Navigating the Future: People in Supply Chain

Welcome back to our series on Supply Chain Trends! As we have explored the latest trends shaping supply chain technology, manufacturing, warehousing, logistics, and fulfillment, we’ve seen how these elements are transforming the landscape of modern supply chains. However, one crucial aspect often overlooked in these changes is how to prepare the people who will drive and implement these transformations. In this post, we’ll explore how these trends impact the workforce and provide strategies for preparing your people for the future.

Assessing Organizational Readiness

The first step in preparing for supply chain transformations is to assess your organization’s readiness for change. This involves evaluating whether your workforce has the skills, experience, and capabilities needed to support new supply chain solutions. Here are some approaches to ensure your organization is prepared:

Workforce Planning

Workforce planning is a strategic process that involves analyzing, forecasting, and planning workforce supply and demand. This approach helps organizations assess skills gaps, anticipate future needs, and ensure they have the right people in the right roles to achieve their strategic objectives. Key aspects include:

• Skills Gap Analysis: This tool identifies the difference between current capabilities and the skills needed for future demands. By pinpointing these gaps, organizations can develop targeted training and development programs.
• Reskilling the Workforce: As technology advances, reskilling becomes essential. Training employees in new technologies like automation and data analytics help improve efficiency and productivity. For example, predictive analytics training can enhance demand forecasting and inventory management.
• Certifications: Encouraging employees to pursue relevant certifications, such as APICS Certified Supply Chain Professional (CSCP) or Certified International Supply Chain Manager (CISCM), helps develop expertise and keeps the workforce current with industry trends.
• Capabilities Building: Developing and enhancing skills through comprehensive training programs ensures employees are equipped to handle the demands of a digitally enabled supply chain. Capability building should include fundamental training, technical skills, and leadership development.
• Enhanced Benefits: Offering unique benefits, such as mentoring programs or tuition reimbursement, can attract and retain talent in a competitive market.

Reorganizing the Organizational Structure

Reevaluating and reorganizing your organizational structure is essential for supporting new supply chain solutions. This involves:

• Mapping Drivers of Reorganization: Understand the factors driving the need for change and set clear objectives. Customize design strategies to align with organizational goals and streamline operations.
• Building Capabilities: Develop competencies in forecasting, demand planning, and inventory management. This ensures the organization is resilient and capable of adapting to new challenges.

Embracing Globalized Workforces

Globalization has led to the emergence of diverse, skilled workforces. To leverage this trend, companies can:

• Outsource: Hiring external companies for specific functions can reduce costs and improve efficiency. Outsourcing is often used in global supply chains to streamline operations.
• Identifying Global Talent Hubs: Utilize global talent hubs to access a wide pool of skilled professionals and enhance your organization’s capabilities.
• Adapt HR Practices: Adjust HR practices to manage a global workforce effectively. This includes dealing with cultural differences, adhering to diverse labor laws, and implementing international hiring strategies.

Implementing Change Management

Change management is crucial for successfully implementing new supply chain solutions. It involves guiding organizational transitions and ensuring smooth adaptation. Here’s a roadmap to effective change management:

Planning for Change

• Vision and Roadmap: Develop a vision for how new solutions align with organizational goals. Create a roadmap that includes both short and long-term milestones, involving leadership and employees in the process.
• Stakeholder Focus Groups: Conduct focus groups to gather insights and requirements from stakeholders. This helps to ensure that the change plan addresses the needs of all affected parties.
• Pilot Projects: Start with small-scale pilot projects to test the new solutions. Use these pilots to build confidence, identify lessons learned, and refine the plan.
• Training Plan: Develop a comprehensive training plan tailored to different roles and levels. Incorporate a skills assessment to ensure training meets specific needs.
• Communication Plan: Create a communication plan with focused messaging for different teams. Be transparent about the impact on jobs and provide resources for addressing questions and concerns.

Implementing the Plan

• Pilot Implementation: Begin with low-risk pilot programs to test the new solutions. Monitor performance and adjust based on feedback.
• Training and Support: Ensure thorough training for all impacted roles. Implement a train-the-trainer model to provide ongoing support and address issues.
• Communication: Conduct All-Hands events, launch newsletters, and provide FAQs to keep employees informed. Promote peer support and feedback.

Sustaining the Change

• Retrospectives: Conduct retrospectives to assess the success of the change initiative. Identify areas for improvement and celebrate successes.
• Ongoing Training: Offer continuous training opportunities to build confidence and support career growth.
• Continued Communication: Maintain communication channels to keep employees engaged. Publish updates, highlight successes, and host networking events to reinforce the change.

As we explore these critical components—workforce planning, organizational structure, globalized workforces, and change management—it becomes evident that the success of these initiatives is intertwined with the overall effectiveness of your supply chain.

By addressing these areas comprehensively, organizations can build a resilient, adaptable, and efficient supply chain that not only meets current demands but is also well-positioned for future challenges and opportunities. The success of your supply chain transformation hinges on your ability to effectively manage and support the people who drive these changes.

At The Gunter Group, we have extensive experience guiding organizations through the complexities of change. Whether it’s a small-scale initiative or a comprehensive organizational transformation, our team is here to help. 

Stay tuned for our final post in this series, in which we will discuss how the evolving business environment impacts future supply chains, the importance of supply chain resilience, and our concluding thoughts.

