here’s what a lot of college grads don’t know about their first job offer: lnkd.in/gG2DeF2h. “Just 38% of new grads negotiate w/ their employers when they get that first job offer.” Should college grads negotiate a job offer (i.e., a higher starting salary)? Yes, but only if you know how to negotiate. My thoughts: lnkd.in/gEZF6prG. Yale advice: lnkd.in/gggJFADW & lnkd.in/gxkjy3sm. More from Harvard: lnkd.in/ghEYr3Qw & lnkd.in/gc4Kd_SE & lnkd.in/gC44Baeb MIT Resume Guide: lnkd.in/g3xqeDyc. Western Michigan University: lnkd.in/gipsXEsK. UNC Pembroke: lnkd.in/gJA3uub2. Kansas State: lnkd.in/gPNgpmKA. The Biggest Mistakes People Make With Their LinkedIn Profile And How To Avoid Them: lnkd.in/gSNctThb Thousands of SCM internships currently posted - lnkd.in/gVsHEZxz & lnkd.in/gRKmr7QE & lnkd.in/gmMH5myb. Goals of an internship (it’s not job shadowing): lnkd.in/gGRU_4Rz Being job ready in the covid market & beyond. lnkd.in/eZGZbkP. hashtag#interviewing hashtag#career hashtag#jobhunting hashtag#resume

Based on my observations: employers that interview very selectively for internships & pay market value, tend to convert exceptional talent into full-time employees. In fact, they pay their interns a salary that is very close to what their full-time offers are. For example, from a student: “My interview process with Firm A was amazing. They started off with a logic test and then proceeded w/ 3 rounds of virtual interviews. The last round was me personally with the vice president of Purchasing, which I thought was a sign of care of their interns…compared to Firm B where I had a single round interview w/ 2 younger people in their job rotation program. Also, Firm A is offering me 20% more in salary. Firm B also put a bad taste in my mouth when they made the offer 1.5 months after the interview. And Firm B said that I would have a decision from them a week after my interview, which obviously did not happen.” Prepping for a job interview? Here's how to answer 'What is my biggest weakness?' Demonstrating self-awareness during an interview is huge. I tell my students to always answer the “what is your weakness” question in the context of having a strategy to fix it (explain what you have done about it, actual RESULTS). For example: lnkd.in/gQnHZd9Y. Here’s what a lot of college grads don’t know about their first job offer: lnkd.in/gG2DeF2h. “Just 38% of new grads negotiate w/ their employers when they get that first job offer.” Should college grads negotiate a job offer (i.e., a higher starting salary)? Yes, but only if you know how to negotiate. My thoughts: lnkd.in/gEZF6prG. Yale advice: lnkd.in/gggJFADW & lnkd.in/gxkjy3sm. More from Harvard: lnkd.in/ghEYr3Qw & lnkd.in/gc4Kd_SE & lnkd.in/gC44Baeb MIT Resume Guide: lnkd.in/g3xqeDyc. Western Michigan University: lnkd.in/gipsXEsK. UNC Pembroke: lnkd.in/gJA3uub2. Kansas State: lnkd.in/gPNgpmKA. The Biggest Mistakes People Make With Their LinkedIn Profile And How To Avoid Them: lnkd.in/gSNctThb Thousands of SCM internships currently posted - lnkd.in/gVsHEZxz & lnkd.in/gRKmr7QE & lnkd.in/gmMH5myb. Goals of an internship (it’s not job shadowing): lnkd.in/gGRU_4Rz Being job ready in the covid market & beyond. lnkd.in/eZGZbkP. hashtag#interviewing hashtag#career hashtag#jobhunting hashtag#resume

Based on my observations: employers that interview very selectively for internships & pay market value, tend to convert exceptional talent into full-time employees. In fact, they pay their interns a salary that is very close to what their full-time offers are. For example, from a student: “My interview process with Firm A was amazing. They started off with a logic test and then proceeded w/ 3 rounds of virtual interviews. The last round was me personally with the vice president of Purchasing, which I thought was a sign of care of their interns…compared to Firm B where I had a single round interview w/ 2 younger people in their job rotation program. Also, Firm A is offering me 20% more in salary. Firm B also put a bad taste in my mouth when they made the offer 1.5 months after the interview. And Firm B said that I would have a decision from them a week after my interview, which obviously did not happen.” Prepping for a job interview? Here's how to answer 'What is my biggest weakness?' Demonstrating self-awareness during an interview is huge. I tell my students to always answer the “what is your weakness” question in the context of having a strategy to fix it (explain what you have done about it, actual RESULTS). For example: lnkd.in/gQnHZd9Y. Here’s what a lot of college grads don’t know about their first job offer: lnkd.in/gG2DeF2h. “Just 38% of new grads negotiate w/ their employers when they get that first job offer.” Should college grads negotiate a job offer (i.e., a higher starting salary)? Yes, but only if you know how to negotiate. My thoughts: lnkd.in/gEZF6prG. Yale advice: lnkd.in/gggJFADW & lnkd.in/gxkjy3sm. More from Harvard: lnkd.in/ghEYr3Qw & lnkd.in/gc4Kd_SE & lnkd.in/gC44Baeb MIT Resume Guide: lnkd.in/g3xqeDyc. Western Michigan University: lnkd.in/gipsXEsK. UNC Pembroke: lnkd.in/gJA3uub2. Kansas State: lnkd.in/gPNgpmKA. The Biggest Mistakes People Make With Their LinkedIn Profile And How To Avoid Them: lnkd.in/gSNctThb Thousands of SCM internships currently posted - lnkd.in/gVsHEZxz & lnkd.in/gRKmr7QE & lnkd.in/gmMH5myb. Goals of an internship (it’s not job shadowing): lnkd.in/gGRU_4Rz Being job ready in the covid market & beyond. lnkd.in/eZGZbkP. hashtag#interviewing hashtag#career hashtag#jobhunting hashtag#resume

We just talked about this in class...“Cost recovery mechanisms should not be judged in isolation. Inflation-driven cost increases & adjustments need to be addressed in a timely manner that is consistent, tested, & institutionalized & supported by OEM & supplier cost reduction efforts.” From Plante Moran: lnkd.in/ebpCgDZw. 70% of new supplier agreements contain inflation driven economic adjustment clauses with the use of indices being the most common. lnkd.in/g_ByzrNU. It might be time for price risk sharing in buyer-supplier relationships. Has Strategic Cost Mgmt (i.e., Price Analysis) become a lost art? Tools we use to teach this: lnkd.in/gNrUtNU5. I have asked a lot of SCM managers how they “prepare” to negotiate price increase requests from their suppliers. In particular, I was curious about how and where they get their data from (i.e., CME, COMEX, etc.). Many said their suppliers provide that information. I am not convinced that using data from your suppliers is a form of “Preparation” for negotiation. What are buyers to do? Procurement orgs need processes & “tools” to mitigate & negotiate on these requests in a strategic, data-driven manner (& we/I need to do a better job of teaching it). In our SCM program, we are looking at raw material market data from multiple sources, we will visualize & analyze historical pricing scenarios, & do some simulating on planned purchases & what-if scenarios against forward price curves. Stay tuned for our case study report based on price analysis & strategic cost mgmt research... Some of our alumni are already testing and / or implementing automated business processes based on such tools, serving as the basis for addressing price indexing implementations (formulas, economic adjustments, etc.) by champions in a few larger orgs, & we're following these implementations from an academic perspective. It beats updating color coded excel spreadsheets. lnkd.in/ghjfe3gh lnkd.in/gMuhMNf6 Automated economic adjustments: lnkd.in/gNrUtNU5. Ongoing Study by WMU’s SCM Program · Studying how orgs in different industries administer indexing & economic adjustments, their challenges, & how such processes may be improved · Initial findings: o Organizational ownership of process is not well defined o Human error, lack of audit trail o Lack of automation, requiring sufficient time & manual effort o Limited collaboration & visibility o Scalability issues o Data security & access control o Limited integration hashtag#inflation hashtag#procurement hashtag#rawmaterials hashtag#supplychain

