Welcome Module

• Getting Started

  • Read: Introduction and Overview

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    Welcome to Strategic Leadership Within Your Supply Chain Organization. This week you will have the unique opportunity to explore ways to build the capacity of your supply chain organization in the service of a long term strategic vision. These are critical leadership skills that will help you build organizational excellence. This program is designed to help you share best practices, leverage and crowdsource new ideas to build these leadership skills, and drive better business results in your organizations. Please don't share private information about your company but use the opportunity to discuss openly your challenges, concerns, and possible solutions.

    Program Overview

    CorpU sprints challenge you to question your assumptions and envision new possibilities to improve supply chain performance. Share the things you do that work well in your organization, as well as approaches that need improvement. Draw out the crowd wisdom from the experienced and capable people in your cohort.

    In Strategic Leadership Within Your Supply Chain Organization, you will:

    • Assess leadership competencies
    • Discuss leadership at your organization
    • Share an idea for improvement 
    • Discuss ways to implement your plan

    By the end of this sprint, you will have a clear understanding of the role effective leadership plays in a successful supply chain organization. You will also have identified an area of improvement and developed a plan to carry it forward.

    Let's get started!

  • Write: Introduce Yourself

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    One significant benefit of learning in a community is the ability to grow your personal network. We want to help you make connections with other leaders so that you can turn to them in the future for advice, support or to give you alternative perspectives.

    The information in your profile will help others know more about who you are and the role you hold in your organization. Profile information is available at a glance to fellow participants.

  • Discuss: Meet Your Cohort

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    It’s time to meet your colleagues on this journey, so take a few minutes to begin a brief discussion with them by making your first post.

    Start by sharing your name, how long you've been with your organization, and the role you play. Please also include one goal you're planning to accomplish as a result of this learning journey. After you've told us something about yourself, read about your colleagues and send a reply to say hello or to mention something you may have in common.

  • Read: Meet Your Experts

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    Throughout the CorpU Supply Chain sprints, you will directly benefit from the real-world experience, research, and skill brought to you by our subject matter experts of The Smeal College of Business at the Pennsylvania State University.

    First, meet Steve Tracey, the faculty member featured in the expert videos you'll watch each day.

    Steve Tracey: Steve Tracey is the current executive director for the Center for Supply Chain Research® (CSCR®) and Penn State Executive Programs, and Professor of Practice in Supply Chain Management within Smeal College of Business. In his CSCR® leadership role, Steve is responsible for the vision of one of Smeal’s premier research centers as an ambassador and spokesperson for supply chain activities at Penn State. Through collaboration with the nationally top-ranked Department of Supply Chain and Information Systems faculty within Smeal and CSCR® Corporate Sponsors, Steve promotes meaningful and progressive supply chain research for industry-specific application and defines research strategy and programs.

    As Executive Director of Penn State Executive Programs, Steve leads an elite team of internationally recognized faculty, researchers, consultants, authors and thought leaders offering individuals and organizations deep expertise, relevant content, and effective learning models across multiple areas of focus with particular emphasis on leadership and strategy, general management, and supply chain. He heads business development for national and global client organizations providing program design and delivery of customized learning solutions with measurable results that align with strategic business goals while addressing the challenges and opportunities within the client’s unique business context.

    As a Professor or Practice within Smeal, Steve delivers curriculum reflecting his extensive background in operations and finance to Penn State Smeal College of Business undergraduate and graduate students. He also connects with broad industry and public-sector audiences through his teaching in Penn State Executive Programs and representing CSCR® at industry events and conferences. Steve has a diverse global background directing operations with full P&L responsibilities in more than 14 countries and is considered a commodity market expert in the Textile industry. Prior to joining Penn State Smeal, Steve was the senior vice-president of Global Supply Chain at Standard Textile Company, the world’s largest marketer and manufacturer of institutional textiles.

    And another expert from Penn State, Chris Craighead, will join us on the webinar Live Event on the final day of the course. 

    Chris Craighead: Dr. Christopher W. Craighead is the Dove Professor of Supply Chain Management at the Haslam College of Business, University of Tennessee. His primary research interests lie in the area of strategic sourcing and supply management, with a focus on global supply chain disruptions/risk and resilience. Chris has articles published in Journal of Operations Management, Production and Operations Management, Decision Sciences, Journal of Business Logistics, Journal of Supply Chain Management and others.

    Professor Craighead has been the recipient of several research fellowships, competitive research grants, and awards for teaching excellence at both the graduate and undergraduate levels. He has been a frequent speaker to managerial audiences and has participated in a number of executive programs (open enrollment and custom).

    Chris serves as an Associate Editor of the Journal of Supply Chain Management and Journal of Business Logistics and also serves on the Editorial Review Board of Production and Operations Management. He has been the recipient of multiple awards for reviewing and editing excellence including Best Associate Editor Awards at Journal of Operations Management, Journal of Supply Chain Management and Decision Sciences. 