PAST ARTICLES IN OUR SUPPLY CHAIN SERIES

– Navigating the Future: 9 Ways Tech and AI are Impacting Supply Chains

– Navigating the Future: How Automation is Shaping Supply Chains

– Navigating the Future: Supply Chain Optimization Part 1

– Navigating the Future: Supply Chain Optimization Part 2

Navigating the Future: Supply Chain Optimization Part 2

Welcome back to our series on Supply Chain Trends! In our previous post, we delved into the trends driving supply chain optimization in the pillars of Data & Analytics, and Flexibility & Agility. In this follow-up installment, we will explore the trends shaping the future of eCommerce, Supply Chain Collaboration, and Sustainability. These areas are not only crucial for meeting current consumer demands, but also for building resilient and future-proof supply chains.

eCommerce: Transforming Supply Chain Dynamics

The impact of eCommerce on the future of supply chains cannot be overstated. With over 2 billion consumers purchasing goods digitally, eCommerce has revolutionized supply chains, introducing both opportunities and challenges. 

On one hand, it enhances efficiency through real-time communication between buyers and sellers, and simplifies record management processes. On the other, it poses challenges such as increased packaging waste, inefficient last-mile delivery, and the need for meticulous inventory management due to fluctuating demand. While eCommerce brings much-needed convenience, it also necessitates innovative solutions to mitigate its impact on supply chain sustainability.

Supply Chain Collaboration: Enhancing Efficiency Through Partnership

Organizations are increasingly pursuing Supply Chain Collaboration initiatives to optimize their operations. Supply Chain Collaboration involves two or more independent firms working together to plan and execute supply chain activities; sharing resources, information, rewards, and responsibilities, and jointly solving problems. This collaboration is crucial for improving agility, reducing the bullwhip effect (inventory fluctuations due to changes in customer demand), and orchestrating supply chains more effectively. 

The benefits include significant reductions in inventories and costs, improved speed, service levels, and customer satisfaction. Supply Chain Collaboration is an essential component of effective supply chain management and business resilience.

Sustainability: Building a Greener Future

Sustainable supply chains integrate environmentally, socially, and financially viable practices throughout the product lifecycle, from design to disposal. These practices respond to pressures for better environmental stewardship and social responsibility. They aim to reduce environmental impact, improve social equity, and enhance economic efficiency, addressing global challenges like climate change and human rights. 

Adopting sustainable supply chain practices can result in lower operating costs, a stronger brand, and improved business resilience, benefiting the environment, society, and economic health. Here are some key trends in supply chain sustainability:

• Circular Supply Chains: 

Prioritizing the reuse and recycling of materials to maximize resource utilization and minimize waste. This model reduces greenhouse gas emissions, lowers environmental impact, and enhances resilience by reducing dependency on raw materials. However, proving the economic benefits to encourage widespread adoption remains a challenge.

• Environmentally Friendly Packaging: 

Also known as Eco-Friendly or Sustainable Packaging, this focuses on recyclability, safety, and the use of recycled materials. It aims to minimize energy use and the depletion of natural resources, offering benefits such as reduced waste and carbon footprints, biodegradability, and the avoidance of toxic materials. Additionally, its lightweight nature may reduce shipping costs.

• Reverse Logistics: 

Managing the return of products from consumers or retailers back to manufacturers, including activities like returns management, refurbishment, recycling, and disposal. Efficient reverse logistics allows companies to recapture value from returned products, reduce waste, and improve customer satisfaction, leading to lower operational costs and increased customer loyalty.

• Supply Chain Routing Optimization: 

Planning and executing the most efficient and eco-friendly delivery routes. This helps companies reduce their carbon footprint, lower transportation costs, and improve delivery efficiency, contributing to sustainability goals such as reducing greenhouse gas emissions and energy consumption.

• Electric Vehicles (EVs): 

A key component of sustainable supply chains, EVs represent a shift away from fossil fuel-dependent transportation. This transition significantly reduces greenhouse gas emissions, leading to benefits such as lower operating costs, improved corporate sustainability profiles, and potential regulatory advantages. The use of EVs in logistics, particularly in last-mile delivery, enhances operational efficiency and customer satisfaction due to their lower noise levels and zero tailpipe emissions.

Optimization Questions for Your Organization

As your organization considers optimizing its supply chain, it is valuable to reflect on the following questions:

• What is the current state of our supply chain? Assess key performance indicators (KPIs) such as order accuracy, order cycle time, and inventory turnover rate to understand strengths and weaknesses.
• What is the future state design of our supply chain, and will implementing these optimization capabilities help us achieve our goals?
• What are the long-term goals of our sustainability strategy, and how well do we currently meet them? What gaps exist, and what will it take to address them?
• What are the risks associated with pursuing a sustainability strategy? How could changes to the supply chain impact operational performance?
• Do we have the right technology in place? Evaluate whether your current technology stack meets your needs and consider investing in new solutions as necessary.
• What is our plan for continuous improvement? Supply chain optimization is an ongoing process, requiring regular review and continuous improvement.
• Do we have the resources and capital to implement new capabilities?
• What level of training and education will be required to implement optimization strategies?

Conclusion

Throughout this series, we have explored various trends impacting supply chains. Understanding and implementing these trends can profoundly affect your organization. Without proper preparation, the changes can result in prohibitive effects, negating the benefits of new tools and processes. In our next post, we will discuss the organizational changes needed to successfully implement the trends covered in this series.

Stay tuned, and don’t wait—start optimizing your supply chain. Contact us to learn more and get started on your journey to supply chain excellence.

PAST ARTICLES IN OUR SUPPLY CHAIN SERIES

– Navigating the Future: 9 Ways Tech and AI are Impacting Supply Chains

– Navigating the Future: How Automation is Shaping Supply Chains

– Navigating the Future: Supply Chain Optimization Part 1

The Gunter Group Named a “Best Small Firm to Work For”

For the sixth consecutive year, The Gunter Group (TGG) has been recognized as one of the “Best Small Firms to Work For” in the nation by Consulting Magazine. The honor marks the 19th workplace award TGG has received, reflecting the firm’s commitment to building a strong culture and maintaining high employee engagement.

