His long career as teacher, author, editor, and mentor of future supply chain professionals earned Dr. James R. Stock CSCMP's 2011 Distinguished Service Award.
The supply chain profession has many college and university educators who put heart and soul into teaching. Even among such a committed group, Dr. James R. Stock stands out. And that, in large part, is why the Council of Supply Chain Management Professionals (CSCMP) bestowed its 46th Distinguished Service Award on the University of South Florida professor. In handing out the award, CSCMP President Rick Blasgen said, "The accomplishments he has achieved through teaching, authoring textbooks, conducting research, editing journals, and educating supply chain professionals have left and will continue to leave an indelible mark on the supply chain profession."
Stock began his teaching career at the University of Notre Dame in 1975, long before supply chain management had emerged as a distinct discipline. He recognized that teaching traditional distribution management would not be sufficient in itself to prepare students for careers in a global economy, and he foresaw that what would come to be called supply chain management would have to become a part of the university curriculum.
In addition to the Distinguished Service Award, Stock has received the Armitage Medal and Eccles Medal from the International Society of Logistics and a 2006 Rainmaker Award from DC Velocity Magazine. He has published six books and over 150 articles, monographs, and proceedings papers. He has also served as editor of the International Journal of Physical Distribution & Logistics Management, Logistics Spectrum, and CSCMP's Journal of Business Logistics.
In a recent interview with Editor James Cooke, Stock discussed the current state and future of supply chain education.
Name: James R. Stock Title: Frank Harvey Endowed Professor of Marketing Organization: University of South Florida College of Business, Tampa, Florida, USA Education: Bachelor of Science in Biology and Chemistry, University of Miami; Master of Business Administration in Marketing, University of Miami; Doctor of Philosophy in Marketing and Logistics, The Ohio State University—Max M. Fisher College of Business. Work history: Formerly Professor of Marketing and Logistics at Michigan State University, Distinguished Visiting Professor at Air Force Institute of Technology, Associate Professor of Marketing at the University of Oklahoma, and Assistant Professor of Marketing at the University of Notre Dame. CSCMP member: since 1976
How has teaching supply chain management changed in the past decade or so?
One must remember that SCM (supply chain management) as a concept is less than 30 years old, originating in the literature in the mid-1980s. The first SCM courses began appearing in the 1990s, and initially they were slightly expanded logistics management courses. As they developed, they expanded to incorporate many non-logistics components such as manufacturing/production, sourcing, marketing, and many others. Thus, in terms of most businessrelated disciplines, the field is relatively young and, one could say, still immature from a developmental perspective.
Commensurate with the expanded concept of SCM, the teaching of the subject has also expanded to include a variety of topics never covered in traditional logistics classes. Topics such as lean management, Six Sigma, lifecycle assessment, the "perfect order," and others had to be included in a course on SCM. This required that teachers have the knowledge and expertise to include those topics in their classroom lectures and discussions. It also allowed for more collaborative teaching to occur, which meant that faculty from MIS (management information systems), finance, production, operations, and marketing could participate in the presentation of materials from their disciplines as they related to SCM.
How much influence does industry have on what's taught in the classroom today?
In the logistics and supply chain areas, industry has a great deal of influence on what is taught in the classroom. Historically, logistics and SCM faculty members have ongoing relationships with various businesses, which they then weave into their classroom presentations and discussions. Faculty read many of the professional trade journals that are sent to people in the field. Those periodicals include case studies, interviews, and so forth, which are very practitioner-oriented. So, through the reading of those materials, faculty members are able to utilize examples of companies and processes that are relevant to the teaching of logistics or SCM.
Additionally, when companies recruit on university campuses, they meet with faculty about the jobs for which they are interviewing, and they discuss the types of students they want to hire—skill sets, personal characteristics, computer expertise, previous experience. Thus, industry has both direct and indirect influence on what is being taught in today's college classroom.
Are supply chain executives pressing you to teach certain subjects?