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Strategic Leadership Within Your Supply Chain Organization

• People, Processes & Technology

  • Read: Lesson from Unilever

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    There are times in business where the "urgent trumps the important", and short-term priorities may circumvent long-term initiatives. When this situation occurs, professional development does not always receive the kind of attention it deserves.

    Unilever was named the top supply chain in Gartner's 2018 Supply Chain Top 25 and for the third year in a row. When Unilever created its first global supply chain organization, it appointed its first Chief Supply Chain Officer in order to leverage its supply chain to improve both top-line and bottom-line. In order to accomplish this goal, the company had to build the capacity of its people across the supply chain. Prior to the SCSO appointment in September 2009, the company had a reputation for fragmented processes and operational silos in its overly localized supply chain. At this time, Unilever was 22nd on Gartner's 2009 Supply Chain Top 25.

    As Unilever began this strategic effort, the firm first standardized 130 of its core roles within the global supply chain. It then began to measure the skills it had across the organization. Once Unilever measured the skills needed, it was able to identify talent gaps within various managerial levels and/or geographies to target for improvement.

    The firm then developed a core curriculum and a "Supply Chain World Platform", which enabled the firm to communicate the expectations for each of the 130 roles. This technique helped employees and managers built targeted development plans aligned to the firm's needs.

    Furthermore, Unilever built standardized organizational templates of capabilities in procurement, engineering, logistics, manufacturing, category technologies, and go to market. Building these templates allowed the firm to avoid duplicating efforts and capabilities within the 190 nations it served.

    Finally, Unilever used these tools and initiatives to focus its efforts on collective upskilling and development, rather than on individual capability development. The firm has discovered that leaders in one of its differentiated leadership programs based on its strategic HR effort had leadership scores 3.7% higher than peers who did not go through the program. This number by itself does not mean much, except that these improved leadership scores led to a 1% gain in operational performance at the manufacturing plant managed by this leader.

    The very nature of intricate global supply chains requires firms to imagine the way that they recruit, retain, support, and manage talent. Take a moment to reflect on the following questions:

    • How can your firm improve its organizational capacity by building the collective skill of its people?
    • How could an initiative like Unilever's improve your organization's competitive position?

    Sources: Supply Chain Talent Management Needs a Strategy and Unilever Has One, SCM World Blog/Live Forum, O'Marah (2016); What's the Point of a SCSO? Kevin O'Marah, SCM World, May 27, 2016; Gartner Supply Chain Top 25: 2009 and 2018

  • Watch: People, Processes and Technology

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    You've likely heard that organizations must align their efforts across three streams—people, processes, and technology—in order to be effective.

    In this video, Steve Tracey shares the most critical of the three: your people.

    As you watch this video, consider the technical, tactical, and strategic skills needed for your role, as well as for the roles of the people you work with most closely. Do your people have the right bundle of technical, tactical, and strategic skills for their respective roles?

    Also, consider your firm's trajectory. Is your supply chain organization moving along a trajectory that will allow you to beat the competition? Why or why not? What will you need to do to speed up your firm's trajectory in the future?

  • Assess: Leadership Competencies for Managers

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    You just heard that people are the foundation of an effective supply chain and that the skills necessary to excel fall into three categories: technical, tactical, and strategic.

    It's now time to think about your organization. What skills do managers need to excel in your organization? Are they technical, tactical, or strategic? How can your organization equip these managers to be highly proficient at what they do?

    The list below includes 20 leadership behaviors. Take the next three minutes to rank this list from the most important to the least important leadership behavior for front line managers within your supply chain organization.

    We will discuss your cohort's responses in a later activity and connect this information to the vital work of strategic supply chain improvement.

     

  • Read: Decoding Leadership

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    You just ranked 20 important leadership behaviors from most to least important. The article below, "Decoding Leadership" (adapted from the McKinsey Quarterly) highlights the four leadership skills all successful front line managers need to possess.

    As you read this article, consider your own leadership skills. How can you develop yourself and your teams in these four areas to drive future performance?

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    Decoding Leadership

    By Claudio Feser, Fernanda Mayol and Ramesh Srinivasan

    Mentioning to any CEO that leadership is a critical performance driver is like saying that humans need oxygen to breathe. It is self-evident. However, what is less clear to business leaders is what kinds of leadership behaviors are most likely to build competitive teams. Which is a more important leadership behavior: sound decision-making or setting a compelling vision? Will asking good questions yield better results than positive reinforcement? There is no consensus in the field of leadership development as to what are the most important drivers of excellent leadership.

