In an exclusive to SCMPro, Logistics Executive shares its compilation of Salary Survey Report 2014 that covers the entire spectrum of salary bands and geographical territories in India.

1. SCMPr n Academic Advocacy
n Survey
n Knowledge
n Human Resource
Supply Chain Management Professional
Academic
Advocacy
Forecasting, Demand
Management and
Capacity Planning
Page...8
Knowledge
On Time In-Full
Page...40
COLUMN
Glass ceiling of
Forecast Accuracy
Page...31
April 2014 Vol. 2—No. 2
`150
Salary
survey 2014
Page 32
In This
Issue

2. 32 SCMPr April 201432 SCMPr March 2013
In an exclusive to SCMPro, Logistics Executive shares its compilation of Salary
Survey Report 2014 that covers the entire spectrum of salary bands and
geographical territories in India.
Methodlogy
The research and information contained within this report has been compiled by the Logistics Executive
Group from research undertaken and intelligence gathered in the course of its everyday business activities.
The Logistics Executive Group was founded in 1999 and has offices in India, Australia, Singapore, Hong
Kong, China, Dubai and United Kingdom. Specialising in Logistics & Supply Chain Executive Recruitment,
Business Consulting and Training, the company has an active database in excess of 125,000 logistics and sup-
ply chain professionals.
Information contained within this report is compiled from data contained with our extensive database,
business acquired intelligence and regular research surveys, which includes the Global Employment Market
Report (now in its 8th year). The Global Employment Market Report is an online survey of approximately
10-15 minute duration and was emailed to more than 75,000 people within the Supply Chain & Logistics
Industry in late 2013. About 5,178 respondents completed the survey. NB: The results are purely indicative in
terms of overall trends within the industry.
Further to this, the Logistics Executive Group undertook a series of interviews with HRD‘s and HR Person-
nel validating this data and this information has been incorporated into the final document produced. Sources
for this particular research includes:
n Human Resource Director Interviews
n Business briefing provided by CEO’s of leading 3PL companies
n Logistics Executive’s Employment Market Report data from late 2013
n Logistics Executive’s business intelligence database
n Candidate and Client interviews (conducted by Logistics Executive Group)
aken
ffices
d in-
obal
,000
and
n analysis n Practice n knowledge n Survey n human resource

3. salary survey
33SCMPr April 2014 33
Look Within
L
ogistics Executive Group has regu-
larly undertaken research and gath-
ered intelligence to bring out a Sal-
ary Guide report for the logistics industry.
And the findings do bring surprises. While
the cost of logistics continues to spiral in
India, there seems to be little technique to
bring it down.
However, there are numerous changes in
this sector. The retail sector has grown and
this has brought in changes in the logistics as
well. What is heartening is the vast number
of employees that the logistics sector will
need in the future in this sector.
Moreover, while costs are worrying, most
logistics managers are also worried about the
new types of industries that are coming up,
such as e-commerce and e-retailing. This is
ensuring that the supply chain and logistics
industry will undergo a transformation and
there could be a need for radical change. It
will also require the managers to cater to
B2C and C2C markets – something that
could be new to them.
This means that the supply chain indus-
try will have to step up to create new talent
pools and also look for new types of talent
in the industry. Talent shortage is not some-
thing that can merely be filled with new
candidates. The government of India must
create courses that will enable emergence of
new courses and encourage students to take
up supply chain as a career course. Accord-
ing to PWC, in their recently released 2030
Transport and Logistics report, the logistics
industry will need to find more than 17 mil-
lion more workers over the next 10 years. As
an industry, the supply chain is not attractive
to a lot of people. It’s associated with ports
and docks, warehouses, etc. But there’s much
more to that.
Most companies need to attract talent by
branding themselves and thus gain the trust
of job seekers. There’s also the apprehension
that the logistics sector is a poorly paid one
and there’s no scope for growth and learn-
ing. HR should work towards changing this
by offering a multicultural work environ-
ment and overseas training assignments and
projects. Also the compensation and benefits
should be benchmarked and made as attrac-
tive when compared to other industries.
Surprisingly, the supply chain sector is
also attracting women. Those associated with
this sector will see that more women have
also joined the workforce and have taken
up eminent positions. If companies modify
their benefits and compensation structures
along with the working conditions offered
then more women are likely to take this
up. They should provide flexibility in work
hours, work-life balance programs (working
from home and with flexible work hours),
on-site child-care services, career-counsel
and mentoring for women employees.
It would also help if companies moved
in quickly and thought up innovative ways
to hire new talent, men and women, from
other industries that will help them bring
in ideas, skills and experience. Referral pro-
grams should be made more rewarding and
so too the employee retention schemes.
The rate of attrition depends on several
factors. While most of the time, people cite
money as the reason, there needs to be a
good working culture in the company and
a strong reason to stay. A lot of people now
also want career advancement, while of
course money is a motivator.
Training employees and commitment to
them from the employer’s side will definitely
help any organization.

