 One for us. Welcome, global supply chainers. Welcome to Supply Chain Dynamics, SE3X. Today we have the first live event for this course and we are very fortunate. I have with me, Mary Long. Mary Long is our invited speaker for this event and she has more than 20 years of experience working in supply chain. Currently, Mary is the director of the Supply Chain Management Institute at University of San Diego and she former, she was the vice president of Logistics and Network Planning at Domino's and also the senior director of logistics of transportation at Campbell's Company. So welcome, Mary. And thank you so much for being here today in this live event. My name is Eva Ponce. I'm the executive director of the MicroMasset program. At this point, I think all of you knows me and today let's go through the agenda. So first of all, the idea is to welcome you to SE3X. I'm going to bring overview of the MicroMaster and also a deeper dive into supply chain dynamics. Some tips about the course logistics and after that I'm going to be very brief and quick because we have Mary with us and I really want to share her experience with you. So then we are going to interview Mary and ask some questions related to SE3X and after that I want you to go to the breakout session just for 10 minutes. So you can prepare your questions for Mary and come back to the lobby with your questions. Pick one or two relevant questions per group and then we will discuss with Mary again in this hangout session. And finally we will do the wrap up. So let's start with the overview of the MicroMaster. So you are part of a huge community of SEX learners. So far we have more than 230,000 learners enrolled in at least one of our SEX courses with 15,000 learners verified. You are from all over the world. There are more than 196 countries represented in our program and last May, 2017, the first cohort of the MicroMaster program happened. We granted 622 credentials in MicroMaster in supply chain management. So the program that you might know now consists of five SEX courses. Most of you have already completed supply chain analytics, supply chain fundamentals and supply chain design. At this point we are going to present to you supply chain dynamics and after that you will go through supply chain technology and system. Once you complete the five courses we will ask you to take a proctor and comprehensive final exam before earning the MicroMaster credentials in supply chain management. This is a standalone certificate that will allow also you to apply for a master degree at MIT or at any other different that recognize the MicroMaster as a path of credit for the master degree program. So let's go through the big picture. And as I mentioned you already completed or most of you these three first courses. So supply chain analytics, supply chain fundamentals and supply chain design mainly deal with the basic analytic tools. So we cover here the mainly statistics linear programming, different analytics techniques that you will apply later in more real supply chain management problems. So at this point in supply chain dynamics we are going to deal basically with complexity and bring this complexity to the real problems. So I'm very happy that Mary is here with us because she can explain and share with you her experience dealing with supply chain strategy implementation into different companies and how complexity works in both companies, how you deal with that and also the challenges behind these complexity in supply chains. So after that we will move to supply chain technology and system. In this course we mainly deal with big data, data analytics, a little bit of machine learning also a enterprise resource planning system, transportation and warehouse management system in order to help companies to also manage the information flows. And finally, as I mentioned the final comprehensive final exam. The value proposition of the MicroMaster program is first of all is an individual professional career development. And I know that most of you are taking these because most of our students are posting these in the LinkedIn in order to apply for a job in supply chain management. Also some companies are sending their staff in order to be trained in supply chain management. It's also a pathway to an MIT master degree in supply chain management here at MIT or at Saragossa, Malaysia, Australia and eight other universities that are recognized in the MicroMaster as a path of credit. So let's have a look at deeper dive in supply chain dynamics, SC3X. So in terms of the course contents, first of all, we are going to talk about complexity, customer collaboration and strategy in supply chain. So we will cover system dynamics. We will also focus on customer collaboration and we'll go through and review the bulwit effect that we encountered in many supply chains. We will talk also about supply contracts and supply chain strategy and alignment. Then we will move with Dr. Bruce Arson to global supply chains. Here we will focus more on international transportation, currency issues and financing and also sourcing and shorting. The last part of SC3X we will cover risk and resilience. Professor Dr. Sheffi will cover the enterprise resilience, the main risk that companies have in supply chain and how these companies deal with this risk. Dr. Alexis Bateman, the course lead of this course will also deal with exogenous factors in supply chain and she did a great job covering the palm oil cases study in SC3X. So these are the main contents you will find in this course. So far we have a 6,500 students, 230 of these students are already verified students. The median