    Our research suggests, however, that among frontline leaders, there are a small number of skills that closely correlate with success. First, we reviewed the current literature on leadership and developed a list of 20 specific leadership traits including:

    1. Be supportive
    2. Champion desired change
    3. Clarify objectives, rewards and consequences
    4. Communicate prolifically and enthusiastically
    5. Develop others
    6. Develop and share a collective mission
    7. Differentiate among followers
    8. Facilitate group collaboration
    9. Foster mutual respect
    10. Give praise
    11. Keep group organized and on task
    12. Make quality decisions
    13. Motivate and bring out the best in others
    14. Offer a critical perspective
    15. Operate with strong results orientation
    16. Recover positively from failures
    17. Remain composed and confident in uncertainty
    18. Role model organizational values
    19. Seek different perspectives
    20. Solve problems effectively

    Then, we surveyed close to 200,000 individuals at a wide array of organizations in order to assess how these people apply these skills in their daily work. Finally, we split the sample into quartiles with those organizations exhibiting strong leadership at the top and those exhibiting weak leadership at the bottom.

    We discovered that leaders in organizations with strong leadership teams exhibited 4 of the possible 20 skills, and further, that these skills explained almost 90% of the variance between those organizations with successful leadership and those without successful leadership.

    These four skills are:

    1. Solving Problems Effectively: Effective leaders go through a decision-making process which includes gathering and analyzing information before they make a decision. This is a critical leadership skill for everything from team management to buying companies.
    2. Operating with a Strong Results Orientation: Leaders who focus their efforts on the work that will yield tangible results are more effective than those leaders who do not target their work in this manner.
    3. Seeking Different Perspectives: Leaders who actively seek out alternate perspectives are able to adjust to shifting conditions, differentiate between high-value and low-value work, and accurately assess stakeholder needs.
    4. Supporting Others: Leaders who are strong in this area are authentic and sincere. They help others address and surmount challenges, thereby making the team more effective over time.

    We are not saying that these are the only skills that effective leaders need to possess. However, our research suggests that front line leaders could benefit from training and support in these core areas. 

  • Discuss: Leadership at Your Organization

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    You just read an article from the McKinsey Quarterly that shared the authors' view of the four skills front line managers must have in order for a supply chain to excel. 

    1. Solving Problems Effectively
    2. Operating with a Strong Results Orientation
    3. Seeking Different Perspectives
    4. Supporting Others

    Now, take a moment and share with your colleagues below which one of these your organization does best.

    Then, share where your organization has the most room for improvement.

    Finally, respond to your colleagues' thoughts by offering a suggestion for improvement. Remember, you are the future of your organization's supply chain excellence, and your colleagues will learn much from your considered responses. 

• Effective Leadership Requires Vision

  • Watch: Envisioning the Future

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    People are the foundation of an excellent supply chain. But how do you motivate and guide the players on a supply chain team? One of the most fundamental tools supply chain leaders must use to motivate and guide their teams is the vision of the supply chain.

    Great leaders set a vision for the organization and then share this vision so that everyone has a reason to believe in the larger mission of the organization. In this video, Steve Tracey offers insights on how you should go about developing this vision. 

  • read: Supply Chain Leaders are Organizational Leaders

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    What is your vision of success for yourself and your organization? 

    The supply chain's importance to organizational success is growing at an exponential rate. This shift means that more is expected of supply chain leaders than ever before. It also means that there is an unprecedented opportunity for talented supply chain leaders to rise to the highest levels of the firm. The following article, "The Rise of the Supply Chain Executive," discusses why this is the case.

    As you read this article, consider the leadership skills you explored in the previous lesson. How can you develop your leadership capabilities in order to meet the challenges that lie ahead and make your personal and organizational goals a reality?

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    The Rise of the Supply Chain Executive

    By Merrill Douglas; O'Marah (2016) What's the Point of a CSCO?

    What's the point of a CSCO?

    Unlike finance or sales, supply chain is a business discipline that's still very much in its infancy. The conditions giving rise to the Chief Supply Chain Officer role have only been around for about 25 years. Outsourced manufacturing free trade with China and other emerging economies, and most importantly, connected information systems from ERP to cloud, all make the CSCO a hot seat for the next generation of corporate executives. The question is, what is their purpose?

    A study in the Journal of Operations Managment (Roh et a.) found that a formal appointment of a Chief Supply Chain Officer to the top management team correlates with better financial performance as long as the business is highly leveraged, moderately diversified and operating globally. The performance gap was up to 200 basis points higher return on assets for CSCO equipped businesses with these characteristics. Wisely chosen, these new leaders enabled their businesses to effectively share assets, capabilities and commitments to drive growth.

    The difference between this highly strategic role definition and the much simpler, traditional view of supply chain as a cost center reflects a huge shift in attitude. As recently as 1999, the supply chain function was still jelling as a cooperative exercise between purchasing, manufacturing and distribution. the glue in those early days was often a Vice President of Supply Chain IT, whose main job was populating and running rudimentary planning engines in pursuit of cost savings.

    Low-hanging fruit was everywhere for the first 10 years or so and working capital in the form of inventory got steadily leaner. Costs also came down as better sourcing, logistics and of course, low-cost country manufacturing combined to essentially destroy the forces behind consumer price inflation. All good, so long as businesses could keep growing profits by cutting costs.

    The supply chain is becoming increasingly important to firms looking to develop a competitive edge in the global marketplace. The center of supply chain leadership is no longer hidden on the loading dock or in an office churning out analytics. These discussions have now found their way to the boardroom of many large firms.