Supply Chain Management (and Operations) made the list. 43% (SCM)/65% (Ops) large impact - "refers to tasks that will be fully automated or significantly altered by AI technologies." In case you want to see what we cover in our AI course, see the screenshot below. Our analytics faculty have built an AI course in our business college (CIS 5550) to cover all kinds of AI for business applications. AI embedded modules in existing courses will be added. www.visualcapitalist.com/charted-the-jobs-most-impacted-by-ai/ Charted: The Jobs Most Impacted by AI How Global Companies Use AI to Prevent Supply Chain Disruptions: lnkd.in/eZZ_zxb3:. How Machine Learning Will Transform SCM (our data mining class): lnkd.in/evuy-3yZ. Hmm...“American college students are behind in using AI in their studies compared to their foreign counterparts.” lnkd.in/gngZxKry. Maybe not...This is the whole reason that we created our new AI course - to create AI awareness and skills, and it is designed for non-technical majors. Per conversations with our CIS faculty… Generative AI is just a small set of AI. Comparing the use of it across countries might not give you a whole picture of AI use by students. Our faculty have been very clear that WMU’s education strategy should not be just about ChatGPT or generative AI. There is a whole lot more AI coming our way. The key to our educational survival is to master the symbiotic relationships with AI, especially the kind of symbiosis that gives you a lasting competitive edge. Buying an AI program as a cheap way to get that “edge” might not last long. The entry barrier is too low. Anyone buying that program will be as good or even better than you. WMU also offers new course on the intersection of AI and writing: lnkd.in/g476QVTS. How will AI impact your future? lnkd.in/g4cci-tA AI @ WMU: A Deep Dive into the Resources: lnkd.in/g2EZvtPz. lnkd.in/gDRwA3iA lnkd.in/gtwzctNi WMU-Facing the future: AI is evolving at warp speed-but at what cost? lnkd.in/ggVYhDPV. Will AI really kill the tools we teach like Excel? Would you trust the developer who built your software with a 3rd party code generation tool? Maybe. We are not going to stop teaching Excel in very sophisticated ways. All of our supply chain majors are required to take: CIS 2640 Predictive Data Analytics (Excel on steroids): lnkd.in/dQABdsXc. So, Excel + AI = more SCM success. We all agree there is nothing wrong w/ using these code generators as long as you understand the generated code & know how to fix it when needed. Rarely will the generated code be enough to suit your needs. The more realistic scenario is to use the tool to generate the base code & modify it manually for the intended problems. Many orgs PROBABLY do not want their employees to use AI for any calculations like this. So, in all of the above scenarios, skills in our Adv Excel class (& all of our Data Analytics classes) are still relevant. hashtag#ai hashtag#artificialintelligence hashtag#supplychainmanagement hashtag#technology hashtag#bigdata

The 16 worst-paying college majors, five years after graduation: lnkd.in/eTyx7YpW. But…If You Majored in One of These 18 Subjects, You’ll Likely Have a Comfortable Retirement: lnkd.in/e2nireWR. Notice SCM made the list: #5. Supply Chain (Logistics): $52,290. Note, WMU SCM grads (2022) had a median wage range of $65-$75K. lnkd.in/dkGr4_uX. I have been trying to explain SCM to high schoolers. It’s not that easy. Parents like to see this: the number of US job postings for supply chain managers on LinkedIn more than doubled between 2019 & 2022: lnkd.in/gyWH5gxt. The U.S. supply chain accounts for 37% of all domestic jobs, according to the Harvard Business Review: lnkd.in/gbV_aMT7. “Employers are fed up with college 'waste,' opt for skilled blue-collar workers instead”…Really? lnkd.in/gR5pNeDe. Ranked: Median Student Debt for a U.S. College Degree: lnkd.in/g_Eaq7zu. Ranked: Most Popular U.S. Undergraduate Degrees (2011-2021): lnkd.in/gWTxiFch. The top 10 most-regretted college majors - and the degrees graduates wish they had pursued instead: lnkd.in/gtapAxUJ. Students/Parents: Which college majors pay off? From WSJ: lnkd.in/gMy3nwS2 & lnkd.in/gH3jSWKt. 90% of 2023 graduates think college is really worth it. lnkd.in/g_Vipjd5. College majors have a big impact on income. Here are the highest- and lowest-earning fields: lnkd.in/gt8BHiFM. Here’s where the jobs are - in one chart: lnkd.in/gN-dSc6E. The 10 highest-paying college majors, five years after graduation: lnkd.in/gTFb6_vw. Top Degrees in demand, current data (2023) from NACE: lnkd.in/g3kM_sZ6. Professional experience that pays well while in college?...Thousands of new internships posted, to name a few - lnkd.in/gVsHEZxz & lnkd.in/gRKmr7QE & lnkd.in/gmMH5myb. What do internships pay (never work for free)? The going rate appears to be $18-30/hr. See: lnkd.in/g6CH_pYv & lnkd.in/g4znXYHu. Being job ready in the post covid market & beyond. lnkd.in/eZGZbkP & lnkd.in/g8cAcBh3. Are students satisfied with their college experience?...Students have overwhelmingly positive reactions to their college experience: lnkd.in/gR5pNeDe. Goals of an internship (it’s not job shadowing): lnkd.in/gMtdr92u. If you look at this 2020-2030 job growth chart closely, all things supply chain related scored VERY well: lnkd.in/g8n-dCz2 hashtag#supplychainmanagement hashtag#supplychain hashtag#logistics hashtag#careers

The 16 worst-paying college majors, five years after graduation: lnkd.in/eTyx7YpW. But…If You Majored in One of These 18 Subjects, You’ll Likely Have a Comfortable Retirement: lnkd.in/e2nireWR. Notice SCM made the list: #5. Supply Chain (Logistics): $52,290. Note, WMU SCM grads (2022) had a median wage range of $65-$75K. lnkd.in/dkGr4_uX. I have been trying to explain SCM to high schoolers. It’s not that easy. Parents like to see this: the number of US job postings for supply chain managers on LinkedIn more than doubled between 2019 & 2022: lnkd.in/gyWH5gxt. The U.S. supply chain accounts for 37% of all domestic jobs, according to the Harvard Business Review: lnkd.in/gbV_aMT7. “Employers are fed up with college 'waste,' opt for skilled blue-collar workers instead”…Really? lnkd.in/gR5pNeDe. Ranked: Median Student Debt for a U.S. College Degree: lnkd.in/g_Eaq7zu. Ranked: Most Popular U.S. Undergraduate Degrees (2011-2021): lnkd.in/gWTxiFch. The top 10 most-regretted college majors - and the degrees graduates wish they had pursued instead: lnkd.in/gtapAxUJ. Students/Parents: Which college majors pay off? From WSJ: lnkd.in/gMy3nwS2 & lnkd.in/gH3jSWKt. 90% of 2023 graduates think college is really worth it. lnkd.in/g_Vipjd5. College majors have a big impact on income. Here are the highest- and lowest-earning fields: lnkd.in/gt8BHiFM. Here’s where the jobs are - in one chart: lnkd.in/gN-dSc6E. The 10 highest-paying college majors, five years after graduation: lnkd.in/gTFb6_vw. Top Degrees in demand, current data (2023) from NACE: lnkd.in/g3kM_sZ6. Professional experience that pays well while in college?...Thousands of new internships posted, to name a few - lnkd.in/gVsHEZxz & lnkd.in/gRKmr7QE & lnkd.in/gmMH5myb. What do internships pay (never work for free)? The going rate appears to be $18-30/hr. See: lnkd.in/g6CH_pYv & lnkd.in/g4znXYHu. Being job ready in the post covid market & beyond. lnkd.in/eZGZbkP & lnkd.in/g8cAcBh3. Are students satisfied with their college experience?...Students have overwhelmingly positive reactions to their college experience: lnkd.in/gR5pNeDe. Goals of an internship (it’s not job shadowing): lnkd.in/gMtdr92u. If you look at this 2020-2030 job growth chart closely, all things supply chain related scored VERY well: lnkd.in/g8n-dCz2 hashtag#supplychainmanagement hashtag#supplychain hashtag#logistics hashtag#careers

