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Supply chain internships: The minor leagues look strong

Recent alumni provide their thoughts on what makes a successful supply chain internship program.

By Dave Hannon -- Purchasing, 2/14/2008

Clearly the value of a strong supply chain internship program pays off in many ways. Interns get exposure and real world experience, while businesses get a sneak peak at some of the best new talent soon to hit the job market. But what is required to make a really successful internship program?

In an effort to find out, Purchasing went to those best qualified to answer: recent alumni from internship programs.

The first step is attracting the right interns. And as difficult as it may be for you to attract them, it’s just as difficult for potential interns to decide among the plethora of businesses looking to lure the top talent.

After finishing her first year of a Masters program in supply chain at Texas Christian University, Angeles Castro went looking for a company to intern at for the summer. In an effort to get introductions to as many supply chain internships as possible, she attended job fairs and networking sessions, talked with professors and leveraged the TCU career center, which put her in touch with alumni in her chosen field.

“Searching for the right internship opportunity took as much time and effort as a regular class,” she told Purchasing recently.

She eventually signed on for an internship in the purchasing organization at American Airlines in Dallas for several reasons. Most notably, the airline industry was intriguing to Castro because of its emphasis on cost management, the fierce competition in the air travel market as well as the industry’s other challenges such as security and customer satisfaction. (Castro interned in the corporate purchasing department and was eventually hired at American Airlines.)

Nagesh Hatti met American Airlines’ John Boettcher at an event that Texas Christian University organized to match up prospective interns with prospective employers and it was a good match from the start, given Hatti’s longtime interest in the aerospace industry. Hatti interned in the procurement organization at American Airlines, which meshed very well with his IT background to provide a “big picture” of where he could work in the supply chain.

Another key to a successful internship is making sure that what the intern experiences will, in fact, prepare them for their future employment, wherever it may be.

“My internship at American gave me a realistic perspective of what my job would be like,” Castro says. “I was given projects where I could interact directly with other work groups, as well as suppliers. I was also responsible of creating and presenting specific commodity strategies which required me to truly understand all aspects of supply chain as they related to that specific commodity. I also participated on training sessions on negotiations, contracts, etc. I was also invited to sit in real negotiation sessions, which taught me how to implement a good negotiations plan.”

Hatti chose to get an MBA in supply chain because he was “very interested in how things come together from raw material stage to a finished product. My internship with American helped me understand the practical aspects and the day-to-day functioning of how these things happen.”

Today, Hatti is a commodity manager at American where his is not just involved with the procurement but also works closely with various internal customers. “I wear different caps: that of a project manager, financial analyst, inventory, warehousing, and systems design. And that has exposed various facets of my business personality. As I understand the business needs of my internal customer, I get to learn a lot of new and exciting things everyday in my job.”

But even beyond internships, attracting and retaining the top entry-level talent can make a major improvement in your procurement organization in the long-term.

Hiroaki Saito is a sourcing manager for services and general procurement in high-tech giant IBM’s Integrated Supply Chain organization. He was first exposed to IBM, however, as an MBA student at Penn State focusing in supply chain, where IBM practitioners would come and speak on a regular basis. He was originally hired by IBM to participate in its Supply Chain Leadership Program (SCLP), which Saito describes as a “globally-driven, two-year opportunity for me to demonstrate and grow my leadership skills in a challenging but rewarding supply chain management environment.”

The SCLP is split into six-month assignments where candidates are required to rotate with different roles in different departments of IBM. First he worked in IBM’s IT/services procurement organization in Tokyo and then moved to a post at IBM’s Shanghai office. And then later he was shifted to the Authorized Assembler Program and Advanced Fulfillment Initiative in Beijing. That kind of broad exposure to different specialties is especially appealing to a new MBA graduate still deciding which part of the supply chain he’d fit best into.

“I have a friend from Penn State who joined a similar rotational program at General Electric,” Saito says. “He was not looking for a supply chain career and his program offered candidates assignments in broader areas such as financial, aerospace and manufacturing and different functions of enterprise finance, sales, marketing, supply chain, and corporate development.”



Advice for the big brass

Looking for tips on improving your internship program? Take the advice of these former interns:

“It is important for companies to combine challenging projects with the opportunity for interns to learn about the company itself. American did an excellent job at exposing interns to other departments through ‘Lunch and Learn’ meetings with upper management from various departments. We also toured different American facilities to get a hands-on perspective of everything that needs to come together before an airplane can leave the gate. I would also encourage companies to assign a mentor to each intern. This will help interns familiarize with the company's policies and procedures in a quick manner, as well as provide someone to look up to for quick guidance.”

--Angeles Castro, American Airlines

“Involving the intern with live projects is a very good idea. I worked on ongoing projects during my internship and there is a sense of satisfaction when you see that all the hard work you put in as an intern is used by the company. This is a very good inspiration to the intern.”

--Nagesh Hatti, American Airlines


 
Interns LISTEN UP

Here are some tips on how to make the most of your procurement internship:

“Maintain an open communication line with your manager/mentor. If there is a project that catches your attention, express your interest immediately. This will not only show your drive, but will allow management to get a better feeling for a position that could possibly be a good fit for you in the future. And network, network, network! Try not to limit yourself to learning only about the department you are working on. An internship is a great way to get a flavor of what a career would be like at that company.”

--Angeles Castro, American Airlines

“Make the most of what you learn on the job but don’t expect to come in and turn everything head over heels the first day. Real-life projects need a lot of digging and dirt in your nails. Initially it may sound that all the wonderful things you learnt at school are just that, theory. But as you keep working at it, you will see the patterns emerge and a chance to apply your ideas and make a difference. Be patient and work hard. Take your internship seriously.”

--Nagesh Hatti, American Airlines

“Interns are always under pressure to demonstrate and accomplish something challenging during a short period of time. It is therefore critical for interns to ask themselves: ‘Who can help me get this done?’ rather than ‘How can I get this done?’ More people can get things done much faster and more effectively, but you need to be able to lead and influence such people in your favor. Leadership is one of the most critical skills for success of career.”

-- Hiroaki Saito, IBM

Also see: More pencils, books forecast in supply chain (includes list of colleges and universities offering supply chain and procurement-focused degrees.)

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