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Supply Chain Jobs in E-Commerce: Roles & essential skills for 2024

Introduction

In the past decade, Indian e-commerce startups have catapulted into the global spotlight, attracting billions of dollars in venture capital from leading investment firms worldwide. Notable players include horizontally integrated platforms like Flipkart and Snapdeal, and vertically integrated enterprises such as Rebel Foods and Glaas. These companies are revolutionizing consumption at an unprecedented rate, significantly changing the dynamics of how goods move from manufacturers to consumers. Consequently, supply chain management has emerged as a key strength for these businesses, playing a crucial role in India's ambition to create 10 million new jobs in the supply chain sector by 2027.

This article aims to provide insights into the various job roles available in modern e-commerce supply chains and the skills required to excel in these positions.

Key Job Domains in Supply Chain Functions

There are five principal job domains within the supply chain functions of e-commerce companies:

  1. Planning
  2. Procurement
  3. Warehousing
  4. Transportation
  5. City Logistics

Let’s explore the role of each function through the lens of a real-life business scenario involving an e-commerce company, ABC Corp, which seeks to boost its sales of Nike shoes this season.

Business Scenario

The business team at ABC Corp decides to negotiate a significant discount on Nike shoes with the aim of increasing weekly sales from 5,000 to 20,000 pairs (a fourfold increase). Nike agrees, and the business team informs the supply chain head, Mike, to prepare for this increase in volume. Thus begins a meticulous process to address five critical questions:

  1. Which locations will demand the additional 150,000 shoes?
  2. From which warehouses will this demand be fulfilled?
  3. Do these warehouses have adequate storage and processing capacity?
  4. Will long-haul vendors be able to accommodate this increase in demand?
  5. Do last-mile delivery hubs in the demand PIN codes have the capacity to manage these orders?

To tackle these questions, Mike reaches out to various leaders within the supply chain.

Demand Planning

Maya, who heads demand planning, reviews historical sales data and applies relevant forecasting models to estimate demand at the pin code level. She sends this information over to Alex, who leads supply planning.

Supply Planning

Alex assesses current Nike inventory across warehouses and evaluates the landed cost of shipments. He formulates a warehouse-level plan to address the additional load and communicates the changes to Rick, who supervises national operations across warehouses.

Warehousing Operations

Rick organizes a meeting with regional operations managers to confirm they can manage the increased workload. While three managers agree, one expresses concerns due to a local festival that typically hampers manpower. Rick revises the supply plan accordingly, reducing capacity at the identified warehouse and redistributing the workload to others, with a slight cost impact approved by Mike.

Transportation Operations

Next, Ron heads the transportation team. He analyzes the additional load and compiles a list of vendors with available capacity to manage the increased demand.

City Logistics

Finally, Carl oversees the city logistics. He identifies that certain last-mile delivery hubs are operating at full capacity and suggests collaborating with a third-party logistics player for additional support.

With all areas evaluated and the necessary adjustments made, Mike notifies the business team and the procurement department to ensure Nike products are ready for timely shipping.

Required Skills in Supply Chain Roles

To understand the skills needed for success in these roles, they can be classified into two categories:

Operational Skills

Operational roles are focused on on-ground tasks that involve substantial interaction with external entities like transporters and delivery personnel. Key skills for these roles include:

  • Understanding profit and loss structures of transport vendors
  • Knowledge of contract creation
  • Capability in establishing processes and incentive structures for blue-collar workers
  • Strong people management and communication skills
  • Negotiation skills

Analytical Skills

Analytical roles emphasize data analysis and require skills such as:

  • Supply chain analytical skills (network design, demand forecasting)
  • Last-mile vehicle routing
  • Rough cut capacity planning to assess throughput capabilities
  • Warehouse automation design

An effective supply chain leader typically possesses a balance of both skill sets, but individuals often choose to specialize in one at the start of their careers and gradually develop expertise in the other.

Conclusion

This article covered the five primary job roles within the supply chain teams of e-commerce organizations in India. Beyond these positions, there are additional support roles in business, finance, and customer expertise departments, which will be explored in future content.

If you wish to gain further insights into job roles, business models, and opportunities in India's supply chain sector, consider subscribing to our channel for a comprehensive exploration of this dynamic field.

Keywords

  • E-commerce
  • Supply Chain Management
  • Job Roles
  • Demand Planning
  • Supply Planning
  • Warehousing
  • Transportation
  • City Logistics
  • Operational Skills
  • Analytical Skills

FAQ

1. What are the main job roles in the supply chain function of e-commerce companies? The main job roles include planning, procurement, warehousing, transportation, and city logistics.

2. What skills are important for operational supply chain roles? Key operational skills include understanding profit and loss for transport vendors, contract management, people management, and strong communication and negotiation skills.

3. What analytical skills are required in supply chain roles? Analytical skills include demand forecasting, network design, last-mile vehicle routing, and warehouse automation design.

4. How does a supply chain leader balance operational and analytical skills? A skilled supply chain leader typically possesses both operational and analytical skills; however, individuals may initially focus on one area and expand their skill set in the other over time.