We make our students learn A3 through a project w/ a local company...Video presentations: lnkd.in/grV4rufS. Several of our students also complete their summer internships with an A3 presentation & report. It becomes such a valuable tool moving forward as they hit the job market & need to speak on it . Also, problem-solving is the #1 sought after skill set by employers: lnkd.in/ggbvYYXe. lnkd.in/eBk-Wu3W Soft skills + Problem-solving skills + AI = job protection? lnkd.in/gvRKaDgs. lnkd.in/epqquDJV The WMU SCM program requires that all students take an experiential course. After mastering process management concepts and techniques (e.g., single minute exchange of dies, value stream mapping, value engineering, etc.), students gain experience by applying these concepts and techniques to an on-site industry process. Student teams create solutions for projects formulated by faculty and industry partners, such as Stryker, Whirlpool, Kellogg, Eaton, and Bronson Hospital and then apply the solution to improve a company’s operations. The collaboration with industry partners provides every supply chain student with the unique opportunity to apply their in-class learning to the goals of influential and successful corporations, giving the students a professional work experience. lnkd.in/gf9YtkF9. Past Experiential Course Projects: lnkd.in/giJH5XEu lnkd.in/gxm-T4Xz lnkd.in/eXv8UcSF lnkd.in/gGxJYDCZ More WMU SCM student success stories… lnkd.in/eK99Fuiv hashtag#problemsolving hashtag#AI hashtag#jobs hashtag#A3 hashtag#supplychain

A 401(k) for a New College Grad? Yes! A great read: lnkd.in/eU2Stxq8. My thoughts if you want career mobility & financial independence in your 40s & beyond. In order to achieve this, you will need to invest heavily in your 20s & 30s. lnkd.in/eMvp94gB. finance.yahoo.com/news/majored-one-18-subjects-ll-193945292.html If You Majored in One of These 18 Subjects, You’ll Likely Have a Comfortable Retirement Picking a college major: lnkd.in/eX8XUHxj Here’s what a lot of college grads don’t know about their first job offer: lnkd.in/gG2DeF2h. “Just 38% of new grads negotiate w/ their employers when they get that first job offer.” Should current students negotiate an INTERNSHIP offer? The avg SCM internship is $44,918/yr, or $21.6/hr. People on the lower end, bottom 10%, make $37K/yr ($17.80/hr), while the top 10% makes $54K ($25.96/hr). lnkd.in/gpBm_m84 Should grads negotiate a job offer (i.e., a higher starting salary) lnkd.in/gMJYNJkh. There are thousands of summer internships STILL posted: lnkd.in/gRKmr7QE & thousands of business related internships. lnkd.in/gmMH5myb. In 2020-2021, SCM was the 89th most popular major nationwide with 10,986 degrees awarded. lnkd.in/gBA7id7M. Top 100 Internships (not a fan of rankings, but here you go): lnkd.in/g8N_p43w. PERHAPS delay graduation for work experience & stay specialized...lnkd.in/gdr7f9wb & lnkd.in/gARup7zr & lnkd.in/g4-csGUy. Great read…Translation: Success = Pick the right major (i.e., demand > supply) + Get work experience (i.e., internships related to major) + Pick the right first job (i.e., they pay a premium for your major because of supply/demand conditions and you are job ready day one because you have professional work experience). Notice: lnkd.in/eXWmK5kC

For a list of employers with 100% remote jobs, see: lnkd.in/g6cq-S6E. When in the job interview process do you disclose that you only want to work remotely? lnkd.in/ggqZ8xbZ. It is becoming increasingly common for our graduates to prioritize remote work opportunities. The appeal of flexibility and the comfort of working from one's own space is undeniable (I do it VERY often). Young people who work remotely are 'probably not' going to become corporate CEOs, an NYU business professor says: lnkd.in/eeQ3MWGf. “More than 90% of college students who responded to NACE’s 2023 Student Survey say they prefer jobs with at least some time spent in person. This matches employer hiring trends, which show that only 9% of entry-level hires are fully remote.” ow.ly/MUsN50QC3b6 However, as a supply chain professor, I have concerns about their professional development. Immersion in an on-site environment often provides invaluable learning opportunities: spontaneous interactions with peers, hands-on exposure to real-world challenges, mentorship, and the cultivation of soft skills that can be difficult to nurture in a ZOOM setting. While remote work offers numerous advantages, it's crucial for new graduates in the workforce to strike a balance, ensuring they don't inadvertently limit their growth potential by missing out on these integral experiences. Students: Thousands of new internships posted, to name a few - lnkd.in/gVsHEZxz & lnkd.in/gRKmr7QE & lnkd.in/gmMH5myb. What do internships pay (never work for free)? The going rate appears to be $18-30/hr. See: lnkd.in/g6CH_pYv & lnkd.in/g4znXYHu. Being job ready in the post covid market & beyond. lnkd.in/eZGZbkP & lnkd.in/g8cAcBh3. Prepping for a job interview? Here's how to answer 'What is my biggest weakness?' Demonstrating self-awareness during an interview is huge. I tell my students to always answer the “what is your weakness” question in the context of having a strategy to fix it (explain what you have done about it, actual RESULTS). For example: lnkd.in/gMtdr92u.

For a list of employers with 100% remote jobs, see: lnkd.in/g6cq-S6E. When in the job interview process do you disclose that you only want to work remotely? lnkd.in/ggqZ8xbZ. It is becoming increasingly common for our graduates to prioritize remote work opportunities. The appeal of flexibility and the comfort of working from one's own space is undeniable (I do it VERY often). Young people who work remotely are 'probably not' going to become corporate CEOs, an NYU business professor says: lnkd.in/eeQ3MWGf. “More than 90% of college students who responded to NACE’s 2023 Student Survey say they prefer jobs with at least some time spent in person. This matches employer hiring trends, which show that only 9% of entry-level hires are fully remote.” ow.ly/MUsN50QC3b6 However, as a supply chain professor, I have concerns about their professional development. Immersion in an on-site environment often provides invaluable learning opportunities: spontaneous interactions with peers, hands-on exposure to real-world challenges, mentorship, and the cultivation of soft skills that can be difficult to nurture in a ZOOM setting. While remote work offers numerous advantages, it's crucial for new graduates in the workforce to strike a balance, ensuring they don't inadvertently limit their growth potential by missing out on these integral experiences. Students: Thousands of new internships posted, to name a few - lnkd.in/gVsHEZxz & lnkd.in/gRKmr7QE & lnkd.in/gmMH5myb. What do internships pay (never work for free)? The going rate appears to be $18-30/hr. See: lnkd.in/g6CH_pYv & lnkd.in/g4znXYHu. Being job ready in the post covid market & beyond. lnkd.in/eZGZbkP & lnkd.in/g8cAcBh3. Prepping for a job interview? Here's how to answer 'What is my biggest weakness?' Demonstrating self-awareness during an interview is huge. I tell my students to always answer the “what is your weakness” question in the context of having a strategy to fix it (explain what you have done about it, actual RESULTS). For example: lnkd.in/gMtdr92u.

