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Key Responsibilities and Required Skills for a Material Planning Analyst

💰 $65,000 - $95,000

Supply ChainPlanningLogisticsManufacturingOperations

🎯 Role Definition

The Material Planning Analyst is the analytical engine at the heart of our supply chain and manufacturing operations. This role serves as a crucial bridge between demand forecasting, procurement, and the production floor, ensuring a seamless and efficient flow of materials. By meticulously analyzing data, managing inventory, and collaborating with cross-functional teams, the Material Planning Analyst guarantees that the right components and raw materials are in the right place, at the right time, and in the right quantity. This position is fundamental to preventing production stoppages, optimizing working capital, and ultimately enabling the business to meet its commitments to customers with reliability and precision.

📈 Career Progression

Typical Career Path

Entry Point From:

  • Junior Planner / Planning Coordinator
  • Inventory Analyst / Coordinator
  • Production Scheduler
  • Associate Buyer

Advancement To:

  • Senior Material Planning Analyst
  • Supply Chain Manager
  • Planning Manager or Master Scheduler
  • S&OP (Sales and Operations Planning) Manager

Lateral Moves:

  • Demand Planner
  • Logistics Analyst
  • Procurement Specialist / Senior Buyer
  • Continuous Improvement Specialist

Core Responsibilities

Primary Functions

  • Analyze Material Requirements Planning (MRP) system outputs to determine component and raw material needs, subsequently creating and managing purchase requisitions and production work orders.
  • Develop, maintain, and execute short-term and long-term material plans designed to support the Master Production Schedule (MPS) and align with customer demand forecasts.
  • Monitor, track, and report on key inventory performance indicators (KPIs), including days of supply, inventory turns, on-time delivery, and slow-moving or obsolete (SLOB) stock, driving corrective actions.
  • Collaborate closely with procurement teams and suppliers to ensure the timely delivery of all materials, proactively expediting or de-expediting orders in response to changes in demand or supply.
  • Act as the central point of contact for resolving material shortages, supply chain interruptions, and supplier quality issues that could negatively impact production schedules.
  • Maintain optimal inventory levels for all raw materials, components, and work-in-progress (WIP) to minimize carrying costs and free up working capital while ensuring high levels of material availability.
  • Conduct regular, in-depth analysis of material consumption trends, supplier lead times, and market volatility to refine planning parameters, safety stock levels, and reorder points.
  • Manage the end-to-end material lifecycle, from initial planning and sourcing through to production consumption and the strategic disposition of excess or obsolete materials.
  • Actively participate in the Sales and Operations Planning (S&OP) process by providing critical data, analysis, and insights on material availability, constraints, and supply chain risks.
  • Proactively identify potential vulnerabilities and risks within the supply base and develop robust contingency plans to mitigate their impact on production continuity and customer service levels.
  • Work directly with engineering and product development teams to coordinate material planning for New Product Introductions (NPI) and to manage the impact of Engineering Change Orders (ECOs) on existing inventory.
  • Reconcile physical inventory discrepancies by collaborating with warehouse and production personnel, performing root cause analysis, and implementing sustainable corrective actions.
  • Develop and distribute comprehensive KPI reports and dashboards for leadership, visualizing data related to material availability, inventory health, and supplier performance.
  • Continuously evaluate and optimize the flow of materials throughout the supply chain, identifying opportunities for cost reduction, lead time compression, and overall process efficiency.
  • Assume ownership for setting up and meticulously maintaining critical master data within the ERP system, including item masters, lead times, safety stock values, and bill of materials (BOM) accuracy.
  • Coordinate with logistics and warehouse management to manage inbound material flow, ensuring proper receiving processes, optimized storage strategies, and efficient staging for production.
  • Evaluate and manage the financial implications of material planning decisions, including analyzing purchase price variance (PPV) and modeling the cost of holding inventory.
  • Lead or serve as a key member of continuous improvement projects, applying methodologies like Lean or Six Sigma to enhance material planning and inventory management processes.
  • Build and foster strong, collaborative relationships with key internal stakeholders, including production supervisors, quality engineers, product managers, and the sales team.
  • Analyze and communicate supplier capacity and constraints to ensure alignment with production forecasts, proactively identifying and addressing potential bottlenecks in the external supply chain.
  • Manage the systematic phase-in and phase-out of materials tied to product lifecycle changes, developing strategies to minimize obsolescence and ensure a smooth transition.
  • Ensure all planning and inventory management activities are executed in strict compliance with company policies, industry regulations, and quality management system (e.g., ISO 9001) standards.

Secondary Functions

  • Support ad-hoc data requests and exploratory data analysis for supply chain leadership.
  • Contribute to the organization's broader supply chain strategy and digital transformation roadmap.
  • Collaborate with business units to translate operational needs into system and process requirements.
  • Participate in agile sprints or project teams focused on supply chain optimization initiatives.
  • Mentor junior planners or coordinators on best practices for material management and ERP system usage.

Required Skills & Competencies

Hard Skills (Technical)

  • Deep proficiency with Enterprise Resource Planning (ERP) and Material Requirements Planning (MRP) systems (e.g., SAP S/4HANA, Oracle NetSuite, Microsoft Dynamics 365).
  • Advanced Microsoft Excel capabilities, including pivot tables, VLOOKUP/HLOOKUP/XLOOKUP, macros, and complex nested formulas for data manipulation and analysis.
  • Strong, practical understanding of Bill of Materials (BOM) structure, management, and its impact on material planning.
  • In-depth knowledge of core supply chain principles such as Just-In-Time (JIT), Kanban, and the theory behind MRP II.
  • Experience with data visualization and business intelligence tools like Tableau or Power BI for creating insightful reports and interactive dashboards.
  • Foundational SQL skills for querying databases to extract, aggregate, and analyze raw data.
  • Competency in applying various inventory management techniques and optimization models (e.g., EOQ, safety stock calculation).
  • Experience with Master Production Scheduling (MPS) processes and the fundamentals of demand forecasting.
  • Ability to perform structured root cause analysis (e.g., 5 Whys, Fishbone Diagrams) to solve complex supply issues.
  • Familiarity with the formal Sales & Operations Planning (S&OP) or Integrated Business Planning (IBP) cycle.

Soft Skills

  • Exceptional analytical and quantitative problem-solving skills, with a talent for interpreting complex data sets.
  • Clear, concise, and professional verbal and written communication abilities.
  • A high degree of attention to detail and a commitment to accuracy in all outputs.
  • A collaborative mindset with the proven ability to work effectively in cross-functional team environments.
  • Proactive, self-motivated, and able to operate with a strong sense of urgency and ownership.
  • Foundational negotiation and supplier relationship management skills.
  • Adaptability and resilience to thrive in a fast-paced, dynamic, and often ambiguous environment.
  • Superior organizational and time-management skills, with the ability to prioritize multiple competing tasks.

Education & Experience

Educational Background

Minimum Education:

  • Bachelor's Degree from an accredited institution.

Preferred Education:

  • Master’s Degree or a professional certification such as APICS Certified in Planning and Inventory Management (CPIM) or Certified Supply Chain Professional (CSCP).

Relevant Fields of Study:

  • Supply Chain Management
  • Logistics
  • Business Administration
  • Operations Management
  • Industrial Engineering

Experience Requirements

Typical Experience Range:

  • 2-5 years of direct, relevant experience in material planning, production control, inventory management, or a closely related supply chain function.

Preferred:

  • Experience within a fast-paced manufacturing, consumer packaged goods (CPG), automotive, aerospace, or electronics industry environment is highly desirable.
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