4. salary survey
34 SCMPr April 2014
Supply Chain & Logistics 2014 India Salary Survey Report
2
Industry / Supply Chain Management
Position Mumbai Chennai Delhi Bangalore Pune Hyderabad
VP/ Director Supply Chain 75
-­‐
95
75
-­‐
85
70
-­‐
95
75
-­‐
80
75
-­‐
80
65
-­‐
75
VP/Director Logistics 45
-­‐
50
40
-­‐
50
40
-­‐
55
40
-­‐
50
40
-­‐
45
40
-­‐
45
General Manager Supply Chain 40
-­‐
80
30
-­‐
50
40
-­‐
75
25
-­‐
35
22
-­‐
45
24
-­‐
45
General Manager Logistics 35
-­‐
50
30
-­‐
45
30
-­‐
50
25
-­‐
40
25
-­‐
45
25
-­‐
35
Operation / Warehousing
Regional Logistics Manager 18
-­‐
24
7
-­‐
15
17
-­‐
22
14
-­‐
18
8
-­‐
15
8
-­‐
15
Warehouse / DC Manager 6
-­‐
12
5
-­‐
8
5
-­‐
12
5
-­‐
8
4
-­‐
8
5
-­‐
8
Warehouse/Operations Executive 2
-­‐
6
2
-­‐
5
2
-­‐
6
2
-­‐
5
2
-­‐
6
2
-­‐
4
Lean / Quality / Six Sigma Manager 10
-­‐
16
8
-­‐
15
10
-­‐
17
6
-­‐
11
6
-­‐
15
8
-­‐
12
Logistics Specialist 5
-­‐
8
4
-­‐
6
5
-­‐
8
5
-­‐
6
3
-­‐
6
3
-­‐
6
Procurement / Purchasing
Procurement VP / Director 65
-­‐
70
35
-­‐
50
65
-­‐
75
30
-­‐
50
30
-­‐
50
30
-­‐
40
Senior Procurement Manager 18
-­‐
30
15
-­‐
20
15
-­‐
30
12
-­‐
20
12
-­‐
20
12
-­‐
20
Senior Quality Manager 8
-­‐
20
8
-­‐
12
8
-­‐
20
9
-­‐
18
8
-­‐
13
8
-­‐
12
Sourcing Manager 7
-­‐
15
6
-­‐
12
8
-­‐
15
7
-­‐
12
8
-­‐
10
5
-­‐
9
Purchasing Manager 5
-­‐
9
5
-­‐
9
5
-­‐
9
5
-­‐
9
5
-­‐
9
5
-­‐
8
Purchasing Officer 2
-­‐
5
2
-­‐
4
2
-­‐
5
2
-­‐
5
2
-­‐
4
2
-­‐
4
Inventory, Planning & Demand
Demand/ Supply Planning Head 25
-­‐
35
18
-­‐
25
25
-­‐
30
20
-­‐
25
18
-­‐
25
18
-­‐
25
Supply Chain Manager 12
-­‐
20
12
-­‐
16
12
-­‐
18
10
-­‐
15
10
-­‐
15
10
-­‐
12
Planning / Forecast Manager 7
-­‐
15
5
-­‐
12
7
-­‐
15
6
-­‐
11
5
-­‐
11
7
-­‐
11
Planner 5
-­‐
9
5
-­‐
8
5
-­‐
9
5
-­‐
7
5
-­‐
7
5
-­‐
7
Commodity Manager 8
-­‐
12
6
-­‐
9
8
-­‐
12
8
-­‐
12
9
-­‐
10
8
-­‐
10
Inventory Manager 5
-­‐
7
5
-­‐
6
5
-­‐
7
5
-­‐
6
5
-­‐
7
5
-­‐
6
Inventory Controller 3
-­‐
7
2
-­‐
5
3
-­‐
7
2
-­‐
6
2
-­‐
5
2
-­‐
5
Consulting &Project Management
Supply Chain Consultant 15
-­‐
35
12
-­‐
30
15
-­‐
35
15
-­‐
25
12
-­‐
20
12
-­‐
20
Project Implementation Manager 12
-­‐
19
10
-­‐
14
10
-­‐
19
13
-­‐
18
9
-­‐
14
10
-­‐
14
Project Manager 15
-­‐
20
14
-­‐
16
13
-­‐
20
12
-­‐
15
10
-­‐
12
10
-­‐
15
Transport
General Manager Transport 40
-­‐
55
30
-­‐
40
40
-­‐
55
25
-­‐
30
15
-­‐
25
15
-­‐
20
National Distribution Head 25
-­‐
35
22
-­‐
35
23
-­‐
35
14
-­‐
26
15
-­‐
25
15
-­‐
25
Zonal Distribution Manager 12
-­‐
16
9
-­‐
12
10
-­‐
14
9
-­‐
12
9
-­‐
12
9
-­‐
12
Transport Controller 5
-­‐
7
5
-­‐
7
5
-­‐
7
4
-­‐
6
3
-­‐
5
3
-­‐
5
Sales & Marketing
Sales Director 65
-­‐
75
40
-­‐
50
65
-­‐
75
30
-­‐
45
25
-­‐
40
25
-­‐
40
Area Sales Manager 30
-­‐
45
25
-­‐
35
30
-­‐
45
25
-­‐
35
15
-­‐
20
15
-­‐
20
Regional Brand Director 20
-­‐
35
15
-­‐
30
20
-­‐
35
15
-­‐
22
13
-­‐
22
13
-­‐
22
Regional Brand Manager 15
-­‐
20
14
-­‐
17
15
-­‐
20
10
-­‐
20
13
-­‐
17
10
-­‐
15
Territory Sales Manager 7
-­‐
12
6
-­‐
10
7
-­‐
12
7
–
10
7
–
10
7
-­‐
10
Salary data is shown as a range from low – high and is displayed as an Annual Base Salary in Lakhs Per Annum.