supplychaindigital.com/operations/top-10-supply-chain-schools Top 10: Supply Chain Schools Tough to argue with this list though, just pay attention to ROI. Should You Give Up Your Salary and Go to Grad School? Well, that darn MBA degree still has a great ROI...“Over their lifetime, an MBA grad can expect to earn $3M more than someone w/ only a bachelor’s.” Great ROI!?...At about 98% of universities that offer MBAs, grads typically made more money 2 years out of school than they had borrowed. That stands in contrast to law schools, where roughly 6% of programs had grads w/ higher median earnings than debt in the same time frame. Note, the MBA route requires careful thought. See: lnkd.in/gGAx4QyK. Five reasons why CEOs need to drive supply chain excellence from the top: “Some of the world’s leading CEOs today emerged from supply chain roles. Many have carried over their relentless focus on supply chain excellence into their leadership approach, proving to be invaluable in recent times….A deep understanding of supply chain issues is now a critical skill set for any C-suite leader.” lnkd.in/gVXyzaEn. I had a student ask: Shouldn’t I major in Finance or Accounting if I want to become a CEO? I said: Well, being able to talk CFO talk is critical to long term success, but you might want to give this supply chain thing some thought… lnkd.in/ganuUD6r Note, (I encourage my SCM students to get an Accounting minor): College Accounting to me feels like Supply Chain Finance. The Accounting Minor for SCM Majors seems like a great fit & has grown on me. Long term in your careers, understanding SCM Finance will be critical…lnkd.in/gBPZJsVq. lnkd.in/guejd-vi. Two classes in our Accounting minor, good fit for SCM types, right?: 3220: Cost & Managerial Accounting and ACTY 4220: Cost Mgmt & Analytics. FYI, we make EVERY business major take FIN 3200 - Business Finance Decisions. More: lnkd.in/gtUMdsiT. hashtag#supplychain hashtag#ceo hashtag#csuite hashtag#cfo

supplychaindigital.com/operations/top-10-supply-chain-schools Top 10: Supply Chain Schools Tough to argue with this list though, just pay attention to ROI. Should You Give Up Your Salary and Go to Grad School? Well, that darn MBA degree still has a great ROI...“Over their lifetime, an MBA grad can expect to earn $3M more than someone w/ only a bachelor’s.” Great ROI!?...At about 98% of universities that offer MBAs, grads typically made more money 2 years out of school than they had borrowed. That stands in contrast to law schools, where roughly 6% of programs had grads w/ higher median earnings than debt in the same time frame. Note, the MBA route requires careful thought. See: lnkd.in/gGAx4QyK. Five reasons why CEOs need to drive supply chain excellence from the top: “Some of the world’s leading CEOs today emerged from supply chain roles. Many have carried over their relentless focus on supply chain excellence into their leadership approach, proving to be invaluable in recent times….A deep understanding of supply chain issues is now a critical skill set for any C-suite leader.” lnkd.in/gVXyzaEn. I had a student ask: Shouldn’t I major in Finance or Accounting if I want to become a CEO? I said: Well, being able to talk CFO talk is critical to long term success, but you might want to give this supply chain thing some thought… lnkd.in/ganuUD6r Note, (I encourage my SCM students to get an Accounting minor): College Accounting to me feels like Supply Chain Finance. The Accounting Minor for SCM Majors seems like a great fit & has grown on me. Long term in your careers, understanding SCM Finance will be critical…lnkd.in/gBPZJsVq. lnkd.in/guejd-vi. Two classes in our Accounting minor, good fit for SCM types, right?: 3220: Cost & Managerial Accounting and ACTY 4220: Cost Mgmt & Analytics. FYI, we make EVERY business major take FIN 3200 - Business Finance Decisions. More: lnkd.in/gtUMdsiT. hashtag#supplychain hashtag#ceo hashtag#csuite hashtag#cfo

supplychaindigital.com/operations/top-10-supply-chain-schools Top 10: Supply Chain Schools Tough to argue with this list though, just pay attention to ROI. Should You Give Up Your Salary and Go to Grad School? Well, that darn MBA degree still has a great ROI...“Over their lifetime, an MBA grad can expect to earn $3M more than someone w/ only a bachelor’s.” Great ROI!?...At about 98% of universities that offer MBAs, grads typically made more money 2 years out of school than they had borrowed. That stands in contrast to law schools, where roughly 6% of programs had grads w/ higher median earnings than debt in the same time frame. Note, the MBA route requires careful thought. See: lnkd.in/gGAx4QyK. Five reasons why CEOs need to drive supply chain excellence from the top: “Some of the world’s leading CEOs today emerged from supply chain roles. Many have carried over their relentless focus on supply chain excellence into their leadership approach, proving to be invaluable in recent times….A deep understanding of supply chain issues is now a critical skill set for any C-suite leader.” lnkd.in/gVXyzaEn. I had a student ask: Shouldn’t I major in Finance or Accounting if I want to become a CEO? I said: Well, being able to talk CFO talk is critical to long term success, but you might want to give this supply chain thing some thought… lnkd.in/ganuUD6r Note, (I encourage my SCM students to get an Accounting minor): College Accounting to me feels like Supply Chain Finance. The Accounting Minor for SCM Majors seems like a great fit & has grown on me. Long term in your careers, understanding SCM Finance will be critical…lnkd.in/gBPZJsVq. lnkd.in/guejd-vi. Two classes in our Accounting minor, good fit for SCM types, right?: 3220: Cost & Managerial Accounting and ACTY 4220: Cost Mgmt & Analytics. FYI, we make EVERY business major take FIN 3200 - Business Finance Decisions. More: lnkd.in/gtUMdsiT. hashtag#supplychain hashtag#ceo hashtag#csuite hashtag#cfo

A related great read…Half of College Grads Are Working Jobs That Don’t Use Their Degrees: lnkd.in/efcJQEXJ. Translation: Success = Pick the right major (i.e., demand > supply) + Get work experience (i.e., internships related to major) + Pick the right first job (i.e., they pay a premium for your major because of supply/demand conditions and you are job ready day one because you have professional work experience). Notice: “More than any other factor analyzed-including race, gender and choice of university-what a person studies determines their odds of getting on a college-level career track. Internships are also critical.” I chuckled at this one: "He also regrets taking an entry-level sales job in logistics after months of fruitless job hunting after graduation." “Bachelor’s degree holders in college-level jobs earn nearly 90% more than people with just a high-school diploma in their 20s.” “…most of the graduates who don’t find work reflecting their degrees are what they call “severely underemployed, meaning they’re in jobs that only require a high school education or less.” Picking a college major: lnkd.in/eX8XUHxj The 16 worst-paying college majors, five years after graduation: lnkd.in/eTyx7YpW. But…If You Majored in One of These 18 Subjects, You’ll Likely Have a Comfortable Retirement: lnkd.in/exHB9Duj. Our new "apprenticeship" program: We just concluded a co-op pilot program with a F500 company that was highly successful and has started its second iteration in 2024. So, what makes this Co-op program different? lnkd.in/eBTbaQui

