One helped revive a flagging logistics education program; another single-handedly organized a national exposition that helps novices navigate the logistics software maze. Yet another persuaded skeptical colleagues to branch out from their factory automation consulting specialty and fund research on this new thing called the supply chain. They may come from very different parts of the business, but all of the professionals honored as DC VELOCITY's 2005 Rainmakers have something in common: a demonstrated track record of achievement that has distinguished them from the crowd.
In this year's edition of our annual Rainmakers Report, we've asked the honorees—who include practitioners, consultants, academics, vendors, a professional association director and even a military commander—the following three questions: "What do you consider to be your greatest accomplishment in the logistics field to date?" "What do you consider to be the greatest obstacles, moving forward, to greater supply chain optimization?" and "What key personal attributes have contributed to your success?" Their answers appear on the pages that follow.
The Rainmakers are selected based on nominations from members of DC VELOCITY's self-governing Editorial Advisory Board. Each March, the nominating committee develops a list of candidates in preparation for a final vote in late April. If you'd like to nominate someone for our 2006 Rainmakers profiles, please send an e-mail no later than Feb. 28, 2006, to DC VELOCITY Editorial Director "; ?> Mitch Mac Donald.
BRIAN J. GIBSON, PH.D., ASSOCIATE PROFESSOR OF LOGISTICS
AUBURN UNIVERSITY
An award-winning instructor in Auburn University's undergraduate and graduate programs, Brian Gibson has served in logistics management, consulting and academic capacities for more than 20 years. He has coauthored 50 logistics articles and made more than 80 presentations at professional meetings and conferences. Gibson holds degrees from the University of Tennessee (Ph.D.), Wayne State University (MBA) and Central Michigan University (BSBA).
Q: What do you consider to be your greatest accomplishment in the logistics field to date?
A: Without question, having a hand in the development and growth of two logistics programs. I helped build the fledgling Logistics and Intermodal Transportation major at Georgia Southern University into a well-respected, productive program. At Auburn University, our team has revived a tradition-rich program that had lost its momentum. In six years, we've increased the number of graduates per year from 25 to over 90, worked to significantly boost placement rates and starting salaries of our graduates, and expanded the program's educational scope.
Q: What do you consider to be the greatest obstacles, moving forward, to greater supply chain optimization?
A: Optimization is becoming more of a people challenge than a technological or infrastructure challenge. We will never achieve global optimization across the supply chain until we overcome our penchant for—you might even say, addiction to—local optimization. It's very difficult to get people to consider what's optimal for the supply chain if metrics, financial incentives and promotional opportunities are based almost exclusively upon the performance of individual departments, facilities and companies.
Q: What key personal attributes have contributed to your success?
A: I think that my "senses"—a sense of urgency, common sense, and a sense of humor—have propelled me toward a successful career in logistics. They help me focus on keeping commitments and meeting deadlines, making sound decisions and collaborating effectively with others.
TOM DULANEY, PRESIDENT
CS REPORT INC. (PRODUCER OF THE D/C EXPO)
Tom Dulaney has been a journalist, newspaper reporter, magazine editor, columnist, freelance writer, newsletter publisher, military intelligence special agent, factory worker, clerk, paperboy and, of late, president of CS Report Inc. (producer of the D/C Expo). He dreamed up the idea of the Distribution/Computer Expo in 1982, while working in the trade press. Tom, now 59, wants to be a published novelist when he grows up.
Q: What do you consider to be your greatest accomplishment in the logistics field to date?
A: Successfully enabling over 40,000 logistics professionals to more easily locate, study and purchase the best information technology systems for their particular and unique needs through the D/C Expo each year.
Q: What do you consider to be the greatest obstacles, moving forward, to greater supply chain optimization?
A: Information technology is a highly effective tool to assist intelligent and knowledgeable human beings—not a replacement for those people. I believe logistics and supply chain operations are beginning to run too lean, with too many people working 60 or more hours a week to do the work once done with twice the staff. Companies that don't address the too-long work week/too-small staff issue will suffer competitively in the next decade, I believe.
Q: What key personal attributes have contributed to your success?
A: The characteristic that most importantly defines Tom Dulaney is my religious conviction. In 2005, talk of religious belief makes many uncomfortable. Others in the United States and abroad use religion to pound their beliefs into the heads and the laws of their nations. For me, trying to do the right, legal, moral and ethical thing—all the time—benefits others and me in the long run. My Christian roots have given me that point of view, just as the non-radical versions of the rest of the world's religions promote much the same to their followers. Also, I am under the impression that I am a halfway decent writer and communicator—but I might be wrong about that.