Additional benefits such as annual bonus, company vehicles or travel allowances may apply. (Cr) = Crores.
Supply Chain & Logistics 2013 India Salary Survey Report
2
Industry / Supply Chain Management
Position Mumbai Chennai Delhi Bangalore Pune Hyderabad
MD / GM Logistics 75 - 95 75 - 85 75 - 95 75 - 80 75 - 80 50 - 75
Supply Chain VP / Director 45 - 80 30 - 50 40 - 75 25 - 35 22 - 45 24 - 45
Logistics Director 22 - 60 30 - 45 30 - 65 25 - 40 25 - 50 25 - 35
Operation / Warehousing
Regional Logistics Manager 18 - 24 7 - 18 17 - 22 14 - 18 8 - 18 8 - 18
Warehouse / DC Manager 6 - 12 5 - 8 5 - 12 5 - 8 4 - 10 5 - 8
Warehouse/Operations Executive 2 - 6 2 - 5 2 - 6 2 - 5 2 - 6 2 - 4
Lean / Quality / Six Sigma Manager 8 - 16 8 - 15 9 - 17 6 - 11 6 - 15 8 - 12
Logistics Specialist 5 - 8 4 - 6 5 - 8 3 - 6 3 - 6 2 - 6
Procurement / Purchasing
Procurement VP / Director 40 - 75 30 - 45 40 - 75 25 - 50 25 - 50 25 - 40
Senior Procurement Manager 12 - 20 10 - 15 12 - 18 10 - 15 10 - 14 9 - 14
Senior Quality Manager 8 - 20 8 - 12 8 - 20 9 - 18 8 - 13 8 - 13
Sourcing Manager 7 - 15 6 - 14 8 - 15 7 - 11 5 - 10 5 - 9
Purchasing Manager 5 - 9 5 - 9 5 - 9 5 - 9 5 - 8 5 - 7
Purchasing Officer 2 - 5 2 - 4 2 - 5 2 - 5 1 - 4 2 - 4
Inventory, Planning & Demand
Demand/ Supply Planning Head 25 - 35 18 - 25 22 - 30 20 - 25 16 - 25 18 - 25
Supply Chain Manager 12 - 20 12 - 16 12 - 20 10 - 17 10 - 15 7 - 11
Planning / Forecast Manager 7 - 12 5 - 9 5 - 12 6 - 9 5 - 7 7 - 9
Planner 5 - 9 5 - 8 5 - 9 5 - 7 5 - 7 5 - 7
Commodity Manager 8 - 12 6 - 9 8 - 12 8 - 12 9 - 10 8 - 10
Inventory Manager 5 - 7 3 - 5 5 - 7 3 - 5 5 - 7 3 - 5
Inventory Controller 3 - 7 1 - 5 3 - 7 2 - 6 2 - 5 2 - 5
Consulting &Project Management
Supply Chain Consultant 12 - 35 12 - 30 15 - 35 15 - 25 8 - 15 8 - 15
Project Implementation Manager 12 - 19 7 - 14 10 - 19 13 - 18 9 - 14 10 - 14
Project Manager 12 - 20 14 - 16 13 - 20 12 - 15 10 - 12 10 - 13
Transport
General Manager Transport 20 - 35 18 - 25 20 - 30 20 - 30 15 - 20 15 - 20
National Distribution Head 25 - 50 22 - 35 23 - 45 14 - 26 15 - 25 15 - 25
Zonal Distribution Manager 12 - 16 9 - 12 10 - 14 9 - 12 11 - 14 11 - 14
Transport Controller 5 - 7 5 - 7 5 - 7 4 - 6 2 - 5 2 - 5
Sales & Marketing
Sales Director 30 - 75 30 - 50 30 - 75 30 - 45 25 - 40 25 - 40
Area Sales Manager 12 - 15 10 - 14 12 - 16 12 - 15 9 - 11 9 - 11
Regional Brand Director 15 - 35 15 - 30 15 - 35 15 - 22 13 - 22 13 - 22
Regional Brand Manager 15 - 25 14 - 22 15 - 25 10 - 20 13 - 17 10 - 15
Territory Sales Manager 7 - 12 6 - 10 7 - 12 5 - 9 6 - 9 5 - 8
Salary data is shown as a range from low – high and is displayed as an Annual Base Salary in Lakhs Per Annum.