Each year, Consulting Magazine identifies the best firms to work for in the consulting profession through its annual ranking of the Best Firms to Work For. The rankings are based on responses to survey questions that cover six areas of employee satisfaction: Culture, Career Development, Work/Life Balance, Client Engagement, Compensation & Benefits, and Firm Leadership. 

Typically, Consulting Magazine receives between 12,000 and 15,000 completed surveys representing more than 300 consulting firms, with full results announced at a gala in New York City.

TGG Founders Mike and Ashleigh Gunter shared their pride in the firm’s achievement, stating, “We are so proud to be recognized again as one of Consulting Magazine’s Best Small Firms to Work For. It’s an important recognition for us because we believe it reflects the consistent and authentic culture we have prioritized since day one. The TGG culture is something special that our team brings to life with each other, our clients, and our communities.”

To learn more about the Consulting Magazine Awards and see the complete rankings, visit: Consulting Magazine.

The Power of Values: How Experience Shaped Our Firm

“Every step in your journey leads you to exactly where you are today.” – Unknown

Last November, I went to my reunion with the Class of 1993 from the Owen Graduate School of Management at Vanderbilt University. It was fun to see and reconnect with friends from b-school, catch up on life, and hear about some of the amazing things my classmates have done since we graduated. But it also means I have been in the world of consulting for 30 years!

Three decades in the industry have given me a variety of experiences in different organizations and the privilege of working alongside and learning from many different people. These experiences and people played crucial roles not only in my own journey but in The Gunter Group’s as well, because they formed the foundation for the values and philosophy that are core to our company.

As a newly minted M.B.A. in 1993, I started my consulting career at Deloitte Consulting. What a great place to start! I had the privilege to work with incredibly smart and talented people, many of whom are still friends and mentors. It was hard work, but it taught me how much I loved consulting… solving difficult problems, working with great teams, and most of all, serving clients. Looking back, I wouldn’t trade my experience at Deloitte for anything because it built the foundation for the rest of my career.

But after seven years with Deloitte, the road warrior lifestyle of a consultant started to become draining. I met my wife, Ashleigh, at Deloitte, and we both made the difficult decision to leave the firm soon after we got married in order to start our life together. We left a lot of friends and colleagues, and work that we enjoyed, but it was the first of many decisions Ashleigh and I made over time to put our lives and values first. At that time, what mattered was starting our newly married life together.

I ended up at two different startups in Atlanta, leading teams focused on delivering high-quality client service. The second startup, Rubbernetwork (now Elemica), was a great experience and gave me lifelong friends all over the world. What I learned in a startup of 65 people was how amazing it was to be part of a small, tight-knit team, and how much I valued being able to work alongside people that I considered friends. I still carry that lesson with me today.

At Rubbernetwork, I led the part of the organization focused on our clients in Europe. Given I was based in Atlanta, it meant a lot of time away. With a two-year-old at home and another one on the way, Ashleigh and I realized we needed a change and decided to move to Portland, Oregon (Ashleigh’s hometown), to raise our family. It was another hard decision because it meant leaving friends and family in Atlanta, but we knew it was the right decision.

To enable the move to Portland, I went back into consulting and joined a small (at the time) firm called Point B. It reminded me of how much I loved client service and also what it was like to be part of a small, growing firm that was really starting to build.

The point of all this is not to “walk through the highlights of Mike’s career”. The different organizations of which I have been part and the people with whom I worked had a profound impact on me and led directly to Ashleigh’s and my decision to start The Gunter Group in 2011. Exposure to different types of organizations gave us the foundation to develop our own perspective of what kind of organization we would like to create and build, and the values we would want to incorporate into it.

We’re now thirteen years in with The Gunter Group. We have an amazing team, many of whom have been with us since the very beginning, some of whom are new, and a bunch that fall somewhere in between. We have an incredible set of clients that we are privileged to serve. We have incorporated our values—our “Non-Negotiables”—into our organization, and our team reflects them every single day with how we work with each other and our client teams. We are building a sustainable organization that will be around for the long haul.

I am also proud to say that I still get to work alongside a bunch of my friends.

These days my role is a lot different. I am not as deeply involved anymore in day-to-day client delivery or in the operations of the firm. We have a talented team that does an amazing job of those things. I see my role as trying to think strategically about the direction of the firm and how to get there, and guiding, mentoring, coaching, and lifting up the emerging leaders in our company. That has been an evolution; one that has been challenging at times (I have a hard time not getting in the middle of things and almost always have an opinion 😀), but one that has and continues to be immensely rewarding. It has been a humbling experience to watch people start at TGG as brand new consultants and grow into incredible leaders and amazing professionals.

Back to my reunion. 30 years have gone by pretty fast. As smart as I’m sure I thought I was back then, I could not have predicted where the journey would take me. There were definitely a few turns we didn’t expect, but we embraced them and adapted to the change.

I couldn’t be happier to be where I am now. I am proud of our team and what we’re building. It has been incredibly rewarding to watch the company and my teammates grow, and see how TGG reflects our values and who we are as people. I am excited about where we are going as a firm and what the future holds for us, and I am also excited to continue writing about our (and my) journey along the way.

“Every step in your journey leads you to exactly where you are today.” – Unknown

Navigating the Future: Supply Chain Optimization Part 1

Welcome back to our series on Supply Chain Trends! In our previous posts, we explored the latest trends in technology, manufacturing, warehousing, logistics, and fulfillment. Now, let’s dive into the critical topic of supply chain optimization, which we’ll explore over two insightful parts.

Supply chain optimization is a strategic approach aimed at enhancing the efficiency and effectiveness of a company’s supply chain operations. This optimization can be grouped into several key disciplines:

• Data & Analytics
• Flexibility & Agility
• eCommerce
• Supply Chain Collaboration
• Sustainability

In this first installment, we’ll delve into the trends driving optimization within Data & Analytics and Flexibility & Agility. Stay tuned for our follow-up post where we will explore eCommerce, Supply Chain Collaboration, and Sustainability.

