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Take Five with Douglas Johnson
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With Douglas Johnson
“While I understand that changing the existing perception is a work in progress, I believe that we have made significant strides in recent months towards the realisation of this goal.”
Having recently taken the helm as the Chief Procurement Officer, how would you describe the experience thus far?
The experience thus far has been a rewarding and fulfilling one. The opportunity to lead a function which is pivotal to Heritage’s long-term success is not lost upon me and I take this responsibility very seriously.
How do you keep your team motivated despite conflicts and obstacles?
SCM is constantly under scrutiny with regards to the timely delivery of goods and services. Consequently, our ability to effectively respond to the needs of the business has been one of my main areas of focus. This, however, cannot be achieved unless my team is motivated.
My attempts at motivation in the face of intense scrutiny have been focused on clearly communicating my vision for SCM to the team. Also, setting clear goals, conducting regular meetings with both the SCM leadership and the wider team to understand the work being done and where the challenges lie. I encourage teamwork among the various SCM units, driving positive feedback and utilising reward and recognition for a job well done, while providing opportunities for self-development among members of staff.
What has been your biggest challenge here at Heritage?
My biggest challenge here at Heritage has been changing the existing perception of SCM as an impediment, to one that is proactive, strategic, customer-centric, value-adding and a key component to the success of Heritage.
While I understand that changing the existing perception is a work in progress, I believe that we have made significant strides in recent months towards the realisation of this goal.
What is the most innovative project that you have been involved in over your career?
The most innovative project that I have been involved in over the course of my career has been the improvement of Heritage’s supply chain performance by decreasing inventory levels (and associated carrying costs), while at the same time improving customer service levels.
Upon its commencement of operations in December 2018, Heritage inherited significant levels of inventory from its legacy company, some of which could not be utilized in its operations because of deterioration or items having become obsolete. In addition to identifying and writing off obsolete items, there was a need to develop an initiative whereby the company’s warehouse operations could achieve the delicate balance between reducing inventory carrying costs, while ensuring that critical items were readily available to service Heritage’s operations.
To this end, SCM introduced the concept of VendorManaged Inventory (VMI). This initiative has seen the development of collaborative partnerships between Heritage and its main suppliers of critical items, including spares. Under VMI, suppliers are authorised to manage Heritage’s inventory of specified items and deliver same to the company on an “as and when required” basis. In addition to reduced inventory levels and carrying costs, VMI has resulted in improved customer service levels for certain categories of goods through reduced order cycle times, increased fill rates as well as information sharing and business process reengineering.
The potential benefits from VMI are compelling and I am excited to see Heritage realise these benefits to the fullest going forward.
How do you relax and unwind outside of work?
Outside of work, I relax and unwind by spending quality time with my family. I am also the holder of a pilot’s licence, so I also enjoy piloting aircrafts across the wider Caribbean and playing sports, such as football, cricket and lawn tennis.
