Hunter Campbell’s Supply Chain Salary & Employment Forecast Series profiles roles within the Supply Chain job family including jobs in demand, salaries, and employment prospects.
In our next instalment, the role of Production Planner is in the spotlight.
Purpose of the role
A Production Planner is a critical part of the supply chain and S&Op for companies that manufacture their own products. As a Production Planner, you are responsible for planning the quantity of goods to be produced and how often they will be made. A Production Planner forms an important link in the supply chain, often working very closely with Demand Planners, Supply Planners and Production Managers to ensure the production process is as efficient as possible.
Production plans can vary in their cycles from daily, weekly or monthly along with rough cut capacity planning which could be 12 months or more to ensure efficient planning of raw materials and to meet changing demands. Having a strong production plan in place is vital to minimise lead times and optimise efficiencies for companies.
There are many different pathways to become a Production Planner.
You may have come from a production and / or factory background in a hands-on role and then had the opportunity to advance given your understanding of the production process. We often also see candidates who have progressed in companies from perhaps a co-ordinator role to a Production Planner, which works well given their understanding of the fundamentals of demand, supply and production and how this all comes together.
From a qualification perspective, we are seeing candidates coming through with Bachelor of Commerce degrees majoring in Supply Chain Management. This qualification provides them with a solid foundation in theory to then enter into roles such as a Production Planner. Other reputable qualifications include the likes of a Certified in Production & Inventory Management (CPIM) from NZPICS.
Key skills required
- Planning and organisational skills are critical as you will be working with key stakeholders across the supply chain.
- The ability to work under pressure and make quick decisions when plans need to change.
- Technically savvy – you will need good knowledge of ERP / MRP systems along with Excel skills to ensure accurate planning.
- Strong numerical skills to work effectively with various systems and Excel.
- Excellent communications skills to be able to communicate effectively with various teams and stakeholders.
- Strong attention to detail when creating and reviewing production plans to ensure accuracy.
Production Planners will gain some strong skills that will provide them opportunities to progress to other areas across the supply chain industry. To begin with, you may advance to manage more SKU’s and production lines. Depending on the size of your business, you may have the opportunity to develop into a leadership role with a team of planners reporting into you. There could also be opportunities to progress to a Supply Chain Manager or pivot towards Demand Planning, Supply Planning or Inventory Manager roles, for example.
Production Planners who can accurately and efficiently manage plans are always going to be in high demand. We have seen in recent years, how critical it is to have accurate forecasting for demand and supply and the role of Production Planner is vital to ensuring the right quantities are being produced, at the most efficient lead times while reducing waste of raw materials to save costs.
With more and more companies also investing in their ERP / MRP systems, we are seeing a lot more demand now for candidates who have expertise with these systems along with advanced Excel skills to ensure their planning is as accurate as possible.
- Junior: $65,000 to $80,000
- Intermediate to Advanced: $80,000 to $110,000
- Leadership: $120,000 to $130,000+
The salaries of Production Planners considerably vary depending on the level of responsibilities such as how many SKU’s, production lines and / or sites you are responsible for. Leadership roles in production planning could also include materials planning under their responsibilities. Salaries could also vary between those who have only worked in a production environment versus candidates who have developed skills in other areas such as demand, supply and inventory.
If you would like to find out more about the role of Production Planner, please contact Senior Consultant Nick McConnochie. Nick specialises in the recruitment of Supply Chain, Procurement & Operations roles. For more news and views visit our website by clicking here, see what opportunities we have available here or follow us on LinkedIn.