After many engaging keynotes, informative sessions, and delicious BBQ servings, ISM 2018 in Nashville, TN, has officially drawn to a close. While there were a number of diverse themes present throughout the sessions and networking conversations over the past few days, four main takeaways truly stood out.
1) Social Responsibility is Good Business
Sustainability, supplier diversity, and corporate social responsibility are not new concepts, though in the past they have often been construed as a PR move to improve the public’s perception of a company. Instead, these initiatives are now clearly moving to the forefront of supply chain and business operations.
Diane Lin, director of Global Sourcing and Supplier Relations at Starbucks, touched on this during the “Ten Principles for Successfully Navigating the Ethical Rough Seas of Supply Management” panel discussion on Tuesday afternoon.
“The business case for us is about innovation and revenue generation,” she explained, and social responsibility as a company-wide priority is a significant factor in achieving those goals.
Supplier diversity is one of her top priorities, from the angles of both social responsibility and business success. “Diverse suppliers bring us lots of savings because they’re thinking about how they can be cost efficient and deliver what we’re looking for,” she said. “We expect them to keep on making progress and keep on making improvements” to push costs down while driving quality up.
When looking for new suppliers, she noted, the Starbucks team always asks if suppliers “have those practices that protect human life as well as the environment.”
Similarly, sustainable sourcing was the focus of Hershey's Chief Procurement Officer Susanna Zhu’s session “Procurement Drives Business Growth Through Sustainable Sourcing” on Monday morning. An “innovative snacking powerhouse,” Hershey’s has been dedicated to giving back to the community throughout the company’s history, starting with the Milton Hershey School, a local school established and funded by Hershey’s founder Milton Hershey. As the company expands, their community-focused initiatives have grown beyond the local space to a broader global focus.
Today, they operate on a “Shared Goodness Model,” a promise to share “goodness” across the supply chain through supplier diversity, financial investments, and social programs in international cocoa growing communities. Their newly-launched cocoa community program, “Cocoa for Good,” dedicates $500 million to African cocoa communities through 2030 to fund improved nutrition, youth education, economic empowerment for farmers, child labor prevention, and ecosystem preservation.
Even ISM 2018 attendees got involved with social activism during this year’s conference by donating toiletries at drop spots located throughout the conference center. At the end of the conference, all donations were given to Room at the Inn, a Nashville-based organization dedicated to education, self-help, and work initiatives for homeless local community members. On Wednesday, Room in the Inn was also presented with a check for $2,500 from conference attendee donations.
2) Employee Engagement is Essential
Judging by the size of the crowds in team-related sessions, there was clearly a growing interest in enhancing company culture and increasing employee engagement at ISM 2018. To address these workplace challenges, many speakers focused on actionable tactics for both managers and their employees.
In Tuesday’s session titled “Elevating Employee Engagement – Tackling Generation Gaps, Virtual Teams, and the Global Workforce,” professional speaker and leadership coach Dima Ghawi spoke about the impact her years working at IBM had on her perspective of the workplace and understanding of employee engagement (or lack thereof).
During her presentation, Ghawi noted that in recent surveys, employees acknowledged that their job “is not allowing me to be creative,” “the management team is disconnected from the employees,” “I feel stuck and do not see a career path,” and even that their “workload is unbearable.”
To address these issues, Ghawi encouraged managers to fuel their team’s enthusiasm, focus on being a supportive manager by thinking about their team members’ success before their own, and communicate with team members to determine how they can best support the organization in a role that truly suits their strengths.
Relatedly, executive and leadership coach Ann Farrell, who based her insights on years of experience working in purchasing and logistics at a Fortune 200 company, offered advice aimed at employees during her session “Let’s Jazz This Place Up! Empower Women in Supply Management.”
She explained that leadership mentoring typically varies significantly between genders; while men are often coached on gravitas and business and strategic acumen, women are mentored on general communication and confidence, Farrell explained. Because of this gap, women are at a disadvantage when it comes to future leadership opportunities and operational business knowledge. To address this, she suggested asking for mentorship in a specific area, rather than just settling for general knowledge, and teaming up with other employees to grow together and support one another to achieve mutual success.
She also suggested developing a strategic career circle by identifying the people with whom you would most benefit from a positive working relationship; these selected peers and upper management team members can help you pursue the next stages of your career. By building a web of relationships across groups and functions, she explained, you develop a network of colleagues invested in your success.
Even keynote speaker Arianna Huffington spoke about building productive workplace environments. The key, she said, is to thrive rather than purely survive. By reducing screen time, getting sufficient sleep each night, and reducing employee stress when possible through breathing techniques and other positivity tactics, employees will be happier and in turn become more productive at work.
3) The Impact of New Technologies Is Still Relatively Unclear…
By far one of the biggest themes of ISM 2018 was the growth and impact of new technologies on supply chain management. AI, blockchain, and machine learning, among other industry buzzwords, appeared in numerous session titles and descriptions; their presentation rooms were full to capacity with attendees interested in learning the secrets of the disruptive technologies and how to prepare for the associated short- and long-term impacts.
The secrets, however, proved hard to come by.
While many industry professionals spoke to the development and functionality of technological advancements like machine learning and blockchain, very few were able to provide concrete examples of applicability in supply chain management or across broader industry.
As an example, Watson Supply Chain, an offshoot of IBM’s original Watson AI supercomputer, has been touted to offer solutions for supply chain optimization, B2B collaboration, and order management and fulfillment. While still in its early stages, Watson Supply Chain has the potential to disrupt the future of the field in the years to come as it continues to develop. But those speakers who mentioned Watson only alluded to the potential impact the advancement might have in the years to come – instead of decidedly predicting or informing their audiences on how to prepare.
4) … But the Future is Definitely Bright
While we may have to wait for ISM 2019 to learn the real use cases of these burgeoning technologies or how to adapt to imminent changes in the field, it was clear at this year’s conference that the future of the industry is bright.
Thirty remarkable young supply chain professionals were recognized by Thomas and ISM in their annual “30 Under 30 Rising Supply Chain Stars” program for their outstanding contributions to the industry, and six promising students received the R. Gene Richter Scholarship for the continued study of supply chain management. New companies represented themselves at exhibition hall booths, while long-time favorites touted their latest offerings to further benefit the changing industry.
These growing professionals and advancing companies demonstrate that the future of supply chain management, regardless of the technology employed, regulatory changes implemented, or other curves thrown, will continue its unparalleled advancement in the years to come.
Stay Informed Beyond the Conference Sessions
It will be exciting to learn about the updated state of the industry at ISM 2019 in its newly-announced conference location of Houston, TX.
Until then, however, it’s important to stay abreast of industry trends, technological advancements, and other relevant content even outside of the Gaylord Opryland Convention Center. Sign up for the daily Thomas Industry Update newsletter to stay informed of what’s happening both in supply chain management and across the industry.
Interested in contributing your own takeaways from ISM 2018 or want to share your perspectives on the industry ahead of ISM 2019? Contribute to Thomas Insights as a Market Expert.