learner age is 30 years old and 85% of you have a college degree or a higher education degree. Only 25% are women. This is still a number that I really want to push and I'm also very happy that Mary is with us today. She has all different leadership positions in supply chain in different companies. So I think she's a great example and also an inspiration for all of us. So thank you so much, Mary. Our students are from more than 155 countries represented. Most of them, the top three countries are USA, India and Canada. So in terms of the course schedule, so the course already started on January 3rd. Now we are on week one, just released a week two. The course will end on April the 4th, 13 weeks in total. As always, you will find eight weeks of contents, one meter, the meter will happen the week of February 14th and the due date will be February 21st. Then you will have again another four weeks of content and after that, the final exam. The final exam will happen on March 28th and the due date is April the 4th. Enrollment is open until January 24th. So if you have friends or colleagues that will be interested in this course, still they have time to enroll in the course and the verification deadline will close at the end of January, January 31st. A verification, let me go a little bit about the verification process and why we encourage you to verify in our courses. One of the main reason is the only way to earn a certificate in SC3x is to be a verified student. We have two type of a student in our SCx courses. Audit student, this student have access to the content but only verified student can have access to the certificate. So you need to pass the assessment and also be a verified student in the platform in order to gain this certificate. In addition to that, we also offer this live event with our invited speakers that we also, and we also offer supplemental material for the supplemental material for verified students. So in order to become a verified student, the first step is to upgrade the status to be a verified. It's just to click on the green button here and click on the upgrade option. So the first thing is you need to pay for the certification fee that for SC3x is $200 and complete this simple form. And the second step, and this is very important and I really encourage you to do right after you pay for the fee is the ID verification. So you need to verify your identity. You need to have a webcam in order to do that and also show an ID card with a picture and your name on this card. If you have any issue during the verification process, please contact edXsupport at info at edx.com or in, as I mentioned, live events is one of the things that we offer to our verified student. And in this case, in SC3x, the idea is to bring experts from the industry. Since in SC3x, we deal with complexity and reality, we really want to bring this reality to the course through these experts that are dealing with supply chain problems every single day. So this is the idea. So Alexis Bateman, the course lead of this course is now working on the second life event in order to being another expert related to SC3x. Also for the third life event, we will talk about emerging issues in supply chain. So this is the plan for the course and now I'm going to introduce you more properly, Mary Lone, that is our invited speaker for today. So first of all, Mary, let's go through your background and please tell our student a little bit of your background in supply chain. Sure, thanks Eva. It's so great to be with you today. As you can see from this, this just gives a visual of a lot of branded experience across many different brands and really my, but I'll start with that. I'm a Buckeye, so go Buckeye, so Ohio State. And my undergrad was more quant-oriented. It was quantitative business analysis from Cleveland State. So that's more where I was comfortable is starting in that analytical area. And then over the course of my career, things got more people-oriented and more customer-oriented, which is why I start with people, profit, planet, process, policy and product. And I mean, those six P's are to me, what defines supply chain and that's threaded through all of the roles I've had in my career. My most recent role before taking this jump into, or I call it a trust fall into academia was VP in supply chain at Domino's Pizza. And so that was a really great experience and I'm sure we'll talk more about that. And now I'm like a fish out of water in academia and I'm learning to swim, so. This is great, Mary. And Mary is also the advisory board of OSOM, this association that brings and help women to develop their career in supply chain, which is also great, Mary. I'm happy, very happy about that. So let's start with the questions, Mary. So first of all, tell us a little bit more about how the supply chain at Campbell works and the biggest challenges that you encounter when you were managing the supply chain at Campbell's. Okay, so Campbell's is your traditional consumer products supply chain, producing product. And if you think about their portfolio, it's more than just soup. It was at the time that I was there, included Perco spaghetti sauce, paste salsa. We integrated with, we did work with Pepper's Farm and we did operations across Canada and the US. And so the biggest challenges were it was very spiky demand. And so the classic bullwhip effect, all of those challenges applied and introducing the launch of new items also created challenges, both from an inventory and a transportation perspective. And so a lot of the value was driven in being very efficient about managing supply chain, but also really listening