According to futurist Nancy Giordano, the retail supply chain is currently in a "liminal gap," as old systems of operating break down but new systems have yet to be solidified. A whole host of new technologies—from artificial intelligence to robotics and drones to quantum computing—are converging in a way that will radical reshape an industry that has already experienced so many radical changes.
"Retail will change more in the next five years than in the past 50," Giordano predicted during the opening keynote address of the Retail Industry Leaders Association (RILA) LINK2020 supply chain conference.
How can companies survive in this time of vulnerability, uncertainty, complexity, and ambiguity? The following are just a few of the strategies that Giordano offered:
- Breathe. We all are operating in busy environments where change is coming fast. But it's important to take time to stop and ask yourself two questions, said Giordano: What does the future need and expect of us? And what are we in a unique position to create and contribute to it? Look at how technology and innovation can help you solve a problem or difficulty that customers are experiencing.
- Connect. With innovation happening so fast, it's important to learn from and collaborate with others. Giordano especially encouraged attendees to look for partners outside of their own industry who may be trying to solve the same types of problems that they are having. As an example, she pointed to a conference called Pumps & Pipes that brought together petroleum engineers and cardiologists. "Explore your neighbors' toolkits," she said.
- Wonder. When it comes to new technology, Giordano urged attendees to approach it from an attitude of wonder and curiosity instead of resistance. "That doesn't mean you have to say 'yes' to and accept everything," she clarified. Instead make sure you understand the technology and its possibilities before rejecting it out of hand.
- Empathize. It's important to think about how you introduce and share technology with people, suggests Giordano. Recognize that when you talk about robotics and artificial intelligence, some people are going to see that technology as a threat to their jobs. Part of responding to those fears of being left out of the future is realizing that all jobs are going to have to be "reskilled" and creating a "culture of learning." As an example of this, she pointed to Walmart's program to provide college education to its employees for "a dollar a day."
Creating this culture of experimentation, curiosity, and innovation is important she said, because incremental improvements and changes are no longer sufficient. "A 10% shift is not going to cut it," she said. "You need to be braver, bolder, and more audacious."
