FOR LEADERS IN THE BUSINESS OF LINKING THE GLOBAL SUPPLY CHAIN
SUPPLYCHAIN SUPPLY CHAINW W RLD VOLUME 9, ISSUE 1
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Organic and natural perishable solutions How Dora’s Naturals is building a bright future for itself as a key player in the organic foods industry
Predictions Will these five trends affect the supply chain in 2022? Page 10
Continuity The right labelling plays a key role in times of uncertainty Page 16
LETTER FROM THE EDITOR
Chairman Andrew Schofield Managing Director Joe Woolsgrove Editor Libbie Hammond libbie@schofieldpublishing.com lhammond@finelight-media.com Assistant Editor Will Daynes Staff Writers Danielle Champ, Jessica Olley Managing Art Editor Fleur Daniels Art Editor David Howard Art Editor Paul Gillings Sales Director Alasdair Gamble Business Development Director Philip Monument Research Managers Michelle Fontaine, Natalie Griffiths, Jo-Ann Jeffery, Ben Richell, Basil Sharpe Editorial Researchers Adam Blanch, Victoria Burke, Jodie Garringer, Jeff Goldenberg, Dan Harrison, James Page, Wendy Russell, Richard Saunders, Kieran Shukri Advertising Sales Johanna Bailey, Mike Berger, Jessica Eglington, James Fuller, Alex Hartley, Reid Lingle, Theresa McDonald, Sam Surrell, Theresa Stark,Gregory Waller Florida General Manager Ryan Finn
Hello and welcome to the January issue of Supply Chain World. Happy New Year! What are you expecting from 2022? In our feature on page 10, Christian Lanng takes a look at what the next 12 months hold for the supply chain, and he is predicting another event that will take us all by surprise (I think we’ve all had enough of those to be honest!) He also states that volatility will remain a feature of global trade. If you want to see what else Christian is forecasting then take a look at his article – it’s worth a read! Alongside this topic, we also look at the healthcare supply chain, RFID and AI, as well as complexity and continuity – I hope there’s something in there that piques your interest, but as ever, if you’d like to see a subject covered in the pages of SCW, just let me know!
Libbie Hammond EDITOR
libbie@schofieldpublishing.com
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FOR LEADERS IN THE BUSINESS OF LINKING THE GLOBAL SUPPLY CHAIN
SUPPLYCHAIN SUPPLY CHAINW W RLD VOLUME 9, ISSUE 1
ON THE COVER This issue’s cover story looks at the operations of Dora’s Naturals, a major distributor of health foods and organic products across the New York metropolitan
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Organic and natural perishable solutions How Dora’s Naturals is building a bright future for itself as a key player in the organic foods industry
area. Speaking to David Scheingold, Director of Supply Chain at the business, we learn about the importance of close working relationships and the right company culture. To read the full article, turn to page 32.
Continuity How labelling plays a key role in times of uncertainty Page 16
Predictions Will these five trends affect the supply chain in 2022? Page 10
Finelight Media LLC 2240 West Woolbright Road, suite 402 Boynton Beach, FL 33426 T: 561-778-2396
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© 2022 Schofield Publishing Ltd
Please note: The opinions expressed by contributors and advertisers within this publication do not necessarily coincide with those of the editor and publisher. Every reasonable effort is made to ensure that the information published is accurate, and correct at time of writing, but no legal responsibility for loss occasioned by the use of such information can be accepted by the publisher. All rights reserved. The contents of the magazine are strictly copyright, the property of Schofield Publishing, and may not be copied, stored in a retrieval system, or reproduced without the prior written permission of the publisher.
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CONTENTS
INSIDE THIS ISSUE 24
FEATURES 4
ERP/MRP
6
RFID
Smaller manufacturers are in an increasingly complex landscape, but not every ERP/MRP system can offer solutions to smaller enterprises By considering complete RFID solutions, companies may become one step closer to identifying, understanding and solving supply chain bottlenecks
10 Predictions
Five predictions at what 2022 holds for the supply chain – recent events have proven that there are always surprises just over the horizon
12 Supply Chain news
Updates and announcements from the supply chain arena
Hiperbaric
42
14 Healthcare
Nowhere felt the pressure more to get supply chain operations right during the pandemic than healthcare. What lessons did we learn?
16 Continuity
One way that organizations can avoid supply chain risk is to make sure they get their labelling solutions standardized and centralized
20 Disruption
A recent study has looked at concerns and plans of supply chain leaders, while also measuring the impact of disruption
2
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J. Knipper and Company
60
66
George Washington University Hospital
Scientific Laboratory Supplies
COVER STORY
32
38
Dora’s Naturals
AA Metals
48
56
Mass General Brigham
Kruger Inc.
70
76
Rush University Medical Center
Troy UK scw-mag.com
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ERP/MRP
Optimize
for the future T Simplify supply chain complexity and seize the future. By Karl Lauri 4
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he combination of globalization, e-commerce and the internet has blown apart the post-war ‘standard business model’, which saw large companies enjoying ever-greater economies of scale through mass production and mass marketing. They had the financial strength to invest in efficient manufacturing, and were able to convince the consumer that what they really wanted was whatever was most profitable for the manufacturer. Smaller companies with fewer resources were restricted to their local market or to a small selection of major wholesale or retail customers.
All that has changed. Mass promotion no longer works, as consumers gain their market knowledge from a myriad of streams, websites, and ‘social influencers’. They no longer want the same goods as their neighbors: they want to differentiate themselves through purchasing the quirky, the customized, the ‘limited edition’, the wildly exotic, the hyperlocal, the ethical choice or the next new thing. Small, specialist and agile manufacturers can now serve this volatile consumer base, almost regardless of geography and demography, directly, affordably and without the intermediation of the big retail chains. And thanks to Amazon and other e-commerce
sites, they can offer fulfilment and service levels equal to or better than those of the larger firms. Many smaller manufacturers are seizing these new freedoms with enthusiasm. But this does not come without cost, and business models for small companies have become vastly more complex. This means that smaller companies find themselves following several different business models. They may still be manufacturing goods to the designs and specifications of large customers, but they are also making and marketing their own proprietary ranges or customizing goods for individual customers. They may be shipping in bulk to wholesalers
or to a large retailer’s Distribution Centre; they may also be drop shipping on behalf of those customers to smaller retailers or to the end user. They may be building a direct relationship with individual consumers and small businesses. With the rise both in home-working and in ‘micro-businesses’, the B2C/B2B distinction is becoming increasingly blurred – and that relationship may be through the company’s own website and distribution arrangements, or inventory and fulfilment may be outsourced to a 3PL. It may be that the whole process, including order taking and payments may be through Amazon or another marketplace. Or it may be all of the above. So, even a small manufacturer with a limited product range may be running half a dozen different business models, all with varying requirements, constraints and parameters which affect every business process and the balance between which changes over time. Orders may include long-term contracts and individual consumer purchases, greatly complicating demand forecasting and production planning. Procurement may swing between longterm contracts and spot markets. Different channels may dictate different stockholding policies, which somehow have to be reconciled with a single physical inventory. Payment may be to invoice or by PayPal, etc. This can’t be managed effectively by eye or even by spreadsheet. Controlling and taking advantage of this new landscape requires a range of IT tools with the backbone of an appropriate ERP/MRP system. ERP/MRP vendors, ourselves included, often claim that implementing their system can simplify business and operational processes. It is perhaps more accurate to claim that we can simplify the way that increasing complexity is handled. But not every ERP/MRP system can offer this to smaller enterprises. Here are some of the key considerations for the smaller manufacturer: • Ease and speed of implementation. Small firms cannot afford to spend a year playing around with configurations, or months importing clean data. Equally, they haven’t got the skillsets or the appetite for risk for a ‘big bang’ changeover. They need
•
•
•
•
a system that can address the most acute pain points immediately, but also one that can then be rolled out to other areas and processes in a reliable and coherent manner. Ease of use. The system should be useable with a minimum of training by staff who are not IT or business process specialists because this is often only a small part of their job. Clear, straightforward, intuitive and graphical interfaces that speak their sort of business language are vital. Simple and flexible update and modification. Business models and system requirements can change very quickly. It is important that configuration changes and modifications can be made safely and in-house, with minimal requirements for external support and a minimum of risky new coding. Many small firms face the same type of challenge – with a cloud-based system, successful and proven solutions can easily be shared. Low and flexible costs. Small firms can’t tie up capital in large scale IT investment. Cloud solutions slash the upfront investment required. At the same time, on-going costs need to be variable in line with business performance – reflecting the number of users and their traffic, only charging for the system elements that are actually deployed, and without onerous long-term contract commitments. Prompt, reliable and helpful support. Even the most user-friendly system will sometimes require vendor support. This needs to be readily available, obviously, but also given by people who understand operational and business processes and speak that language.
All of the above forms part of the Repays experience, making it worthy of shortlisting by any smaller manufacturer seeking simpler ways to manage increasing complexity and to take full advantages of all the opportunities that our new future offers. D
Karl H. Lauri is a managing team member at MRPeasy.com. MRPeasy.com is a cloud-based, affordable and user-friendly ERP/MRP software for small manufacturers and distributors (10-200 employees). www.mrpeasy.com
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RFID
Regaining
confidence Solving the supply chain bottleneck with autonomous RFID technology. By Laurent Lassus
6
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T
he world is currently experiencing ‘a perfect storm’. Between the Covid-19 global economic shutdown to the current power and fuel crisis, truck driver shortages, port backlogs, border controls and mobility restrictions, supply
The global picture Unfortunately, the reality is quite different. Business cannot simply snap their fingers and solve bottlenecks that have been unmasked during the storm. It takes time, financial backing and a workforce that is not only determined to see things through, but also has the training and capability to do so. The timing couldn’t be more critical either, as businesses gear up for the seasonal period and one of the biggest consumer spending dates in the calendar year. For instance, the US government has warned that Americans may face higher costs and empty shelves at Christmas due to several supply chain issues, stating that ‘there will be things that people can’t get’1. This is mainly due to several ports, including the Port of Los Angeles, dealing with increased traffic from an import surge. Containers are sitting approximately 2.5 times longer at anchor than before the pandemic2. In Europe, there’s a similar picture emerging. Germany has seen its largest drop in industrial output since April last year, falling by four per cent in August due to supply chain disruptions 3 . While in the UK, warehouse space is a major issue with availability falling below 50m square feet, according to property agency research4 . This is due to the rise in demand of online shopping following Covid-19 lockdowns. Then, there’s Brexit contributing to the labor shortage, where food and drink sectors heavily relied on a European workforce. Elsewhere in Europe, Switzerland may have to resort to partial unemployment next year because of delays in receiving parts5 . The worldwide semiconductor shortage has also had major repercussions for the automotive industry, with French manufacturer Renault beginning to sell its Clio, Captur and Arkana models without the option of electronically folding wingmirrors6. As such, industry experts are saying that ‘things will get worse before they get better’, predicting that it will take up to a year for the current situation to stabilise7. So, how can supply chains return to pre-pandemic levels of confidence? Utilizing radio-frequency identification (RFID) technology to identify bottlenecks may be a good starting point.
Moving to an autonomous supply chain chains have been unable to move goods fast enough to meet the demand of new productivity levels. In the eye of this storm is a labor issue, while bottlenecks in every stage of the supply chain – shipping and logistics, warehouse management and factory production – are now collateral
damage. With consumer demand rising every day for goods that are facing stock shortages, supply chains must work together to ride out the wave of financial and operational uncertainty, supporting others where necessary to lessen the burden.