to customers because no one, no consumers came to Campbell's warehouses to buy product. They went to Kroger or to Walmart or to Costco. And so as efficient as we could make it, if it wasn't through the customer supply chains efficiently and that they were pleased with that whole process as well, they could choose to feature another company's product. So we had to be both, we had to be internally efficient and then we had to be customer focused efficient. Definitely. So you mentioned inventory and transportation as the biggest challenge in this supply chain. In terms of transportation, how did you define the transportation strategy? Did you decide to keep everything in-house or did you decide to outsource in terms of the trucks, the drivers, how does this work? When I joined, the system was a hybrid we had small parts of it that were private fleet operations. That term makes it sound bigger than it probably really was. And then most of the spend is what a classic in the US based kind of CPG network would be is that there, it was a mix of contract carriage and just when you had kind of, kind of spot demand, there was even some of that. And so it was really that shift over those eight years was focused more on trying to build strategic relationships with carriers, with service providers, whether they were three PLS and working internally on the strategy to also partner with procurement and other areas to manage the spend, to leverage where we could leverage and to drive the most efficiency. Excellent. You also mentioned about the importance of efficiency in this supply chain. Marshall Fisher, also in his article, talk about efficient supply chains, innovative supply chains, efficient versus agile supply chains. So how do you see the efficient and how Campbell deal with this efficiency in supply chain? It's interesting. I would say that the efficiency is driven through that process of historical understanding of your historical demand and then projecting the future demand in order to plan more efficiently for things like your transportation spend. So the tighter you can get those different operations and or different functions to work together then the better you will land efficiency. If it's internally focused to transportation and I'm not telling anyone anything that they don't already know but if you just focus on your own goals of driving efficiency, you won't deliver company level, corporate level efficiency it'll be suboptimized. Excellent. So Mary, tell me now about the supply chain at Domino's and the biggest challenges that you encounter working in this company. Okay. So that transition from Campbell's to Domino's it was really interesting. Very different supply chains. Campbell's supply chain 150 year old company versus a 50 year old company and Domino's supply chain is really about it's integrated. So it Campbell's you are producing product, you're storing it and then you're sending it to customers and then it's their supply chains and totally their control to get it to stores versus at Domino's we are working with the franchisee. So we are making product the supply chain centers produce manufactured dough combine it with food ingredients and then it is all consolidated onto the same to trucks to deliver to stores and the supply chain my area involved the private fleet. So we had a responsibility for delivering to the stores accurately and timely. And then we also I had different areas so then that would get into like other areas of supply chain but yeah. Yeah, tell me a little bit more about the online strategy at Domino's. So online obviously, if you've ordered a pizza online like that's a really easy or experienced than calling or using the phone. So having that be a driver of growth was a really good thing for supply chain and as well as driving, the whole customer experience at Domino's they were very focused on that. How has a strategy on the supply chain management role changed during the last 20 years? How did you see these changes or main changes in supply? I know there are a lot of changes. A lot of changes. And do you think that are more relevant? I think a really obvious one is the growth in the appreciation and the need for data analytics. And so for me, that's been a really great thing because I think in the past when I would go off and like early in my career I learned how to do like some programming and I would run, I would do queries against the database to try to link, disparate supply chain data and kind of bring it together for new insights. And that was all like new stuff. And now that is so much more ingrained into how supply chains operate as a whole. And then now it's evolved even more as to how that is such a huge source of competitive advantage. If you can troll your own data or you can even look out in the industry and look for trends that might be affecting your competition and how are they gonna respond versus how you would respond. So it's such a wealth of information and insights to bring. And those insights are so valued from a strategic perspective. The challenge really then is being able to dive deep which supply chain people do normally. Like we're so comfortable at that but being able to come up for air and see the picture of it and then be able to tell that story in a compelling way. Yeah, definitely. Yeah, this is one of the huge challenges that we have now. We're covering SE4X, supply chain technology and system data analytics and how to deal with big data and some of the machine learnings because it's one of the big challenge for almost all of the supply chain companies nowadays. So great point, perfect. So my next question is