Additional benefits such as annual bonus, company vehicles or travel allowances may apply. (Cr) = Crores.
SCMPr

5. salary survey
35SCMPr April 2014
Supply Chain & Logistics 2014 India Salary Survey Report
3
Logistics Service Providers (LSP/3PL’s)
Position Mumbai Chennai Delhi Bangalore Pune Hyderabad
CEO / MD / Country Manager 80
-­‐
2.0
(Cr)
75
-­‐
1.5(Cr)
80
-­‐
2.0
(Cr)
75
-­‐
1.5
(Cr)
60
-­‐
1.0
(Cr)
60
-­‐
1.0
(Cr)
COO/Director 75
-­‐
90
60
-­‐
75
75
-­‐
90
65
-­‐
75
50
-­‐
65
50
-­‐
65
General Manager 40
-­‐
55
30
-­‐
45
40
-­‐
55
30
-­‐
45
30
-­‐
40
30
-­‐
40
Regional Manager 25
-­‐
30
20
-­‐
25
25
-­‐
30
20
-­‐
25
12
-­‐
20
12
-­‐
20
Branch Manager 15
-­‐
20
8
-­‐
10
15
-­‐
20
8
-­‐
10
8
-­‐
10
8
-­‐
10
Sales & BD
VP / GM / Sales Director 45
-­‐
65
35
-­‐
40
45
-­‐
60
35
-­‐
45
35
-­‐
40
25
-­‐
30
National Sales Manager 35
-­‐
50
25
-­‐
35
35
-­‐
50
25
-­‐
35
25
-­‐
35
25
-­‐
28
Regional Sales Manager /
Territory Manager
22
-­‐
32
15
-­‐
18
22
-­‐
32
12
-­‐
18
14
-­‐
18
10
-­‐
15
BD Manager (3PL) 12
-­‐
18
8
-­‐
14
10
-­‐
18
8
-­‐
14
8
-­‐
12
8
-­‐
10
BD Manager (Freight) 8
-­‐
15
7
-­‐
13
8
-­‐
15
7
-­‐
13
6
-­‐
12
6
-­‐
11
Key Account Manager 10
-­‐
18
8
-­‐
12
10
-­‐
18
10
-­‐
13
8
-­‐
10
5
-­‐
8
Sales Executive 4
-­‐
7
3
-­‐
6
4
-­‐
7
4
-­‐
5
3
-­‐
5
3
-­‐
5
Operations
3PL Contract Manager 30
-­‐
45
25
-­‐
35
35
-­‐
40
22
-­‐
35
20
-­‐
30
18
-­‐
30
Warehouse/Operations/DC Site
Manager
8
-­‐
15
7
-­‐
9
8
-­‐
12
8
-­‐
12
6
-­‐
9
5
-­‐
8
Warehouse/Operations Executive 5
-­‐
10
4
-­‐
8
4
-­‐
8
5
-­‐
9
5
-­‐
7
4
-­‐
7
Import/Export Manager 6
-­‐
10
6
-­‐
8
6
-­‐
10
5
-­‐
8
4
-­‐
6
4
-­‐
6
Air Freight / Sea Freight Manager 14
-­‐
18
10
-­‐
15
12
-­‐
18
8
-­‐
12
8
-­‐
10
8
-­‐
10
Shipping Clerk 3
-­‐
4
3
-­‐
4
3
-­‐
5
3
-­‐
5
3
-­‐
4
2
-­‐
4
Project Manager
Project Implementation Manager 15
-­‐
19
10
-­‐
14
12
-­‐
15
10
-­‐
14
10
-­‐
12
8
-­‐
12
Project Manager – WMS/TMS 18
-­‐
22
14
-­‐
20
16
-­‐
20
14
-­‐
18
10
-­‐
12
12
-­‐
14
Transport
General Manager Transport 45
-­‐
60
25
-­‐
40
40
-­‐
50
25
-­‐
40
25
-­‐
35
20
-­‐
30
National Transport Manager 35
-­‐
45
30
-­‐
40
35
-­‐
40
25
-­‐
35
25
-­‐
35
25
-­‐
35
Line-haul Manager 22
-­‐
28
20
-­‐
22
20
-­‐
24
16
-­‐
20
15
-­‐
22
12
-­‐
17
National Compliance Manager 15
-­‐
25
12
-­‐
18
15
-­‐
25
10
-­‐
14
7
-­‐
10
7
-­‐
12
Site Manager 10
-­‐
15
8
-­‐
1
3
10
-­‐
14
8
-­‐
12
7
-­‐
10
7
-­‐
10
Fleet Manager 12
-­‐
15
8
-­‐
12
12
-­‐
15
8
-­‐
10
7
-­‐
9
6
-­‐
9
Workshop Manager 6
-­‐
9
5
-­‐
9
6
-­‐
9
4
-­‐
6
4
-­‐
5
3
-­‐
5
Disclaimer:
Logistics
Executive
is
committed
to
the
highest
standard
and
quality
of
information
and
every
attempt
has
been
made
to
present
up-­‐to-­‐date,
accurate
information.