Consumers are now more concerned than ever that supply chain shortages will prevent them from being able to purchase what they need. According to a new survey by Oracle, 63 percent of US consumers want brands to provide regular shipping updates, while 59 percent want transparency communicated scw-mag.com
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RFID
regarding inventory 8. In addition, 66 percent are worried that it will ruin the gift-giving season8. To help mitigate these worries, brands and retailers should start to develop a resilience plan and begin to implement it into their supply chain today. This means identifying bottlenecks in workflows and understanding where data can be consolidated, rather than siloed.
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With many retailers still operating a ‘justin-time’ inventory model to remain lean, RFID technology can help businesses re-think their supply chain strategy. For instance, RFID solutions are often hands-free and can scan multiple items at once from incoming freight, tags can also be tracked and traced across the entire supply chain, giving businesses complete visibility. In addition, they can be
set up to deliver autonomous alerts for when essential inventory runs low and ensure data is sent to intelligence tools to discover industry patterns and consumer buying trends. Essentially, utilizing RFID solutions throughout your supply chain means you can reduce ‘the bullwhip effect’ by revising forecasting methods through real-time data.
industry, companies are placing QR codes on fruit cartons, which are linked to passive UHF RFID-tagged pallets to capture data automatically. While in the air freight industry, Sichuan Airlines – the largest airline in Western China – used a combined RFID technology solution to reduce its daily inventory counts by 80 percent9.
Building resiliency To use RFID technology effectively, those in the supply chain require software and hardware that can be integrated easily within their business environment. By leveraging our expertise in auto-identification, SATO combines printer technology, labels and tags in one complete solution to offer total RFID support to our customers. Considering 80 percent of German manufacturers that were surveyed by INFORM this year stated that they did not use technologies with intelligent functions (real-time management, algorithmic optimization)10, time is of the essence in the fast-moving consumer goods industry. Building resiliency into your supply chain is a challenge. Yet by working with a supplier that offers a complete RFID solution, companies may become one step closer to identifying, understanding and solving those bottlenecks. We may be experiencing a perfect storm right now but taking steps towards future mitigation is an option that the supply chain cannot afford to overlook. D 1. Reuters, ‘There will be things that people can’t get,’ at Christmas, White House warns, October 2021. 2. Forbes, No end in sight for the Covid-led global supply chain disruption, September 2021. 3. Reuters, German industrial production slumps on supply chain disruption, October 2021. 4. Financial Times, Britain could run out of warehouse space within a year, October 2021. 5. Swiss Info, Swiss president warns of labour impacts from supply chain bottlenecks, October 2021. 6. L’Argus, Renault Clio, Captur and Arkana – shortage of electric folding mirrors, October 2021. 7. The Week, The Supply Chain Crisis: What’s going on?, October 2021. 8. Oracle, Survey: 82% of Americans scared that supply chain issues will ruin their life plans, September 2021. 9. Packaging News, SATO and Xerafy team to bring costeffective RFID labels to global markets, August 2021. 10. Warehouse & Logistics News, ‘Intralogistics study by INFORM raises hope for increasing digitalization’, June 2021.
Many businesses have already been using RFID in smart ways. Automated guided vehicles with an RFID tag, for instance, allow the conveyance of freight without the need for foot traffic across a facility. Elsewhere, other businesses have been using RFID to create contact-tracing solutions to protect workers and minimize potential business downtime during the pandemic. In the food
Laurent Lassus is head of Europe & managing director at SATO Europe. SATO is a global auto-ID solutions provider for leading companies in manufacturing, logistics, retail, food & beverage and health care. SATO tags every ‘thing’, making it knowable in real time for a connected world of productivity, safety, reassurance and sustainability. An industry pioneer with a focus grounded on site, SATO engineers hardware and integrates solutions to streamline entire supply chains with visibility extending to the consumer. www.sato-global.com
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PREDICTIONS
The year ahead
W
ith all due respect to Mark Twain, predictions aren’t difficult - even when they involve the future. You just need to be careful not to make sweeping statements about the things that ought to happen, but which can be derailed by what one British prime minister succinctly called “events, dear boy.” The last two years have provided an object lesson in the power of ‘events’ to throw all the carefully calibrated machinery of world trade into chaos. In early 2020 it was Covid and the associated worldwide lockdowns that played havoc with supply chains; in March 2021, it was the grounding of the Ever Given in the middle of the world’s most strategic waterway.
Christian Lanng takes a look at what 2022 holds for the supply chain 10
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My first prediction is therefore the easiest of the lot: there will be an event that comes entirely out of the blue and for which most manufacturers and suppliers will be
completely unprepared. This event will further demonstrate the vulnerability of just-in-time supply chains - indeed, of the whole model of supply ‘chains’ in general, where any broken link sends ripples across the world. Buyers and suppliers are increasingly aware that the models they have built over the last few decades are no longer fit for purpose; they realize that paradigmatic change is urgently needed to create the robust, resilient, agile supply chains of the future.
Prediction Two: Volatility - the new normal Pre-pandemic, businesses prepared for local or at most regional disruption. Covid was an order of magnitude bigger than anything we’d prepared for: hardly anyone had war-gamed such a scenario or performed a stress test on this scale. We’ll be struggling to comprehend the impact of Covid for years to come, but we can
other way around. As the adoption of robots and artificial intelligence grows across the board, there will be a corresponding rise in demand for people to analyze and interpret the information they generate. In 2022, businesses will find themselves in a race for talent unlike anything before. They will quickly realize that their biggest procurement challenge doesn’t involve raw materials or components, but rather how to secure the expertise they need to innovate successfully and make smart, data-driven decisions to preserve the overall health, integrity and diversity of supplier relationships. I will go further and say that the businesses that do this most successfully will not be those that simply manage to hire top talent, but those that can unlock the skills within their supplier network. Navigating the ‘events’ of the year to come - whether it is changing patterns of consumption, supply chain revolutions, or changing expectations in user experience will require businesses to collaborate closely with their suppliers. They will need to pool resources, including the insight and analysis they generate, to create solutions that deliver results across the value chain. The demand for these skills will in turn drive a ‘people’s revolution’ everywhere from recruitment to education in the years to come, but its effects will be felt first in the supply chain - and it will undoubtedly be one of the defining narratives of the year ahead.
Prediction Four: Green it like you mean it
predict one of the medium-term results, which is that volatility will remain a feature of global trade well into 2022. We’re already starting to see this: Tradeshift’s latest quarterly Index of Global Trade Health has revealed a significant fall in trade activity across our platform, with order volumes falling by 24 points, the biggest drop we’ve seen since the height of the first lockdown. Lengthening delivery times, deepening bottlenecks, and rising commodity prices are beginning to weigh on buyer behaviors. With no compelling evidence that suppliers have started to cope with their order backlog, we can expect a bumpy ride for the foreseeable future.
Prediction Three: Technology will empower, not replace, humans Numerous commentators have expressed fears that automation will drive unemployment, but it’s actually happening the
In one respect, 2022 will be like every year that’s preceded it for decades: businesses will continue to trumpet their environmental and sustainable credentials and pay lip service to ‘saving the planet.’ These claims are often little more than hot air, with research earlier this year finding that 42 percent of enterprises’ ‘green’ claims are false or misleading. The next 12 months will be different. It’s not just that consumers are more concerned about climate change, pollution and other green issues; they are increasingly intolerant of businesses that speak to sustainability without delivering real change and more skilled at spotting and publicizing greenwashing. In 2022, businesses will find themselves
under pressure to prove they are taking meaningful action on sustainability. There is no question that being provably green is in businesses’ interests. The problem is, it’s incredibly difficult to measure this across complex international value chains. Deloitte recently found that 65 percent of organizations have limited or no visibility below their tier one suppliers. I predict that the most effective standards will not be drawn up at climate summits or in the corridors of power, but will evolve organically - the by-product of the ongoing drive for digitalization and transparency throughout the supply chain.
Prediction Five: The turn to technology Digitalization can’t fix global volatility, but it will give businesses the agility to respond effectively - but only if it’s accompanied by a change in mindset. Instead of looking at each element of the supply chain as its own unique fiefdom, we need to step back and see it in the round. The businesses that turn this crisis to best advantage will be those that figure out how to connect buyers and suppliers more dynamically as part of a richer, digital-first ecosystem - a community where interconnectivity creates a network effect far stronger than any tech application. Businesses are waking up to ways that technology can help create end-to-end resilience that protects not just their own interests, but the interests of the whole ecosystem. Innovation will accelerate in areas such as trade financing, which failed to provide sufficient support to suppliers through the pandemic. A new wave of digitized financing products are poised to fill this gap, providing faster access to working capital for suppliers which will incentivize them to replenish depleted inventory. Use of B2B marketplaces will also continue to grow as procurement teams look to create more flexible and diverse supplier relationships. The curated marketplace model has a significant role to play in helping buyers and suppliers build resilience against disruption by intelligently pooling supplier capacity and matching it to areas of high demand. D For sources used in this feature, please contact the editor.
Christian Lanng is CEO and Co-Founder of Tradeshift, a market leader in e-invoicing and accounts payable automation and an innovator in B2B marketplaces and providing access to supplier financing. Its cloud-based platform helps buyers and suppliers digitize invoice processing, automate accounts payable workflows and scale quickly. Headquartered in San Francisco, Tradeshift’s vision is to connect every company in the world, creating economic opportunity for all. Today, the Tradeshift platform is home to a rapidly growing community of buyers and sellers operating in more than 190 countries. www.tradeshift.com
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NEWS IN BRIEF New partners Nulogy and OMP have signed an accord to jointly deliver digital solutions for multienterprise connected supply chains in the fast-moving consumer goods (FMCG) sector. The new partnership allows the two companies to deploy their extensive expertise more effectively to bring value to FMCG brand customers. “As a leader in demand and supply planning, OMP believes strongly in the power of technology to advance supply
Investing in the future
chain performance and efficiency,” said
Full Harvest, the produce business-to-business marketplace specializing in surplus and
Philip Vervloesem, Senior Vice President,
imperfect produce, has announced the close of a $23 million Series B round of growth
OMP USA.
financing led by agtech investor TELUS Ventures, the strategic investment arm of
“Given the speed and volatility of today’s global market, it is more important
TELUS corporation. New and existing investors also joined the round. Working with some of the largest food and beverage companies (Danone North
than ever for brands to collaborate on
America, Health-Ade), processors (SVZ) and growers (Tanimura & Antle, Church
a frictionless digital ecosystem with
Brothers, Deardorff Farms), Full Harvest reduces produce sourcing headaches and
their supplier communities,” added
food waste by moving the produce supply chain online – allowing buyers to purchase
Jason Tham, Nulogy’s CEO. “Through our
more sustainable produce, lowering food production costs, and creating an additional
partnership with OMP, we look forward
revenue stream for farmers.
to enabling true end-to-end supply web
Full Harvest will use the investment to accelerate its push to deliver the advanced
transparency, as well as next-level supply
technology solutions the produce industry needs by expanding its online marketplace,
sensing through modern intelligent
further improving the user experience for both produce sellers and buyers, and
systems.”
substantially growing its network of national buyers and sellers. Full Harvest will also focus on expanding its industry-leading data analytics offering, and scale out the global use of its Verified Rescued Produce™, setting the highest standard for on-farm
Retention solution
food waste reduction verification.