    Senior leaders within the supply chain can have a variety of titles - anything from vice president, senior vice president, or even Chief Supply Chain Officer (CSCO). Regardless of the title, one thing is clear: these professionals are actively involved in their firm’s strategic operational decisions.

    consolidating the links

    Many firms have recognized the strategic importance of the supply chain and consolidated the activities within the supply chain under the purview of the Chief Supply Chain Officer (CSCO). Organizations have found that if they are not careful, cost savings in one part of the supply chain, can lead to sub-optimization in another portion. Consequently, supply chain orchestration is becoming a critical component of global firms.

    Another reason why companies are consolidating supply chain activities is sustainability. Companies have discovered that developing and then communicating their sustainability initiatives both captures and creates value - the organization benefits from cost savings, as well as the commensurate customer loyalty that often accompanies these efforts.

    The top tier toolbox

    Given the complexity of contemporary supply chains, the CSCO must possess a wide array of skills to be effective in his or her role. The following are 5 critical characteristics of the CSCO:

    1. Business Acumen: Since supply chain activities can reduce costs and drive revenue, CSCOs must have strong business acumen to discern the potential ROI of various activities and support those with the highest payoff.
    2. Technological Know-How: CSCOs must have a strong foundation in technology in order to harness these tools to increase end-to-end visibility and improve decision-making.
    3. Leadership: Senior leaders must be able to lead a wide array of people across a huge number of silos and disciplines.
    4. Cultural Savvy and a Strong International Perspective: The global supply chain requires that executives understand the complexities of world markets.
    5. Change Management Skills: CSCOs will likely lead multiple high-level, strategic change management initiatives during their tenure.

    As the supply chain becomes ever more important, it is likely that supply chain leaders may rise above the CSCO position to become a divisional president, COO, or even CEO. As supply chain leaders gain ever broader exposure and experience into operations and the core of the business, these professionals may find it easier to work across industries to help a variety of firms flourish. The fortunes of the supply chain leader are on the rise.

  • Read: Top Supply Chains Have People-Focused Strategies

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    What makes a vision for a supply chain both effective and inspiring? The article below, by Kelly Marchese and Bill Lam at Deloitte, offers powerful insight into this question. As you read, consider the winning elements of top supply chains' strategies: end-to-end, people-focused, and long-term. How can you contribute to a more effective vision at your organization? 

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    Supply Chain Leadership

    Distinct approaches to innovation, collaboration, and talent alignment

    By Kelly Marchese and Bill Lam

    the distinctive supply chain

    In order to uncover best-in-class supply chain leaders, Deloitte Consulting conducted multiple Global Supply Chain Survey with several hundred manufacturing and retail executives from organizations worldwide and compared these firms on two metrics: inventory turnover and the percentage of deliveries on time in full. Supply chain leaders were then defined as those firms rated by their executives as significantly above average on both metrics, while supply chain followers were those organizations that were less than significantly above average on one or both metrics.

    Interestingly, 79% of leading supply chain organizations also had significant revenue growth, compared to 8% of supply chain followers. Supply chain leaders are also substantially more likely to empower leaders with end-to-end control, build differentiated strategies aligned to unique segments, and build talent strategy aligned to the new strategic nature of the supply chain.

    it starts with leadership

    Supply chain considerations must be accounted for as companies decide how to introduce new products and enter new markets. The study found that 56% of supply chain leaders had a senior executive communicating regularly with business leaders, while only 33% of supply chain followers had representation among senior executives. Given that many large firms now compete supply chain to supply chain, these organizations must treat the supply chain as a strategic variable.

    Multiple Segments, multiple strategies

    There is no one “right” supply chain strategy, but the supply chain strategy must align with the overall business strategy. Every supply chain leader must balance costs and service levels. In order to strategically address these tradeoffs, supply chain leaders work diligently to capitalize on service level differentiation. Not all customers require the same level and type of supply chain service. 

    In order to take a more strategic view of the supply chain, firms must first align their efforts to the overall corporate strategy. Companies that pursue a low cost strategy will have very different supply chains from those that pursue a customer service strategy. The challenge in all of this is developing a common understanding of the appropriate service levels within the supply chain. For example, sales leaders want to be in stock all the time, which pushes inventories higher, while supply chain leaders prefer lean inventories, which could reduce growth.

    a broader view of the supply chain

    Supply chain leaders take a broader view of the supply chain than do supply chain followers. Over 50% of leading organizations included all six of the links most frequently associated with the supply chain (including product development, demand planning, supply planning, procurement, manufacturing and logistics) under the purview of one function. In comparison, the majority of supply chain followers owned three of these six areas.

    Supply chain leaders also collaborate across functions more frequently than do the supply chain followers. For example, supply chain leaders integrate their activities “extensively” with the following areas: 69% with corporate strategy, 75% with Finance, and 71% with Sales & Marketing. The figures for the supply chain followers were nearly half of those for the leaders.