STEVE BANKER, SERVICE DIRECTOR FOR SUPPLY CHAIN MANAGEMENT
ARC ADVISORY GROUP
Steve Banker provides advice and support to companies seeking to improve their supply chain performance. The support is based on best practice research conducted at ARC. In recent years, Banker has done best practice research on the topics of warehousing, CPFR (collaborative planning, forecasting and replenishment), global data synchronization, and of course, RFID.
Q: What do you consider to be your greatest accomplishment in the logistics field to date?
A: Contributing to the growth of ARC. When I came to ARC over a decade ago, the company was doing excellent research on factory automation systems. A colleague and I initiated research in the supply chain and enterprise areas. Since then, we've added many analysts and the company has grown by over 500 percent. The research my colleagues and I are doing in the supply chain area has certainly been a significant contributor to that growth.
Q: What do you consider to be the greatest obstacles, moving forward, to greater supply chain optimization?
A: The term "optimization" implies a reliable supply chain that is able to provide reliable service for less money. The challenge is achieving "optimization" in a supply chain environment that is demanding both greater responsiveness and flexibility. Greater visibility to demand, upstream supplier capabilities, and logistics service providers' or contract manufacturers' capabilities will be key to achieving reliability, responsiveness and flexibility at a reasonable price. What our clients are struggling with is not what kind of technology to buy to provide better visibility, but more importantly, who are all the people in an organization who will need visibility? For what purpose? What format will they need this information in? And finally what actions will they be authorized to take based on what they see?
Q: What key personal attributes have contributed to your success?
A: Curiosity, skepticism about the existence of magic bullets, and a love of continuous learning.
DR. JOHN T. (TOM) MENTZER, BRUCE CHAIR OF EXCELLENCE IN BUSINESS
DEPARTMENT OF MARKETING AND LOGISTICS, UNIVERSITY OF TENNESSEE
The 2004 recipient of the Council of Logistics Management's Distinguished Service Award, Tom Mentzer has written more than 180 papers and articles as well as seven books on logistics. He has also served as a consultant for more than 100 corporations and government agencies and serves on the boards of several corporations.
Q: What do you consider to be your greatest accomplishment in the logistics field to date?
A: Without a doubt, my selection as the Council of Logistics Management's Distinguished Service Award Recipient of 2004, primarily because so many accomplishments underlie that award. I served in various capacities for CLM, including track chair, professional development chair, research strategies committee chair, conference chair, and all the officer positions, including president.
Q: What do you consider to be the greatest obstacles, moving forward, to greater supply chain optimization?
A: As always, the greatest obstacles will be human, not technical. We've seen amazing advancements in technology during my career. When I began my first logistics assignment in the auto industry in 1969, we didn't have personal computers (heck, we didn't even have hand calculators—they weren't invented until 1972), cell phones, e-mail, or GPS tracking, to name just a few. What we did have then, and still do today, is the "old way of doing things," functional silos, arm'slength negotiations. Well, you get the idea. Logistics was, and still is, a matter of designing processes that utilize technology to lower the costs and raise the delivery satisfaction of product/service movement. As we move from intra-company logistics processes to processes that span the entire supply chain, more so than ever the issue is reaching common goal setting and consensus among the people who must implement the processes.
Q: What key personal attributes have contributed to your success?
A: Not surprisingly, since I am a businessperson who ended up in academia, I think my most important personal skill definitely is communication. Whether written or oral, an idea is of little worth if it cannot be effectively communicated to the relevant public. This is especially true of academia, where we deal in the development and dissemination of ideas—in my case, ideas about how to do logistics.
HOWARD S. GOCHBERG, RETIRED VICE PRESIDENT OF LOGISTICS
LAND O'LAKES
Just as Major League Baseball selects one of the "legends of the game" each year for induction into its Hall of Fame, DC VELOCITY this year recognizes its first "Legendary Logistician." We're proud to announce the selection of Howard S. Gochberg, retired vice president of logistics with Land O'Lakes.