DHL Supply Chain, the world’s leading contract logistics provider, has accelerated its business expansion to meet a boom in demand for its services,
Credit benefits
while simultaneously increasing agent
PayCargo Capital has secured a substantial lending
retention to a record high, with the help
alliance with Evolve Bank & Trust (Evolve), a leading
of a suite of Avaya OneCloud™ solutions.
financial and technology institution, allowing freight
“As many businesses found during the pandemic, the last 18 months were
and receive credit at the point of paying freight costs.
characterized by a huge spike in demand
The partnership will immediately fund the ‘PayCargo
for high-quality customer experience
Line of Credit’, which eliminates financial delays that
services. Between 2019 and today,
are contributing to the on-going supply chain crisis.
alongside the rollout of Avaya OneCloud,
This solution allows freight forwarders and beneficial
our number of concurrent agents has
cargo owners to apply for and receive credit right at
increased 300 percent,” said Jerome Gillet,
the point of paying freight costs. PayCargo expedites funding by removing the need
CEO, Singapore Cluster, DHL Supply Chain.
for using third parties, excessive paperwork, and lengthy processes.
“Retention in the contact center industry
12
forwarders and beneficial cargo owners to apply for
PayCargo Capital is the exclusive lending partner to users of PayCargo, LLC’s
has been a challenge for several years.
successful payment platform for moving money and vital remittance information
With the support of a comprehensive,
between payers and transportation-related vendors. “PayCargo Capital offers credit
cloud-based collaboration tool, and an
terms on freight charges, previously available to only a few large companies,” said
AI-powered contact center, our retention
Philip J Philliou, Chief Executive Officer (CEO), PayCargo Capital. “Clients tell us that our
rate has significantly increased to
timely credit solution prevents expensive demurrage charges and speeds goods on
become the best-in-class in the industry.”
their way to their final destination.”
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NEWS Massive investment
Greener transport
UK supply chains are set to benefit from C.H. Robinson’s
Samworth Brothers Supply Chain has become the latest UK business to add the
$1 billion global investment in technology, which will help
Carrier Transicold Vector® eCool™ unit into its fleet, taking delivery of six of the
shape the future of the country’s logistics ecosystem.
world’s first fully autonomous, all-electric engineless refrigerated trailer systems
The world’s most connected logistics platform provider, C.H. Robinson, currently works with more than
already operating on roads in ten European countries. Discussing the investment, Ian Cooper, Regional Fleet Manager at Samworth
1000 data scientists, engineers and developers. Its
Brothers Supply Chain said: “It will play a key role in reducing our carbon footprint,
pledge to further invest in technology will grow its global
helping us to focus on our path to net zero, while forming a vital part of our duty
talents with teams harnessing data to address some
of care to the environment. Of course, given the current cost of diesel, any way to
of the most complex logistics problems and minimise
lower our fuel usage across the fleet is also a welcome bonus.”
inefficiencies of global supply chains. Speaking about the announcement, Dave Fraas,
The Vector eCool unit combines Carrier’s E-Drive™ all-electric technology with a new cutting-edge energy recovery and storage system, which produces
director of software engineering at C.H. Robinson
no direct carbon dioxide
Europe, commented:
(CO2) or particulate
“Our commitment
emissions. The all-
to invest such a
electric Vector eCool
staggering sum will
is also PIEK-compliant,
put C.H. Robinson
which combined with its
at the forefront
emissions performance,
of technological
means that the system
developments in the
offers the ultimate solution
UK and on a global
to tightening inner city and
scale.”
urban regulations.
Product recognition PM360 has selected TraceLink’s Supply Chain Issue Management and Opus platform as one of the most innovative products in 2021. Launched in spring 2021, TraceLink’s Opus Platform is the only business network creation solution that can build integrated business ecosystems and create interoperable multi-enterprise applications. Products were chosen from among hundreds of submissions from across the healthcare and life sciences industries. The editorial staff of PM360 evaluated each submission and selected their choices for the most innovative. Shabbir Dahod, President and CEO at TraceLink, commented on the nomination: “We are honored to have been selected from amongst some stiff competition and excellent products. Our Supply Chain Issue Management and Opus platform fosters open innovation in the supply chain. It enables decision makers to link companies, people processes and systems through business networks in order to drive better resiliency and agility in supply chains. Customers using Supply Chain Issues Management have seen a 65 percent reduction in the time it takes to resolve issues, 35 percent reduction in the number of issues, 50 percent reduction in recurring issues, and a 97 percent reduction in manufacturing disruptions. As a result their fill rates and OTIF service levels have gone up, and operating costs have been reduced substantially.” The digital networks powered by Opus create the foundation for companies to build their Industry 4.0 digitalization strategies and attain the customer-centric agility they must have to remain competitive and leverage the collective intelligence for the greater good of an entire industry.
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HEALTHCARE
A healthier model
T
Rethinking supply chain models for the digital age. By Kevin Sample 14
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he pandemic shone a light on just how important it is for organizations across every industry to get their supply chains right, but nowhere was this seen and felt more than in the healthcare sector. With the increased demand for PPE and other medical materials essential to the frontline response to Covid-19, hospitals and healthcare trusts saw their logistics and requisition operations stretched to breaking point. What lessons can we learn about the supply chain models used during the pandemic, how did they evolve, and what does the digitalized supply chain of the future now look like? Traditionally, the supply chain has been seen through the lens of two models: the push model and the pull model. At their
most basic, the push model uses defined forecasts to predict demand, whilst the pull model bases its approach on actual stock usage. Both were used to some extent in the healthcare sector during the pandemic, to varying degrees of success.
The push model The supply chain push model uses a defined forecast of what you will need in the future and automatically brings in materials when it determines they will be needed. This model requires a greater use of digitalization and data analytics due to its reliance on creating forecasts and generating data-based assumptions about future usage and demand. During the pandemic, the push model was used sparingly in the healthcare sector in
hospital wards would have a pre-set inventory level, which would generate an automatic replenishment order if stock fell below that number. This model was more common in the healthcare sector during the pandemic. It would typically see wards keep, for example, 100 masks at any one time, with a replenishment trigger whenever they fell below 20 masks. Once stock levels fell below this threshold, new materials would be ordered to bolster stock back up to the original 100 masks. The pull model has recently received something of a digital upgrade itself, with a number of hospitals and trusts moving away from manual stock counts to use automated digital scanners. Using these scanners, details of each medical procedure can be recorded, from consultant information through to materials used (from PPE through to higher value consumables such as implantable devices). This information is then transmitted wirelessly to a central digital database, which allows for an automatically-generated report to ensure accurate patient records are free from human error, as well as an updated stock level to allow for stock replenishment routines and purchase orders to be run automatically. Whilst this is simpler to implement, the model is based purely on usage and so is reactive, rather than proactively seeking to avoid shortages. During the pandemic, this inevitably led to problems in the supply chain where orders could not be fulfilled fast enough to prevent shortages of critical care equipment such as PPE.
A hybrid approach
the UK, mainly due to the lack of required digital infrastructure in some parts of the NHS. However, some decisions were taken away from NHS trusts and centralized to NHS Supply Chain, which used a forecasting model based on demand for protective equipment in different parts of the country. While this approach had its benefits the lack of comprehensive, accurate and timely data across the whole healthcare landscape meant that it was not as effective as it might have been.
The pull model In contrast, the pull model is based on realtime usage data rather than forecasts. This data, in a healthcare setting, would typically be more granular; for example individual
There are undoubtedly pros and cons to both approaches, with the key to both being the proper collection of good quality inventory data. By acknowledging the power of data, supply chain professionals working across different sectors, but particularly in healthcare, should now be looking toward a new, hybrid approach which combines the best elements of the push and pull models to mitigate the risk of stock shortages.
By combining actual ward level data with the power of predictive analytics, the healthcare industry can continue the journey towards automation of its supply chain processes whilst avoiding shortages of critical materials during unusual spikes in demand. This hybrid system could see a flexible pull model, which adapts its target threshold for stock replenishment based on forecasted demand. This combination of real-time data and predictive analytics could be revolutionary for the healthcare industry: the ability to gain real-time insight into stock levels, assess the likelihood of an increase in the need for medical supplies and then pre-emptively order the required supplies. All without diverting clinical staff away from their frontline roles, which is crucial in balancing healthcare’s need to maintain supplies of critical medical equipment while still meeting demand for better patient care. Integrating such a hybrid system would not be difficult. Healthcare settings already amass huge amounts of data, and the difficulties faced during Covid-19 galvanized the sector to develop better data strategies. Healthcare providers analyzing case data to better predict demand became a central part of the NHS’ Covid response and procurement teams improved their ability to collect, maintain and properly analyze reliable, reproducible and secure data. For example, as the pandemic progressed, healthcare teams became better at identifying areas more susceptible to Covid-19 cases based on a combination of real-time data and existing information on the makeup of populations. This then influenced decisions on how many resources to stockpile in a specific location. Such progress would not be difficult to continue into the postpandemic era. The pandemic has seen the rapid growth of digitalization across a number of different sectors, with the supply chain, and in particular the healthcare supply chain, being no different. If supply chain professionals are to best utilize this growth in digitalization and data management, we need to move to a new model of supply chain management which plays to its strengths. D
Kevin Sample is a Senior Consulting and Business Development Manager, GHX Europe. Building on decades of collaboration between providers, manufacturers, distributors and other industry stakeholders, Global Healthcare Exchange, LLC (GHX) is leading the charge in helping organizations run the new business of healthcare. By automating key business processes and translating evidencebased analytics and data into meaningful action, GHX is helping the healthcare ecosystem to move faster, operate more intelligently and achieve greater outcomes. With the support of GHX, healthcare organisations have removed billions of dollars of wasteful healthcare spend. www.ghx.com
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CONTINUITY
Managing change Ensuring supply chain continuity in times of uncertainty – why labelling plays a key role. By Josh Roffman 16
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oday, thanks to the pandemic, supply chains face a range of risks at a time when their operational agility and resilience are increasingly important. One key way in which organizations can avoid many of these risks is by making sure they get their labelling right. If labelling goes down during a crisis, continuity
is broken. If you can’t label products, you can’t get finished goods into people’s hands. However, if enterprises choose the right labelling solution, they not only avoid the risk of business disruption and delays stemming from a break in continuity or from mislabeling, they also avert the threat from industry fines that may be incurred as a result.
Moreover, when facilities have to shut down or there are issues with warehousing, companies may need to shift production. It is important that when one facility is disrupted, labelling can be quickly and easily shifted to another facility - with the ability to manage any and all labelling requirements - from new languages to alternate customer requirements
to altered shipping routes. Clearly, organizations may struggle when it comes to shifting labelling and managing label printing operations across their enterprise. Part of the challenge is to understand the unique requirements in each region. For instance, those employees or resources most familiar with the labelling requirements for a
specific impacted geography may now work from home. This means there could be limited access to the knowledge needed to manage the labelling function, which could result in further delays or errors. Without an Enterprise Labelling solution in place, companies may be forced to spend weeks getting their labelling efforts set up in a scw-mag.com
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CONTINUITY
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Companies should standardize and centralize labelling to provide access to users and locations regardless of geography
Enabling suppliers with browser-based access Companies should standardize and centralize labelling to provide access to users and
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new facility only to be forced to move again. However, when companies enlist multi-site capabilities they are able to easily shift labelling from one site to the next. The approach also allows companies to drive labelling centrally and failover to any local instance if there is break in continuity to headquarters. This is critical in maintaining business continuity in the case of supply chain disruption.
locations regardless of geography. Allowing multiple locations and/or suppliers flexible access to centralized labelling and label content is crucial to business continuity. Accurate and compliant label templates can be accessed centrally from any location, avoiding the time needed to design new templates or copy existing ones. Ultimately, to enable enterprises to create, manage and print labels, organizations need a browser-based interface that allows them to seamlessly implement, deploy, maintain, scale and shift their labelling operations across their network. Additionally, implementing a cloud-based
platform with universal label templates enables suppliers, 3PLs and other labelling locations to easily print labels remotely. This allows any additional users to maintain the same level of printing quality and performance as experienced in the networked locations. Also, the data and content they need is still available at their location for printing. When shifting labelling to new locations, it is also important to maximize control through role-based security that allows administrators to select who gets access to labels, content, and printing devices. Administrators should have visibility to easily understand which printers are in use and who is accessing them.