Data & Analytics: Transforming Supply Chain Management

Data and Analytics play an increasingly crucial role in organizational efforts to optimize supply chains. By using advanced analytical techniques to process and interpret vast amounts of data from various supply chain activities, companies can improve efficiency, reduce costs, enhance decision-making, and facilitate collaboration. Here are three key trends in data and analytics driving supply chain optimization:

• The Power of Predictive Analytics

Imagine being able to predict future demand accurately, ensuring you always have the right inventory at the right time. This is the power of Predictive Analytics. Using advanced algorithms and AI, predictive analytics allows companies to forecast demand, optimize inventory, reduce operational costs, and enhance logistics. Companies like DHL, UPS, and Amazon are already reaping the benefits.

• Harnessing Big Data

Big Data is revolutionizing supply chain management by providing actionable insights from vast amounts of data. By analyzing real-time data from various sources, companies can make more informed decisions, predict demand accurately, and streamline their processes.

• Embracing Digital Supply Chain Twins

A Digital Supply Chain Twin is a virtual simulation of your physical supply chain, allowing you to test scenarios and predict outcomes. This technology helps organizations understand the impact of decisions and disruptions, enabling more resilient and efficient operations. Companies like PepsiCo and General Motors are leading the way with this innovative technology.

Flexibility & Agility: Adapting to a Dynamic Market

Flexibility and Agility are essential for modern supply chains, enabling them to respond swiftly to market changes and customer demands. Here are seven strategies being pursued to enhance flexibility and agility in supply chains:

• Supply Chain as a Service (SCaaS)

Outsource your supply chain management with Supply Chain as a Service (SCaaS), and focus on your core competencies while enjoying improved efficiency and reduced costs. Giants like Amazon and Hewlett Packard are already leveraging SCaaS to streamline their operations.

• Elastic Logistics for Dynamic Markets

In today’s fast-paced market, flexibility is key. Elastic Logistics allows your supply chain to scale up or down swiftly in response to demand changes, enhancing efficiency and customer satisfaction.

• Synchronization-Integration for Seamless Operations

Bridge the gap between your supply chain operations, multi-functional processes, and people systems with Synchronization-Integration. This strategic approach helps manage inventory with precision and improves overall efficiency.

• Adapting to Rapid Product Life Cycles

With the rapid evolution of product life cycles, especially in sectors like electronics and apparel, supply chains must be agile and efficient. This adaptability is crucial for staying competitive amid constant innovation and consumer preference changes.

• Smart Logistics for Enhanced Efficiency

Utilize cutting-edge technologies like AI, IoT, and blockchain to optimize your logistics with Smart Logistics. These innovations can reduce costs, improve efficiency, and enhance customer experiences.

• Omni-Channel Flexibility

Enhance your customer experience through seamless integration across all shopping channels with Omni-Channel strategies. This approach improves inventory management and operational efficiency while enabling data-driven decision-making.

• Innovating for the Future

Supply Chain Innovation involves adopting new strategies, technologies, and processes to enhance efficiency, reduce costs, and mitigate risks. Staying ahead with innovative solutions is key to meeting customer demands and improving overall performance.

Optimization Questions for Your Organization

As you consider the important insights we’ve shared, asking the following questions within your organization can help evaluate your supply chain optimization strategies:

• Predictive Analytics: 

How accurately are we predicting demand? Are there opportunities to leverage AI and advanced algorithms to improve our forecasting?

• Big Data: 

Are we fully utilizing the data available to us? What additional data sources could provide valuable insights for decision-making?

• Digital Supply Chain Twin: 

Do we have a virtual model of our supply chain to test scenarios and predict outcomes? How could this technology enhance our resilience?

• SCaaS: 

Could outsourcing parts of our supply chain management help us focus on our core competencies and reduce costs?

• Elastic Logistics: 

How flexible is our logistics network in responding to market changes? Are there areas where we could be more agile?

• Synchronization-Integration: 

Are our supply chain operations, processes, and people systems well-integrated? What steps can we take to improve this?

• Product Life Cycles: 

How quickly can our supply chain adapt to changes in product life cycles? Are we keeping up with industry innovations and consumer preferences?

• Smart Logistics: 

Are we using the latest technologies to optimize our logistics? What potential cost savings and efficiency improvements could we achieve?

• Omni-Channel Strategies: 

How seamless is our customer experience across different shopping channels? Are we making data-driven decisions to enhance this experience?

• Innovation: 

Are we continuously adopting new strategies and technologies to stay ahead of the competition? What areas of our supply chain could benefit from innovative solutions?

Conclusion

In this first part of our supply chain optimization series, we’ve explored how Data & Analytics and Flexibility & Agility are transforming supply chains. These advancements are crucial for enhancing operational efficiency and maintaining competitiveness in today’s dynamic market landscape.

Stay tuned for part two, where we’ll dive into eCommerce, Supply Chain Collaboration, and Sustainability. Together, these insights will provide a comprehensive overview of how you can leverage innovation to optimize your supply chain strategies and drive success.

Don’t wait—start optimizing your supply chain today! Contact us to learn more and get started on your journey to supply chain excellence.

PAST ARTICLES IN OUR SUPPLY CHAIN SERIES

– Navigating the Future: 9 Ways Tech and AI are Impacting Supply Chains

– Navigating the Future: How Automation is Shaping Supply Chains

Navigating the Future: How Automation is Shaping Supply Chains

Welcome back to our series on trends in supply chains! As we established in our first post, technology is having a dominant and direct impact on supply chains and organizations must strategically adapt in order to stay competitive.  

In this post we will dive into four critical pillars (manufacturing, warehousing, logistics, and fulfillment) and critical considerations facing organizations as they assess the future of their supply chains. 