    Moreover, many of the leaders use analytical tools for techniques such as integrated business planning to more closely integrate supply chain activities across the chain. Additionally, the vast majority of supply chain leaders rely “extensively” on outsourced services for logistics, manufacturing, and warehousing & storage. The supply chain followers use these services approximately 30% as often as the leaders.

    Given their end-to-end orientation, supply chain leaders are also far more likely than supply chain followers to coordinate with both suppliers and customers.

    the innovation imperative

    Supply chain innovation must occur within the context of the firm’s broader corporate strategy. There are a whole host of new technologies which are now shaping the supply chain. Additive manufacturing, also known at 3D printing, has enabled firms to produce highly customizable products in a cost-effective manner, which can be close to the customer. Firms also use 3D printing for aftermarket service parts and products with a high probability of obsolescence. The study found that supply chain leaders use 3D printing significantly more than supply chain followers.

    Supply chain leaders also use analytical tools far more frequently than their counterparts to help leaders to identify areas of sub-optimization, run scenarios, and make more profitable decisions about tradeoffs in the supply chain. 

    new talent strategies

    Contemporary supply chain leadership requires a broader set of skills than in the past. Supply chain leaders recognize this shift and are actively recruiting people with analytics expertise, cross-functional experience, and global experience. Moreover, these organizations are working diligently to attract and retain young professionals by offering a competitive salary, a clear and attractive career path, and leadership development.

    As a profession, supply chain management finds itself in something of a crisis. Just as it is gaining stature within enterprises, many organizations are confronting critical shortfalls of talent. Years of headcount reduction, training budget cuts, and the retirement of highly-skilled individuals have hollowed out the ranks of veteran professionals. New graduates, despite the growing number of supply chain programs, emerge from universities in what seems like a trickle. (source: Deloitte 2015 Global Supply Chain Survey: Supply Chain Talent of the Future)

    strength in every link

    Aligning your supply chain for transformation can seem like a daunting task. However, as we analyzed the data we found that the following action steps can help you improve your supply chain organization in dramatic ways:

    1. Get your house in order

       1. Redefine your supply chain boundaries with end-to-end span of control and connectivity
       2. Empower strong senior leadership with cross-functional credibility, and a vision for more strategic partnership with the business
       3. Develop integrated stewardship metrics and analytics that highlight financial tradeoffs and options

    2. Connect the organization

       1. Align your supply chain strategy to your organization’s corporate strategy
       2. Be a broker of information and decision-making between Sales, Marketing, Finance, and third parties
       3. Extend visibility and connectivity to value chain partners in order to reduce risks and costs across the value chain

    3. Be a champion for innovation

       1. Think beyond the supply chain ­— every part of the organization must think about ways to innovate and initiate these improvements
       2. Begin piloting potential disruptive technologies early so that you do not have to play catch up if broader applications and trends emerge
       3. Build innovation capability by piloting and launching several new innovations in order to build your organizational capacity and learn from the experience

    4. Develop talent strategies for a new era of supply chain professionals

       1. Increase supply chain visibility to create “brand appeal” for the supply chain as a strategic function
       2. Outline cross-functional career paths and create targeted job rotations to develop broad functional and business acumen
       3. Recruit talented people who will become the supply chain leaders of the future

    Remember that leading supply chain organizations are more likely to achieve above average revenue growth and EBIT margins. You will need to find, retain and develop leaders who can build and maintain a supply chain that has an enduring competitive advantage.

  • Discuss: Your Leadership Preparation

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    Take a moment to discuss the talent implications of supply chain leadership with your cohort. Use the questions below to guide your conversation.

    • How did you prepare to become a supply chain leader? Did any of your leadership preparation involve any of the suggestions or concepts presented in todays lesson? Why or why not?
    • What experiences or support would have been helpful to you as you transitioned into a leadership role?
    • How can your organization use your insight to develop bench strength for the future?

  • Read: Women in the 21st Century Supply Chain

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    As the Baby Boomers retire and supply chains continue to grow in scope and complexity, there is a real need for talented leaders in the field. Women represent an untapped talent pool for supply chain leadership. 

    The following article excerpts discuss key questions that organizations must ask themselves as they look for ways to identify, grow and develop women in the organization. As you read this article, consider how your organization is identifying and developing talented women within the firm. Is this articulated as part of your organization's strategy or vision? Should it be? What other pools of untapped talent might exist? What innovations and growth will your organization miss out on if this is not part of your strategy?

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    Women in supply chain leadership and the overall supply chain

    The following information is excerpts from Gartner and AWESOME (2018) 2018 Women in Supply Chain Research Publication Date: April 27, 2018. Analyst(s): Dana E. Stiffler, Amber Salley, Lisa Callina.  The third annual survey, conducted in partnership with AWESOME in 2018, shows sustained strong representation of women in the senior-most ranks of supply chain organizations relative to other functions.  The study also found more supply chain leaders spearheading their own initiatives to attract, retain and advance women into senior leadership roles.

