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SAITO’s Answers to Why You Should Study Logistics Management

by StudyMalaysia.com on July 21, 2022 | Top Stories, Career Guide

SAITO’s Answers to Why You Should Study Logistics Management - StudyMalaysia.com

The future of Logistics

The future of logistics is bright, especially in Malaysia. According to the Department of Statistics Malaysia:

  1. Malaysia e-commerce industry continued to flourish in 2021
  2. Income soared 23.1% year-on-year to RM801.2 billion in first nine months of 2021

Local micro, small and medium enterprises (MSMEs) are aggressively looking to expand their customer base by looking for opportunities not just locally but also within the Asia Pacific region. It is the golden year in E-Business/E-Commerce with the tremendous growth in online businesses and logistics.

Disruption in Logistics Industry

In the current state, business and logistics industry is confronting immense changes. These changes bring both risk and opportunity. Key disruptions in the industry include:

  1. Increasing customer expectations - the paradigm of faster, bigger, better
  2. Use of new technology - from data analytics to automation
  3. New entrants to the industry – trying to find ways to carve out the more lucrative elements of the value chain
  4. Emergent of new disruptive business models

Hence, the industry must be prepared to face the disruption and embrace the new challenges.

2022-saito-uc-logistics-management.jpg

What is logistics?

Logistics is the process of planning and implementing the efficient transportation and storage of goods from the first touch point to the point of consumption to meet customer requirements in a timely, effective and efficient manner.

What is logistics management

Logistics management is the part of the supply chain process that plans, implements, and controls the efficient, effective flow and storage of goods, services, and related information from the first touch point to the point of consumption to meet customer requirements.

Why should you study logistics management?

Delivering products and services at the right time, right place, right cost, and at the right quantity and quality is at the heart of logistics and supply chain management and in the retail sector, perfect order deliveries, customer responsiveness and cost efficiency are key competitive priorities. Every retail organisation has a supply chain, so this is an area where there are multiple opportunities for employment. 'Once considered 'trucks and sheds' and a low-skilled industry, logistics and e-business today is emerging as a highly desirable sector for employment providing an exciting high-tech career.

Without logistics, the commercial world as people know it would grind to a halt. This was evidenced with the recent coronavirus surge delaying shipments and stalling production across the world. People with advanced logistics expertise had to step up and look for new ways of doing things. Logistics is critical to a healthy world economy even when the world is not in crisis. The global logistics sector, currently valued at $8.6 trillion, moves hundreds of billions of dollars in freight every year. Now, as new technologies evolve and change what logistics work entails, it’s more important than ever to develop this critical skill set. Businesses depend on logistics professionals to keep production and delivery moving forward.

Studying logistics is the first step toward meeting this critical business need and building the foundation for a future-proof career. Logistics management is a good topic to study if the students are interested in making it a career or simply want to understand how commerce moves. Professionally, it is a lucrative skill set with high growth potential, now more than ever.

Careers related to logistics and supply chain

Upon graduation logistics jobs and supply chain jobs are plentiful. It is likely that students will gain an overview of the profession before specialising - and then progressing to more senior positions. Employers include third party logistics companies, organisations that sell directly to consumers (retailers and supermarkets) and logistics consultancies.

More careers related to logistics and supply chain

  • Supply Chain Design And Planning
  • Logistics Specialist
  • Procurement And Supply Management
  • Freight Transportation
  • Warehouse Design And Management
  • Distribution Network Design And Planning
  • Inventory Management And Control
  • E-Commerce Specialist

Employment trend in the transportation and storage industry in Malaysia

Number of people employed in the transportation and storage industry in Malaysia from 2015 to 2021 (in 1000s)

Total employed in the transportation and storage industry in Malaysia

Source: www.statista.com

Approximately 535 000 (five hundred thirty five thousand) people were employed in the transportation and storage industry in Malaysia in 2021. Despite the slight decline that year, since 2015, employment in the industry has been growing. Research conduct by Raudhah Hirschmann is a researcher for the Southeast Asian region, specifically Singapore, Malaysia and Indonesia on Apr 21,2022.

Average Salary for Logistics Industry in Malaysia 2022

A person working as a Logistic Executive in Malaysia typically earns around 5,050 MYR per month. Salaries range from 2,630 MYR (lowest) to 7,730 MYR (highest).This is the average monthly salary including housing, transport, and other benefits. Logistic Executive salaries vary drastically based on experience, skills, gender, or location. Below you will find a detailed breakdown based on many different criteria.

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Logistic Executive Salary Comparison By Education: How do education levels affect salaries?

Higher education may equal a bigger salary, but how much more money can a degree add to the income? The break down of Logistic Executive salaries by education level in order to make a comparison.

When the education level is High School, the average salary of a Logistic Executive is 3,600 MYR per month.

While someone with a Certificate or Diploma gets a salary of 4,110 MYR per month, 14% more than someone having a High School degree. A Bachelor's Degree gets its holder an average salary of 5,790 MYR per month, 41% more than someone with a Certificate or Diploma. Professionals who hold a Master's Degree are rewarded with an average salary of 7,010 MYR per month, 21% more than someone with Bachelor's Degree.

Logistics executive average salary by education level in Malaysia

Source: http://www.salaryexplorer.com

Type of academic qualification for logistics management

Saito University College offers these programmes:

  1. Diploma in Logistics Management for SPM school leavers with a minimum 3 credits
  2. Bachelor of Business in Logistics Management & E-Business (Hons) for school leavers with pre-university qualification

For more information, log onto www.studymalaysia.com/enquiries/saitouc/, or www.saito.edu.my

Article contributed by Dr Jenny Wong and Noor Fathiah of Saito University College.

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