A related great read…Half of College Grads Are Working Jobs That Don’t Use Their Degrees: lnkd.in/efcJQEXJ. Translation: Success = Pick the right major (i.e., demand > supply) + Get work experience (i.e., internships related to major) + Pick the right first job (i.e., they pay a premium for your major because of supply/demand conditions and you are job ready day one because you have professional work experience). Notice: “More than any other factor analyzed-including race, gender and choice of university-what a person studies determines their odds of getting on a college-level career track. Internships are also critical.” I chuckled at this one: "He also regrets taking an entry-level sales job in logistics after months of fruitless job hunting after graduation." “Bachelor’s degree holders in college-level jobs earn nearly 90% more than people with just a high-school diploma in their 20s.” “…most of the graduates who don’t find work reflecting their degrees are what they call “severely underemployed, meaning they’re in jobs that only require a high school education or less.” Picking a college major: lnkd.in/eX8XUHxj The 16 worst-paying college majors, five years after graduation: lnkd.in/eTyx7YpW. But…If You Majored in One of These 18 Subjects, You’ll Likely Have a Comfortable Retirement: lnkd.in/exHB9Duj. Our new "apprenticeship" program: We just concluded a co-op pilot program with a F500 company that was highly successful and has started its second iteration in 2024. So, what makes this Co-op program different? lnkd.in/eBTbaQui

A related great read…Half of College Grads Are Working Jobs That Don’t Use Their Degrees: lnkd.in/efcJQEXJ. Translation: Success = Pick the right major (i.e., demand > supply) + Get work experience (i.e., internships related to major) + Pick the right first job (i.e., they pay a premium for your major because of supply/demand conditions and you are job ready day one because you have professional work experience). Notice: “More than any other factor analyzed-including race, gender and choice of university-what a person studies determines their odds of getting on a college-level career track. Internships are also critical.” I chuckled at this one: "He also regrets taking an entry-level sales job in logistics after months of fruitless job hunting after graduation." “Bachelor’s degree holders in college-level jobs earn nearly 90% more than people with just a high-school diploma in their 20s.” “…most of the graduates who don’t find work reflecting their degrees are what they call “severely underemployed, meaning they’re in jobs that only require a high school education or less.” Picking a college major: lnkd.in/eX8XUHxj The 16 worst-paying college majors, five years after graduation: lnkd.in/eTyx7YpW. But…If You Majored in One of These 18 Subjects, You’ll Likely Have a Comfortable Retirement: lnkd.in/exHB9Duj. Our new "apprenticeship" program: We just concluded a co-op pilot program with a F500 company that was highly successful and has started its second iteration in 2024. So, what makes this Co-op program different? lnkd.in/eBTbaQui

A related great read…Half of College Grads Are Working Jobs That Don’t Use Their Degrees: lnkd.in/efcJQEXJ. Translation: Success = Pick the right major (i.e., demand > supply) + Get work experience (i.e., internships related to major) + Pick the right first job (i.e., they pay a premium for your major because of supply/demand conditions and you are job ready day one because you have professional work experience). Notice: “More than any other factor analyzed-including race, gender and choice of university-what a person studies determines their odds of getting on a college-level career track. Internships are also critical.” I chuckled at this one: "He also regrets taking an entry-level sales job in logistics after months of fruitless job hunting after graduation." “Bachelor’s degree holders in college-level jobs earn nearly 90% more than people with just a high-school diploma in their 20s.” “…most of the graduates who don’t find work reflecting their degrees are what they call “severely underemployed, meaning they’re in jobs that only require a high school education or less.” Picking a college major: lnkd.in/eX8XUHxj The 16 worst-paying college majors, five years after graduation: lnkd.in/eTyx7YpW. But…If You Majored in One of These 18 Subjects, You’ll Likely Have a Comfortable Retirement: lnkd.in/exHB9Duj. Our new "apprenticeship" program: We just concluded a co-op pilot program with a F500 company that was highly successful and has started its second iteration in 2024. So, what makes this Co-op program different? lnkd.in/eBTbaQui

Students: It is not too late to find a summer internship (not even close). OK, maybe a little close, but I have students that are interviewing as we speak. You just have to keep looking. Thousands of SCM internships currently posted- lnkd.in/gVsHEZxz & lnkd.in/gRKmr7QE & lnkd.in/gmMH5myb. Goals of an internship (it’s not job shadowing): lnkd.in/gGRU_4Rz What do internships pay (never work for free)? The going rate appears to be $20-30/hr. See: lnkd.in/g6CH_pYv & lnkd.in/g4znXYHu. FYI, our career services manual has 112 pages of ideas to help with resumes, interviewing, getting offers, etc. For more help, pasted below are links from Yale, MIT, & Harvard (not bad, good schools I hear). Yale advice: lnkd.in/gggJFADW & lnkd.in/gxkjy3sm. Harvard: lnkd.in/ghEYr3Qw & lnkd.in/gc4Kd_SE & lnkd.in/gC44Baeb MIT: lnkd.in/g3xqeDyc. This is a very good one from UNC Pembroke: lnkd.in/gJA3uub2 WMU career services manual link: lnkd.in/gipsXEsK Students looking for internships/jobs: I actually have employers tell me they will NOT consider a student if they do NOT have a strong professional LinkedIn presence...How to effectively join LinkedIn: lnkd.in/gXYFDjXY. Demonstrating self-awareness during an interview is huge. I tell my students to always answer the “what is your weakness” question in the context of having a strategy to fix it (explain what you have done about it, actual RESULTS). For example: lnkd.in/gQnHZd9Y. Great read…Translation: Success = Pick the right major (i.e., demand > supply) + Get work experience (i.e., internships related to major) + Pick the right first job (i.e., they pay a premium for your major because of supply/demand conditions and you are job ready day one because you have professional work experience). Notice: lnkd.in/eZShQDtJ. hashtag#jobhunting hashtag#networking hashtag#interviewing hashtag#resume

A nice career guide from Harvard to help with resumes, interviewing, getting offers, etc. For more help, pasted below are links from Yale, MIT, & WMU (112 pages of ideas). Should college grads negotiate a job offer (i.e., a higher starting salary)? Yes, but only if you know how to negotiate. My thoughts: lnkd.in/gEZF6prG. Here’s what a lot of college grads don’t know about their first job offer: lnkd.in/gG2DeF2h. “Just 38% of new grads negotiate w/ their employers when they get that first job offer. But meanwhile, most employers actually expect to negotiate salary - even for a first job - so they build that in. That means, if you don’t even try, you could be leaving money on the table!” Yale advice: lnkd.in/gggJFADW & lnkd.in/gxkjy3sm. More from Harvard: lnkd.in/ghEYr3Qw & lnkd.in/gc4Kd_SE & lnkd.in/gC44Baeb MIT: lnkd.in/g3xqeDyc. Western Michigan University: lnkd.in/gipsXEsK. This is a very good one from UNC Pembroke: lnkd.in/gJA3uub2 Kansas State: lnkd.in/gPNgpmKA. Students looking for internships/jobs: I actually have employers tell me they will NOT consider a student if they do NOT have a strong professional LinkedIn presence...How to effectively join LinkedIn: lnkd.in/gXYFDjXY. Students: It is not too late to find a summer internship (not even close). OK, maybe a little close, but I have students that are interviewing as we speak. You just have to keep looking. Thousands of SCM internships currently posted- lnkd.in/gVsHEZxz & lnkd.in/gRKmr7QE & lnkd.in/gmMH5myb. Goals of an internship (it’s not job shadowing): lnkd.in/gGRU_4Rz hashtag#jobhunting hashtag#networking hashtag#interviewing hashtag#resume

