APICS Supply Chain Manager Competency Model

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APICS SUPPLY CHAIN MANAGERCompetency Model

APICS SUPPLY CHAIN MANAGERCOMPETENCY MODELAPICS Corporate Office: 8430 West Bryn Mawr, Suite 1000, Chicago, IL 60631 USAPhone 773-867-1778 Toll Free 800-444-2742 Fax 773-639-3008 apics.orgAll rights reserved. No part of this publication covered by the copyright herein may be reproducedor copied in any form or by any means – graphic, electronic, or mechanical, including photocopying,taping, or information storage and retrieval systems – without written permission of the publisher. 2011 APICS The Association for Operations Management

INTRODUCTIONSupply chain managers are crucial to the global economy. They represent a unique discipline responsiblefor supporting the global network of delivering products and services across the entire supply chain,from raw materials to end customers. Specifically, supply chain managers engage in the design, planning,execution, control, and supervision of supply chain activities with the objectives of creating net value,building a competitive infrastructure, leveraging worldwide logistics, synchronizing supply with demand,and measuring performance globally.APICS The Association for Operations Management is the premier membership organization providingeducation, certification, and career development opportunities to supply chain professionals worldwide.The APICS Certified Supply Chain Professional (CSCP) Learning System and correspondingcertification gives professionals the knowledge and skills they need to be successful. Knowledge and skillscombined with work experience create the competencies required for individuals to excel in their careersand distinguish themselves in their field. In recognition of this, APICS developed the Supply ChainManager Competency Model to guide individuals considering careers in supply chain management,supply chain professionals seeking to advance their positions, and human resource managers who arehiring in this fast-growing field.About the modelThe structure of the APICS Supply Chain Manager Competency Model follows guidelines set by theEmployment and Training Administration of the United States Department of Labor. The model isvisually represented in a diagram for easy reference, as seen on the following page. The model is organizedinto tiers of competencies and includes descriptions of the activities and behaviors associated with eachcompetency. The Competency Model Clearinghouse defines competency as “the capability to apply or usea set of related knowledge, skills, and abilities required to successfully perform 'critical work functions' ortasks in a defined work setting.” In many cases, the competencies outlined in this model are adapted fromthe APICS Operations Management Body of Knowledge (OMBOK) Framework.AcknowledgementsThe APICS Supply Chain Manager Competency Model was a research project undertaken by the APICS2009 Future Leaders. They were supported by the 2009 Body of Knowledge Committee, the 2009 Voiceof the Customer Committee, and staff in the Professional Development Division of APICS. In addition,APICS leaders and staff used public domain information obtained from the Competency ModelClearinghouse (www.Careeronestop.org) in the model’s creation. 2011 APICS The Association for Operations Management

Foundational 2011 APICS The Association for Operations Management Bachelors or equivalent degree Supply chain industry association membership Transportationmanagement Supply chainsynchronization Risk management Sustainability Locating facilities Distribution Warehousing Logistics Internationalregulations Strategic sourcing andsupplier relationship Customer relationshipmanagementProfession-related Execution, planning, scheduling control Project management Accountability and responsibility Customer focus (internal and external) Planning and organizing Conflict management Reading and writingfor comprehension Applied scienceand technology Supply chainfundamentals Foundationsof businessmanagement Operationsand enterpriseeconomics Enabling technology Lean management Enabling technology application Awareness of theneeds of others Integrity Continuous learning Effective communication Interpersonal skills Creativityrepresent motives and traits as well as interpersonal and self-management styles and generally are applicable to a number of industries at a national level.Personal Effectiveness Competencies Math, statistics, andanalytical thinkingare primarily learned in an academic setting, and include cognitive functions and thinking styles.Academic Competencies Problem solving and decision making Teamworkrepresent those skills and abilities that allow individuals to function in an organizational setting.Workplace and Leadership Competencies Strategy development and application Supply chain management Process improvement and six sigmarepresent the knowledge, skills, and abilities needed by all occupations within operations management, including supply chain managers.Operations Management Knowledge Areas and Technical Competencies Performancetrade-offs Warehousemanagementrepresent the knowledge, skills, and abilities needed by supply chain managers. Applying lean and sixsigma tools Supply shain-specific certificationincludes requirements such as certification, licensure, and specialized educational degrees, or physicaland training requirements for supply chain managers.Supply Chain Manager Specific RequirementsSupply Chain Manager Knowledge Areas and Technical CompetenciesOccupation-related