In a few instances they are, especially if they have a very specific need for a particular skill set or knowledge. Generally, however, supply chain executives are looking for potential hires who are problem solvers, people who can see the "big picture," and those who possess both specialty and generalist knowledge. Of course, speaking and writing skills will always be in demand, because they never cease to be important elements of a successful career. Recognizing this, faculty members attempt to include topical material and teach pedagogy that will develop these skills in the students that take their classes.
How can the profession attract the best young minds into the field?
There are a number of ways the professionals can influence young people to consider logistics or SCM as career fields. First, they can provide paid summer internships that provide real-world experiences for future supply chain executives. Second, they can be involved in university career days, fairs, and programs where students have the opportunity to hear from the practitioner and can also raise questions and concerns about the logistics or supply chain fields. Third, practitioners can be "guest lecturers" in classes relating to logistics or SCM. Students always love to hear what's happening in businesses, and what better way to hear than to have practitioners share their stories with them? Fourth, logistics and SCM professionals can make their voices heard with college administrators who influence the funding and hiring of faculty members within colleges. It is difficult to graduate students in logistics or SCM if there is no, or insufficient, faculty available to teach those courses. Finally, companies can consider offering scholarships to logistics or SCM students based on scholastic achievement and interest in pursuing careers in the field. Such scholarships do not have to be large—typically $1,000 or less for each scholarship. The best students love to apply for such academic scholarships because of the prestige and status that they bring to their résumés.
What types of companies are recruiting supply chain graduates these days?
We have seen more logistics or supply chain service companies interested in graduates. For example, 3PLs (third-party logistics companies) and 4PLs (fourthparty logistics companies) have consistently been looking for graduates interested in pursuing careers in various areas such as transportation, warehousing, information systems, and consulting. Additionally, depending on the location of the university, recruiters may be looking for students with interests in retailing, manufacturing, or government.
How important is a Master of Business Administration (MBA) degree to a successful career in supply chains today?
MBAs are good to have for middle and senior management positions. For entry-level positions, a bachelor's degree is sufficient for most positions. Business experience continues to be a plus, even if that experience is not in logistics or SCM. A good approach for many students is to obtain the entry-level position, work for a few years, and then obtain the MBA as a part-time student, often taking night or online courses. Many universities are very creative and offer courses online, evenings, Saturdays only, or concentrated into courses lasting one to four weeks, rather than an entire term. In sum, obtaining an MBA is a good idea for almost every logistics or SCM person, but not necessarily right away after obtaining a bachelor's degree.
What advice would you give someone entering the profession today?
While the present economy is a difficult one, it is not really much different from previous periods when economic conditions were better. Just as the attributes of cost and service have been important in the past, and will continue to be important in the future, so too will personal traits such as oral and written communication skills, computer and information technology expertise, the willingness to work hard, being a team player, and having a concern and empathy for the customer and others be important in the hiring and promotion processes of companies now and in the future. I tell my students that if they want a challenging career—one filled with change and new things almost every day—and a desire to be able to significantly influence the well-being of companies and their customers, then logistics or SCM is for them. It is a career that offers personal satisfaction and good financial rewards for those who do their jobs well.
The practice consists of 5,000 professionals from Accenture and from Avanade—the consulting firm’s joint venture with Microsoft. They will be supported by Microsoft product specialists who will work closely with the Accenture Center for Advanced AI. Together, that group will collaborate on AI and Copilot agent templates, extensions, plugins, and connectors to help organizations leverage their data and gen AI to reduce costs, improve efficiencies and drive growth, they said on Thursday.
Accenture and Avanade say they have already developed some AI tools for these applications. For example, a supplier discovery and risk agent can deliver real-time market insights, agile supply chain responses, and better vendor selection, which could result in up to 15% cost savings. And a procure-to-pay agent could improve efficiency by up to 40% and enhance vendor relations and satisfaction by addressing urgent payment requirements and avoiding disruptions of key services
Likewise, they have also built solutions for clients using Microsoft 365 Copilot technology. For example, they have created Copilots for a variety of industries and functions including finance, manufacturing, supply chain, retail, and consumer goods and healthcare.
