Supply Chain Movement 53 | AI & Automation

The main theme of the 53th issue (Q2, 2024) of the quarterly magazine Supply Chain Movement is AI & Automation. 

Publication Date: May 31, 2024

10 | Profile Richard Oosterhoff, Head of Operations (TTH), DSM-Firmenich

The merger between DSM and Firmenich was finalized on 9 May 2023. The Dutch health, nutrition and life sciences company and the Swiss flavour and fragrance manufacturer are now focusing on nutrition, health and beauty together as a new company: DSMFirmenich. “The merger is a huge boost for our supply chain thinking, as it has brought together a make-to-stock approach with a maketo- order approach.” An interview with Richard Oosterhoff, Head of Operations of the Taste, Texture & Health division (TTH).

17 | Checklist for S&OP process effectiveness

Many companies invest significant energy and resources into establishing a robust S&OP framework, and often with success. They enjoy significant business benefits from balancing demand and supply while aligning various business functions to the organization’s strategic goals.

18 | No-touch supply chain is still a long way off

Artificial intelligence (AI) offers limitless possibilities, it seems. Not so long ago, we appeared to be moving rapidly towards a supply chain where smart machines would completely take care of planning. In practice, it seems we are still a long way from that. Especially in these uncertain and unpredictable times, human intervention is indispensable. For now, that smart machine appears to be nothing more than a handy assistant.

26 | 14th edition of SCM IT Subway Map Europe

The heady growth in supply chain software of the past two years seems to be tempered this year by the global economic uncertainty. Due to continued high volatility in customer demand, manufacturing companies and retailers still have the most the need for forecasting and demand planning software to increase their resilience. Demand for transport management systems (TMS) scores equally highly, according to supply chain software vendors, prompted by the many disruptions worldwide that continue to hit logistics chains today. Lastly, Supply Chain Movement’s annual survey for the SCM IT Subway Map Europe clearly showed that software vendors are increasingly forming alliances with each other to serve customers jointly.

30 | Mindmap of the Direct-to-Consumer Supply Chain

Consumer behaviour is constantly changing. Increasingly, we see consumers taking out subscriptions: to save time or money, for convenience, or as a form of financing. For companies in the Consumer Packaged Goods (CPG) sector, this offers a promising playing field to connect directly with the end customer and be less dependent on ever larger retailers. However, successfully offering subscriptions poses significant challenges that are new to these companies. SCM, together with IG&H, market leader in complex, end-to-end, digital transformations in the retail and CPG sectors, has created this mindmap to help FMCG and CPG companies on their way to launch distinctive customer propositions.

32 | Roundtable: sustainability & retaining talent

With increasing frequency, the tasks of supply chain executives at home and abroad require them to use their so-called ‘soft skills’. This is clearly apparent from the responses by executives about reducing Scope 3 emissions and retaining the organization’s talents. “But the whole leadership team has to get behind these ambitions.”

36 | Warehouses seek refuge in robots and automation

Robots, often now even with human names, are taking over much of the work in warehouses at a rapid pace. What are the driving forces behind the current wave of automation? And what role do logistics service providers play in it? “Automation is not only an interesting business case, but increasingly a necessity to be able to complete production at all.”

44 | Superwomen emphasize digitalization in 4IR

A circular economy will be the norm by 2040, and digital technologies will then be the key to creating a sustainable supply chain. The data provided by these technologies in the fourth industrial revolution (4IR) will enable better, precise decisions to be made when demand for products changes from “what consumers want” to need-driven. Preparing supply chains for such future scenarios, in which companies will have to survive by selling less, was the focus of the Supply Chain Superwomen Day, organized by Supply Chain Media.

49 | Roadmap transformation planning

The unrelenting pace of market change and technological advancement demands supply chains that are resilient, adaptable, effi cient and constantly evolving. Supply chain transformation is essential to maintain a competitive edge in this volatile environment. NTT DATA Supply Chain Consulting and Supply Chain Media bring you this roadmap identifying five common supply chain challenges and solutions that will position your organization for sustainable growth.

52 | Interview Roberto Canevari, Estée Lauder

Roberto Canevari is no stranger to luxury goods having previously worked for the Burberry Group. He is renowned for being a collaborative and inspirational leader, and is also a member of The Estée Lauder Companies (ELC) Executive Leadership Team. As a ‘people person’ he sees people as the ‘multiplier’ that give the company its competitive advantage. By engaging with and motivating his team he aims to maximise their commitment and is learning all the time from the younger generation.

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