FOUNDATIONAL COMPETENCIESPersonal Effectiveness CompetenciesPersonal Effectiveness competencies representmotives and traits as well as interpersonal and selfmanagement styles, and generally are applicableto any number of industries.Awareness of the needs of others Understand others' business needs and goals. Have perspective into others’ points of view. Build rapport and credibility with colleagues. Anticipate others’ needs and respond to theirconcerns and problems.Integrity Demonstrate trustworthiness and professionalismin dealing with clients, peers, and team members. Respond in a consistent manner to situations thatrequire honesty and candor. Avoid conflicts between work and personal interestsor activities.Continuous learning Demonstrate an interest in personal learning anddevelopment; seek feedback from multiple sourcesabout how to improve and develop; modify behaviorbased on feedback or self-analysis of past mistakes. Take steps to develop and maintain knowledge,skills, and expertise necessary to achieve positiveresults; participate fully in relevant training programsand actively pursue other opportunities to developknowledge and skills. Anticipate changes in work demands and participatein assignments or training that address thesechanging demands; treat unexpected circumstances asopportunities to learn. Engage in personal career development by identifyingoccupational interests, strengths, options, andopportunities; make insightful career planningdecisions based on integration and consideration ofothers’ feedback; seek out additional training topursue career goals.Effective communication Express information to individuals or groupsconsidering the audience and the nature of theinformation (e.g., technical or controversial);speak clearly and confidently; organize informationin a logical manner; speak using common Englishconventions including proper grammar, tone and pace;track audience responses and react appropriately tothose responses; effectively use eye contact and nonverbal expression. Receive, attend to, interpret, understand, and respondto verbal messages and other cues; pick out importantinformation in verbal messages; understand complexinstructions; appreciate feelings and concerns ofverbal messages. Practice meaningful two-way communication byspeaking clearly, paying close attention and seekingto understand others, listening attentively andclarifying information and attending to nonverbalcues and responding appropriately. Influence others; persuasively present thoughts andideas; gain commitment and ensure support forproposed ideas.Interpersonal skills Relate well to clients, colleagues, and team members. Maintain a positive, supportive, and appreciativeattitude. Actively listen to others and demonstrate anunderstanding of their point of view. Create an open environment that encourages peopleto work together to solve problems and improvepractices and services. Explore and resolve conflicts as they arise. Communicate clearly to avoid misunderstanding.Creativity Demonstrate intellectual curiosity about why thingsare the way they are. Challenge the status quo. Change, elaborate, adapt, and improve own ideasor those of others. Demonstrate a bias towards action; materializethoughts into products or services. 2011 APICS The Association for Operations Management