related to alignment. So once you are implementing the supply chain strategy, the alignment, I mean that these strategies align with the overall objective of the company is one of the key aspect of success or sometimes could be. So what is your experience? Which is the role that alignment play when you are implementing a supply chain strategy in these kind of companies? I mean, clearly it's critical to, you can't drive efficiency if you don't have alignment because if you don't understand what the strategy is or where the company's headed then you will inefficiently optimize against a solution that doesn't deliver the value that it could. So stepping back a minute and with your colleagues and first understanding the strategy, the overall company strategy and having trust built between you that they're really sharing what the challenges are and where we wanna head, that's key to execution. So I'm a big believer, as we've talked about, when I was at Campbell's, Doug Conant was the CEO and he developed a leadership model and Google that. And that model of building trust, creating direction, creating direction is the second step in that whole flywheel of how do we get things done together more efficiently? And it's not just a leadership model that applies only at a strategic level. It applied within supply chain to how do we get transportation to more efficiently partner with production and a partner with customer support so that we're all on the same page. So we would have a weekly direction setting meetings, kind of like in a plant environment you would have daily direction setting in order to understand what are the needs for today. We would meet to across departments to say, where are our goals? Like where are we checking relative to goals? What are the big projects that we're working on? What is the current status and where are we going forward? And what are watch outs? What's on, what are suggestions that have come in from the network that we haven't gotten to yet so that people don't feel frustrated that they've shared an improvement opportunity that hasn't been executed against but they understand it in the context of yes that's still on the radar screen but we have all of this yet to still deliver. So short-term and even in a weekly meeting we would also talk long-term every week. Excellent. You also mentioned the main difference between dominoes and combos these two different supply chains in terms of how often did this company rethink, revise their supply chain strategy and why? You know, it's an interesting question. From the standpoint of we never, I personally hadn't ever thought of it as we didn't have a set. Like we would review on this type of schedule. It was based on what would happen with you reviewed continually, small parts of your network all the time you did big reviews when internal changes in strategy or external changes in competitive threat or new regulatory requirements would indicate a need to reassess. And that was really true both Campbell's and Domino's. Campbell's was a smaller network but bigger sites and Domino's was many small sites. Clearly like the differences in those supply chains, many sites closer to the market. Yeah. And did you see also any difference in how the company communicate the supply chain strategy in each company to their supply chain employees? I think that is evolutionary in that the time I was at Campbell's things were communicated more via email and meetings like bringing people in for meetings doing Kaizen events and having things be this mix of hands-on and then larger platform like we're gonna do this. And then Domino's technology enables a lot more of being able to share where you could record videos. And I'm sure Campbell's is doing this now as well, but you can kind of create your own YouTube history of here's something that we did. Here's how one center has done it really well. Here are ways to access that. There was a lot more of that available to different locations at Domino's. And so that's always a good thing. And Domino's had really great meetings as well like very lively as you could imagine. And that was always fun. And then it was bringing leaders in to help them. And then each supply chain center was its own interconnected supply chain. So at Domino's, this was especially true in that you had a general manager at a center director of a supply chain center. They were manufacturing because they were producing dough. So they had to control all things related to manufacturing. They had distribution. They had a warehouse that in the same building, they had trucks and drivers and a private fleet that they had to manage the efficiency of that. They had customer support where the franchisees will call in and have questions or wonder what was going on with some invoice or whatever. And so they had, and they had maintenance. So they had people who had to maintain the equipment and everything. And those five functions all had to operate as a team and they were each other's customers, you know? So it was a really, like if that leader ran a great center then it made life easy for implementing any supply chain change. Perfect. So this is great, Mary. Thank you so much for answering all of my questions in this very clear way. So now what we are going to do is to invite you to go to the breakout session. The first one that's coming to the room is going to be the moderator and is going to lead this conversation. You have 10 minutes. After these 10 minutes, I want you to come back to the lobby with two relevant questions per group and we will discuss with Mary. Thank you so much and see you in a while. 10 minutes. Thank you.