    In 2018, acquiring talent and, especially, retaining it continue to color supply chain executives' assessment of current performance as well as their views of the future. In our 2017 CSCO survey of 238 global supply chain leaders, gaps in skills/talent were top internal and external obstacles to achieving supply chain goals and objectives. The group was more concerned with talent and skills shortages than with technology disruption, slowing growth, supply risk or regulatory policy.

    In parallel, retaining precious talent once we've managed to acquire it is of primary importance. In fact, associate retention this year eclipsed recruitment as the chief talent-related concern of CSCOs. The stakes are high — the loss of a single midcareer supply chain professional, taking into account loss of expertise and associated instability, will cost two to three times their salary. Losing a director-level leader equates to a seven-figure hit.

    Finally, technology and digital business models are reshaping supply chain organizations and the supply chain profession. As some roles shift or disappear, new ones are emerging that require specialized technical skills or scarce hybrid profiles that call for intermediate technical skills as well as the ability to design and drive complex programs. The competition for hiring and retaining these rare talent combinations is fierce.

    Given these pressures, associated costs and the future at stake, specific actions that increase the size and engage a broader portion of the potential supply chain talent pool are key. Women comprise 50% or more of the professional workforce in most of the Group of Twenty (G20) countries. As a result, companies that are better able to attract, retain and advance women will have material competitive advantages in financial performance, innovation and resiliency.2

    Key Findings

    • Representation of women in the senior-most ranks — CSCO, SVP, EVP, or CPO reporting to the CEO — is strong and sustained year over year relative to other functions, but remains low and flat at all other levels of leadership.
    • Compared with 2017, more respondents report supply-chain-led formal goals and initiatives to improve gender diversity.
    • Increasing the visibility of successful women leaders as role models is one of the most important things companies can do to impact recruitment and retention, as well as advancement of women to senior levels. Other actions will differ based on targeted areas for improvement.

    Representation of Women in Supply Chain Organizations

    In 2018, on average, 14% of companies reported executive-level supply chain positions (CSCO, SVP, EVP, CPO) being held by women, which is about the same as last year (15%). While this may strike first-time readers of this research as low, it's a healthy and even market-beating showing compared with other functions, such as finance and accounting.3 Much of this can be attributed to our sample consisting primarily of active members of a senior women’s leadership network. Our sample also has many large, publicly held companies where enterprise-wide efforts to develop and promote women are starting to bear fruit.

    The primary and most effective pushes for gender diversity to date are top down, driven by CEOs, boards and investors. Whether they are buying into the business case associated with diverse teams or are being pressured by activist investors, the first moves companies are making are showing up on boards and in senior leadership ranks.

    Unfortunately, this sustained improvement at executive levels is not mirrored at other levels within supply chain organizations. In every case, from front-line managers to vice presidents, the average percentage of women leaders is flat over the past three years. Active investment in and attention to the top ranks has not reached lower levels. In addition, many companies face midcareer attrition and lower engagement that contracts the leadership pipeline.

    Recruitment and Retention

    The No. 1 recommendation for improving overall recruiting and retention of women is changing cultural values, leadership orientation and behaviors (18% of respondents). Changing culture and behaviors was also important to more effectively advance women (14%), but that placed it only third in the hierarchy of actions for that category. Increasing the visibility of successful women leaders showed as second in importance, as well as improving outreach and candidate identification in the hiring process (15% of respondents).

    Recommendations

    Recommendations for supply chain leaders responsible for supply chain talent strategy should:

    • Continue efforts to advance and engage women at the highest levels, leveraging executive agendas promoted by the World Economic Forum, Catalyst, Paradigm for Parity, and McKinsey & Co., as well as broader CSR agendas like the UNDP's Sustainable Development Goals. Highlight your track record at supply chain industry forums and university recruiting events.
    • Embrace basic proven practices like neutralizing gendered language, and highlighting flexibility and benefits in job descriptions. To touch all levels and relevant HR processes, consider integrated pipeline planning, a holistic effort that includes recruiting, development, mentoring and sponsorship, rewards and recognition, and succession planning.
    • Prioritize visibility and recognition of successful women leaders to improve advancement of women in senior roles to the top jobs as well as recruiting and retention.

  • Read & Consider: Bringing Out the Best in People

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    Since people are most often the source of your organization's competitive advantage, it is essential that you help your personnel develop and improve their capacity over time. This is easy to say, but can be difficult to accomplish. The article below, "Bringing Out the Best in People," introduces you to a method for building transformational professional development. As you read this document, consider how you might apply the principles discussed in the article to your supply chain challenges. How can your strategy and vision help you bring out the best in your people? 

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    Bringing Out the Best in People

    By Stefan De Raedemaecker, Javier Feijoo, and David Jacquemont

    Serving customers well is not easy. This challenge is only rising as customers become more informed and social media empowers them to share their experiences more broadly. These factors mean that every customer interaction is important. Further compounding this challenge is the fact that services is becoming an increasingly important part of business in the 21^st century. Many companies are finding that adopting lean-management systems, that enhance four integrated disciplines across the firm, can drive efficiency and growth across the supply chain.