Here are the key components shaping each of the four pillars of supply chains:

Examples of critical elements within each pillar are as follows: 

1. Manufacturing:

• Digital Transformation: IoT, machine learning, and AI drive efficiency and innovation.
• Reshoring: Bringing manufacturing back for quality control and shorter supply chains.
• Co-Location: Strategically placing facilities for optimized transportation and asset tracking.
• Footprint Optimization: Analyzing and improving production operations for cost and flexibility.
• Make to Order (MTO): Tailoring production to actual demand to minimize waste.

2. Warehousing:

• Expansion and Automation: Meeting increasing demands with automation.
• Central Warehouses: Addressing last-mile delivery challenges for quicker transit times.
• Warehouse Management Systems (WMS): Enhancing efficiency in inventory management.

3. Logistics:

• Transportation Systems: Use of advanced planning systems for the optimization of shipments, fleets, and transportation routes.
• Driver Retention: Strategies to counteract declining interest in driving careers.
• Crowdsourced Delivery: Using local couriers for cost-effective local deliveries.

4. Fulfillment:

• Automation Integration: Streamlining processes from order to receipt.
• Direct-to-Consumer (DTC): Bypassing intermediaries for stronger customer relationships.
• Fulfillment Software: Supporting inventory, order processing, and shipping logistics.

A common theme spanning all four pillars and facing organizations today is automation. Whether in manufacturing, warehousing or transportation, companies have been investing significantly in automation to realize efficiency improvements, lower costs, increased capacity, predictable maintenance and improved operational performance required to meet an evolving and dynamic business environment. 

Examples of automation being employed across these pillars include the following:

Optimizing your supply chain in these four areas and factoring in automation involves a strategic, step-by-step approach to identify inefficiencies, evaluate potential benefits, and implement supporting technology solutions effectively. 

The following is a recommended approach for organizations planning to optimize their supply chain and tap into automation opportunities:

Phase 1: Assessment and Analysis

– Identify Pain Points: Begin by identifying inefficiencies, bottlenecks, and challenges within the current supply chain operations. Examples could include high operational costs, low inventory turnover, frequent stockouts or overstock situations, and delays in delivery times.

– Evaluate Current Processes: Map out the current supply chain processes to understand the flow of goods, information, and finances. This helps in pinpointing areas that could benefit from optimization.

– Data Collection and Analysis: Collect and analyze data related to supply chain performance, including lead times, inventory levels, supplier performance, and customer satisfaction metrics. This data will provide a baseline for measuring improvement.

– Technology Audit: Assess the current state of technology within the supply chain. Identify existing technologies and their utilization, integration capabilities, and any gaps that automations could fill.

– Market and Technology Research: Research the latest trends in supply chain automation, including software solutions (like ERP, SCM, CRM systems), hardware (like robotics, IoT devices), and emerging technologies (like AI, blockchain). Understand how these could be applied to address identified pain points.

Phase 2: Strategic Planning

– Define Objectives and Priorities: Based on the assessment, clearly define what the organization aims to achieve with optimization, such as reducing costs, increasing speed, improving accuracy, or enhancing customer satisfaction.  

– Feasibility Study and ROI Analysis: Conduct a feasibility study for the proposed optimization solutions, including a cost-benefit analysis and an ROI forecast. Consider the financial, operational, and technical viability of implementing these solutions.

– Vendor Selection and Technology Sourcing: Identify potential vendors and technology partners. Evaluate their offerings, support services, and integration capabilities with existing systems. Select vendors that align with the organization’s objectives and budget.

Phase 3: Implementation

– Testing: Before a full rollout, conduct tests of the solutions in select areas of the supply chain. This allows for evaluating the impact on operations, identifying any issues in a controlled environment and will help to evaluate how ready the organization is to adopt the new technologies and processes.

– Training and Change Management: Develop a training program for employees to familiarize them with the new technologies and processes. Implement change management practices to address resistance and ensure a smooth transition.

– Deployment: Proceed with the full deployment of the solution, ensuring it is properly configured and aligned with existing systems and workflows.

– Monitoring and Continuous Improvement: After implementation, continuously monitor the performance of the solution. Collect data to measure improvements and identify areas for further optimization. Be prepared to iterate and make adjustments as necessary.

Phase 4: Review and Scale

– Performance Review: Compare post-implementation performance against the objectives and baseline metrics established in the assessment phase. Evaluate the success of the optimization project in terms of efficiency gains, cost savings, and ROI.

– Scaling and Further Automation: Based on the initial implementation’s success, consider scaling the optimization solution to other areas of the supply chain or implementing additional technologies to further optimize operations.

– Feedback Loop: Establish a feedback loop with all stakeholders, including employees, suppliers, and customers, to gather insights on the impact of the new solution and identify opportunities for continuous improvement.

Throughout this process, it’s crucial to maintain flexibility, as supply chain dynamics can change rapidly due to market conditions, technological advancements, or shifts in consumer demand. By following these steps, organizations can ensure a strategic approach to optimizing their supply chain, leading to enhanced efficiency, reduced costs, and improved competitiveness.

The Gunter Group’s consultants offer industry expertise to guide organizations in assessing and optimizing their supply chains and help businesses maximize the impact of their supply chain operations.  Stay tuned for our next post, which will explore tools and practices driving supply chain optimization, including supply collaboration, e-commerce, data analytics, and supply chain flexibility. 

PAST ARTICLES IN OUR SUPPLY CHAIN SERIES

– Navigating the Future: 9 Ways Tech and AI are Impacting Supply Chains

TGG Ranked as One of Oregon’s Best Companies to Work For

Last month The Gunter Group (TGG) was recognized as one of Oregon’s 100 Best Companies to Work For by Oregon Business magazine. The honor marked the ninth time TGG has been named one of the 100 Best Companies to Work For in Oregon.  