Enabling a remote workforce with the cloud To maintain supply chain agility, companies must be able to swiftly shift both facilities and resources between different locations.
However, when provisioning infrastructure through the cloud, companies can quickly add computing resources on an as-needed basis, preventing bottlenecks. Using the cloud affords the opportunity to provide role-based access and by defining a role at a new facility and adding label template permissions, new users can access all they need. Additionally, remote users will be able to use a definitive library of approved label templates without recreating their own local versions and introducing the potential for labelling errors.
Beyond the pandemic As previously mentioned, business requires innovation and forward thinking. Perhaps your company has managed to get by during this pandemic. But how do you make sure you are always ready to deal with adversity moving forward in today’s disruptive economy? Shifting production and managing suppliers can have a drastic impact on your supply chain and business operations, but without the flexibility of Enterprise Labelling, you’ll lose time, incur costs, and risk accuracy and consistency. With this kind of solution, everything relating to labelling deployment can be carried out remotely. Also, by standardizing and centralizing labelling across your enterprise, you ensure label requirements are fulfilled and labelling uptime is guaranteed. This type of fully automated labelling supports complex scenarios by providing the right label, in the right place, at the right time.
Looking ahead to the next disruptor To manage this, it’s important to have the flexibility cloud and browser-based deployments offer. Without a browser-based solution it’s nearly impossible to quickly shift production from one facility to another, especially if the new facility has different technologies and printer hardware. The same is true for label templates, configurations, and data services that aren’t typically accessible to other locations. When these aren’t available by default, and in cases where a new facility has a different infrastructure, labelling processes may need to be recreated, potentially putting both compliance and consistency at risk. Companies need to maintain their standards and labelling consistency even when they’re faced with moving their operations. However, this may not be quick or easy when companies are tied to an on-premise infrastructure. Moving to a new on-premise site or facility,
while maintaining the same levels of service may entail finding the same software, the same software versions, and the same configurations. This is a lot of work, and it might not be possible to get it right in the short time frame required. In the worst-case scenario, a hurried effort to move labelling to a different location – without the cloud – can result in labels that can’t be used, products that can’t be shipped, or fines related to mislabeled products.
It’s safe to say the virus has changed the way businesses operate, and one priority is maintaining uptime. As no one could have predicted the pandemic, no one can predict the next major supply chain disruptor. All you can do is prepare for impact so you can meet new demands – whether entering new markets, addressing evolving customer and regulatory requirements, or dealing with unforeseen change. D
Josh Roffman is VP of Product Management at Loftware. Loftware and NiceLabel combined under the Loftware umbrella to offer customers and partners an expanded choice of Enterprise Labelling & Artwork Management solutions, providing enhanced labelling capabilities and the benefits of greater investment in cloud-based solutions for companies of all sizes. Maintaining a global presence with offices in US, UK, Germany, Slovenia, China, Japan and Singapore, the union combines over 60 years of expertise in solving labeling challenges and helping companies improve the quality, speed, and efficiency of their labeling, while reducing cost. www.loftware.com www.nicelabel.com
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DISRUPTION
Protect
the chain
T The true cost of supply chain disruption and what can be done. By Jennifer Bisceglie 20
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he UK is in a time of unprecedented supply chain turmoil. Through Covid-19, Brexit, global trade wars, disruptive cyberattacks and myriad other crises, the trade networks that support a globalized world are buckling amid continuous shock events. In the UK, this is being felt across industries. From food shortages on supermarket shelves and shuttered fast-food restaurants, to a semiconductor supply shortage hampering the production of every consumer good that requires a computer chip. In tumultuous times like these, it’s more important than ever to understand the specific concerns and future plans of supply chain leaders to better direct strategy towards protecting trade networks
and enhancing operational resilience. A recent Interos study has done just that, while also measuring the impact of supply chain disruption to worldwide organizations.
A staggering cost Perhaps the most stark takeaway from the study is the sheer amount that supply chain disruption is costing companies across the world. The report found, on average, disruption to global trade networks costs large companies £132m ($184m) a year. This is a colossal amount of money being siphoned from the global economy. It is unsurprising then that a vast majority of the 900 polled senior IT, IT security and procurement decisions makers across the EU and US reported some negative impact
percent) reporting disruptions to production lines and locations. One particular area of future concern – on top of current disruption – is that of a brewing international trade conflict. After all, Brexit has oftentimes put the EU and the UK at loggerheads, while the even more tumultuous relationship between the US and China shows no sign of thawing. Indeed, an overwhelming majority of those polled in the survey (88 percent) reported that international trade disputes would cause significant, notable, or moderate impacts to their organization. The most common impacts likely to be faced by organizations being forced changes in production locations, disruption to banking and payment infrastructure, and increases in cyber-espionage against businesses. There’s no shortage of recent examples of state-backed cybercrime. 2021 has seen a rash of devastating hacks aimed at the supply chain, with the most recent being through the MSP Kaseya. This attack is thought to have impacted 50 of the MSP’s direct customers and 800 – 1,500 SMEs further down the supply chain network. The hack led to shuttering of 800 supermarkets across Sweden, which exhibits the far-reaching consequences of any particular attack directed against the supply chain. In North America, the Colonial Pipeline and JBS hacks have also left their mark upon trade networks. In this context of cyber threat, it comes as no surprise that three-quarters (77 percent) of those polled in the survey had encountered at least one cyberattack on their supply chain in the last year.
Recognition of the supply chain threat
to revenue resulting from supply chain disruption. This was attributed to a number of varying supply chain risks including cyber breaches, financial risks, ESG (environmental, social, governance) and transparency issues.
Multiple ongoing threats will continue into the future While suffering the monetary and reputational damages of disruption to their trade networks, global supply chain leaders are continuing to grapple with the ever-changing conditions of worldwide Covid. Indeed, the report found that a little over half (51 percent) of organizations’ global supply chains have been impacted by the Covid-19 pandemic in the last two years, with almost all of those affected (89
In this era of vulnerable yet highly interconnected supply chains, a paradigm shift is required in how organizations meet the threats to their trade networks. The status quo – manual, survey-driven processes that provide periodic visibility over a portion of the supply chain – can no longer keep pace with the complexity of modern supply chains and their ever-increasing risk vectors. As supplychain driven cyberattacks and a host of other factors increase volatility, corporate leaders
are recognizing that the supply chain security and resilience must be a core business priority. In fact, half of those surveyed (50 percent) believe that it will be their organization’s top business priority in two years’ time, compared to just under two-fifths currently (39 percent). This shift is reflected in the increasing frequency that boards are meeting to discuss supply chain risk, with over three-quarters (78 percent) reporting that their boards confer on this topic at least once every month.
Technological uptake moving slowly While it is positive that global organizations are recognizing the severe nature of the threat, change is taking place at a slow rate. It is true that organizations are focusing upon supply chain risk and operational resilience, but adoption of enabling technology is lagging. Fully addressing supply chain threats must rely upon rapid risk-mitigation technology, leveraging AI and data analytics to discover and respond to risk in real time. Organizations must be able to monitor continuously for changes in risk profile before operations are disrupted. This entails assessing a holistic portfolio of risk areas including finance, cyber, geopolitical, prohibitions and restrictions, operations, and Environment, Social, Governance (ESG). However, according to those polled in the survey, only a third (34 percent) of organizations currently assess their global supply chain on a continuous basis, in spite of the fact that these tools were considered more beneficial than any other kind of solution with 45 percent of leaders ranking them the top three most-beneficial tools for monitoring their global supply chain. The smallest portion of users (16 percent) ranked questionnaires as the most helpful. It’s an unfortunate fact that threats to the supply chain are going nowhere soon, and given the interconnectivity of global trade networks, their impacts will be far reaching. It is incumbent upon both public and private organizations to protect their supply chains as best they can or damage will be felt across the world. D
Jennifer Bisceglie is CEO and founder of Interos the operational resilience company – reinventing how companies manage their supply chains, through a breakthrough SaaS platform that uses artificial intelligence to model the total ecosystem of complex businesses into a living global map, down to sub-tier suppliers. Eliminating months of backward-looking manual spreadsheets, the Interos platform helps the world’s companies achieve operational resilience by avoiding risks and managing potential disruptions. At the same time, businesses can uncover game-changing opportunities that radically change the way they see, learn, and profit from their relationships. www.interos.ai www.interos.ai/resources/global-supply-chain-report/
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Hiperbaric
Industry-leading innovation
By offering extended shelf-life and fresh flavor without the use of preservatives, Hiperbaric’s high-pressure processing systems are revolutionizing the food and beverage industries
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s a global leader in high-pressure processing (HPP), Hiperbaric is changing the landscape of modern food preservation technology. As the company continues to develop preservative-free, sustainable packaging and processing systems for the food and beverage industries, it remains at the cutting-edge of innovation, with the world’s first in-bulk HPP
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system, and major industry partnerships that are set to make high-nutrition, sustainable and long-lasting food available to all. Pioneering the latest technology is part of Hiperbaric’s DNA. The company’s primary research is centered around high-pressure food processing, a groundbreaking new method of keeping food fresher for longer, without compromising on sustainability, or
food transparency. As Roberto Peregrina, Director of Hiperbaric USA, details: “High Pressure Processing (HPP) is a non-thermal food and beverage preservation method that guarantees food safety, and maintains the optimum attributes of fresh products. “It is based on the use of high isostatic pressure transmitted by water. The pressure is transmitted uniformly and instantaneously
throughout the product, achieving an effect equivalent to pasteurization, except without heat.” HPP has a wide range of applications, including beverages, deli meats, plant-based dips and sauces, ready to eat meals, seafood, dairy products, baby food and pet food. “The process was created as an alternative to thermal pasteurization and chemical
preservatives, in order to meet consumer demands for fresh, clean-label foods,” says Roberto. These latest innovations are part of Hiperbaric’s long history of ingenuity and forward-thinking, as Roberto confirms: “Since 1999, we have been an international leader in the design, manufacture and marketing of HPP industrial equipment for food and beverages;