Though Gochberg came well recommended (he was nominated by former Council of Logistics Management President George Gecowets), what sealed the deal was the outpouring of support from Gochberg's friends, colleagues and former co-workers. One of those co-workers was Frank Hathaway, who worked for Gochberg for nearly a decade in the 1980s. In a letter, Hathaway described Gochberg as both a man of vision and a man of his word. "Howard helped us make a reality of his vision of a centralized logistics organization in the largest dairy cooperative in the United States," he wrote. "Inside the company, he had the reputation of being a change agent [who] delivered on commitments."
Outside the office, Gochberg has worked tirelessly to advance the profession. In his letter, Hathaway praised both Gochberg's work as chairman of the Grocery Manufacturers of America's logistics committee as well as his handling of the NCPDM's name change to CLM. "As we learned last year," Hathaway wrote, "there is much more involved [in a name change] than meets the eye."
It appears that retirement has failed to slow Gochberg down. Hathaway reports that since retiring, Gochberg has been teaching at colleges in the Twin Cities area and working with the University of Tennessee and Penn State. And when he's not at the chalkboard, he's serving as an elder statesman for the profession. Says Hathaway: "Carl Evans of Keebler, Dee Biggs of Welch's, and Doug Horn and myself from Land O'Lakes continue to use Howard as a sounding board to assist us in our decision making."
Q: What do you consider to be your greatest accomplishment in the logistics field to date?
A: Being recognized by my colleagues in the logistics profession as a pragmatic leader and a mentor for others in the field.
Q: What do you consider to be the greatest obstacles, moving forward, to greater supply chain optimization?
A: Identification of the supply chain organization's role as a profit contributor rather than a cost center. Early on, with the advent of supply chain emergence, our profession could not take full advantage of a great opportunity. At that time, our position in the corporate hierarchy evidently did not offer enough of a platform for more significant exposure and advancement. In more recent years the recognition of the financial impact of supply chain activities on the corporate bottom line is offering more exposure to senior management and should improve career opportunities.
Q: What key personal attributes have contributed to your success?
A: Having been a corporate officer with profit and loss responsibility along with solid verbal and written communication skills eased the path to a successful leadership role in supply chain management. I would strongly recommend that logisticians think and act like line, not staff, managers.
STEVE MCALEXANDER, VICE PRESIDENT-LOGISTICS
BORDERS GROUP INC.
Steve McAlexander is vice president-logistics and member of the executive committee for Borders, a Fortune 500 company whose annual sales of books, music and movies exceed $3.7 billion. Before joining the international 1,300-store Borders chain, he spent 20 years with American Honda Motor Co. in several executive supply chain positions. McAlexander has participated as an industry panelist, speaker and track chairman with the Council of Logistics Management, Penn State Logistics Forum, University of Tennessee Exec in Residence Graduate Program, Georgia Tech Logistics Institute and Warehousing Education and Research Council.
Q: What do you consider to be your greatest accomplishment in the logistics field to date?
A: I'm fortunate to have worked for a large Japanese automobile company and learned valuable lessons both in leadership and in business. Now I can apply many of these lessons in a growing international book retailer—Borders Books and Music. We are literally re-engineering our worldwide supply chain from systems to our physical distribution network. I am proud to be a member of a strong cross-functional executive team that is challenged with implementing this initiative and building upon our current success.
Q: What do you consider to be the greatest obstacles, moving forward, to greater supply chain optimization?
A: The logistics field needs to attract bright and talented people who can think in broad business terms and have strong collaborative skills. Our job as current leaders is to encourage recruitment and to share the fact that the supply chain is a great way to achieve recognition and learn about a company. I believe that in the future many of these new leaders will go on to other functional areas within the company, resulting in greater levels of supply chain optimization.
Q: What key personal attributes have contributed to your success?
A: A positive can-do attitude has helped me both in work and in my life. Most of my success can be attributed to a strong faith in God and firm Christian beliefs. My personal prayer life has helped me in many situations and hopefully has given me wisdom to make good decisions.
TED SCHERCK, PRESIDENT
THE COLOGRAPHY GROUP
Ted Scherck directs The Colography Group's extensive primary research, multi-faceted consulting, and report publishing activities. He began his career in 1971 with Profit Freight Systems, a multi-national transportation concern, where he rose to the post of vice president of transportation before leaving in 1983 to launch The Colography Group.
Q: What do you consider to be your greatest accomplishment in the logistics field to date?