The
information
contained
herein
is
general
in
nature
and
is
not
intended
as,
and
should
not
be
construed
as
professional
advice
provided
by
Logistics
Executive
to
the
reader.
While
every
effort
has
been
made
to
offer
current
and
accurate
information,
errors
can
occur.
Much
of
this
information
is
obtained
from
records
that
for
reasons
of
privacy
are
confidential.
This
information
is
provided
as
is,
with
no
guaranty
of
completeness,
accuracy,
or
timeliness,
and
without
warranty
of
any
kind,
expressed
or
implied,
including
any
warranty
of
performance,
merchantability,
or
fitness
for
a
particular
purpose.
In
addition,
changes
may
be
made
in
this
information
from
time
to
time
without
notice
to
the
user.
The
reader
also
is
cautioned
that
this
material
may
not
be
applicable
to,
or
suitable
for,
the
reader’s
specific
circumstances
or
needs,
and
may
require
consideration
of
additional
factors
if
any
action
is
to
be
contemplated.
The
reader
should
contact
a
professional
prior
to
taking
any
action
based
upon
this
information.
Logistics
Executive
assumes
no
obligation
to
inform
the
reader
of
any
changes
in
law,
business
environment,
or
other
factors
that
could
affect
the
information
contained
herein.
Salary data is shown as a range from low – high and is displayed as an Annual Base Salary in Lakhs Per Annum.
Additional benefits such as annual bonus, company vehicles or travel allowances may apply. (Cr) = Crores.

6. salary survey
36 SCMPr April 2014
Changing Fortunes - Salary
Trends in 2014
I
n the past 10 years, the rise in con-
sumer purchasing power, growing
consumerism and brand proliferation
has driven growth beyond India’s tradi-
tional industrial growth sectors.
As good example of this is retail mod-
ernization in India and according to the
Investment Commission of India, the re-
tail sector is expected to grow almost three
times its current levels to $660 billion by
2015 (just two years away). The grow-
ing Indian market has already attracted a
number of foreign retailers and domestic
Corporates to invest in this booming sec-
tor and with new FDI regulations com-
ing into effect, it is only a matter of time
before multi-brand retail changes the re-
tail supply chain sector forever.
The rise of the middle class consumer
brings with it significant advances in lift-
ing India towards a ‘first-world’ economy
and will see rapid change in the social
economics of its people.
But it’s not without its challenges for
the supply chain and logistics sector.
Costs of logistics are still higher in In-
dia than in more developed economies.
In fact, the logistics industry in India,
which is expected to touch US$200 bil-
lion by 2020 has a estimated cost of logis-
tics in India valued at 13 – 14% of GDP,
whereas in developed nations the cost is
in the range of 7-8% of their GDP.
It’s alarm bell that rings loudly in cor-
porate head offices around the world,
when they compare this cost metric with
best practice. And the challenge of re-
ducing the cost of logistics isn’t getting
easier. As the Indian economy continues
to recover from it’s recent recession, the
logistics industry will still need to ex-
pand in order to continue to service the
steady recovering manufacturing and re-
tail markets. Although be it that growth
and expansion with come largely in the
form it has evolved over the past 5 years-
but it will bring with it none of the cost
control measures, supply rationalisation
and supply chain innovation that MNC’s
drove heavily (and with urgency) in more
mature markets during the 2008 Global
Finance Crisis (GFC). The bi-product of
which is shorted supply chains, reduced
costs and more adaptable.
Having said that, change is happen-
ing. Particularly in multi-modal trans-
port, specifically in the trucking and rail
sectors where growth will exceed that
of domestic airfreight as cost becomes a
significant factor. Likewise, the trend of
moving international airfreight to ocean
is expected to remain a key factor in
2014/2015.
It not just costs that are resting on the
minds of supply chain executives. We are
seeing new emerging disruptive indus-
tries coming to the fore in India, such
as e-commerce and e-retailing. All of
which is driving the way we think about
the traditional supply chain models and
the wider distribution model that is now
required to serve a B2C and even C2C
markets.
Growing Pains - Talent Crunch still
the number one challenge
Its been talked about for some time, but
the rapidly evolving transportation and
logistics industry faces a big challenge in
terms of finding its next skilled workforce.
The Transportation, Logistics, Ware-
housing and Packaging Sector in India
currently employ’s around 7.3 million
people. Over 90% of this talent pool is
employed in the Road and Rail Transport
sectors and with the expected growth,
this sector is continuously seeking new
additional talent, whilst struggling to re-
tain it existing employees.
