Technovation in Supply Chain Management

Technovation in Supply Chain Management

Could you share insights on your role and responsibilities as senior vice president of a globally recognized logistics company?

Along with my vice-presidential role in Under Armour, I’m also overseeing an interim role as the strategic sourcing analyst, which consists of record-keeping of raw materials all the way through the consumer’s home and back again if there is a return. The role and responsibilities encompass sourcing operations, including inbound logistics, last-mile delivery, distribution fulfillment, strategy-associated operations, and all the backend operations.

Craig JonesWhat does a typical day look like in your line of work?

A typical day involves performance evaluation, which is tactical to review global regional operational execution, reach service metrics on time, and improve efficiency by delivering to the consumer service levels in all sales channels from the QBR process perspective. In the manufacturing process, we focus on building a vertical that brings material together across the geographical area, whereas in logistics distribution, we focus on reducing potential costs in the process.

Under Armour has evolved from taking a functional view to an enterprise view, and now, instead of looking at a four-wall analysis of operational costs and service, we are looking at the areas impacting the operations–inbound and outbound logistics, which benefit the organization by improving product flow and service level metrics.

What are some of the major challenges you faced in logistics, and how did you overcome them?

The pandemic, like any other geoeconomic disruption, has created a lot of challenges, specifically for logistics demand forecasting. The strategy is to forecast the ability to have agility in the supply chain. 

In the logistics industry, Under Armour has accelerated digital technology to be an Omni-Lead B to C business since customers demand product pickup options from different channels to various locations. This has brought one big change in the industry in relation to consumer safety and has made the online movement of products consumer-driven.

Can you talk about technological advancement and its impact on the core process of logistics?

Technological advancement is having a huge influence on the logistics industry as scores of startup companies have come into existence over the last 18 months, and everybody is looking for the latest AI-enabled gadgets that will improve logistic forecasting and visibility. While selecting these digital gadgets, one has to be cautious about consumer preference until the economy recovers from the pandemic because it’s very hard to plug in some level of AI on a very unstable forecasting platform. Before investing in any new technology, we will evaluate existing technology to optimize and utilize it to its full potential so that when the revolutionary arrives, we can adapt to that technology efficiently.

Can you enlighten us about the latest trends and technology prevailing in the logistics industry?

We have brought a lot of technological changes to the logistics industry through freight technology that provides end-to-end consolidated solutions for logistics, distribution, and last-mile deliveries.

In the meantime, factories will become more creative in their vertical construction, aiming to provide customers with quality service regardless of country or region. At the front end, a control tower will connect planning with the sales channels and the consumer. The control tower will have the ability to create visibility and agility in the planning cell and be user-friendly in implementation.

“It’s important to prioritize consumer needs while selecting digital platforms, IT solutions, and service and delivery options”

And for last-mile delivery, we’re going to see a lot more sustainability-driven options through returns or exchanges. With an Uber-type delivery methodology, consumers will get sustainability through transportation. It’s going to be crucial to have good marketing public relations with a good sustainability policy to reduce CO2 and be consumer-driven. Customers will have different options for sustainable delivery to choose from, like electric vehicles.

Any advice for your peers on strategizing investments in technology?

The pandemic has brought some fundamental changes to the way we position a company from an IT perspective. Now, during peak periods, the supply chain is critical for IT-based companies. There are lots of IT tools available on the market. For Under Armour, as a company that sells footwear, apparel, and gear, it’s not about buying the latest technology but setting the correct foundation. We do it by understanding the whereabouts of the market and selecting the best technology from a consumer’s point of view. It’s important to prioritize consumer needs while selecting digital platforms, IT solutions, and service and delivery options.

Change management is the key as IT solutions are not silver bullets but a vehicle to reach your standard, and change management and the organization’s commitment are the fuel that runs that vehicle.

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