Another part of the new practice will be educating clients how to use the technology, using an “Azure Generative AI Engineer Nanodegree program” to teach users how to design, build, and operationalize AI-driven applications on Azure, Microsoft’s cloud computing platform. The online classes will teach learners how to use AI models to solve real-world problems through automation, data insights, and generative AI solutions, the firms said.
“We are pleased to deepen our collaboration with Accenture to help our mutual customers develop AI-first business processes responsibly and securely, while helping them drive market differentiation,” Judson Althoff, executive vice president and chief commercial officer at Microsoft, said in a release. “By bringing together Copilots and human ambition, paired with the autonomous capabilities of an agent, we can accelerate AI transformation for organizations across industries and help them realize successful business outcomes through pragmatic innovation.”
Census data showed that overall retail sales in October were up 0.4% seasonally adjusted month over month and up 2.8% unadjusted year over year. That compared with increases of 0.8% month over month and 2% year over year in September.
October’s core retail sales as defined by NRF — based on the Census data but excluding automobile dealers, gasoline stations and restaurants — were unchanged seasonally adjusted month over month but up 5.4% unadjusted year over year.
Core sales were up 3.5% year over year for the first 10 months of the year, in line with NRF’s forecast for 2024 retail sales to grow between 2.5% and 3.5% over 2023. NRF is forecasting that 2024 holiday sales during November and December will also increase between 2.5% and 3.5% over the same time last year.
“October’s pickup in retail sales shows a healthy pace of spending as many consumers got an early start on holiday shopping,” NRF Chief Economist Jack Kleinhenz said in a release. “October sales were a good early step forward into the holiday shopping season, which is now fully underway. Falling energy prices have likely provided extra dollars for household spending on retail merchandise.”
Despite that positive trend, market watchers cautioned that retailers still need to offer competitive value propositions and customer experience in order to succeed in the holiday season. “The American consumer has been more resilient than anyone could have expected. But that isn’t a free pass for retailers to under invest in their stores,” Nikki Baird, VP of strategy & product at Aptos, a solutions provider of unified retail technology based out of Alpharetta, Georgia, said in a statement. “They need to make investments in labor, customer experience tech, and digital transformation. It has been too easy to kick the can down the road until you suddenly realize there’s no road left.”
A similar message came from Chip West, a retail and consumer behavior expert at the marketing, packaging, print and supply chain solutions provider RRD. “October’s increase proved to be slightly better than projections and was likely boosted by lower fuel prices. As inflation slowed for a number of months, prices in several categories have stabilized, with some even showing declines, offering further relief to consumers,” West said. “The data also looks to be a positive sign as we kick off the holiday shopping season. Promotions and discounts will play a prominent role in holiday shopping behavior as they are key influencers in consumer’s purchasing decisions.”
That result came from the company’s “GEP Global Supply Chain Volatility Index,” an indicator tracking demand conditions, shortages, transportation costs, inventories, and backlogs based on a monthly survey of 27,000 businesses. The October index number was -0.39, which was up only slightly from its level of -0.43 in September.
Researchers found a steep rise in slack across North American supply chains due to declining factory activity in the U.S. In fact, purchasing managers at U.S. manufacturers made their strongest cutbacks to buying volumes in nearly a year and a half, indicating that factories in the world's largest economy are preparing for lower production volumes, GEP said.
Elsewhere, suppliers feeding Asia also reported spare capacity in October, albeit to a lesser degree than seen in Western markets. Europe's industrial plight remained a key feature of the data in October, as vendor capacity was significantly underutilized, reflecting a continuation of subdued demand in key manufacturing hubs across the continent.
"We're in a buyers' market. October is the fourth straight month that suppliers worldwide reported spare capacity, with notable contractions in factory demand across North America and Europe, underscoring the challenging outlook for Western manufacturers," Todd Bremer, vice president, GEP, said in a release. "President-elect Trump inherits U.S. manufacturers with plenty of spare capacity while in contrast, China's modest rebound and strong expansion in India demonstrate greater resilience in Asia."
Even as the e-commerce sector overall continues expanding toward a forecasted 41% of all retail sales by 2027, many small to medium e-commerce companies are struggling to find the investment funding they need to increase sales, according to a sector survey from online capital platform Stenn.