FOUNDATIONAL COMPETENCIESAcademic CompetenciesAcademic competencies are primarily learned in anacademic setting and include cognitive functions andthinking styles.Math, statistics, and analytical thinking Practice applied mathematics in collecting andinterpreting quantitative data. Demonstrate the ability to scrutinize and break downfacts and thoughts into their strengths and weaknesses. Develop the capacity to think in a careful anddiscerning way, to solve problems, to analyze data,and to recall and apply information.Reading and writing for comprehension Understand what has been read; gather informationfrom a text. Demonstrate an understanding of material read byforming opinions and sharing personal experiences. Apply the strategies of self-questioning, retelling, writing,summarizing, predicting and verifying, story mapping,role play, and responsiveness.Applied science and technology Demonstrate an understanding of the factors thatare considered important to the branch of knowledgeor technology. Understand the use of technology and its interrelationwith life, society, and the environment, drawing uponsuch subjects as industrial arts, engineering, appliedscience, and pure science. Develop knowledge of specific tools and how theyaffect a person’s ability to adapt to and control hisor her environment. Demonstrate an ability to gain knowledge orunderstanding to meet a specific, recognized need. Possess knowledge that is sufficiently general, clearlyconceptualized, carefully reasoned, systematicallyorganized, critically examined, and empirically testedwith regard to the specific science or technology.Supply chain fundamentals Understand that supply and logistics is a systemof organizations, people, technology, activities,information, and resources involved in moving aproduct or service from supplier to customer. P ossess basic knowledge of supply chain activities,including transformation of natural resources, rawmaterials, and components into a finished product thatis delivered to the end customer. Recognize the ways that supply chains link value chains.Foundations of business management U nderstand all management activities carried out inthe course of running an organization, includingcontrolling, leading, monitoring, adjusting, organizing,and planning. A nalyze financial statements and explain the implicationsof standard financial ratios and all components of thebalance sheet and income statement. C reate interactive decision support models thatallow the development of multiple scenarios anddemonstrate the sensitivity of outcome to multipleindependent variables. Calculate project and organizational cash flow forecasts;present value investment comparisons and risk-adjustedreturn calculations. Demonstrate knowledge of visual presentationtechniques including charting, histograms, and flowsheets, as well as oral and writtenpresentation techniques. Practice basic business communications. Understand fundamental organizational behavior.Operations and enterprise economics Understand the importance of and demonstrate the abilityto take raw materials or knowledge and convert it into aproduct or service that has more value to the customerthan the original material or data. Determine the success or failure rate of a businessusing financial accounting, incorporating terms andtechniques including: income; expense; cost of goodssold; gross margin; balance sheet; return on assets;inventory turns; capital asset management; andcash management. Employ the technique of break-even analysis, whichfinds the break-even point, the volume at whichrevenues exceed total costs. Find the Best Operating Level (BOL), the level of capacityfor which a process was designed. This is the also volumeof output at which average unit cost is minimized. 2011 APICS The Association for Operations Management

FOUNDATIONAL COMPETENCIES Use cost accounting systems to keep track of all costsof building products, labor, material, overhead, andvariances. These systems include activity-based costing(ABC) and cost analysis and control.Workplace and LeadershipCompetenciesWorkplace competencies represent those skills andabilities that allow individuals to function in anorganizational setting.Problem solving and decision making Practice goal-directed thinking and action in situationsfor which no routine solutions exist. Understand a problem situation and its step-by-steptransformation based on planning and reasoning. Demonstrate ability in choosing between alternativecourses of action using cognitive processes such asmemory, thinking, and evaluation. Demonstrate ability to map processes of likelyconsequences of decisions, to work out the importanceof individual factors, and to choose the best courseof action.Teamwork Demonstrate a commitment to the mission andmotivation to combine the team's energy andexpertise to achieve a common objective. Understand the dynamics of effective teamwork inorder to attain higher levels of team performance. Demonstrate ability to work as part of a tight-knitand competent group of people.Accountability and responsibility Demonstrate a willingness to accept responsibilityor and accountability for one’s actions. E xhibit a moral, legal, or mental accountability in areasfor which one is responsible. Understand that these two workplace competencies areintertwined, and that both abilities must be present inorder to succeed.Customer focus (internal and external) Understand this is an organizational orientation towardsatisfying the needs of potential and actual customers. Ensure that the whole organization, and not justfrontline service staff, puts its customers first. Ensure all activities, from the planning of a newproduct to its production, marketing, and after-salescare, are built around the customer. Understand that every department and every employeeshould share the same customer-focused vision. Practice good customer relations management andmaintain a customer relations program. Demonstrate ability able to balance the needs of theorganization and the needs of the customer.Planning and organizing Effectively plan what is to be achieved and involve allrelevant staff members. Anticipate important or critical events, identifyingresource requirements and assigning responsibilityfor specific work, including deadlines andperformance expectations. Demonstrate the use of information-gatheringtechniques, analyzing situations and identifyingimplications in order to make correct decisions. Demonstrate ability to monitor progress and to makechanges as required. Ensure that staff is aware they will be accountable forachieving the desired results through planned programevaluation and individual performance appraisal. Ensure that staff is provided with the necessary toolsto succeed.Conflict management Demonstrate ability to manage conflict by identifying andhandling conflicts in a sensible, fair, and efficient manner. Demonstrate skill in effective communicating, problemsolving, and negotiating with a focus on party interests.Enabling technology P rovide a means to generate giant leaps in performanceand capabilities of the user using equipment andmethodology. Possess knowledge of hardware and softwarecomponents which, when properly integrated,enable a specific process to be realized. Understand that all technology enables something. 2011 APICS The Association for Operations Management