Talent shortages are most prevalent
in the established logistics hubs includ-
ing Mumbai, Kolkata and Chennai as
well as emerging hubs of Gurgaon, Vi-
zag, Nagpur, Indore, Jamshedpur, Anwar,
Ahmedabad, Bangalore and Ambala, and
Kochi.
It’s an alarming trend that requires an
Indian Industry and Government solu-
tion. According to PWC, in their recent-
ly released 2030 Transport and Logistics
report, the logistics industry will need to
find more than 17 million more workers
over the next 10 years.
Moreover, it’s an industry that is just
‘not sexy’. When measured against other
emerging sectors like Entertainment, So-
cial Media, IT, the Logistics industry is
just not seen as attractive to tomorrow’s
workforce.
Working in logistics industry is usual-
ly associated with working in warehouses,
onships or roads, none of whichare con-
sidered a favourable working environ-
ment. Not helping this attractiveness is
that Logistics is largely seen as a ‘blokes’
world. It’s a warning bell to Indian execu-
tives given the success that is seen in de-
veloped economies when effort is focused
on building diverse workforces for all.
Supporting these talent challenges,
Logistics Executive Group’s 2014 Em-
ployment Market Reportfound that more
than 61.55% of respondents agreed that
it has become harder for them to source
quality staff. This is significant up from
2012 and 2013.
The lack of trained manpower is cer-
tainly being felt by the warehousing
sector and this is not likely to let up in

7. salary survey
37SCMPr April 2014
2014. In fact, by 2015, India will need
approximately 35,000 to 40,000 ware-
house managers– a real challenge given
the lack of investment being made at the
grass root in developing enough trained
manpower.
With increasing supply chain complex-
ity, improved warehouse management
processes and operations with more de-
manding customers, lack of attraction for
new recruits arising from poor working
conditions, relatively less attractive incen-
tives and benefits, and the emergence of
attractive alternate career options are hav-
ing a significant contribution to the skill
shortage in the Indian warehousing sector.
The operational needs for the industry
as far as skilled labour is concerned, will
undergo a tremendous change as a result
of the changing economy. It will also raise
training needs because of technological
changes as well as evolving customer ex-
pectations.
What companies need to do is start
branding and gain popularity with job
seekers. HR should work towards chang-
ing this by offering a multicultural work
environment and overseas training assign-
ments and projects. Also the compensa-
tion and benefits should be benchmarked
and made as attractive when compared to
other industries.
Identify New Labour Pool- Attract
More Women to Logistics Sector
The idea that women can be key contrib-
utors is still a hard concept to promote in
most sectors. Unfortunately this is par-
ticularly true in the Supply Chain and
Logistics industry, which is still largely
male dominated.
It’s a tough task to attract women to
transport and logistics sector but compa-
nies that succeed will get access to new
talent pool. This will increase gender and
cultural diversity in work place and in
turn will enhance innovation and creativ-
ity. Logistics companies often struggle
to increase their soft skills such as inter-
personal skills and people management.
Such skills are inherently attributed and
predominant to women. Transportation
and logistics companies should encour-
age appointment of women to top jobs
in the C-suite.
There is a lack of reliable data in the
market place but recent surveys would
suggest that globally the numbers of
women participating in supply chain and
logistics are as low as 20% - 30%. Ac-
cording to the industry group “Women
in Supply Chain, UK” Women account
for just 22% of the logistics workforce in
England, compared with 46% in other
sectors, and women hold fewer than 10%
of the managerial roles in Logistics. In In-
dia this number is likely to be lower.
However there is evidence that things
are changing. The number of women
taking up tertiary study in supply chain
and logistics is higher than ever, with uni-
versities globally running a wide range of
initiatives to increase diversity.
At the same time, there has been an
increased awareness that supply chain
and logistics qualifications are no longer a
male domain. The result being that there
is a growing pool of talented women
coming through at university level.
Most importantly companies need to
modify their benefits and compensation
structures along with the working condi-
tions offered. They should provide flex-
ibility in work hours, work-life balance
programs (working from home and with
flexible work hours), on-site child-care
services, career-counsel and mentoring
for women employees.
Employers should make the employ-
ees feel the importance and values their
daily job activities add to overall organi-
zation success.
Aim for Strategic Recruitment
According to Madhuri Mathur, Gen-
eral Manager, Logistics Executive
India,“most of the players in logistics
industry still rely on job posting and
resume search to find right employees.
They overlook the need to hire a good
recruitment partner. A good recruitment
agency develops their talent pool with
networking and also account for talent
outside current geography in the global
market”.
Organisations that recognise and em-
brace the link between people, company
performance and who actively invest in
the next generation of talent manage-
ment programs will lead the market in
the long term.
Companies need top move quickly to
adopt innovative hiring techniques and
hire candidate from other industries,
bringing in new ideas, skills and experi-
ence. Employee referral programs should
be made more rewarding and so too the
employee retention schemes.