Global geopolitical instability and increasing inflation are causing e-commerce firms to face a liquidity crisis, which means companies may not be able to access the funds they need to grow, Stenn’s survey of 500 senior e-commerce leaders found. The research was conducted by Opinion Matters between August 29 and September 5.
Survey findings include:
61.8% of leaders who sought growth capital did so to invest in advanced technologies, such as AI and machine learning, to improve their businesses.
When asked which resources they wished they had more access to, 63.8% of respondents pointed to growth capital.
Women indicated a stronger need for business operations training (51.2%) and financial planning resources (48.8%) compared to men (30.8% and 15.4%).
40% of business owners are seeking external financial advice and mentorship at least once a week to help with business decisions.
Almost half (49.6%) of respondents are proactively forecasting their business activity 6-18 months ahead.
“As e-commerce continues to grow rapidly, driven by increasing online consumer demand and technological innovation, it’s important to remember that capital constraints and access to growth financing remain persistent hurdles for many e-commerce business leaders especially at small and medium-sized businesses,” Noel Hillman, Chief Commercial Officer at Stenn, said in a release. “In this competitive landscape, ensuring liquidity and optimizing supply chain processes are critical to sustaining growth and scaling operations.”
With six keynote and more than 100 educational sessions, CSCMP EDGE 2024 offered a wealth of content. Here are highlights from just some of the presentations.
A great American story
Author and entrepreneur Fawn Weaver closed out the first day of the conference by telling the little-known story of Nathan “Nearest” Green, who was born into slavery, freed after the Civil War, and went on to become the first master distiller for the Jack Daniel’s Whiskey brand. Through extensive research and interviews with descendants of the Daniel and Green families, Weaver discovered what she describes as a positive American story.
She told the story in her best-selling book, Love & Whiskey: The Remarkable True Story of Jack Daniel, His Master Distiller Nearest Green, and the Improbable Rise of Uncle Nearest. That story also inspired her to create Uncle Nearest Premium Whiskey.
Weaver discussed the barriers she encountered in bringing the brand to life, her vision for where it’s headed, and her take on the supply chain—which she views as both a necessary cost of doing business and an opportunity.
“[It’s] an opportunity if you can move quickly,” she said, pointing to a recent project in which the company was able to fast-track a new Uncle Nearest product thanks to close collaboration with its supply chain partners.
A two-pronged business transformation
We may be living in a world full of technology, but strategy and focus remain the top priorities when it comes to managing a business and its supply chains. So says Roberto Isaias, executive vice president and chief supply chain officer for toy manufacturing and entertainment company Mattel.
Isaias emphasized the point during his keynote on day two of EDGE 2024. He described how Mattel transformed itself amid surging demand for Barbie-branded items following the success of the Barbie movie.
That transformation, according to Isaias, came on two fronts: commercially and logistically. Today, Mattel is steadily moving beyond the toy aisle with two films and 13 TV series in production as well as 14 films and 35 shows in development. And as for those supply chain gains? The company has saved millions, increased productivity, and improved profit margins—even amid cost increases and inflation.
A framework for chasing excellence
Most of the time when CEOs present at an industry conference, they like to talk about their companies’ success stories. Not J.B. Hunt’s Shelley Simpson. Speaking at EDGE, the trucking company’s president and CEO led with a story about a time that the company lost a major customer.
According to Simpson, the company had a customer of their dedicated contract business in 2001 that was consistently making late shipments with no lead time. “We were working like crazy to try to satisfy them, and lost their business,” Simpson said.
When the team at J.B. Hunt later met with the customer’s chief supply chain officer and related all they had been doing, the customer responded, “You never shared everything you were doing for us.”
Out of that experience, came J.B. Hunt’s Customer Value Delivery framework. The framework consists of five steps: 1) understand customer needs, 2) deliver expectations, 3) measure results, 4) communicate performance, and 5) anticipate new value.
Next year’s CSCMP EDGE conference on October 5–8 in National Harbor, Md., promises to have a similarly deep lineup of keynote presentations. Register early at www.cscmpedge.org.