There is a raft of new innovative technologies – blockchain, robotic process automation and cloud-based applications – revolutionising how the historically traditional procurement and supply chain industries are being operated worldwide. The degree to which companies in Singapore embrace these apparatuses is key to development and progression, according to Wouter Jaarsma, procurement & supply chain recruiting manager at Hays Singapore:
“In procurement and supply chain many companies want to transform their organisations through the digitalisation trend they see throughout the global market. With these new technologies becoming of greater importance, there is a growth in demand for candidates who understand the technology and how it can be optimised in order to make the supply chain more efficient. Locating these candidates in Asia will be critical in the coming years.”
Of these new technologies, the one having the greatest impact is blockchain thanks to its ability to make transactions more cost efficient in planning, as well as increasing visibility.
“With FMCG companies operating on both business-to-consumer and consumer-to-consumer levels, making these transactions – including both the transferral of goods and any monetary payments – as visible as possible is key,” says Wouter. “This is the key problem for big logistics companies, and any technology that can solve this issue whilst improving understanding of market demands will be crucial.”
However, due to the relative newness of the technological advances, companies are being hindered by stumbling blocks in two key areas: there are a limited number of candidates with the requisite digital experience, and most companies are unsure as to what skills they actually require.
“With the likes of blockchain, most companies know that it can help them, in principle. However, they are struggling with how to use it and even with what it is, so they really need candidates who can bring software experience and guide them in its implementation,” explains Wouter.
“To resolve this, some companies are looking outside of the procurement & supply chain sectors to industries in which these technologies are more commonplace, such as the tech and big data-heavy aerospace industry. After locating candidates from these areas, they are utilising their knowledge and transferrable skills to improve operations.”
Due to the disruptive nature of these new technological advancements, all levels of the industry are being shaken up, meaning that candidates are required from the top down.
“Companies where this is a totally new development are looking for experienced senior managers to create departments to be built around them. For these roles organisations are looking for individuals with a strong degree, superlative people management skills, a history of good progression at big industry names, regional exposure and a track record of implementing cost saving projects,” Wouter says.
“However, companies that are simply developing their big data departments are looking for junior analysts who can support managers with the right information.”
No matter the level, it is vital that candidates continue to evolve their knowledge in the new technologies. While procurement & supply chain candidates have a history of self-development, there is a suspicion that they are perhaps going about it the wrong way.
“Most candidates, particularly at the higher levels, have a tendency towards supplementing their degrees with an MBA, and while it is a nice qualification to have, it is far too generic. I believe that it is wiser to instead pursue more specific courses, such as those that help with understanding these new technologies, how they are going to affect the industry and how you can implement them,” Wouter notes.
“Also, attending conferences and networking events on these hot topics, last mile delivery, and how ecommerce is evolving, is a great way to broaden your knowledge.”
In these ways candidates can set themselves apart from the rest, and companies looking to steal a march on the competition will be keen to use this knowledge and experience in order to grow.
The procurement & supply chain industries may be traditional, but as important as tradition is, progression is not only inevitable, it is also crucial. For companies and candidates alike.
An overview of what other trends have been observed in Singapore’s Procurement & Supply Chain sector can be viewed below.
- Problems surrounding last mile delivery continue to be a major issue in the procurement & supply chain industries. While within Singapore problems are minimised due to the excellent infrastructure, companies operating throughout Asia are looking for ways to improve procedures.
- There is a current trend for MNCs looking to save costs by either centralising or decentralising regional hub operations outside of Singapore, and this is having a detrimental effect on the recruitment market. That experts believe that these companies will soon return due to a loss of efficiency is of little comfort for employees.
- With a shallow candidate pool of digital expertise to choose from, companies are looking internationally to source candidates. However, unless the digital niche is particularly sought after, the days of generous expatriate packages are long gone, and individuals must accept local packages.
- Companies operating in the supply chain field related to FMCG and life sciences have developed a focus on offering an improved work/life balance for their employees.
This is not the case for those in logistics, where working hours are long and tough, as customer response time grows in importance due to fickle consumer attitudes.
To read the full Inside Story report of Procurement & Supply Chain in Singapore, please click here.