The blurring of the line between em-
ployees within the organization and those
outside of it is also driving talent man-
agement changes, particularly around
sourcing, strategic workforce planning
and employee engagement. Given these
changes, executives in leading companies
are increasingly focused on talent man-
agement issues and workplace alignment,
recognizing that talent, wherever it comes
from is their only sustainable competitive
advantage.
In an effort to turn challenge into op-
portunity, leading-edge organizations
have increased their efforts to tap into
wider talent markets and build a network
of intellectual human capital engagement
platforms that extend not only to em-
ployees but also customers, partners and
the public at large in an effort to create
an extended connection to the potential
talent.
Retaining best people for future
growth
People leave jobs for many reasons, and
our 2014 survey shows major factor
contributing to people leaving organiza-
tion is Career Advancement (although it
should also be said that when asked why
they joined their new employer?, most
respondents answered ‘Money’).
Most organizations do have employee
retention strategies with mix success with
training and development plays keying
role in these strategies. However, only
about 20% of people are satisfied by the
training offered/arranged by the employer.
Generally people look at their supervi-
sors to identify their strengths and weak-
nesses, mentor them, and support them

8. salary survey
38 SCMPr April 2014
to improve on their weaknesses. While it
is true that individual assessment should
be carried out at least 2-3 times during
the year by the supervisor, people have to
understand they cannot simply wait for
their supervisors to come forward and
start talking about their career advance-
ment or improving their skill sets. It is
the responsibility of every individual to
do self-assessment, self-realisation and
awareness that “ I own my career and no
one else “. Every individual must think “
How can I increase the value of my serv-
ice to my company today “.
It’s point made by Ms Sheila Nara-
vane, Executive Vice President, Logistics
Executive India to potential candidates
by asking individuals to think and assess
“Do I make a valuable and powerful dif-
ference to my company business?”.
Making sure we add real value, con-
sistently, to our roles needs constant reas-
sessment. It needs to become a habit. It
is easy to get lost in the trench warfare
of what we do every day, lose focus and
get stuck in marginal-value activity. Sure
it happens to all. From experience, Lo-
gistics Executive Group makes a point of
assisting candidates in this exercise, boost
their confidence level and make them un-
derstand that “it’s you, who is ultimately
responsible to super charge your career”.
The key is to assist them to think for
themselves - what is best career option at
this point of time?, should they just fo-
cus and put more energy on existing job
profile?or it is the time to look for better
options to advance their career?
Why best talent should join your
company
These days companies are using various
sources to reach out to potential candi-
dates e.g. social/professional-networking
websites like linked in, job boards, inter-
nal references and of course recruitment
agencies.
Sure, the online jobs boards can reach
a lot of people but they can’t accurately
screen people resulting in a mass of un-
suitable applicants and often causing the
few suitable applicants to go unnoticed
as their resume wasn’t key word friendly
enough resulting in no response from
the employer (or an auto reject response
from the jobs board) which is already
pushing more and more people to move
away from applying to jobs through jobs
boards.Then what about social media….
Well social media sites seem to have a
limited lifespan, the artificial relation-
ships that are quickly made will end just
as quickly when the new flavor of month
website comes into the limelight and peo-
ple jump ship.
On top of this people are becoming
much more guarded about the informa-
tion they provide about themselves on-
line. These talent attraction tools may
have worked in the past have been suc-
cessful, but here’s the news – its over!
Organisations need to deploy a range
of talent attraction strategies. Job portals
are just one method. Successful organisa-
tions will use all of the talent attraction
tools available to them – portals, career
fairs, graduate programs, in-house HR
and of course, third party providers.
The key to success with using any
third party provider is to talk the same
language. Working with a recruitment
provider who doesn’t understand what
you do and more importantly the skills
that are therefore needed to make your
organisation successful is a bit like play-
ing darts – sometimes you hit bull eye,
but mostly you miss.
Having a partner that understands
exactly what you want beyond the job
description, is able to assess the cultural
fitand whom has a deep understanding
about your industry and it’s challenges
takes you one step closer to ensuring you
attract and find the right person.
Specialist’s recruitment and search
firms may cost a little more, but in the
long run its money well spent as it saves
time, ensures alignment of experience
and will enable you to tap directly into
an existing network that best fits your in-
dustry.
Equally important is ensuring the
‘right-fit’ between the organization and
the employee. The Logistics Executive
Group 2014 Employment Market Re-
port identified that a large part of the
reason employees leave their jobs is as a
result of a mix-match between expecta-
tions and that of the organisation culture
or leadership.
More and more, organisations are not
leaving this to chance. Use of psychologi-
cal and behavioral testing like the ones
used by Logistics Executive Group, My
Profileand Profile XT Assessmentsare
helping to identify questionable behav-
iors, which might prevent the candidate
from fulfilling their responsibilities.
In fact since 2012 to Logistics Ex-
ecutive Group has experience more than
300% growth in use of it its psychomet-
ric and behavioural test systems.
