State of the Industry: Logistics

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A person employed in the logistics field deals with the smooth flow of goods and data as well as related resources. A logistician carries out several key functions that underscore the backbone of any smooth flow of goods and services: procurement, maintenance and supply of the goods in transit, as well as the general planning of the whole process of transit from point of origin to the expected destination of the resources.

Any logistics job, whether in the armed forces or the civil service, will always focus on the transport, safekeeping and dispatch of resources, including people. Logisticians carry out their duties servicing logistic needs through various means of transportation including air, railway, and sea. A college degree involving studies in the area of transport, whether at the undergraduate or graduate level, will give a person a good starting point in becoming a logistician.

The Logistics Industry



The logistics industry involves the proper management of the chain of supply of goods, information, people and other resources from a point of origin to a point of destination. Inventory is a requirement in the facilitation of a smooth logistics process. Whether in the military—where proper management of logistics support makes the difference between victory and defeat—or in civil management of the movement of goods, proper record keeping and accounting is a necessity.

Perhaps at no other time in history has the logistics industry been as essential as it is during our time. This is perhaps because of the central role business plays in the global arena, and because improved communication requires equally improved organization and planning processes to back it up. For instance, most major corporations in the world rely heavily on raw materials, most of which are produced thousands of miles away, or even a continent away, from the location at which they are processed. It is thus the work of a logistician to ensure that the process of acquisition, transportation and timely delivery of these raw materials is smooth in order to enable other business functions, starting with production or manufacturing, to proceed on schedule.

To provide an idea of the magnitude of the logistics industry: a whole 10% of the U.S. gross domestic product is consumed by logistics support costs incurred by companies, according to a respected study. This should signal to anyone contemplating a career in logistics that this industry that is experiencing growth amidst the chaos of poorly performing economies in many countries.

Certification

The Chartered Institute of Logistics and Transport prepares would-be logisticians with qualifications and certification recognized worldwide in the logistics industry. The same case applies to the European Logistics Association and the Canadian Professional Logistics Institute certifications, among others such as the China Federation of Logistics and Purchasing. However, a sense of direction and real desire to get a job in the logistics field can be advanced by just about any university degree, especially one concentrating on business, purchasing or management.

The State of the Logistics Job Market

Logistics is an area that is experiencing tremendous growth due to the increased role business is playing in world economies. Many in the logistics industry are of the opinion that the industry can only grow and is not likely to experience recession. Some in the logistics industry questioned how business would fare with rising costs of energy, but a report by a reputable chain management association cites a 7% growth over the course of 2006-07 as evidence that things are looking up.

Future Outlook

Good news in the logistics industry means even better news for those looking for careers as logisticians. Growth in the industry shows that many jobs are required, be they in supplies, distribution, transportation, facilitation, or field logistics work like telecommunication. The increased workforce is required to help meet today's customer needs—getting things delivered on time and as expected (a phenomenon referred to as ''Amazon'' by some). Today's customer expects the improved transport and communication to ease previous long waits for delivery of goods, information and resources.

In the industry, however, some believe trucking to be on a downward trend. This is understandable bearing in mind the current state of poorly performing economies and the role that information communication technology is playing. However, it remains to be seen if these players will bounce back when the economy emerges from its depression.

For a driver seeking a job in the trucking business, a best bet is a company that is into long hauls, where truckers can be assured to last longer. Work in the trucking industry requires resiliency, as companies, due to high fuel prices and slow business, may not be all that active or willing to compensate drivers well.

Perhaps the most successful people in the logistics industry are rail workers. Transportation via railways, despite the high fuel costs, is surprisingly on the upswing. The business is healthy, such that rail operators have now raised transportation charges. Another advantage for rail transport is that there is less restriction on carrying capacity of trains. The upswing spells good news for railway employees.

If your dream is a career in the logistics field, consider jobs with railways companies, airfreight companies and long-distance trucking.
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