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Home » Why Supply Chain Innovation Is the Next Big Thing for Leaders
CXO Minute

Why Supply Chain Innovation Is the Next Big Thing for Leaders

Tony UphoffBy Tony UphoffMarch 9, 2023Updated:March 9, 20233 Mins Read
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AE Leadership

In episode 56 of the CXO Minute, Tony Uphoff explains how supply chain strategies have evolved over the years, and how we are on the precipice of a new era of innovation in this area thanks to technologies such as Internet of Things (IoT), blockchain, artificial intelligence (AI)/machine learning, robotic process automation (RPA), and 3-D printing.

To hear more data modernization, AI/hyperautomation, cybersecurity, and growth strategies from CIO practitioners, tune into Acceleration Economy’s Digital CIO Summit, which takes place April 4-6. Register for the free event here.

Highlights

00:40 — Since the pandemic, supply chains have become cocktail party conversation, says Tony, as a reason for everything from supermarket shortages to auto repair wait times. While the supply chain became a catch-all business excuse, the reality is that the pandemic and post-pandemic marketplaces have given us a visceral understanding of just how critical and fragile supply chains are.

01:26 — The reality is that your supply chain is your business today, and supply chain innovation is rapidly becoming one of the top priorities for CEOs in every industry.

01:39 — Tony runs through some history of supply chain outsourcing, citing Jack Welch’s widely-hailed outsourcing moves when he was CEO of GE. The advantages of moving operations offshore began to dwindle in the mid-2000s, however.

02:15 — Changing macroeconomic factors, such as increases in labor and transportation costs, absorbed much of the savings that manufacturers had previously enjoyed. Additionally, after experiencing offshoring firsthand, many companies found that the initial math that drove offshoring was flawed, as hidden costs often outweighed the cost benefits of manufacturing overseas.

02:40 — Making products closer to where there is demand allows companies to cut back on logistics and transportation costs, reduce their carbon footprint, reduce risks associated with offshore outsourcing, and get products to consumers faster, which is a huge competitive advantage in today’s “instant gratification society,” says Tony

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03:08 — We are at the precipice of a revolution in supply chain innovation, says Tony, with technology now helping business leaders solve their main supply chain concerns, including connectivity, visibility, automation, analytics, sustainability, financing, and procurement.

03:19 — There are five main technologies enabling supply chain innovation today: IoT (Internet of Things), blockchain, artificial intelligence/machine learning, robotic process automation, and 3D printing. IoT involves connecting sensors to finished goods, shipping containers, or warehouses, providing data and insights that can improve traditional supply chain practices. Blockchain, the underlying technology behind cryptocurrencies, has the potential to improve visibility and transparency in supply chain processes.

Which companies are the most important vendors in AI and Hyperautomation? Click here to see the Acceleration Economy Top 10 AI/Hyperautomation Short List, as selected by our expert team of practitioner-analysts

03:51 — Artificial intelligence (AI), machine learning, and predictive analytics can automate warehouse operations, improve delivery times, manage inventory proactively, optimize strategic sourcing relationships, and create new customer experiences. AI-powered robotic process automation RPA can increase productivity and help close the talent gap for supply chain skills. Lastly, on-demand 3D printing reduces the need for expensive warehousing solutions, and excess inventory, and allows companies to offer new services and a better customer experience.

04:43 — Supply chain innovation has become a strategic imperative, and it’s essential for business leaders to understand these technologies, concludes Tony.


Want more tech insights for the top execs? Visit the Leadership channel:

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Artificial Intelligence blockchain customer experience Customer Service CXO data innovation Internet of Things leadership Machine Learning robotic process automation RPA supply chain
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Tony Uphoff

CEO
Pipeline360

Areas of Expertise
  • AI
  • Board Strategy
  • Cloud
  • LinkedIn

Bringing his experiences as a 5x CEO, Tony provides a leadership analyst perspective to Cloud Wars. He’s an award-winning technology, data, digital media and marketing services executive specializing in transformative leadership of companies, cultures, people, and organizational performance. As an industry thought leader and an expert on the digital industrial economy, Tony is regularly quoted in The Wall Street Journal, Forbes, Business Insider, and other top media brands. He advises senior management and boards of media, marketing, and technology companies as the CEO and founder of Uphoff Management Advisory, LLC. He serves as a Trustee of Linfield University and a mentor at MuckerLabs accelerator. Additionally, Tony has been a Senior Advisor to the CEO and executive team at Xometry, a publicly traded, on-demand manufacturing marketplace. In December 2021, he led the turnaround, growth, and successful sale of Thomasnet.com to Xometry for $300 million.

  Contact Tony Uphoff ...

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