Employers are choosing to use psy-
chometric testing during their recruit-
ment process in order to help them get
a better overall evaluation of a candidate
and hopefully secure the best fit for the
role. There’s some debate over the value
of psychometric testing, but those who
use it believe that it can give a more ob-
jective overview of a candidate’s charac-
ter, strengths, weaknesses and working
style. Typically, a psychometric test will
never be used in isolation, but as one
component of a wider, integrated evalu-
ation strategy.For employers, psychomet-
ric testing is helping to gauge the future
performance of a candidate and improve
the employee retention by making more
successful hiring decisions.
Training is critical
There is no doubt that as the Supply
Chain and Logistics sector grows, the
success in this critical industry will only
be achieved through an ongoing proc-
ess of self-improvement and continuous
learning.
It is the investment in tailored training
programs that will ensure that organisa-
tions are able to have the right talent to
meet the changing rigors defined by best
industry standards.
Ensuring staff remain loyal, proac-
tive and engaged is an important factor
which cannot be overlooked, if we are to
achieve a return on investment made into
skill based training programs and develop
‘home-grown’ talent.

9. salary survey
39SCMPr April 2014
Employee engagement is the vital link
to successful organisations for provid-
ing an emotional connection between
employees and their organisation. This
emotional connection leads to improved
performance (both individually and com-
pany), increased productivity, better staff
retention, improved customer service and
greater staff loyalty.
According to L.R Sridhar, Managing
Director for specialist logistics training
firm, Mile Academy and the head of
Logistics Executive India, training has
become an imperative for supply chain
and logistics organisations looking for a
competitive edge.
“Our clients who have traditionally
used Logistics Executive to source tal-
ent, are now asking us to take our off the
shelf supply chain training programs and
personalized these for their local environ-
ments in order to be more globally ready
and to retain staff” said Mr Sridhar.
As a result of this upward swing in de-
mand, Mr Sridhar added that the Logistics
Executive Group is partnered with inter-
nationally leading universities offering
programs from ground floor basics like
inventory management to MBA certified
programs specialising in Supply Chain.
However with the costs associated to
setting up organisation wide training
programs, many companies are asking
‘is this a necessity?’. This answer is clear
–well conceived and committed train-
ing programs ensure staff will be better
prepared to avoid problems, to minimize
the damage caused by those problems,
and to maximize their contributions and
output. Without appropriate training,
staff will be more likely contribute to se-
curity risks through accidental behaviour
but not necessarily malicious behaviour.
These mistakes will less likely occur when
a well-intentioned employee has been
properly trained.
A long way to go
With the 2014 survey finding that skills
and talent in the Logistics and Sup-
ply Chain sector still in strong demand
across most of India, costs will rise and
turnover is unlikely to decrease any time
soon. Adding to thisis the emergence
of Logistics and Supply Chain as a key
driver in enabling organizational success
and it increasing complexity means fur-
ther executive talent will be required.
With Logistics Executive Group’s
2014 Salary Survey, along with other re-
cent salary studies finding that on aver-
age Executives will see estimated salary
increases of between 15 and 20 per cent,
the challenge to manage cost increases
and invest in grooming talent has never
been greater.
Latest projections by Logistics Execu-
tive Group’s 2014 Salary Surveyshowed
that middle and senior-level professionals
are likely to get a pay increase in the range
of 10 to 15 per cent. Similar increases
could also been with respect to bonuses.
Sectors such as pharmaceutical, chem-
icals and consumer goods sectors - that
are largely dependent on domestic econo-
my, are expected to see the greatest salary
increases, closely followed by the Con-
struction, Mining and Services sectors.
With inflation pressures and a re-
bounding economy, companies need to
be careful while carrying out appraisals
since there is need to retain performers
and provide them with solid salary ad-
justments whilst being careful not to set
unrealistic expectations that will overtime
hamper growth prospects.
In many ways these challenges rest not
only with the CEO and Business Manag-
ers but also with Human Resources. The
human resource function has to move
fromits traditional hire and fire role to
that of a strategic partner. It needs to sit
front and centre at the executive table,
along side supply chain, finance, opera-
tions and other business centers that are
not centers of profit for the organization.
The job of HR, as is the job of all such
departments, is to ensure that the busi-
ness gets the most out of its employees.
Another way to put this is that the human
resource management needs to provide a
high return on the business’s investment
in its people. This makes it a highly com-
plex function - because it deals with not
just management issues but human ones
as well.
Authors
Darryl Judd,
Global Chief Operating Officer,
Logistics Executive
Group
darrylj@logisticsexecutve.com
With more than 20 years of execu-
tive experience in Aviation, Supply
Chain and Logistics Transport
Industry, Darryl has held executive
positions within the airline & air-
craft leasing/charter industry and
major logistics organizations. He
is regularly called upon to manage
key human resources consulting
projects and supporting business to
drive changes, particularly around
M&A activity and international
executive management.
© 2014 LRS Group Pty. Ltd. All
rights reserved
Madhuri Mathur,
General Manager – North, Logistics
Executive Group India
Sheila Naravane,
Executive Vice President, Logistics
Executive Group India