having revolutionized the process in 2002, with the development of the first horizontal HPP machine, we have since made innovations in simplifying installation and operation processes as well.” These technological advances have all culminated in Hiperbaric’s impressive range of HPP products, as Roberto explains: “Hiperbaric industrial high pressure processing units are designed to be the most reliable systems on the market, ranging from the Hiperbaric 55 for small food production to the largest model, Hiperbaric 525, for mass production. We have the widest throughput range of industrial HPP machines commercially available today meeting the requirements of start-ups, small to medium enterprises and large corporations. Each machine can reach up to 6000 bar. “Hiperbaric supplies equipment for HPP processing products in their final packaging, known as In-Pack, and bulk liquids before packaging, known as In-Bulk. In addition, the company supplies custom HPP automated solutions, from a simple HPP line to a fully automated turnkey solution.” As a business, Hiperbaric is acutely aware of the needs of the food and beverage industry, as each innovation and development seeks to streamline customer processes, and add value to the end product. “Today, food and beverage manufacturers across industries are looking for ways to increase their competitive advantage and improve profitability - HPP is there to help them achieve that,” Roberto asserts. “Traditional HPP handling is a batch process involving manual labor, however, with Hiperbaric automation and material handling, processors can optimize HPP production, improve efficiency and promote operator safety. Hiperbaric provides a variety of automation solutions, from processing to palletizing. “We are firmly committed to continuous improvement, employee and customer satisfaction, environmental sustainability and innovation, creating value and sustainable development. Regarding services, Hiperbaric offers customers a full range of maintenance solutions, as well as pre- and -post installation training and a comprehensive catalog of high quality and reliable replacement parts,” he continues. Striving to always be growing and diversifying its offering, Hiperbaric has introduced two new additional lines to its portfolio: “We aim to always have an eye toward new markets, and with that in mind, we developed new high pressure processing technologies in two new sectors. scw-mag.com
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“We have now introduced hot isostatic pressing (HIP) for the aerospace, energy, oil and gas, automotive and medical implant industries, and high pressure hydrogen compression (H2 compression), which is a green energy technology using renewable energies for automotive and other
transportation industries,” discusses Roberto. The latest in Hiperbaric’s long line of game-changing technologies is the Hiperbaric Bulk Machine; as the world’s first In-Bulk HPP machine, this device includes several patentpending innovations, and is the result of a four-year research and development project,
involving Hiperbaric PhDs and a range of expert engineering teams. “Hiperbaric has recently developed the first commercially available In-Bulk HPP equipment for high volume processing of HPP beverages. The equipment, which won European and US manufacturing innovation awards, is
Desmasa FULL AUTOMATION PROCESS At DESMASA, we design and manufacture fully customized integral solutions, to respond to the specific needs that customers do not find in the market. As a reliable partner and thanks to our long-term relationship with Hiperbaric, we can manage all the stages of the automation process. Our flexible, customized solutions are a guarantee of success in the food industry and HPP automation. We are backed by extensive experience as designers, manufacturers and marketers of industrial automation and robotics systems. Our specialized, multidisciplinary team, together with a powerful technological capacity, makes it possible for us to offer customized solution for each client. We have a large background in providing HPP automated internal logistics for all stages of any food industry company. The integration of communication elements in pre-existing process lines and the development of specialized custom lines, in short, the constant search for resources focused on the optimization of times, the increase of productive capacities and the improvement of processes, allow us to offer flexible intralogistics solutions that satisfy the needs expressed by customers. One part of this automation is our flexible intralogistics solutions before and after the HPP process, like carrier transport, pre-feeder and feeder stations, tilting, picking and so on. In our installations we use 6-axis robot arms and artificial vision. Thanks to this and advanced recognition programs, we can automatically classify a wide variety of products into different categories, thus improving cycle times. We design fully customized end-of-line projects, including a wide range of equipment and facilities. Due to automation, we will be able to minimize time and maximize production. We offer complete solutions, fully adaptable to the production line. Palletizing solutions with a single robot, compact palletizing cells for small spaces or large multi-robot systems. We palletize all kinds of products and sizes. They can be fully configured, from the number of robots to compact cells to reduced spaces or large multi-robot systems. The automation of the industrial HPP process allows the reduction of operational costs and the increase of productivity thanks to being able to work without stops. We achieve the best technological solutions thanks to our specialization, innovation and after-sales services.
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FULL AUTOMATION SOLUTIONS
CUSTOMIZABLE
Developed by and for the client, in accordance with their specific specifications, they are fully adapted to their industrial process, whether the complete line is developed from scratch, or whether it is a matter of implanting equipment on an existing line.
TECHNOLOGICALLY CUTTING-EDGE
Both at the internal R & D & i level, as well as commercial standards, after an analysis of technical and economic feasibility, the most suitable components are selected to obtain a cutting-edge, efficient machine with a tight budget.
ADAPTED TO INDUSTRY 4.0
Aimed at optimizing times, increasing production capacities and improving processes, DESMASA manufactures quality machines with customer satisfaction and loyalty in mind.
ENTIRELY DEVELOPED IN DESMASA
From its design, to its set-up and subsequent maintenance, all phases of the manufacturing and implementation process are carried out by specialized personnel from our company: engineering, programming, assembly, installation, training, technical service, etc.
CONDADO DE TREVIÑO, 87 09001 - BURGOS - SPAIN Phone: +34 947 47 09 40 Email: info_web@desmasa.com Web: www.desmasa.com
Hiperbaric
based on a revolutionary concept, through which beverages are processed in bulk prior to bottling, allowing the use of any type of container, regardless of material, design, or size,” reveals Roberto. “This new technology reduces manufacturing steps, simplifying the process and offering high productivity along with low processing costs and energy consumption. Since there is no manual handling, labor costs are reduced by more than 80 percent, energy costs by almost 50 percent, and spare parts and consumable costs by more than 30 percent. “The design of this equipment allows a filling efficiency of 90 percent of the total
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volume - approximately double that of In-Pack technology. The process begins by liquids filling the inlet tank. After pressurization, the HPP beverage fills the outlet tank through sterilized tubes and is bottled in an ultra-clean filling line,” he elaborates. The In-Bulk HPP system makes its debut as part of a major partnership with French juice processor, Hermes Boissons. “They leverage Hiperbaric’s In-Bulk equipment to simplify production while delivering increased output, cost savings, and sustainable value,” states Roberto. “The company uses our technology for the Juste Pressé brand natural fruit and vegetable juices. As a result of HPP, Juste
Pressé launched the world’s first HPP juice in carton packaging, instead of plastic. This demonstrates how our technology has helped customers find a more environmentally friendly packaging solution, that is better aligned with their overall philosophy,” he adds. Hiperbaric’s leadership in the highpressure technology industry has not gone unnoticed, as the Prime Minister of Spain, Pedro Sanchez, recently visited the company’s headquarters in Burgos, to discuss the technologies with Chief Executive Officer, Andrés Hernando. The company has also seen recognition on a global scale, as it steps up operations in America and Asia.
“Hiperbaric has installed more than 300 HPP machines in 50 countries, making us the global leader in HPP technology, with the most reliable and economic machines on the market. Hundreds of companies worldwide use Hiperbaric equipment to process juices and other beverages. “With headquarters in Burgos, Spain, a US office in Miami, and commercial and technical offices in Mexico, Asia and Oceania, Hiperbaric continues to extend its global reach to a range of new customers,” Roberto affirms. None of this success would be possible without Hiperbaric’s team of dedicated experts, as Roberto confirms: “Hiperbaric’s raison d’être is people. We offer opportunities
for professional growth, training, flexible hours and community projects; we also have an extensive training program to improve performance, update knowledge and develop skills. More than half of the company’s current staff began their professional careers with us. “We enjoy promoting talent inside and outside Hiperbaric, which is why we participate in numerous business conferences and manage the business according to clear values of equity, transparency, and equal opportunity.” Constantly seeking to shape the future of industry will no doubt ensure a long and prosperous future for Hiperbaric. Ruminating on the road ahead, Roberto concludes: “Our
company will remain focused on solidifying and innovating within the high pressure technology sector over the next few years. “We will also continue to separate ourselves from the competition through unparalleled after-sales service, and, with a market share of over 60 percent, lead the way toward innovations that make industry more efficient and sustainable.”
Hiperbaric www.hiperbaric.com Products or Services: High-pressure processing equipment and services
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Dora’s Naturals
David Scheingold, Director of Supply Chain
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perishable solutions
As a major distributor of health foods and organic products across the New York metropolitan area, Dora’s Naturals now sees success with its extended high-pressure processing, and thirdparty logistics divisions
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s part of a family of businesses with over 100 years of heritage, Dora’s Naturals (Dora’s) has always recognized the importance of quality, perishable, natural, organic, and specialty foods. The company is known for its family-business feel, and it continually supports a range of healthy-living businesses, from independent brands to household names. Having roots in the dairy industry, the company has grown its distribution, processing and logistics silos. Dedicated to making healthier alternatives available to all, Dora’s Naturals now looks to expand on its offerings and range of services to its customers.
“Originally, we only distributed organic milk under a single brand. We learned very quickly as a distributor that you can’t survive on just one product, so we started expanding our business into other product categories within the natural and organic space,” reveals David Scheingold, Director of Supply Chain at Dora’s Naturals. “Moving into these categories really helped shape Dora’s as it is today. “We became a part of the organic food trend very early on, and over the last 20 years Dora’s has continued to find better-for-you, health-first products for its customers. We often develop new products, and we also carry some of the largest names in healthy food and beverages, products like Harmless Harvest Coconut Water and GT’s Kombucha,” he continues. Healthy-living trends, and demands for food transparency, have seen a rise in popularity over the last few years; as a driving force behind this shift toward more conscious consumption, Dora’s Naturals has seen exponential growth. “People are not just looking for good value, they also want functional benefits with the food and beverages they are consuming. So, whether
the demand is for immunity shots, drinks that have probiotics in them, or non-dairy alternatives for yoghurts, we provide these options for our customers,” says David. “We feel that is the forefront of where the educated consumer is going, and there is no turning back, disruptive innovation in food is only accelerating as consumers are more and more conscious of what they are putting into their bodies. People are no longer interested in sugary sodas and CPG products that can have a detrimental impact on their health, and we are perfectly positioned to deliver the products that meet this new demand.” This rising success is also due to the dedication that Dora’s Naturals has to its customers, as David emphasizes: “Many of our brands are in thousands of locations across the tri-state area. Oftentimes when we start with them they are quite small, but when we believe in the vision of a brand, he will take them on, and support them through their initial growth phase into more mature businesses. “That means not only distributing to all the silos we service, but providing additional services such as in-store merchandising and meeting regularly with our brands to review key data and growth strategy. We have merchandisers going in and packing the product out on shelves, and we provide input
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on how to best grow the brand, so it really becomes a full top-to-bottom partnership. “Today we are in 4000 locations, primarily in the metro New York tri-state area, and we do various silos of business; Whole Foods is a major customer of ours, but we are also in 700 drug stores, all the supermarket chains that are headquartered in the New York region, and about 2000 independent accounts, along with major online retailers,” he elaborates. It is clear that Dora’s Natural’s has fortified strong, mutually-respectful relationships with its brand partners and customers; with a recent surge in supply chain disruption, these connections have been central to Dora’s continued success. “We have very strong relationships with our partners, whether its GT’s Kombucha, Harmless Harvest Coconut Water, or Suja. They understand that despite the supply chain challenges, as long as they keep communicating with us, we can keep the shelves full and have consumers getting the products they want. “I believe that having longstanding relationships with our vendors and brand partners has really led to us being more proactive in the market. We are used to thinking creatively to solve potential supply issues, so that we can meet the needs of our customers,” says David.