    What are lean management disciplines?

    Companies that work to continually renew themselves execute the following four lean management principles exceptionally well. The four principles are:

    1. Delivering value efficiently to the customer.
    2. Enabling people to lead and contribute to their fullest potential.
    3. Discovering better ways of working.
    4. Connecting strategy, goals, and meaningful purpose.

    Leaders who design systems that reinforce these principles build a nimble organization that builds value for its critical stakeholders.

    The second principle of the four, enabling people to lead and contribute to their fullest potential, is critical as companies work to manage change and build their capabilities for the future. This principle will be the focus of our discussion in this article.

    the importance of capability building

    Any services work has tremendous variability. No two clients are identical, which makes consistent delivery seem almost impossible. Given this challenge, building the capability of people providing the service is essential, as these employees must identify customer needs, take advantage of new opportunities, and create value. Capability building cannot simply focus on the bounds of the job description. Rather, it must focus on a broad set of skills including working with clients to identify root causes, improving employees' listening skills, reading nonverbal cues, and providing effective feedback.

    A Case Example: A Latin American Bank needed to improve its customer service in order to help representatives anticipate client requests based on factors as diverse as the emotional state of the customer, his or her history with the bank, his or her long-term needs, and the wide array of products and services that the bank had to offer. The bank addressed this challenge by providing training on how to provide clear product explanations, and a revised performance-management system which accounted for this new initiative. Within a year, customer satisfaction rose from second place to first place in the market across all of the bank’s major segments.

    As soon as a firm identifies the capabilities that it must build, the organization must work to develop these skills quickly and at sufficient scale.

    Four success factors

    Large companies that have successfully ramped up the capabilities of their people have accomplished this by leveraging the following success factors:

    1) Engage Every Level of the Organization:

    Capability gaps exist at every level of the organization, and so, capability building is necessary at every level of the organization. Leaders must be involved in designing the curriculum in order to help their respective teams become more successful. The challenge is that the scale of an initiative like this becomes difficult at the middle management level. Given the sheer number of middle managers at most large companies, it is nearly impossible to offer the kind of one-on-one coaching that senior leaders receive. Moreover, the content that these managers receive will be different than that of senior leaders who will focus on strategic imperatives. Middle managers must understand the high-level goals and objectives, while simultaneously supporting front-line staff in the details of the day-to-day work.

    2) Create Excitement and Pride:

    In order for people to embrace capability building, they must see the initiative as a way to build skills for the future, rather than as a remediation effort for past mistakes. Best-in-class capacity building initiatives offer a clear and compelling value proposition for each and every level of the firm and tap into the intrinsic motivation of the people involved. Leaders must reinforce this message and can accomplish this goal in a variety of ways, from acting as an executive sponsor of the program, to attending kickoff or capstone events, or even acting as a faculty member for the program. In short, leaders must model the kinds of commitment and behaviors that they would like to see in their subordinates. If the firm does this stage well, it can actually deepen the commitment and connection that people feel for the organization. In this way, a well-designed and implemented program not only builds the capacity of people in the firm but may also boost retention and morale as well.

    3) Apply a Range of Learning Techniques:

    Traditional classroom instruction is frequently a poor fit for most adult learners. Research demonstrates that professionals need a combination of concrete experiences, reflection, observation, abstract thinking, and experimentation. Consequently, much of the learning within capacity building initiatives must occur in the workplace, during the workday. There are many ways to accomplish this, but many firms find it helpful to have instructors or mentors working with the participant throughout the course of the day conducting observations and feedback sessions, planning activities, and stepping back to reflect on the experience. If this kind of real-time on the job instruction is not feasible, many firms conduct detailed simulations (complete with sample offices or show rooms) and detailed role-plays (complete with sample data, changing circumstances and multiple characters) to help participants apply the content to their work. The key to all of these methods is to give participants multiple opportunities to apply the core principles and content to the work environment, in order to make adjustments over time to improve their practice.

    4) Institutionalize though HR:

    In order to firmly establish capacity building into the culture of the firm, leaders must work closely with HR to embed these lessons into the culture of the organization. HR can support and build upon program successes by aligning the new skills and abilities into compensation systems, evaluation systems and performance objectives.

    In short, companies can develop powerful change management initiatives when they build these transformations around the capabilities that their people need in order to meet their potential. As personnel see themselves meeting their potential and making use of their skills and talents, they engage more deeply in their work and improve the performance of the firm in the process.  

• Supporting the Supply Chain Team

  • Watch: Moving Beyond the Organizational Chart

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    How do you build an organization that supports your people, rather than holding them back?

    In this video, Steve Tracey unpacks the four most common organizational structures and explains the benefits and drawbacks of each. As you watch this video, consider the opportunities and challenges inherent in your organizational structure. How can you work to maximize your organization's effectiveness and minimize its weaknesses?