A: Convincing the marketplace that time in transit, rather than mode of transport, would be the predominant characteristic of the deregulated expedited cargo marketplace. We blazed a trail in industry research by utilizing telephone surveys with transport user decision-makers instead of relying exclusively on government or provider data. This gives us a unique perspective on customer needs and what carriers must do to satisfy them. I am also proud of our company's longevity; after 22 years, we think our work has stood the test of time.
Q: What do you consider to be the greatest obstacles, moving forward, to greater supply chain optimization?
A: The unchecked rise in the costs of carrying and financing inventory, brought about by the higher absolute value of goods being produced today. Twenty years ago, a typewriter cost $400; today, a laptop can cost as much as four times that amount, depending on the features. Higher value means costlier inventory, a trend exacerbated by reliance on elongated supply chains. If unremedied, inventory carrying and financing costs will account for almost two-thirds of a company's logistics expense by decade's end. That is not sustainable.
Q: What key personal attributes have contributed to your success?
A: Being focused, task-oriented, organized and persistent. Our company lives in a world of data, where quantitative skills, combined with real-world market knowledge, are a priority.
BRIGADIER GENERAL RONALD S. COLEMAN
U.S. MARINE CORPS
After watching the Marine Corps stage millions of dollars worth of supplies during the first Gulf War, only to see them returned later for pennies on the dollar, Brigadier General Ronald S. Coleman resolved that would never happen again—at least not on his watch. Fortunately, he's in a position to do something about it; as commanding general of the 2nd Force Service Support Group, Coleman is responsible for providing all logistics and supply chain support to the Marines and sailors involved in the global war on terrorism. Convinced that the basic problem was a lack of supply chain visibility, he embarked on a campaign to take radio-frequency identification (RFID) and in-transit visibility to the next level in the supply chain. But as Operation Iraqi Freedom commenced in February 2003 with no indication that the Marine Corps' mindset had changed, Coleman ramped up his efforts to modernize the Marines' logistics operations. Influenced by the successes of Wal-Mart and FedEx, he has applied new technology, process change and strategic initiatives to remedy the distribution and IT flaws that had become status quo in the Marine Corps and the Department of Defense.
Q: What do you consider to be your greatest accomplishment in the logistics field to date?
A: Using sound business techniques to save lives on the battlefield. Not only has the implementation of an in-depth in-transit visibility system saved lives, but the continuous spread of information from the foxhole to the factory is allowing logisticians to truly affect operations on the battlefield in a positive way.
Q: What do you consider to be the greatest obstacles, moving forward, to greater supply chain optimization?
A: The biggest obstacle by far is the continuous and often draining effort of maintaining a situational awareness of the technology available, having a clear understanding of the logistician's need, and quickly integrating those efforts into a form that will transform the discipline for years to come.
RICH SHERMANSENIOR VICE PRESIDENT
PELION SYSTEMS
A well-known writer, researcher and speaker, Rich Sherman today works as a software company executive. Prior to his current job, he was a member of the research and analysts stable at AMR Research, where he was part of the team that developed the SCOR (Supply Chain Operations Reference) model and founded the Supply Chain Council. He currently serves on that group's North American Leadership Team. Throughout his career, he has held senior management positions with thought-leading technology and consulting firms. He received undergraduate and graduate degrees from the University of Notre Dame.
Q: What do you consider to be your greatest accomplishment in the logistics field to date?
A: Actually, I have to go with two, one as a logistician and one as a logistics technology executive. As a logistician, I developed a multi-dimensional architectural framework for modeling business strategy, processes, and technology together that enables client companies to define enterprise business requirements, evaluate and leverage technology, and enable a vision to respond dynamically to market demand to achieve profitable growth. As a technology executive, I look back on my role in joining EXE Technologies during a crisis situation and then achieving market leadership and a successful IPO as a major accomplishment.
Q: What do you consider to be the greatest obstacles, moving forward, to greater supply chain optimization?
A: The greatest obstacle companies face is the speed with which they can embrace and respond to change. The only constant in the supply chain is change. Until we can overcome the constraints of physical distribution and beam products to consumers, the challenges and opportunities for supply chain optimization will be virtually never ending. Those companies that learn to learn; embrace and respond to change faster than their competitors; institutionalize change management; and leverage technology will continue to be the market leaders. Change is inevitable; growth is optional.
Q: What key personal attributes have contributed to your success?
A: The ability to look to every person, moment, success and failure as a learning experience has proven to be a key contributor to the advance of my career; and, a sense of humor doesn't hurt either. I've been fortunate in my life to work with and meet thousands of professionals in the field of logistics and I believe that I've learned something from each of them.