As part of the celebration and achievement, we visited with Ande Olson, Manager and Data Services Leader, and Laura Emily, People Leader at TGG to discuss and reflect on this special award.

What does TGG being named one of Oregon Business Magazine’s 100 Best Companies to Work for mean to you?

Ande: It’s a validation of the work our leadership team has done to maintain our culture and it’s an endorsement of how we bring value to our clients that’s different from other companies. We show up differently because we care deeply about our culture and making TGG an enjoyable place to work. Being named one of Oregon Business Magazine’s 100 Best Companies is a wonderful reflection of that diligence. 

Laura: I’m thrilled we continue to be recognized as a best company to work for in Oregon. The Oregon Business Magazine list is actually how I first discovered TGG about seven years ago. Since then, I’ve been fortunate to have experienced our culture in different capacities from my role as a Consultant, to various operational roles, to my current role as People Leader. Ensuring TGG remains an amazing place to work is incredibly important to me. 

This is the ninth time TGG has made the Oregon’s Best list. What do you think contributes to this consistency? 

Ande: Our culture and non-negotiables are at the center of everything we do, from internal, strategic planning to execution for our clients. That focus has allowed us to ensure we have a great workplace and work environment for everyone who decides to work for TGG. We’re fortunate that Oregon’s Best has been able to capture our culture-focused decision-making for the past nine years.

Laura: Our leaders have never strayed from our relentless dedication to preserving our culture. We don’t separate culture from strategy which means that we approach every decision across the firm with impact to culture in mind. In addition, as we grow, we place increasing importance on ways to ensure our employees feel connected, engaged, and empowered to grow with us. 

How would you describe TGG to people outside the organization?

Ande: TGG is a management consulting firm that focuses on pragmatism over dogmatism. We execute on that by focusing on partnering with our clients for the long-term, often requiring us to bend the boundaries of traditional approaches to ensure that we’re creating lasting value for our clients. Our team is dedicated to that mission and when you fold in the focus we have on our culture, we’ve been able to create and maintain a really special place to work.

Laura: TGG partners with our clients to help them solve their business challenges and support them in reaching their short- and long-term goals. We are dedicated to providing exceptional client service by holding ourselves to high standards in the work we deliver and the way we partner. Our non-negotiable values guide all of our interactions, both internally across the team and externally with our clients. 

What elements of TGG’s culture do you appreciate and enjoy the most?

Ande: Two things come to mind: our leadership team’s commitment to transparency and the entire organization’s willingness to collaborate. Our Partners and Principals ensure that everyone understands the direction we’re moving and keeps everyone apprised of major decisions that are being made. It feels good to be included in those big conversations, especially during a tumultuous few COVID years! Additionally, in five years I haven’t once been turned down by someone when asking for help. In the workplace, there isn’t a much better feeling than walking into a difficult situation knowing that you’re fully supported by everyone you work with and that they’re willing to put down their own deliverables to help you out if you need it.

Laura: I most appreciate the amazing people I get to call my teammates. We hire people who are not only exceptional consultants but also great humans. We learn from each other, encourage each other to improve and develop, and genuinely enjoy each other’s company. When you combine that with a love for consulting and serving our clients, you get the magic that is TGG. I feel very grateful to have found TGG and to be in a role dedicated to ensuring we remain an outstanding place to be. 

The 100 Best Companies to Work For in Oregon is an annual showcase that recognizes top Small, Medium, and Large businesses in the state. More than 9,000 employees across a wide range of industries complete an employee engagement survey that encompasses areas such as: management & communications, decision-making & trust, career development & learning, benefits & compensation, and work environment. 

To learn more about a career at The Gunter Group visit: https://guntergroup.com/careers/

Getting Started with Sustainability

As of October 2023, nearly half of Fortune 500 companies are participating in one or more climate initiatives. Patagonia has made it clear that their mission – their entire purpose for existing – is to tackle climate change. Another of the most notable sustainable companies, Unilever, is over a decade into efforts to transform its entire global supply chain.

But, what if your company is just getting started with conversations about sustainability? Amidst all of the various sustainability missions, strategies, and pledges, how does your company determine the best approach for them?

There is a vast sea of content and frameworks that exist across the corporate sustainability space to help companies with this question. Below is just a small sampling of the many frameworks and methodologies available to those looking to get started in sustainability:

However, when I think about how a company can most effectively get started in sustainability, I don’t gravitate towards any of the specific frameworks or methodologies listed above. I think of two simple prompts. 

Prompt #1 – What does Unsustainable mean to your company? (A quick, simple definition of Corporate Sustainability: Running a business in a way that remains profitable/viable without negatively impacting people and the environment.)

Examples:

• Does your company experience challenges with resource inefficiency? For example: Our manufacturing sites are so old. Operating these sites requires a tremendous level of dependence on fossil fuels. Or, the amount of shipping currently required to run our business generates very high emissions.

• Is your company’s environmental impact a strike against your brand? For example: We have great products but millennials don’t feel value aligned with us (according to Nielsen, 75% of millennials consider sustainability before they make a purchase).

• Is your company over-invested in value streams likely to phase out in the future? For example: We manufacture oil containers. That’s what we do well. We are forecasting a significant decline in demand by 2030.

• Or perhaps your company is leaving innovation on the table? For example: We manufacture glass. Sales are stagnant. We haven’t experienced a high growth rate for decades. However, one of our engineers gave a presentation the other day describing how glass could be used to generate solar energy for buildings.

Do any of these examples resonate with your business?

I created these examples utilizing Bob Willard’s “4 Quadrants of Enterprise Sustainability” from the book The New Sustainability Advantage. Willard gave up an award-winning successful career in senior management at IBM to devote himself full-time to building corporate commitment to sustainability. He has a tremendous ability to help companies articulate their business case for sustainability. These 4 quadrants provide an excellent framework to help your company identify where to get started.