We are used to thinking creatively to solve potential supply issues, so that we can meet the needs of our customers
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in
Organic and natural
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Hiperbaric Formed in 1999, Hiperbaric is the global leader and manufacturer of high pressure processing (HPP) equipment. High pressure processing, also known as HPP, is a non-thermal, post-packaging preservation technology that uses cold water and high pressure to enhance food safety, extend shelf-life, and ensure clean-labels in food products, while maintaining its nutritional and organoleptic characteristics. With more than 300 machines in more than 40 countries across five continents, Hiperbaric offers the most reliable and economic machines on the market. The company is recognized for its trust, customer support, teamwork and continuous R&D efforts. Hundreds of companies worldwide use Hiperbaric equipment to process juices and beverages, meat, fish and seafood, fruits and vegetables, dairy and ready-to-eat meals. With headquarters in Burgos, Spain, a U.S. office in Miami, and commercial and technical offices in Mexico, Asia and Oceania, Hiperbaric continues to explore HPP technology with new applications in different industrial sectors. For more information, visit http://www.hiperbaric.com.
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Dora’s Naturals
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This attention to detail is the direct result of Dora Natural’s company culture, as David details: “We’ve grown from a small business into one that has become much more sizeable, but our ethos is that of a small business, meaning we are very high-touch, we are collegial, and we provide a ton of service to our customers. “A lot of distributors our size have very high minimums and very rigid service schedules - they won’t even look at a brand if it doesn’t meet strict criteria. We are the opposite of that. We strive to say ‘yes’ where we see opportunities in the market; we are going to be true partners with the brands that we choose, and we are going to offer them a very high level of service. “In our partnerships, we are really going to take care of our brands and customers; we want to go above and beyond. In this market that is really what separates us from the competition. We are willing to invest in smaller companies despite all of the supply chain and inflationary pressures we’ve come up against, because we strive to maintain that high service level, and that collaborative culture.” Fostering mutual respect on all fronts has helped consolidate Dora’s Naturals operations, and create a positive environment for everyone involved, as David highlights: “You have to look at your employees as your greatest asset, and treat them as such. We are very conscious about having an open-door policy, so that anyone within the company can come to senior management and have an open discussion. “In a post-pandemic world, it is important to utilize your assets to the best of your ability; it makes you more efficient overall. We have changed a number of our operations through continuous communication with staff; whether its cycling our fleet, utilizing dynamic routing software, or leveraging our strong IT department to make sure we have real time information, all of those things help control costs and have better outcomes for our customers.” The outbreak of Covid-19 has also contributed in bringing health concerns to the forefront of popular culture. In response to this, Dora’s Naturals has used its intimate knowledge of the organic foods industry to provide consumers with better-for-you food and drink alternatives. “Working both as a processor and distributor means that we have a real overview of the products lifecycle,” discusses David.
“We see there has been a huge demand for things like juice shots - such as two ounce juices containing ingredients such as ginger, citrus, and turmeric. They have immunity benefits, and people are picking them up more frequently than some of the more shelf-stable chemical derived products. “One of the other things we are seeing include massive increases on the HPP, or high-pressure processing, side of our business. There is a really big demand for natural, minimally processed products in both human and pet food spaces. Whether its juice, hummus or meat for us, or lamb, chicken or beef products for our pets, if there is a clean label people will be more inclined to purchase. This is because HPP doesn’t use preservatives or radiation to extend shelf-life, so it’s a solution for consumers being more conscious of the ingredients that go into their food,” he adds. Dora’s high-pressure processing division runs as a separate business, within the Dora’s Naturals family. “We got involved with HPP because it is a safer and healthier way of extending food and beverage shelf life, and it also happened to support a number of our brands,” says David.
“Brands were having to send products to three or four different locations within the US to get their product manufactured, labeled and HPPed. With us, all those processes are put together and the whole supply chain is simpler. We started with one small HPP machine, and we introduced the largest model available into one of our sites in 2018,” he continues. Now extending its HPP branch, as well as a more established third-party logistics division, Dora’s Naturals is certainly building a bright future for itself as a key player in the organic foods industry. “In three to five years I would like to see us with a larger footprint, embracing more automation and more technology. “We also hope to continue supporting and growing our existing brands, whilst integrating and onboarding new and exciting first-tomarket products that are healthy, organic and better for consumers,” David concludes.
Dora’s Naturals www.dorasnaturals.com Products or services: Distribution, HPP and third-party logistics
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AA Metals
Master of metals
AA Metals has become the go-to for core distribution, procurement and logistics services when it comes to aluminum and stainless steel products, and CEO Dr. Jack Cheng is determined to run his business an industry leader
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CEO Dr. Jack Cheng
ne of North America’s largest master distributors of quality aluminum and stainless steel products, AA Metals, has made some impressive developments to improve its business, and ensure it remains a leader in the supply chain world. Dr. Jack Cheng, Founder, President, and CEO, established AA Metals in 2003, in Lexington, Kentucky. This was only a few years after he had moved to the US as an international student pursuing his second doctoral degree. Ever since, Jack has grown his company tremendously, so much so that over the last seven years, AA Metals has become recognized twice as one of the fastest growing US companies by Inc. magazine. The company now serves over 500 customers across North, Central and South Americas and Europe, with a global supply network in Asia, South America, Europe and the Middle East. “Most of our customers are the metal distributors and service centers, and metal working business in the automotive, transportation, building and construction as well as the packaging industry. We also have some big original equipment manufacturers who purchase in large quantities regularly from us,” Jack expresses. How has he managed to achieve such distinguished success for his company? He shares that respecting suppliers and team members is his trade secret. “Everyone who is part of our network is crucial. The business we sustain with our suppliers and the culture we cultivate in our offices are my top priorities, and caring for both aspects is what has kept our business strong. Although scw-mag.com
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There is currently a massive aluminum shortage in the States, and I feel that the plant will brings us fantastic opportunities, as it is in close proximity to some of our biggest customers scw-mag.com
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the journey to getting here has not been easy, I feel very lucky to have such a great team, and they are what keeps us growing at a rapid pace. Everyone here is highly motivated and dedicated to working hard to achieve our goals. “Another key trait to our success is that we understand the products that we are selling. I spent all my time in school studying aluminum and steel products, which has given me the expertise to ensure that our business is a leader in the metal industry. When we bring all these factors together, I think this is why AA Metals continues to succeed,” Jack shares. Continuing with his earlier mention of suppliers, Jack is delighted to be working in a business where he is exposed to companies and cultures across the world. This has taught him to be agile and accommodating when it comes to disruptions, and to ensure that communication remains a key practice to maintaining long-term relationships. “Every country has its own culture and way of conducting business. This is why open dialogue and discussions are so important. They help us ensure that everyone is on the same page.
“In addition to that, we also have people from different cultures working with us, which is why we have to be conscious of our abilities to communicate well. We seek open-minded people who respect our suppliers to work with us so that any problem we may come across can be solved with collaboration.” Fortunately, with these refined measures to provide excellent service, AA Metals was able to maintain its success during the Covid-19 pandemic. However, Jack does not dismiss the fact that the company fell prey to some of the consequences imposed by the global supply chain disruption. “I think all supply chains felt the hardships of the pandemic, and continue to do so. The truth is, this impact will be with us for some time, and all we can do is continue to work closely with our suppliers and customers. This requires a great deal of dedication and creativity to make sure that where possible, we are also solving problems within our capability until these issues settle down,” shares Jack. The capability to sustain and grow its operations is owed to AA Metal’s two impressive facilities, which are in Turkey and Pennsylvania, US. In July of 2021, the company purchased a metal rolling plant now known as Chance Aluminum in Williamsport, PA in order to conduct business at a more local level. Jack shares how he is looking to recruit 100 employees and reach a revenue of $100 million with the new plant addition. “There is currently a massive aluminum shortage in the States, and I feel that the plant will brings us fantastic opportunities, as it is in close proximity to some of our biggest customers. This will help bring down costs, increase our efficiency, and make us a more dependable supplier and a proud employer in the local community.” Now, as Jack reflects on the trajectory of his business, his biggest goal in the near future is to reach a $1 billion turnover, which he is confident the company will achieve. To do so, there are new developments he is putting in place to keep the company growing. “Growth will always be at the forefront of our plans, and as we’ve discussed, there are plenty of measures in place to facilitate this. Above all, I want to ensure that we have a cohesive and dependable team, who enjoy working with AA Metals, because without them, none of this is possible. With this I feel that any goal we set for ourselves can be achieved.
“Next year, if I get the opportunity to speak with you again, I will be able to share the additional plans that are in store for AA Metals; I’m really excited about them as I feel that they will bring great prosperity for our business,” Jack concludes.
AA Metals www.aametals.com Services: Aluminum and stainless steel products distributor
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J. Knipper and Company
Innovative and
experienced
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. Knipper and Company (Knipper) is on a mission to service the life science, pharmaceuticals, and health care industries with logistics capabilities and state-of-the-art systems, that guarantee customer satisfaction. Now celebrating its 35th anniversary, Supply Chain
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World speaks with the Knipper leadership team to reflect on the company’s past achievements, and the successes yet to come. While Knipper’s origin can be traced back to the late 80s, impressive developments have taken place during the last five years that reaffirms its legacy of leadership in logistics
solutions. “In 2016, Knipper opened a Midwest distribution facility located in Charlestown, Indiana, with 313,000 square feet and over 18,000 pallet positions to further meet the growing needs of our customers. Centrally located, this facility enables us to expedite shipments to any destination point in the US,”
Based in Lakewood, New Jersey, J. Knipper and Company is excited about both the potential of its business’ offerings, and the opportunities they will present for its future begins Chris Dillon, the General Manager of Knipper Third Party Logistics (3PL). In 2017, the company established its custom pharmacy solutions business unit, KnipperRx. The highly nimble, independent specialty pharmacy was designed to serve both the commercial and non-commercial needs of
small, medium, and large pharmaceutical companies to help overcome the complex barriers that often hinder patient access to drugs. It’s diverse programs and offerings are designed to achieve the shortest possible path from initiation of a prescription to delivery of essential therapy.
At the start of 2020, and in a strong financial position, Knipper acquired Eagle Pharmacy, based in Lakeland, Florida. Adding this direct-topatient pharmacy to the Knipper corporate family further increased its ability to help manufacturers overcome obstacles that prevent or delay patients from accessing the therapy they need. scw-mag.com
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Chris went on to describe how in 2021, Knipper expanded the Midwest facility in order to address the growing needs of its customers. “On December 8th, we held a Ribbon Cutting Ceremony to mark the completion of a 150,000 sq. ft. warehouse addition to the existing 330,000 sq. ft facility. The recent expansion adds 12,000 CRT pallet locations, 1600 refrigerated locations, and 150 freezer locations along with Pick to Light technology ensuring order accuracy,” Chris states. “We’re excited about how these new capabilities will support organic growth of current clients as well serving the needs of future ones.” Throughout its tenure, the company has assembled a noteworthy group of offerings for its clients, which Chris elaborates on in greater detail. “Knipper Marketing and Samples
Management (MSM), our marketing support and sample management business unit, is focused on distributing pharmaceutical samples to physicians, which in turn enables them to provide samples to their patients. We’re able to ship samples to every pharmaceutical sales representative or physician’s office overnight, along with complementary marketing pieces.” Chris adds: “The resources of our Knipper 3PL business unit has been serving clients’ third-party logistics needs for a very long time but had never been assembled them under a single name. Over time, clients have increasingly asked us to expand these services, so with the emerging market and new products coming along, the stage was set for us to formalize the services to more efficiently realize marketing opportunities,” Chris says.