PROFESSION-RELATED COMPETENCIESOperations Management KnowledgeAreas and Technical CompetenciesOperations management knowledge areas and technicalcompetencies represent the knowledge, skills andabilities needed by all occupations within operationsmanagement, including supply chain managers.Strategy development and application A nswer the questions: “Where are we going?” and“How are we going to get there?”, and create aspecific and purposeful path when there are clearanswers to these two questions. C reate a strategy based on the company’s corevalues, mission, and your vision. D etermine core competencies, strategic challenges. D evelop goals, objectives and specific strategies toaccomplish those goals. C reate priorities once objectives are determined. D eploy action plans throughout the organization. E stablish a process for aligning day-to-daydecisions to the strategic plan.Supply chain management Demonstrate ability to manage the network ofinterconnected businesses involved in the ultimateprovision of product and service packages requiredby end customers. Understand that supply chain management spansall movement and storage of raw materials, workin-process inventory, and finished goods frompoint-of-origin to point-of-consumption.Process improvement and six sigma Understand the systematic approach to closingof process or system performance gaps throughstreamlining and cycle time reduction, and identifyand eliminate causes of quality below specifications,process variation, and non-value-adding activities. Maintain company processes that afford optimumoperation and enhance the company’s qualitymanagement system. Demonstrate ability to visualize the total processand aid in locating problem areas using processmapping, quality improvement, and visualizationtools to locate, quantify, and correct root causes ofproblems. Perform periodic evaluations to maintain processesby gathering pertinent information, such asproblem symptoms from knowledgeable sourcesand carrying these through to the problems,potential causes, and root causes of the problem. H old gains in process improvements by establishingkey performance measurements, benchmarkingmetrics, and continuous process improvementinitiatives to improve process quality on continual basis.Execution planning, scheduling, and control Determine the need for material and capacity toaddress expected demand, execute the resultingplans, and update planning and financialinformation to reflect the results of execution. Plan the management function by defining goalsfor future organizational performance and decideon the tasks and resources needed to attainthose goals. Schedule a timetable of events and decide whenand where certain events will occur. Control and check errors, taking any correctiveaction so that deviation from standards areminimized and the stated goals of the organizationare achieved in a desired manner.Project management Understand the discipline of planning, organizing,and managing resources to bring about thesuccessful completion of specific project goalsand objectives. Achieve project goals and objectives while honoringthe project constraints, typically scope, time,and budget. Optimize the allocation and integration of inputsnecessary to meet pre-defined objectives. Define the set of activities that use resources,such as money, people, materials, energy, space,provisions, communication, and motivation, toachieve the project goals and objectives. 2011 APICS The Association for Operations Management

PROFESSION-RELATED COMP

APICS The Association for Operations Management is the premier membership organization providing education, certification, and career development opportunities to supply chain professionals worldwide. The APICS Certified Supply Chain Professional (CSCP

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