Prompt #2 – What are the downstream impacts that being “Unsustainable” has on your business?

• Is it resulting in unnecessary costs (impacting resource efficiency)?
• Is it keeping you from attracting the best candidates (hurting brand + reputation)?
• Is it restricting growth (limiting Innovation)? 
• Is it a threat to your company’s longevity (creating too much risk on the balance sheet)?

These two prompts can help you better understand what getting started in corporate sustainability looks like for your organization. When surfacing these prompts with your team, don’t limit these initial discussions strictly to the leadership level. Don’t exclusively gravitate towards external key subject matter experts. There is likely a substantial level of passion that already exists within your organization on this topic. These initial questions pose a wonderful opportunity to engage your team in meaningful work. Meaningful work helps teams feel engaged and connected to a higher purpose, positively impacting team culture and employee experience. Take your time with these discussions and create opportunities for all to participate in crafting your company’s path forward in sustainability. It will pay dividends in the long run. 

Once you’ve had these conversations and understand what sustainability means to your organization, you need to consider your existing capacity to embark on this work. Do you have the personnel, resources, and knowledge within the organization to be successful? This would be a great time to conduct a readiness assessment. 

At The Gunter Group, we regularly perform readiness assessments for clients that are about to undergo an organizational transformation or major change initiative. We think about organizational readiness through our 4 service pillars: Strategy, People, Technology, and Execution. Below are questions applying these 4 service pillars that can help gauge your company’s readiness to embark on corporate sustainability:

STRATEGY

– Strategy Development: What are your high level objectives? How aligned are these with your complete picture? 

– Strategy Governance: What will you need to put in place to ensure effective decision making? 

– Strategy Management: How will leadership enable iteration and improvement in the strategic direction over time?

PEOPLE

– Organizational Design: What is the right level of collaboration for your strategy? What changes may be required to your organizational structure? 

– Change Management: Are there groups of people within the organization that are likely to be resistant to these changes? How will your company go about bringing them onboard from the beginning to ensure a successful change adoption?

– Leadership Coaching & Development: What critical knowledge and experience gaps exist within the leadership team? What training and coaching is needed to equip leadership to support your company’s strategy? 

TECHNOLOGY

– Enterprise Architecture: What technology gaps exist? Will you be in need of a software implementation or will there be a multi-year technical roadmap required to support your goals?

– Agile Practice: Large-scale change efforts that engage several facets of an organization are best executed through agile business practices. Does your company have experience with agile operating models, or is agile training needed?

– Decision Insights + Data Services: What will your sustainability strategy need from your organizational data structure and measurement capabilities? How can teams be better prepared for changing data requirements? Successfully executing against your company’s sustainability strategies will require understanding your organizational data structure and the availability of the data needed to support your goals.

EXECUTION 

– Program + Project Leadership: Change initiatives are complex. What is the scope of the project? What frameworks will be relied on to support effective planning and project leadership?

– Business + Systems Analysis: What impacts will this change effort have on existing business processes and systems? Do you have the capabilities present within your organization to analyze change impacts? 

– Operations + Process Improvement: Whether it’s waste reduction or operational inefficiencies, operational teams will be impacted by the sustainability strategy. How will they develop a clear understanding of necessary operational & process improvements and how to approach continuous improvement towards the end state?

Be prepared to pursue your sustainability strategies and goals similar to any other significant change effort. Involve your team in a cross functional, collaborative exercise, and don’t let sustainability get siloed within your organization.

At The Gunter Group, we have consultants spanning leadership levels that have experience leading successful change efforts as well as experience leading successful sustainability initiatives. Reach out to us if you’re interested in learning how TGG can support your company in getting started with corporate sustainability.

Navigating the Future: 9 Ways Tech and AI are Impacting Supply Chains

Supply chains are the backbone of the global economy, orchestrating the seamless flow from manufacturers to consumers. They are intricate networks covering vendor selection, raw materials, manufacturing, warehousing, and end-user delivery. Beyond meeting consumer demands, they drive economic growth, create jobs, drive profitability and brand share, and fuel innovation.

In crises like the Covid-19 Pandemic, resilient supply chains shine. Today’s dynamic business landscape demands agile responses to tech shifts, changing preferences, and disruptions. Global supply chains, complex and swift, navigate regulatory changes. Rapid evolution enhances efficiency and cost-effectiveness, enabling organizations to meet demands and conquer challenges. Innovation and data-driven insights are paramount for staying competitive.

In this series of blog articles we will explore the leading trends shaping future Supply Chains. This first article will discuss The Impact of Technology on Supply Chains, with subsequent posts covering the following topics:

– Supply Chain Operations: trends impacting functions such as manufacturing, warehousing and logistics as well as trends in automation.

– Supply Chain Optimization: optimizations such as supply collaboration, e-commerce, data & analytics and supply chain flexibility & agility. The post will also discuss sustainable supply chains.

– People in Supply Chain: the “people” impact resulting from wide-scale changes and how an organization can prepare people for this change.

– Supply Chain Business Environment, Supply Chain Resilience and Change Management: what organizations can expect going forward and how this will impact their supply chains.

Trends in Supply Chain: The Impact of Technology and AI on Supply Chain

In the landscape of global commerce, the importance technology will play in the future of supply chains is paramount. Artificial Intelligence (AI), Cybersecurity, and advanced tools are emerging as pivotal technological components all working together to develop Digital Supply Chains:

• AI brings unprecedented efficiency to supply chain management by optimizing processes, predicting demand patterns, and enhancing decision-making through data-driven insights. Its ability to analyze vast datasets enables organizations to streamline operations, minimize costs, and respond swiftly to market fluctuations.
• Advanced tools, such as Digital Supply Chain Twins, Supply Chain Control Towers, Blockchain and the Internet of Things (IoT) devices foster transparency, traceability, and real-time monitoring, promoting a resilient and agile supply chain.
• Robust cybersecurity measures are indispensable in safeguarding sensitive information, assuring the integrity of transactions and mitigating the risks associated with increasingly complex digital ecosystems. 