A nice career guide from Harvard to help with resumes, interviewing, getting offers, etc. For more help, pasted below are links from Yale, MIT, & WMU (112 pages of ideas). Should college grads negotiate a job offer (i.e., a higher starting salary)? Yes, but only if you know how to negotiate. My thoughts: lnkd.in/gEZF6prG. Here’s what a lot of college grads don’t know about their first job offer: lnkd.in/gG2DeF2h. “Just 38% of new grads negotiate w/ their employers when they get that first job offer. But meanwhile, most employers actually expect to negotiate salary - even for a first job - so they build that in. That means, if you don’t even try, you could be leaving money on the table!” Yale advice: lnkd.in/gggJFADW & lnkd.in/gxkjy3sm. More from Harvard: lnkd.in/ghEYr3Qw & lnkd.in/gc4Kd_SE & lnkd.in/gC44Baeb MIT: lnkd.in/g3xqeDyc. Western Michigan University: lnkd.in/gipsXEsK. This is a very good one from UNC Pembroke: lnkd.in/gJA3uub2 Kansas State: lnkd.in/gPNgpmKA. Students looking for internships/jobs: I actually have employers tell me they will NOT consider a student if they do NOT have a strong professional LinkedIn presence...How to effectively join LinkedIn: lnkd.in/gXYFDjXY. Students: It is not too late to find a summer internship (not even close). OK, maybe a little close, but I have students that are interviewing as we speak. You just have to keep looking. Thousands of SCM internships currently posted- lnkd.in/gVsHEZxz & lnkd.in/gRKmr7QE & lnkd.in/gmMH5myb. Goals of an internship (it’s not job shadowing): lnkd.in/gGRU_4Rz hashtag#jobhunting hashtag#networking hashtag#interviewing hashtag#resume

Do you think our SCM students should learn this? ArcGIS is a technology that can help companies manage risk. Are Supply Chain professionals using ArcGIS Pro technology? Our Intro GEOG 3010 - Fundamentals of GIS is an elective in the SCM program (see below). I had a GIS analyst reach out to me & ask: Is there a business geography specialty group that addresses SCM issues? Where could people find GIS SCM problem sets? I reached out to a GIS geography colleague & the feedback was…There is a Business Specialty Group of the American Association of Geographers (AAG). lnkd.in/gS98FvHC There are a lot of interesting examples of SCM issues & GIS at the ESRI website. lnkd.in/ge9FqbKH Some of the interesting best practices involve dashboard type views of interruptions: lnkd.in/gMrb-pfy There are also advanced operations in ArcGIS Enterprise: lnkd.in/g3ZBxhxV As for problem sets, there are often interesting datasets and suggestions for solving complex problems on GitHub. A quick looks shows a lot of Python type modeling for SCM on GitHub. In terms of teaching, most of these topics are beyond our intro level GIS course. However, we also teach GEOG 5690: GIS Workflows, where students learn more about dashboards & origin-destination analysis, & work on 4 mini-projects w/ a data type of their choosing. We will teach a Project Mgmt & Programming course (GEOG 4670/6670) that could also be useful to SCM students. Here are some entries in the GIScience Body of Knowledge/encyclopedia that might be helpful to have students read: lnkd.in/gsPEeBYt lnkd.in/gKsXcT_X lnkd.in/g5M-B88t Also, if you want to find where the business geogs publish, they typically aim for 'applied geography' journals: lnkd.in/gMxzs3UX lnkd.in/gaUAszSX _ Our Intro GEOG 3010 - Fundamentals of GIS An intro course that covers the use and application of geographic information systems (GIS). It combines an overview of general principles of GIS & practical experience in map creation & the use of spatial information, including fundamental aspects of measurement, representation & analysis. Intro GIS focuses on the basics of working w/ both vector & raster data, as well as the societal aspects of GIS (emerging uses, interaction w/ new technologies, data standards, public access to info). We upgraded the course to ArcGIS Pro, which works better in online environments; we are going to have a dedicated Mac-user office hour period, for Mac users that will have to use remote desktop or some kind of Windows-on-Mac system; AND we are using COVID & racial disparities data through the semester so that students really get a handle on some of this real data w/o relying on the interpretation of others. A great read on the…”the importance of including location analytics in the standard business school curriculum-especially in the field of SCM.” Access: ow.ly/kMci50PWU1K. See comments: lnkd.in/g4Nk4ddz

Do you think our SCM students should learn this? ArcGIS is a technology that can help companies manage risk. Are Supply Chain professionals using ArcGIS Pro technology? Our Intro GEOG 3010 - Fundamentals of GIS is an elective in the SCM program (see below). I had a GIS analyst reach out to me & ask: Is there a business geography specialty group that addresses SCM issues? Where could people find GIS SCM problem sets? I reached out to a GIS geography colleague & the feedback was…There is a Business Specialty Group of the American Association of Geographers (AAG). lnkd.in/gS98FvHC There are a lot of interesting examples of SCM issues & GIS at the ESRI website. lnkd.in/ge9FqbKH Some of the interesting best practices involve dashboard type views of interruptions: lnkd.in/gMrb-pfy There are also advanced operations in ArcGIS Enterprise: lnkd.in/g3ZBxhxV As for problem sets, there are often interesting datasets and suggestions for solving complex problems on GitHub. A quick looks shows a lot of Python type modeling for SCM on GitHub. In terms of teaching, most of these topics are beyond our intro level GIS course. However, we also teach GEOG 5690: GIS Workflows, where students learn more about dashboards & origin-destination analysis, & work on 4 mini-projects w/ a data type of their choosing. We will teach a Project Mgmt & Programming course (GEOG 4670/6670) that could also be useful to SCM students. Here are some entries in the GIScience Body of Knowledge/encyclopedia that might be helpful to have students read: lnkd.in/gsPEeBYt lnkd.in/gKsXcT_X lnkd.in/g5M-B88t Also, if you want to find where the business geogs publish, they typically aim for 'applied geography' journals: lnkd.in/gMxzs3UX lnkd.in/gaUAszSX _ Our Intro GEOG 3010 - Fundamentals of GIS An intro course that covers the use and application of geographic information systems (GIS). It combines an overview of general principles of GIS & practical experience in map creation & the use of spatial information, including fundamental aspects of measurement, representation & analysis. Intro GIS focuses on the basics of working w/ both vector & raster data, as well as the societal aspects of GIS (emerging uses, interaction w/ new technologies, data standards, public access to info). We upgraded the course to ArcGIS Pro, which works better in online environments; we are going to have a dedicated Mac-user office hour period, for Mac users that will have to use remote desktop or some kind of Windows-on-Mac system; AND we are using COVID & racial disparities data through the semester so that students really get a handle on some of this real data w/o relying on the interpretation of others. A great read on the…”the importance of including location analytics in the standard business school curriculum-especially in the field of SCM.” Access: ow.ly/kMci50PWU1K. See comments: lnkd.in/g4Nk4ddz

