29th Annual Salary Survey: Experience pays
Our 2013 survey finds that the highest salaries in logistics and supply chain management will be earned by those sticking to time-honored values: education, hard work, and company loyalty.
By Patrick Burnson, Executive Editor
April 01, 2013
This year’s results—based on 1,262 qualified LM reader respondents—indicate that 60 percent did see a salary increase in 2012. Of that number, the median raise was 3 percent with the average raise coming in as high as 6 percent.
According to Judd Aschenbrand, director of research for PRG, the “median” metric is the one to watch, as it paints a more accurate picture of today’s marketplace. “The median is regarded by most statisticians as the most reliable benchmark,” he says. “But the average is important too. Apart from ‘standard deviation,’ our system provides a fairly complete overview of who’s earning what levels in the market.”
Those respondents with the title of “logistics manager” earned an average salary of $94,145—down substantially from the $99,600 average posted last year. But the median salary is just $87,00—up slightly from the $85,000 posted in 2012.
“What this means,” says Aschenbrand, “is that several senior executives are bringing in the really big bucks, while others who may work at smaller corporations are just treading water.” Indeed, based on response from logistics managers, salaries may have actually decreased in the median range.
Austerity and diversity
Austerity measures and “doing more with less” continue to inform most companies’ tactical direction, but there’s little doubt that long-term strategic plans will be reliant on attracting a younger and more diverse workforce. According to Rosemary Coates, an educator and president of Blue Silk Consulting in Los Gatos, Calif., women will be playing a much larger role in this industry in the coming decade.
“The supply chain and logistics arena is a place where there are a lot of existing problems,” says Coates. “Women are problem-solvers. We have traditionally had to deal with family budgets and evaluating risk and reward in our family lives, so when it comes to bringing value to employers, we can draw from that discipline and experience.”
Amanda Tillman couldn’t agree more. She’s a young carrier specialist with Kaiser Logistics in Milton, Wisc., who says that the “glass ceiling” may soon be athing of the past.
“Trucking is a ‘boy’s world,’” says Tillman, “but once a woman can get her foot through the door, the sky is the limit. While I like working for a family-run business, in five or 10 years, I hope to move up to a higher management level.”
Tillman, who has degrees in marketing and public administration, believes that ongoing education is a must. “You never stop learning when you get into this business,” she says, “and I would recommend logistics management to any young woman seeking a balanced and rewarding career.”
Brenda Gautier, director of operations for MW Logistics, LLC, in North Dallas, Texas, feels Tillman is on the right track. As a “seasoned professional,” she says she helped lay the groundwork for women to enter the senior ranks in logistics and transportation.
“It’s too late for me,” says Gautier, “but I’m glad I was among those willing to ‘fight the fight’ and create opportunities for others. Loyalty is rewarded in this business, and you can create considerable change within the company if you work hard and keep your passion.”
About the Author
Subscribe to Logistics Management magazine
Following the lead of FedEx Freight, who announced a general rate increase (GRI) earlier this week, ABF Freight System, the nation's sixth-largest LTL carrier, rolled out its own GRI this week, too.
Minimal to modest growth could serve as the theme of the most recent edition of the North Europe Global Port Tracker report produced by maritime consultancy Hackett Associates and the Institute of Shipping Economics and Logistics.
A supply chain expert says that a rule due next year focused on developing new fuel economy standards for heavy-duty trucks has tremendous potential for shippers and their supply chains in that it brings huge opportunities to cut emissions and reduce fuel consumption, as well as an overall benefit for the economy by reducing petroleum spend.
The requested budget includes $90.9 billion for the United States Department of Transportation, which was soundly endorsed by DOT Secretary Anthony Foxx, whom said that the requested funds will lay a new foundation for economic growth and competitiveness by addressing the nation’s growing infrastructure deficit, making investments into the national infrastructure network, and increasing safety and efficiency.
A majority (57%) of surveyed Chief Procurement Officers (CPOs) said short-term cost reduction is a higher priority than long-term growth in 2014, according to a new survey by Consero Group, an international leader in creating high-level, invitation-only events for senior executives.