As technology continues to evolve, its integration into the supply chain not only enhances operational efficiency but also fortifies the sector against emerging challenges, ensuring a future-ready and adaptive foundation for global commerce.  

AI is providing exciting advancements in supply chains, as exhibited from the following examples:

1. Supply Chain Mapping: AI-driven supply chain mapping involves utilizing artificial intelligence algorithms to analyze and visualize the end-to-end flow of goods, information, and processes within a supply chain, offering comprehensive insights and optimization opportunities. Wal-Mart, Tyson Foods, Maersk and Siemens are real world examples of companies using Supply Chain Mapping to find and engage with alternate suppliers as well as pre-qualify alternate suppliers. 
2. Machine Learning and Predictive Analytics: Machine learning in the supply chain applies algorithms to learn from data, predict trends, and optimize decision-making. This boosts forecasting accuracy, enhances inventory management, and improves overall operational efficiency. Continuous adaptation to new information ensures a responsive and agile supply chain. Companies like DHL, Maersk, UPS, and Vibronyx Inc. leverage AI-driven predictive analytics to analyze historical data, identify patterns, and forecast future trends, enabling proactive decision-making, risk mitigation, and operational optimization.
3. Operational Performance: Specific examples of how AI can optimize operational performance include AI-powered forecasting that can equip operations with improved intelligence to reduce demand-supply mismatches, AI-based algorithms that automate goods retrieval from warehouses for smooth order fulfillment and chatbots to improve customer service. Additional examples include solutions supporting fleet management platforms that optimize routes for a faster and more economical movement of goods and AI-powered autonomous vehicles that can reduce driver costs.

Along with the importance of AI to the future of supply chains, there are various advanced tools, some of which will work hand-in-hand with AI capabilities that will play an important role in supply chains:

4. Digital Supply Chain Twin: A Digital Supply Chain Twin is a virtual simulation of a physical supply chain that uses real-time data and artificial intelligence to analyze and predict its behavior. It helps organizations test scenarios, model different options, and understand the impact of decisions and disruptions on network operations. Real world examples of companies utilizing Digital Supply Chains include Google, FedEx, DHL, GE, Rolls-Royce and Pratt & Whitney.
5. Supply Chain Control Tower: A Supply Chain Control Tower is a centralized platform that provides end-to-end visibility and real-time monitoring of supply chain activities spanning areas such as transportation, warehousing, inventory management and manufacturing. This enables proactive decision-making, issue resolution, and optimization of logistics processes. Real world examples of companies utilizing Supply Chain Control Towers include Coca-Cola, IBM, Nestle, Procter & Gamble and Unilever.
6. Blockchain: Blockchain in the context of the supply chain acts as an immutable and transparent digital ledger, enabling secure and traceable recording of transactions, shipments, and processes across a decentralized network, thereby enhancing trust, reducing fraud, and optimizing transparency throughout the supply chain ecosystem. This technology ensures that each participant in the supply chain has access to a consistent and incorruptible record of transactions, fostering efficiency and accountability. Real world examples of companies utilizing Blockchain include Walmart to track products back to their origin, British Airways and Maersk to manage cargo, and Nestle for their Supply Chain management.
7. Internet of Things: The Internet of Things (IoT) in the supply chain embeds sensors and connected devices for real-time tracking and data collection, fostering increased visibility and efficiency. This enables proactive decision-making, optimizing overall supply chain performance. Facilitating seamless communication between devices, IoT enhances management, provides actionable insights, reduces delays, and offers a comprehensive understanding of the entire supply chain ecosystem. Companies like Amazon, Volvo, and Maersk Line use IoT for warehouse management, monitoring car part shipments, and tracking containers globally.
8. Smart Logistics: Smart Logistics integrates cutting-edge technologies such as IoT sensors, data analytics, and automation to optimize the entire logistics process, enabling real-time monitoring, predictive analytics, and efficient decision-making for improved supply chain performance. Real world examples of companies utilizing Smart Logistics include Amazon using Kiva robots to move goods efficiently across its fulfillment centers, DHL for better inventory management and forecasting, and Chronicled to automate traceability and instantaneously approve financial transactions in the shipping industry.  
9. Cybersecurity: Cybersecurity is set to shape the future of the supply chain industry with key trends. The integration of AI and machine learning enhances adaptability to evolving threats. Blockchain technology fosters transparency and traceability. The rise of quantum computing prompts the development of quantum-resistant encryption. Convergence with IoT devices demands robust security protocols. Emphasizing collaboration and adopting a proactive, risk-based approach are crucial for staying ahead of cyber threats as supply chains digitize.

To reiterate the message at the beginning of this post, supply chains must be agile and adaptable to thrive. Enhancements in technology, such as in the tools listed above will play a significant role in allowing your supply chain to meet future challenges. In addition, as organizations begin utilizing these tools, they will also need to ask themselves the following questions to assess their readiness for implementation:

• What is the intention, or future state design of the supply chain, and will the implementation of these tools get the organization to where they need to go?
• Is the organization ready to implement, and if not what is needed to be ready?
• What is the pre-work needed by the organization to use various AI tools across their supply chain.  Pre-work will span areas such as data preparation, machine learning pre-work, capital investment planning and training.

Today’s supply chains are far from the simplicity of a few years ago, as captured in this post showcasing key technological trends. At The Gunter Group, our team of consultants has extensive experience spanning numerous industries and organizations. We’re poised to offer valuable guidance, address your questions, and help develop supply chains that tackle the diverse challenges of the future.

Stay tuned for our next post, delving into the intricacies of Supply Chain Operations.