Data Analytics + Finance = Strong SCM Skill Sets. talkinglogistics.com/2023/11/06/back-to-school-classes-supply-chain-leaders-should-take/ Back To School: Classes Supply Chain Leaders Should Take “Half our member respondents (50%) said they would take a “Data Analytics” class to continue their growth as supply chain leaders. Second on the list was taking a “Finance” class (33%).” lnkd.in/eEEVhWEX. “Knowledge workers were the hardest positions to fill. With the explosion of data in supply chains and the richness of that data, many companies are starting to understand the value of that information. This is causing tremendous demand for people to analyze the data, and companies aren’t able to fill those roles.” lnkd.in/eGp6xXJG. Do not be a victim of technology. You could make the case that every Business major should minor in Data Analytics. These skill sets would perhaps include: lnkd.in/dQABdsXc Employers place a premium on - 1. Advanced Excel (power query & pivot) & macros; 2. Data visualization (Tableau, Power BI & python w/ seaborn & matplotlib); 3. Data mining/RapidMiner, machine learning & data science; 4. Python & Jupyter notebook (data analytics & statistical libraries such as pandas, numpy); 5. Relational data models (Excel data model); 6. Graphic & statistical libraries (Seaborn, Matplotlib, Pandas, & Plotly). lnkd.in/dtqV-HqE. Note, (I encourage my SCM students to get an Accounting minor): College Accounting to me feels like Supply Chain Finance. The Accounting Minor for SCM Majors seems like a great fit & has grown on me. Long term in your careers, understanding SCM Finance will be critical. lnkd.in/gBPZJsVq lnkd.in/guejd-vi. Two classes in our Accounting minor, good fit for SCM types, right?: 3220: Cost & Managerial Accounting and ACTY 4220: Cost Mgmt & Analytics. FYI, we make EVERY business major take FIN 3200 - Business Finance Decisions. More: lnkd.in/gtUMdsiT.

Data Analytics + Finance = Strong SCM Skill Sets. talkinglogistics.com/2023/11/06/back-to-school-classes-supply-chain-leaders-should-take/ Back To School: Classes Supply Chain Leaders Should Take “Half our member respondents (50%) said they would take a “Data Analytics” class to continue their growth as supply chain leaders. Second on the list was taking a “Finance” class (33%).” lnkd.in/eEEVhWEX. “Knowledge workers were the hardest positions to fill. With the explosion of data in supply chains and the richness of that data, many companies are starting to understand the value of that information. This is causing tremendous demand for people to analyze the data, and companies aren’t able to fill those roles.” lnkd.in/eGp6xXJG. Do not be a victim of technology. You could make the case that every Business major should minor in Data Analytics. These skill sets would perhaps include: lnkd.in/dQABdsXc Employers place a premium on - 1. Advanced Excel (power query & pivot) & macros; 2. Data visualization (Tableau, Power BI & python w/ seaborn & matplotlib); 3. Data mining/RapidMiner, machine learning & data science; 4. Python & Jupyter notebook (data analytics & statistical libraries such as pandas, numpy); 5. Relational data models (Excel data model); 6. Graphic & statistical libraries (Seaborn, Matplotlib, Pandas, & Plotly). lnkd.in/dtqV-HqE. Note, (I encourage my SCM students to get an Accounting minor): College Accounting to me feels like Supply Chain Finance. The Accounting Minor for SCM Majors seems like a great fit & has grown on me. Long term in your careers, understanding SCM Finance will be critical. lnkd.in/gBPZJsVq lnkd.in/guejd-vi. Two classes in our Accounting minor, good fit for SCM types, right?: 3220: Cost & Managerial Accounting and ACTY 4220: Cost Mgmt & Analytics. FYI, we make EVERY business major take FIN 3200 - Business Finance Decisions. More: lnkd.in/gtUMdsiT.

Data Analytics + Finance = Strong SCM Skill Sets. talkinglogistics.com/2023/11/06/back-to-school-classes-supply-chain-leaders-should-take/ Back To School: Classes Supply Chain Leaders Should Take “Half our member respondents (50%) said they would take a “Data Analytics” class to continue their growth as supply chain leaders. Second on the list was taking a “Finance” class (33%).” lnkd.in/eEEVhWEX. “Knowledge workers were the hardest positions to fill. With the explosion of data in supply chains and the richness of that data, many companies are starting to understand the value of that information. This is causing tremendous demand for people to analyze the data, and companies aren’t able to fill those roles.” lnkd.in/eGp6xXJG. Do not be a victim of technology. You could make the case that every Business major should minor in Data Analytics. These skill sets would perhaps include: lnkd.in/dQABdsXc Employers place a premium on - 1. Advanced Excel (power query & pivot) & macros; 2. Data visualization (Tableau, Power BI & python w/ seaborn & matplotlib); 3. Data mining/RapidMiner, machine learning & data science; 4. Python & Jupyter notebook (data analytics & statistical libraries such as pandas, numpy); 5. Relational data models (Excel data model); 6. Graphic & statistical libraries (Seaborn, Matplotlib, Pandas, & Plotly). lnkd.in/dtqV-HqE. Note, (I encourage my SCM students to get an Accounting minor): College Accounting to me feels like Supply Chain Finance. The Accounting Minor for SCM Majors seems like a great fit & has grown on me. Long term in your careers, understanding SCM Finance will be critical. lnkd.in/gBPZJsVq lnkd.in/guejd-vi. Two classes in our Accounting minor, good fit for SCM types, right?: 3220: Cost & Managerial Accounting and ACTY 4220: Cost Mgmt & Analytics. FYI, we make EVERY business major take FIN 3200 - Business Finance Decisions. More: lnkd.in/gtUMdsiT.

Data Analytics + Finance = Strong SCM Skill Sets. talkinglogistics.com/2023/11/06/back-to-school-classes-supply-chain-leaders-should-take/ Back To School: Classes Supply Chain Leaders Should Take “Half our member respondents (50%) said they would take a “Data Analytics” class to continue their growth as supply chain leaders. Second on the list was taking a “Finance” class (33%).” lnkd.in/eEEVhWEX. “Knowledge workers were the hardest positions to fill. With the explosion of data in supply chains and the richness of that data, many companies are starting to understand the value of that information. This is causing tremendous demand for people to analyze the data, and companies aren’t able to fill those roles.” lnkd.in/eGp6xXJG. Do not be a victim of technology. You could make the case that every Business major should minor in Data Analytics. These skill sets would perhaps include: lnkd.in/dQABdsXc Employers place a premium on - 1. Advanced Excel (power query & pivot) & macros; 2. Data visualization (Tableau, Power BI & python w/ seaborn & matplotlib); 3. Data mining/RapidMiner, machine learning & data science; 4. Python & Jupyter notebook (data analytics & statistical libraries such as pandas, numpy); 5. Relational data models (Excel data model); 6. Graphic & statistical libraries (Seaborn, Matplotlib, Pandas, & Plotly). lnkd.in/dtqV-HqE. Note, (I encourage my SCM students to get an Accounting minor): College Accounting to me feels like Supply Chain Finance. The Accounting Minor for SCM Majors seems like a great fit & has grown on me. Long term in your careers, understanding SCM Finance will be critical. lnkd.in/gBPZJsVq lnkd.in/guejd-vi. Two classes in our Accounting minor, good fit for SCM types, right?: 3220: Cost & Managerial Accounting and ACTY 4220: Cost Mgmt & Analytics. FYI, we make EVERY business major take FIN 3200 - Business Finance Decisions. More: lnkd.in/gtUMdsiT.