     

  • Assess: Your Organizational Structure

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    In the previous video, Steve Tracey outlined the four most common organizational structures and highlighted the strengths and weaknesses of each one.

    Take a moment to assess the organizational structure of your supply chain organization and your company.

  • Watch: Managing Centralized and Decentralized Operations

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    How can you best work within your organizational structure to promote supply chain improvement? Take a moment to watch this video, in which Steve Tracey raises critical leadership questions about organizational structure and performance improvement.

  • Watch: The Role of Processes and Technology

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    Twenty years ago, if we were to have this discussion, we would be talking about how to gather the data. Today, with a few clicks of a mouse, we can gather mountains of data. Consequently, professionals are now challenged with how to develop insight from data.

    In the following video, Steve Tracey offers a simple framework for using data to drive performance. As you watch this video, consider how you could apply the concepts of this framework to a project that you are currently working on.

  • Read: The Maturity Model

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    In the the previous lesson, you read about how Top Supply Chains Have People-Focused Strategies. Kelly Marchese and Bill Lam from Deloitte offered a variety of suggestions to improve your supply chain in terms of alignment and collaboration, talent management, and innovation. You  also spent some time this week thinking about leading people and given them a reason to believe, identifying your supply chain organization's trajectory, and developing a pathway for the future. It is now time to bring all of this together and apply these concepts to your organization.

    Attached below is the Maturity Model.  For now, focus on the People area of the Maturity Model and answer these questions:

    • Your initial assessment of how you would assess this area: Traditional, Progressive, or Leading
    • One idea that you have to improve this area moving forward

    Select the categories that best represent the maturity of the area you selected and be prepared to share your assessment and your idea in the next activity.

  • Discuss: One Idea

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    Now, using the notes you took in the previous activity to frame your submission share your thoughts with the rest of your cohort. As a reminder, please record:

    • Your initial assessment of how you would assess the People area: Traditional, Progressive, or Leading
    • One idea that you have to improve this area moving forward.
    • How you will measure this supply chain improvement idea to see how this initiative plays out over time.

    As you envision this potential initiative, pay attention to any key performance initiatives within your supply chain organization. How can you enhance the impact of these initiatives?

  • Watch: If We Are Not Getting Better, We Are Falling Behind

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    Steve Tracey provides a summary of the key takeaways from lessons 1-3 including reminders about on the following:

    1. How can you make sure your people are technically, tactically, and strategically proficient?
    2. How can you best utilize processes and technology to support people within your organization to do their best work?
    3. How can you acquire, analyze, and act upon data quickly?
    4. What is your supply chain strategy (or vision)?
    5. How can your structures support this strategy?

    Ideally, you'll find this a helpful way to bring everything together in one place.

• Engaging and Inspiring Others

  • Reflect: A Strategic Look

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    This week, you and your colleagues took a strategic look at the future of your supply chain organization through the lens of leadership. You investigated a variety of topics including:

    • Understanding your supply chain's trajectory in order to beat the competition.
    • The 4 critical leadership behaviors of front line managers.
    • Recruitment, retention, and talent development within the supply chain organization.
    • Methods for building the capacity of the people within your supply chain organization.
    • Critical success factors of managing centralized and decentralized operations.
    • Using the Maturity Matrix to identify the level of alignment between people, processes and technology.
    • The use of data to inform critical decisions within your supply chain organization.

    Guiding Questions  

    • What is one, small, manageable improvement initiative that you would like to implement in the next three months? 
    • What is the goal or outcome of this initiative? (What problem are you trying to address?) 
    • How will you define and measure the success of this initiative? 
    • What tools, processes, or concepts from this week's content will you use to manage this process or initiative? 
    • What further questions do you have for the faculty and moderator?

    Take the next few minutes to reflect and refresh your thoughts on these topics. You may want to make notes below so you can use them in the next activity.

  • develop and share: Your Plan

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    Once you have mapped out your improvement plan, submit your thoughts in the discussion space below.  After posting your plan, do at least one peer review of another idea that has not been reviewed yet.  Be sure to take the time to read through some of the other submissions - you may find several of you have similar plans!

  • Share: Overcoming Obstacles

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    All good plans can face obstacles when it comes to implementation. Take the next few minutes to consider some of the barriers that you think you may encounter when implementing your plan. Share this list of obstacles in the space below.

    We will discuss these barriers during our capstone activity.

  • Download: Supply Chain Strategic Leadership Toolkit

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    The attached document is a toolkit that includes the key concepts and frameworks that were covered during the week. We hope you find it to be a useful tool to for your work going forward.

• Capstone - Live Event

  • Attend: Live Event: Strategic Leadership

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    In this week's live session you and your cohort will discuss strategic leadership within your supply chain organization. Topics will include:

    • Your cohort's leadership competencies.
    • Envisioning the future of strategic supply chain leadership in your firm.
    • Sharing ways to make this vision a reality within your supply chain improvement efforts.