Taking a closer look, the service provides storage and distribution of CRT, cold chain, frozen, and DEA III-V products, and is able to assist with full orders to cash, chargebacks, and contract management services for clients. As a result, Knipper 3PL is able to offer safe, scalable, compliant, and cost-effective services and solutions that deliver outstanding performance, value, and results. “With the increase in products coming to market and the need for management of quality logistics in high demand, Knipper 3PL is built to provide a compliant, end-to end solution that is ready and capable to build and execute to clients’ fulfilment, distribution, and logistics requirements,” adds Chris. “The operational model is built to be both flexible and adaptable to meet specific needs of a
OPEX OPEX® AUTOMATED SOLUTIONS FOR PICKING AND SORTING Automating picking and sorting activities allows retailers to optimize fulfillment processes by boosting productivity and reducing opportunity for manual errors thus facilitating faster delivery to the customer resulting in improved customer satisfaction. OPEX® Perfect Pick ® and Sure Sort ® systems are flexible to meet your needs today and scalable to match your needs as your business grows. Designed to fit in a variety of locations, from a small urban warehouse to a large distribution center, or even in the back of your retail store, OPEX solutions provide the speed and accuracy you need to streamline your eCommerce business, from inventory storage and picking to sorting and shipping. OPEX® PERFECT PICK® SYSTEM PROVIDES SCALABLE, COST-EFFECTIVE SOLUTION TO SUPPORT ECOMMERCE FULFILLMENT AT J.KNIPPER & CO. J. Knipper chose Perfect Pick ® HD, a flexible goods-to-person robotic picking system, that uses iBOT® robotic vehicles to bring goods directly to the operator for picking. The OPEX Perfect Pick HD offers dense, secure storage of items in a small footprint, both of which were important to J. Knipper and their clients. The flexibility of the machine allows for easy reconfiguration of totes, to accommodate for varying quantities and sizes of product. By adding an innovative solution like Perfect Pick to their Charlestown, Indiana warehouse, Knipper provides state-of-the-art order fulfillment and exceptional customer service to their clients. To learn more about the OPEX warehouse automation solutions, visit www.warehouseautomation.com
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client’s program requirements as opposed to a ‘one size fits all’ solution.” Emerging manufacturers, brand, brandgeneric drugs, device, and specialty products are among those who will benefit greatly from the end-to-end 3PL services that include, order to cash, chargebacks, and contract management as well as consignment, title, and flash-title models. The noteworthy advantages of Knipper 3PL service over its competition are five-fold, according to the General Manager. “First, Knipper 3PL doesn’t have a set of off-the-shelf, ‘pre-packaged’ services. We understand that each manufacturer’s needs are unique, so
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our programs are tailored to meet specific needs. Second, Our Pick to Light and Perfect Pick systems use technology that provides more efficient and accurate results. Knipper ships over 4.5 million shipments and over one billion units are shipped annually along with an exceptional order accuracy of 99.9984 percent. Third, because time can often be the determining factor in a program’s viability, we’re capable of implementing clients’ programs in as little as 60-to-90 days, depending on the complexity of the program. Fourth, it doesn’t matter if you’re a small emerging manufacturer, or a highvolume large manufacturer, each of our clients
receives the elite customer service they deserve to help their company be successful. Finally, our specialty pharmacy is co-located in the same warehouse alongside our 3PL. This results in a significant reduction in transportation costs for clients utilizing both business units.” One aspect that Knipper is incredibly proud of is its capability to redefine its services over the years, investing heavily in advanced technologies to offer best-in-class systems. This, according to Chris, speaks into the heart of the business. “Knipper boasts leading AI capabilities, DSCSA sterilization capabilities, warehouse management system, whole
processing, and analytics and data that run parallel to our 3PL offering,” he says. Not only is its extensive range a stand-out characteristic, but an additional hallmark feature is the fact that the business prides itself on consistent quality delivery for its clients. “We begin with a personal, consultative approach, partnering with our clients to design effective solutions. Our mission is to work with our clients to create solutions that are strategically designed, faithfully executed, and driven by market insight and data to ensure maximum return on our clients’ investment, and ultimately, to improve people’s lives,” Chris states.
“What we’ve invested in our technology truly sets us apart from our competitors, and you’ll find that with state-of-the-art facilities, coupled with the level to which we train our employees, we’ve got an offering that is the leader in third-party logistics. Our team of highly experienced professionals know what it takes to excel in this industry, enabling us to provide exceptionally effective solutions for manufacturers that truly deliver on performance.” Another key differentiator, as Senior Vice President of Operations, Vic Ricci, expresses, is the advanced technology implemented regularly over many years to help the company
further increase its efficiency. “We provide unique, tailored solution for each and every client. We understand that there are nuances to each business. We review the data and business objectives as to the customer’s experience, and we look to provide a supply chain solution that runs parallel to those business needs.” Vic explains, “We have varying degrees of technology in all our distribution centers. We employ Pick to Light Technology for our direct to practitioner business. We’ve engineered a Perfect Pick solution, that is a goods-toperson technology for high-SKU, high-volume clients. We also utilize RF picking technology whenever appropriate. All of these capabilities are flexible solutions that allow our clients the ability to scale precisely according to their needs.” Vic also shares his perspective on the long-standing company culture at Knipper, noting that the business practices six sigma principles and TQM philosophy, ensuring that every employee is highly empowered, and fully accountable to achieve optimum levels of quality in all Knipper products and services. “For 35 years, the people of Knipper have been our most important asset. We understand that with our dedicated team and its ability to work together as one, we are able to execute the highest levels of quality and service. “Our entire company operates with the values of what we refer to as C.H.A.R.T, which stands for ‘Caring, Honesty, Accountability, Respect and Trust’,” Vic states. “Living these principles is how we all work together as colleagues, performing to the demands of our clients to create the shortest path between patient and therapy.” As Knipper celebrates its 35th anniversary, both Vic and Chris are excited about the future and the potential that lies within their company to serve the ever-expanding needs of the health care industry. “The Knipper culture is to be forward thinking and focused on providing value-driven solutions to our partners for better outcomes to patients. Knipper 3PL will continue to make ongoing investments in resources and technology to deliver the best service results to our clients,” Chris concludes. “Our continuing goal is to maintain Knipper’s 3PL as the gold standard. The place where manufacturers turn for a trusted third-party logistics partner they can depend on.”
J. Knipper and Company https://www.knipper.com/ Services: Logistics solutions
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Mass General Brigham
Mass
success
Always putting its patients first, Mass General Brigham relied on a highly resilient supply chain to help it manage, and overcome, the challenges presented by Covid-19
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Mass General Brigham
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ome to 16 healthcare entities, 6500 physicians and 9100 nurses, Mass General Brigham represents some of New England’s oldest and most prestigious hospitals. Formerly known as Partners HealthCare, the organization was founded by Brigham and Women’s Hospital and Massachusetts General Hospital, two of the nation’s leading academic medical centers, with histories dating back to 1832 and 1811 respectively. Twenty-five years after its opening, in November 2019, Partners HealthCare resolved to change its name to Mass General Brigham, a moniker – it was agreed – that better captures the firm’s sense of pride and spirit of excellence. Today, in addition to its academic medical centers, the company operates toptier specialty hospitals, community hospitals, a rehabilitation network, a health insurance plan, a physician network, a teaching organization and many locations for urgent and community care. “The most enduring thing about Mass General Brigham is our mission,” declares Corporate Director of Supply Chain Management Lisa Scannell. “Predominantly, it’s all about patient care and finding new ways to advance that. From routine check-ups to the most complex cases, we offer comprehensive, full-circle clinical care to our patients, starting and ending at home. “After that, we have amazing leadership that has helped us solidify our place as an organization of teaching, research and discovery. For example, we have over 100 accredited physician residency and fellowship
programs, over 2000 healthcare trainees, and a legacy of pushing the boundaries of knowledge and innovative medicine.” Committed to serving its community, Mass General Brigham has five licensed, and 15 affiliated, community health centers. In 2018, the firm invested $205 million in community benefits, including funding for its licensed health centers, programs responding to needs identified in its community health needs assessments, and its system’s commitment to the Health Safety Net program. “We have diverse community partnerships, which help to support our local residents at Mass General Brigham, and I think this is thanks, at least in part, to the family feel of the business,” Lisa explains. “I think we all feel really connected to our mission and the
values of this organization, and that makes it a wonderful place to work. People care – about each other, about our patients – and as the department for supply chain, we are an integral part of patient care and delivering the right products and services to our caregivers in order for them to perform their jobs effectively.” Never had Lisa and her team’s efforts been more important for Mass General Brigham than in 2020, when supply chains across the world were hit by the myriad difficulties of the Covid-19 pandemic. Following a major Cardinal Health product recall that impacted 9.1 million surgical gowns and 2.5 million custom surgical packs early in the year, Mass General Brigham’s supply chain teams were forced to find new ways to source the much-needed items.
Driving efficiency across the supply chain: Owens & Minor delivers results Now more than ever, all eyes are on the supply chain, and nowhere is supply chain efficiency more important than in healthcare, when having the right material at the right time can make all the difference for patients and clinicians. That’s why Owens & Minor distribution solutions focus on maintaining a resilient and effective supply process. Owens & Minor distribution solutions combine world-class technology and operational excellence with nearly 140 years of experience to deliver medical products to the point of care, providing seamless support and insights to help healthcare systems operate efficiently. No matter the situation, healthcare systems’ top focus remains on patient outcomes. They also need to manage cost and time in order to deliver the best care possible. Owens & Minor recognizes that supply chain management should help achieve these outcomes rather than impede progress. Customer and Owens & Minor teams take a collaborative approach to implement solutions that best align with business needs and capabilities aimed at reducing waste and optimizing the supply chain. In a constantly evolving global industry, Owens & Minor can accommodate clinician and physician preferences and manage all aspects of the supply chain according to customer preferences. Owens & Minor has built strong, collaborative relationships with a diverse range of suppliers who offer a broad selection of leading product brands. This includes its own proprietary brands backed by its Americas-based manufactured PPE. The power of this combination enables greater choice and flexibility, increased control, and supply reliability and visibility. Customers benefit from an extensive portfolio of products offered through a single supply chain point of contact. Owens & Minor provides custom built systems and technology that supports efficient operations and increased visibility and control to customers when and where they need it. With a vast DC network that is within a four-hour drive to over 90 percent of the US population, Owens & Minor stands ready to serve the needs of customers in every scenario. Especially in emergency situations, Owens & Minor is prepared with proactive, customized plans in place designed to enhance response capabilities while eliminating costs and disruptions. As the industry and the world continues to navigate an ever-changing supply landscape, Owens & Minor is proud to serve as a trusted partner for every healthcare customer. No matter the challenge, health systems never stop providing the best possible patient care. Owens & Minor is committed to providing the best possible supply chain expertise to support them.