JIM SMITH, SENIOR VICE PRESIDENT, WAREHOUSE & DISTRIBUTION, WORLDWIDE
AVNET INC.
A 30-year veteran of the electronics distribution industry, Jim Smith has held senior logistics positions with Marshall Industries, Kierulff Electronics and Wyle Electronic Marketing. Prior to joining >Avnet Inc., a $10 billion global distributor of electronic components and computer systems, Smith was CEO of Atlas Services North America.
Q: What do you consider to be your greatest accomplishment in the logistics field to date?
A: Changing the corporate attitude about logistics from being a respected "back-end/back-office" operation and transforming it into one of the organization's best sales tools.
Q: What do you consider to be the greatest obstacles, moving forward, to greater supply chain optimization?
A: The rush to outsource is one of the greatest obstacles to supply chain optimization. It's also an area of great opportunity. Finding the right logistics outsourcing partner, one with scalable resources to match business growth, is what determines whether this is an obstacle or a strategic point of leverage.
Q: What key personal attributes have contributed to your success?
A: The ability to listen, understand and communicate.
JARROD KUHN, GENERAL MANAGER
CANDLE LAMP CO.
Jarrod Kuhn, a law school graduate designated by Cal State Long Beach as a global logistics specialist, leads the global distribution and supply chain organization for Candle Lamp. Prior to his current position, he managed logistics for sports nutrition brand MET-Rx and held a logistics solutions development post for a Yellow Freight subsidiary.
Q: What do you consider to be your greatest accomplishment in the logistics field to date?
A: An initiative over which I've had considerable influence and has produced some exciting, tangible results is developing the global supply chain for Candle Lamp. It's been a hands-on endeavor, teaming up with suppliers throughout North America, Southeast Asia and the Middle East to implement strategic sourcing and integrated demand planning and fulfillment processes that have proved best in class for the buffet fuel and table-lighting industry, offering new market opportunities and significant competitive advantages.
Q: What do you consider to be the greatest obstacles, moving forward, to greater supply chain optimization?
A: The next several years will continue to present sourcing challenges for raw materials as more domestic producers move offshore to capture opportunities and support growth elsewhere in the world. This will force American companies to be creative and agile, and to stretch to adapt to these changing conditions, though the uncertainties and challenges will naturally cause disruptions to or hinder progress with supply chain optimization for many companies.
Q: What key personal attributes have contributed to your success?
A: Working well with others. As a supply chain executive, I'm in the "front of the store," collaborating with customers, presenting ideas to the CEO, leading teams, coaching employees, dealing with professionals all over the world and networking with colleagues. This has led to continual development of my interpersonal skills over the years and has proved invaluable.
MICHAEL A. REGAN, CHAIRMAN & CEO
TRANZACT
The founder of freight-payment service Tranzact, Mike Regan also serves as chairman of the American Society of Transportation and Logistics (AST&L) and on the board of the National Industrial Transportation League, where he is chairman of the education committee; on the board of the National Association of Small Shipments Traffic Conference (NASSTRAC), where he is chairman of the advocacy committee; and on the executive committee of the Transportation Intermediaries Association (TIA). Regan has been inducted into the Chicago Area Entrepreneurial Hall of Fame, and in 2002 was named Delta Nu Alpha's Transportation Professional of the Year.
Q: What do you consider to be your greatest accomplishment personally and in the logistics field to date?
A: Starting Tranzact in 1984 and building it into the largest privately held freight payment company (prior to the sale of the freight payment unit in March 2000), while raising four kids and cultivating my marriage of 27 years with my wife, Jean.
Q: What do you consider to be the greatest obstacles, moving forward, to greater supply chain optimization?
A: Logistics and supply chain professionals need to realize, understand and act on the fact that their job responsibilities have changed and require a much greater emphasis on strategic versus tactical issues. There is a much greater need for them to demonstrate leadership in developing supply chain initiatives. This can be a daunting task for someone who has been hired or trained as a manager where the emphasis is on managing or incrementally improving existing processes.
Q: What key personal attributes have contributed to your success?
A: There are four attributes. I love meeting and working with people. I have a passion for learning. I'm not afraid to accept risks, and I've been blessed with some great mentors, who took an interest in my personal growth and development and encouraged me to read, listen, assimilate and act on what I've learned.