Great read… hbr.org/2024/03/how-machine-learning-will-transform-supply-chain-management How Machine Learning Will Transform Supply Chain Management Note, we cover this in our CIS 4640 Business Data Mining class which is the capstone class in our Business Analytics minor. The forecast-driven idea is something that our CIS faculty have been selling to SCM students in this course. In fact, more than 70% of the class is about forecasting and predicting. We specifically talk about data quality treatment strategies to reduce forecasting/prediction errors. CIS 4640 - Business Data Mining: This course focuses on the theoretical understanding & practical applications of data mining as a decision support tool. Specifically, it covers several types of modeling techniques & tools such as prediction, classification, segmentation & association detection algorithms. Students are introduced to the state-of-the-art data mining applications software such as SAS Enterprise Miner or SPSS Clementine for their class assignments & term project. Another thought, one thing often not mentioned is the attitude of hiring managers, as many do not have a full understanding of the AI and/or automation skill sets of graduating students. Our SCM students told us many times that their hiring managers valued only the traditional Excel capabilities (lookup functions, pivot tables, etc. - that is NOT AI), & they greatly overlooked the opportunities from other analytical solutions (skill sets that our students have). This makes it a bit difficult to sell the analytical techniques taught in classes that go BEYOND our CIS 2640 (Excel on steroids) - Applied Analytics Foundations. For example, our data mining class is essentially a machine learning class for business, which is the core of AI. The course is designed to solve the problems that Excel falls short on. Hopefully we do a better job of training our students to “sell” the AI skills & managers (SCM Leaders) become more open to embracing the benefits (which might require a culture change). Employers: many SCM students going into the workforce have these skill sets: 1. Advanced Excel (power query & pivot) & macros; 2. Data visualization (Tableau,Power BI & python w/ seaborn & matplotlib); 3. Data mining/RapidMiner, machine learning & data science; 4. Python & Jupyter notebook (data analytics & statistical libraries such as pandas, numpy); 5. Relational data models (Excel data model); 6. Graphic & statistical libraries (Seaborn,Matplotlib,Pandas, & Plotly). lnkd.in/eqiqSMRb You will be glad to hear that (Anaconda+Jupyter Notebook+Python+visualization libraries) is what we have been teaching in CIS 2650 since the course was created. CIS courses in our BA minor: lnkd.in/gxHRzjkE. Is Python a must-have skill in the supply chain? How much Python do I need? lnkd.in/gtmcDtmW. CIS 2640 (Our Predictive Data Analytics class, Excel on steroids): lnkd.in/dQABdsXc. lnkd.in/er3xiWj & lnkd.in/dcEJuZJX. Grad Cert: lnkd.in/gJetuSjB.

rs-integratedsupply.com/en/what-is-mro-procurement/ Understand MRO procurement and your bottom line will benefit. MRO stands for maintenance, repair, and operations. The acronym refers to the materials required to keep your operation running, such as spare parts, engineering tools and test equipment. These items support business or manufacturing activity but are not incorporated directly into what you produce. MRO products are often low-value items generating many transactions. Because of the low value, many companies pay little attention and often underestimate the cost of and impact MRO materials have on their business. They also fail to recognize how critical managing the MRO supply chain is to the success of their operations. Get it wrong and the consequences can be far-reaching. Here we explore why the MRO supply chain is so significant and how better management of the entire MRO purchasing process can drive valuable cost savings and efficiency gains. THE HIDDEN COST OF MRO PROCUREMENT The adage time is money captures why MRO can be costly and why that cost is not always obvious. While MRO materials comprise only 5% of overall spending, they account for up to 80% of transactions ¬- and this high volume of low-value purchases comes with its own expenses. Research by RS Group, for example, found that for every £1 spent on MRO products, organizations spend £2 on the procurement process. Why is handling MRO procurement so costly? In some cases, it costs more in time spent searching for a part than the actual part is worth. Also, there is a cost to the purchase-to-pay (P2P) process. An inefficient procurement process with too many stages creates additional expenses. WAYS TO REDUCE COSTS One way to make MRO procurement massively more efficient and cost-effective is by bringing in expert transactional processing solutions. Organizations that outsource MRO processing to an integrated supply service provider, for instance, reduce transactional costs by an average of more than 50%. A properly managed integrated supply program can provide up to 30% overall savings across the contract term. How does this work - and why does it generate such big savings? Outsourcing providers working in this space manage everything from sourcing to receiving to issuance. They’ll handle supplier services, product pricing, invoice processing, and supplier processing. The entire system is streamlined so you interact only with them rather than multiple vendors. A single monthly invoice for all your MRO procurement, creating more time to spend on core value-adding activities The result is lower costs and time saved. No more researching products, raising quotations, placing orders, chasing suppliers, and receiving deliveries. No more processing of the hundreds, sometimes thousands, of purchase orders and invoices. Instead, you get a single monthly invoice for all your MRO procurements, creating more time to spend on core value-adding activities. You can also expect to benefit from continuous improvement within the MRO procurement process. An integrator, for example, will routinely investigate opportunities to consolidate and standardize purchases based on your history, scrutinizing purchase quantities and preferred suppliers, to generate further savings. THE ADDED BENEFITS OF OUTSOURCING Managing MRO procurement in-house demands time and money in other ways too. Evaluating every supplier to ensure compliance with your Environmental, Social and Governance (ESG) standards consumes plenty of both, but again this is a task that external providers offer as part of a suite of strategic sourcing solutions. RS Integrated Supply, for instance, has a governance team dedicated to tracking and maintaining supplier compliance on behalf of clients. RS Integrated Supply can pass on lower costs and improved supplier services to clients. Monitoring governance is just one way that providers of MRO procurement services operate at economies of scale that individual corporations cannot achieve. Another is by leveraging buying power. Thanks to its annual MRO spend of almost $1 billion, for example, RS Integrated Supply passes on the lower costs and improved supplier services to clients. Access to alternative suppliers within its network also reduces the risk of supply chain disruption and extended downtime without compromising quality. WHY DIGITALIZATION AND DATA HELP Digital technologies play a vital role in making MRO procurement more efficient and effective as well. A cloud-based platform such as RS SYNC™ brings the ease and convenience of a retail-orientated experience to the MRO procurement process, allowing users to access an authorized marketplace of products via any web-connected device, including a mobile phone app. It also supports the development of a frictionless procurement process by interfacing with other software such as SAP, Oracle, Maximo and Ariba. Digital transformation drives data transparency and therefore enables strategic decision-making. This kind of digital transformation drives data transparency and, therefore, enables strategic decision-making. Appropriate departments can, for instance, access real-time information and analytics about everything from deliveries and inventory to purchase orders and history. THE NEXT STEPS TO OPTIMIZATION Better management of MRO supplies doesn’t end once goods are received. On the contrary, continued improvements in inventory management and storeroom solutions drive further optimization, generating even deeper efficiencies and savings. How? By ensuring that your storeroom is an asset, not a liability. A properly managed storeroom is one where parts are easily found and usage tracked, allowing for informed purchase decisions, and minimizing the risk of downtime as a result. The expense of holding excess or obsolete stock is also reduced. Again, specialized outsourcing providers can help with this if you don’t have, or don’t want to develop, the capabilities in-house. Less time searching for what they need and more time for value-adding tasks The right experts will build a storeroom inventory profile that accounts for factors such as usage, reorder frequency, lead times, criticality, and obsolescence. They can automate replenishment, so you never run out of what you need or incur the expense of expedited shipping. They can also link spare parts to specific assets with Bills of Materials, meaning your maintenance technicians spend less time searching for what they need and more time maintaining production equipment. These specialists know what questions to ask to mitigate risk, increase your control over the supply chain and create cost savings while at the same time reducing unplanned downtime, supporting the transition towards planned maintenance, and increasing plant reliability. The question for you is whether you can afford to not take advantage of this expertise. For more advice on improving your MRO strategy, visit the RS Integrated Supply Solutions page.