What Is a Supply Chain Analyst? (And How to Become One)

Ever wondered how your laptop made its way from China to your nearest Walmart or Amazon warehouse and into your hands? Or where the trendy new Vietnamese restaurant in your neighborhood gets its fish sauce?

Even if you live in a rural town, you’ve most likely encountered products and services that participate in the global supply chain. In recent decades, the expansion of trade has required supply chain management to become leaner, more efficient, and flexible. But political and other unforeseen events, such as Russia's invasion of Ukraine or the COVID-19 pandemic, can disrupt supply chains.

Shortages due to transportation, logistics, and government sanctions can drive up prices of food, gas, and other essentials, as the world saw during the recent global supply chain crisis. While supply chain analysts and managers were previously able to make quick adjustments to resolve bottlenecks, the compounding forces have created some serious damage.

The good news is that the Government Job Bank of Canada expects the job growth rate to hold steady through 2031, meaning it’s a good time to become a supply chain analyst [1]. Learn more about how to launch your career in this in-demand field.

What is a supply chain analyst?

A supply chain analyst plays an important role in planning, analyzing, and monitoring a company’s supply chain distribution to ensure products make it to their destinations in a timely, cost-efficient manner.

Supply chain analysts usually work on specific projects. That could be a product launch in a new country or lowering costs by identifying new routes or suppliers. Supply chain analysts serve as the liaison between a company and its (usually overseas) suppliers. You may be in charge of researching fair prices and negotiating good deals. A supply chain analyst also monitors inventory stock in warehouses and tracks product needs using tools such as Systems Applications and Products (SAP) software.

Responsibilities and tasks

Supply chain analysts are the contact person for organizations that purchase overseas, working on end-to-end projects to ensure products get from point A to point B. 

Some common supply chain analyst responsibilities and tasks include:

• Monitoring data on current business operations, managing different pieces such as sourcing, warehousing, deliveries, and scheduling production

• Collecting and analyzing data to reduce costs and increase efficiency

• Managing supply chain processes and inventory using tools such as SAP software

• Maintaining professional relationships with vendors, acting as representatives of the company or organization to promote a positive image

• Consistently seeking ways to improve supply chain management, including evaluating approaches, processes, tools, and technology

Where they work

As a supply chain analyst, you’ll likely work in one of the main industries in which supply chain management is needed. These include retail or e-commerce stores that sell food; soft goods like clothing, shoes, and toiletries; large goods like cars; electronics; furniture; pharmaceuticals; and more.

That means you could be working as a supply chain analyst for any of these companies. That includes big names like 3M Canada, Cisco Systems Canada Co., Danone North America, and Ford Motor Company.Supply chain analysis is also needed at smaller companies such as Abaka, a Canada-based fashion brand.

You might also need supply chain analysis skills if you are a business consultant working for a consulting firm such as Accenture or Bain & Company.

Skills needed 

Just like any other business role, supply chain analysts must have core workplace (soft) skills alongside technical (hard) skills.

A supply chain analyst needs to demonstrate the following skills to succeed in the role:

• Effective communication: To collaborate with cross-cultural teams and colleagues, including suppliers and customers

• Critical thinking and problem solving: To develop and implement logistical plans, respond to issues that inevitably arise, and find solutions to improve costs and efficiency

• Interpersonal skills: To coordinate the complex movement of products between suppliers, warehouses, and customers. Active listening and a love of people can be helpful, especially if you rise up in supply chain roles

• Organizational skills: To maintain records across various tools and systems and manage multiple simultaneous projects

• Time management: To keep up with the fast-paced environment with competing priorities and deadlines

• Knowledge of tools and technology: To handle all of the data on enterprise resource planning (ERP) technology, such as SAP, and process it in a way that makes business sense

Companies need supply chain analysts at each stage of supply chain management. As a supply chain analyst, you might specialize in the following stages or focus areas:

• Production planning

• Inventory management

• Raw material sourcing

• Demand planning

• Supply chain network design

• Distribution planning

Salary and job outlook for supply chain analysts

According to the Government of Canada Job Bank, the pay for supply chain process analysts ranges between $25.00 CAD and $67.69 CAD per hour [2]. The Government of Canada Job Bank expects the job growth rate to hold steady through 2031[1]. 

Additionally, as e-commerce continues to expand, companies will likely need more just-in-time deliveries. As a result, the outlook for supply chain related careers is a bright one.

How to become a supply chain analyst

To become a supply chain analyst, you should earn a bachelor’s degree. If you already have one and are hoping to switch careers, then you can skip the first step and focus on building your skills and work experience.

Follow these steps to begin your career as a supply chain analyst.

1. Get a bachelor’s degree.

While not all supply chain analysts need to have a bachelor’s degree to land a job role, your chances of getting hired are much higher if you do. A degree in business administration would be a great choice. 

The field of supply chain management is complex and fast paced and requires managing many moving parts (literally!), so you should have a strong technical know-how of tools such as SAP, as well as business acumen, problem solving, and quantitative analysis skills.

2. Build your skills.

Build your skills and knowledge of supply chain management and analytics with a course. If you feel you need to brush up on communication skills, you can enrol in public-speaking courses, or you can practise active listening at home or in the workplace.

If you require technical skills, play around with SAP or Excel. To gain familiarity with Microsoft Excel, complete short guided projects on Finding, Sorting, & Filtering Data in Microsoft Excel and Create Charts and Dashboard using Google Sheets.

3. Apply for entry-level jobs.

Next, you’re ready to apply for some jobs! You might want to start by researching companies or organizations you’d like to work for and narrowing your search from there. 

Make sure to create (or clean up) your resume or CV and write an original cover letter for the supply chain analyst roles that interest you. If you are switching careers, modify your resume and brush up on your interviewing skills.

Other names for supply chain analyst 

“Supply chain analysts” might look different when you’re searching for jobs online. Some other names for similar job roles include strategic sourcing analyst, business methods analyst, management analyst, records management specialist, and organization and methods researcher analyst.

Prepare for a career as a supply chain analyst

A supply chain analyst plays a crucial role in optimizing supply chain processes by managing inventory, analyzing data, and coordinating with vendors, making it an in-demand career with strong growth prospects and competitive salaries.

Discover a rewarding career in business by securing a position as a supply chain analyst. Launch your business career with a specialization in Supply Chain Analytics Specialization from Rutgers University on Coursera. In as little as two months, you’ll master all the data-driven tools you need to improve a company’s supply chain performance.