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“As Covid-19 hit, demand for PPE, testing supplies, ventilators, respiratory supplies and sanitizers outpaced the available supply,” Lisa says. “Supply chain leaders quickly developed a PPE Task Force and for the first time, we needed to source high-demand items internationally instead of from our trusted suppliers. “Failure,” she adds, “was not an option for Supply Chain. We had a responsibility to protect Mass General Brigham staff and patients, so we harnessed our collective talents and mapped out a plan. Executing that plan during the most significant global supply chain disruption was riddled with challenges like vetting hundreds of unknown suppliers, evaluating products, anticipating demand and
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much more. Fortunately, the team pivoted and learned how to do all these things quickly while protecting the interests of the organization.” During the height of the pandemic, Mass General Brigham went from managing 200 to 8000 pallets of pandemic inventory. After being confronted by a number of logistical issues, the supply chain team eventually managed to consolidate the storage of its pandemic supplies into one warehouse, introducing and implementing automated systems to effectively manage this stock. “Our people really rallied to do whatever it took to get the job done,” Lisa remarks. “They eagerly stepped into new roles, looking beyond job titles throughout all phases of Covid-19, and still managed to maintain day-to-day operations.
“Two key things we learned were that our team members are agile and can execute under extreme pressure, and that collaboration and communication are critical to success. For instance, the Data & Analytics Organization team automated our reports and created a dashboard to allow Supply Chain to monitor and manage inventory. The Medical Analytics Group (MAG) assisted with modeling for PPE, such as N95s and isolation gowns, and collaboration with the on-site Materials Management Directors proved vital in successfully providing the necessary supplies to our patients and clinicians.” As Lisa suggests, the supply chain teams at Mass General Brigham worked together to overcome a number of unprecedented
situations during the pandemic, including the establishment of a field hospital and drive-through clinics supporting vaccine distribution. “The field hospital was a really rare challenge,” Lisa reports. “Usually, it can take up to six months to set one up, but we were able to stand it up in a matter of weeks. It just shows how critical a role we played throughout all states of the pandemic, and we are now dealing equally well with the aftermath.” Mass General Brigham’s ability to learn from the pandemic is proving to be one of its best assets of late. Not only has the crisis provided the company with insight into its strengths, but it has also endowed the firm with farreaching guidance for its future. scw-mag.com
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Mass General Brigham “As we have learned during the last two years, pandemic response requires extensive organizational planning, as well as the ability to pivot quickly and act decisively,” Lisa states. “Creativity is also paramount. When traditional ways of doing business stop working, you have to find a new way of doing things. “Clinical integration and communication in the supply chain were essential during
“Looking ahead, for the supply chain of the future, it will be imperative to have enhanced access to real-time clinical and operational data, and to develop tools that enable a more strategic supply chain and support business operations. To that end, during the pandemic, our supply chain teams collaborated with other Mass General Brigham departments to automate dashboards that allowed us to monitor and manage inventory, perform modeling, and forecast demand for critical PPE, such as N95s and 3M isolation gowns.” 3M focuses on providing better care through patient-centered science. From wound and skin care solutions to BSI and SSI risk reduction, our team is ready to partner with you to help transform outcomes. Recognizing that increasing value and continuously improving quality are essential to maintaining excellence, Mass General Brigham is already targeting areas of focus for the future. At the heart of its strategy for the next five years, the company is determined to manage its supply chain technology roadmap to include modelling and predictive analytics tools, create more long-term partnerships with distributors and manufacturers, increase transparency, revise its approach to sourcing, better manage risk, and ensure preparedness for future disruptions. “In the post-pandemic world, disruption and change are the new reality for supply chain professionals,” Lisa argues. “Resiliency planning is vital when thinking about the future. Resiliency has always been important to us, but now it is our top goal, and we will improve in that area by collaborating with our supplier base to achieve our goals, mitigate risk, and expose upstream vulnerabilities in the supply chain.” Naturally, the digital nature of our modern world means that enablers like digital technology infrastructure, data, and analytics, will all play a role in the future of Mass General Brigham’s supply chain. Back in 2019, the company began to actively build in Robotic Process Automation across numerous departments, and this reliance on technology is here to stay. “Our bots are not only built to perform mundane, repetitive tasks that free up team members for more value-added functions, but they also help with solving all
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the Covid-19 crisis. As I’ve mentioned, products we typically used, prior to Covid-19, were not available in the quantities required to meet our increased demand. As a result, we relied on clinicians working with our supply chain teams to evaluate product options, clinical effectiveness and quality. Luckily, we learned that our supply chain professionals are problem solvers and will not stop until they find a solution.
Staying aligned to the company’s corporate strategy, Mass General Brigham’s supply chain team has proved its worth over the last 18 months, whilst remaining open to the ways in which it can become even better. Unsurprisingly, Lisa is confident that, by continuing in this manner, the group can remain instrumental in Mass General Brigham’s success for years to come. “I think the name of the game is to evolve,” Lisa asserts. “We want to create a stronger supply chain by investing in the systems we use and really leveraging the tools and technology we have, or that we are building towards. “Like I mentioned earlier, a key part of our plan will be increasing resiliency - how we react to a disruption, how agile we can be, and the contingency plans we have in place. Ultimately,” Lisa adds, “we want to invest in our people. The people side of the business is paramount to the success of the organization. Our people are a true reflection of our mission and values. Their diversity of ideas, backgrounds and expertise contributes, unceasingly, to our culture.” manner of central supply chain tasks that benefit the entire system,” Lisa reveals. “We currently have four of these machines live to date and there are two more in development. One of the new bots will utilize OCR technology by reading in recall
notices, running utilization from our ERP system and notifying affected departments. The other bot will support us in processing PO confirmations by notifying requesters of backorders, as well as updating pricing on our PO and item master where applicable.”
Mass General Brigham www.massgeneralbrigham.org Products or Services: Healthcare provider
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Kruger Inc.
Working with ingenuity
Kruger Inc. (Kruger) is a major Canadian producer of publication papers, tissue products, containerboard and packaging made from recycled fibres, renewable energy, cellulosic biomaterials, and wines and spirits. Also a North American leader in paper and paperboard recycling, the company sees renewed success with investment in the latest robotics technology, and a brand-new streamlined approach
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Erin Geldard, Vice President of Sales Administration at Kruger Inc.
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nown for its dedication to customer service and environmentally conscious practice, Kruger has been transforming renewable materials into everyday essentials for four generations. The company’s latest innovations seek to highlight Kruger’s dedication to ingenuity and entrepreneurship, through a company-wide restructuring that emphasizes excellence every step of the way. Using new centralized processes, an extended team of experienced professionals, and investments in the latest robotics, Kruger stays at the cutting-edge of the logistics and manufacturing sectors. Behind the wheel of this transformation is Erin Geldard, Vice President of Sales Administration at Kruger Inc. “Kruger centers excellence in everything that it does, and that’s really what drew me to the company,” Erin affirms. “I joined Kruger three years ago. My team and I take care of customer service, production planning, sales accounting, and a lot of business-led IT initiatives as well as logistics, warehousing and the procurement of transportation,” she details. Just over three years ago, Kruger Inc. began restructuring its order-to-cash function, in the hopes of offering an even higher standard of customer service. Erin continues to be integral in helping Kruger realize the full potential of its new beginning, as she explains: “Kruger were putting in place a shared service between a few of their divisions, and they needed someone to help with that transformation. I was tasked with building the team, and putting the shared operation in place, according to the high levels of service that Kruger was already known for. “We were trying to move the department in a direction that would make it a more customer-orientated service. We wanted scw-mag.com
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to be more analytical, in order to provide a much higher level of service, whilst keeping the team relatively tight-knit. It’s been a transformational shift for the company, moving from more of a tactical model to a business expertise unit.” As the company continued to grow, so did its dedicated team of professionals. “When making a transformation like that it’s really important to hire the right people; retaining the best staff for the job, and making sure people are really focused on the right skills, has always been important to me. I always say to my team, we have our people, and that means we have the foundation of Kruger,” says Erin. The rest of the restructuring followed a concise and effective three-step plan,
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as Erin reveals: “The next important step was processes; we mapped out all of our processes and figured out exactly what we were doing, before trying to streamline the entire operation. Once we had done that successfully, we then added robotics in order to automate certain steps. The last thing we did was develop our tools; things like metrics and key performance indicators, which we could follow up and put in place.” Stepping up the efficiency of its operations, alongside strategic partnerships with transport and logistics suppliers, has helped Kruger continue operating confidently throughout the pandemic. “This transformation really helped Kruger survive the effects of Covid-19. The fact that we
started the restructuring when we did, hired a lot of key people, and streamlined our processes early on, really made the company a lot stronger when things were uncertain,” Erin confirms. The company has also made effective use of automation technology, as Erin discusses: “The Robotic Process Automation (RPA) adds value to our system. All we had to do was optimize and detail the new process, then we had the support of a consulting firm and the internal IT team, who would create the script and ensure system integration. “The robot now covers a lot of our data entry, which is amazing when you have repetitive tasks and high-volume clerical work. We have removed over 20 hours a week of clerical activities, and we also have other projects in the pipeline. We are expecting to remove about 100 hours of clerical work a week, and our goal in doing that is not to reduce workforce, but to ensure that our people can focus on value-added activities and are happy at work.” With the help of Erin and its expansive team of experts, Kruger Inc. is in a strong position to navigate new challenges and opportunities in 2022. As Erin concludes: “We can all agree that supply chain is going to continue to be a challenge in 2022. In a regular year we are dealing with weather conditions, hurricanes, tornados, ice, and storms, but now we have the added complications brought on by Covid, including port congestions, capacity with truckers and border closures.
“The next year is looking very bright for Kruger, but it is still going to involve a lot of risk mitigation, and ensuring capacity, so that is going to be our focus. You have to be really proactive right now, and try to anticipate as much as you can, because even when you have years of industry experience like I do, new challenges will continue to crop up. It’s what makes our work so exciting, but it does mean we have to be proactive every step of the way.”
Kruger Inc. https://www.kruger.com/ Products or Services: Recycled material processing
Ernst & Young When the landscape changes, businesses should too. From revolutionary technologies to evolving consumer expectations, advanced manufacturing organizations face a host of new risks — and just as many opportunities — to address now. To deliver on that promise and scale their business for tomorrow, organizations should seize the upside of digital to reinvent the supply chain, tap into the connected ecosystem to create long-term value and embrace innovative business models to improve operational efficiency. At EY, we’re proud to help organizations unlock their full potential, fast-track their manufacturing productivity and set a clear roadmap for smarter and more sustainable manufacturing through digital transformation, value creation and digitization.
© 2021 Ernst & Young LLP. All Rights Reserved. ED None. 3936804
How can digital transform the business of adventure? See how EY digital solutions can help you thrive in the Transformative Age. ey.com/ca
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George Washington University Hospital
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Presidential care
The George Washington University Hospital, a busy academic medical center, relies on a strong, seasoned and deeply caring supply chain team to preserve its tradition of quality
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George Washington University Hospital
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When I look back on what we have been through over the last two years, and how we have come together for the community, I am so proud of what we have accomplished
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inutes from Washington DC’s tourist sites and government headquarters, The George Washington University Hospital (GW Hospital) serves a diverse group of patients - from area residents to visiting dignitaries and heads of state. Built on a century-long reputation for quality, and benefitting from advanced medical equipment and technology, the hospital has earned its community’s trust and gained recognition as the region’s first choice for complex medical care. Like all medical facilities, GW Hospital relies heavily upon its supply chain in order for it to continue delivering consistent, quality, life-saving care. The facility’s ongoing effectiveness is testament to its strength in this area and to the supply chain team it employs. Heading up this group is Nikki Colletti, an inspirational leader with more than 25 years’ industry experience and a Master’s Degree in Health Services Administration from George Washington University. “As Director of Supply Chain Operations, I oversee procurement, purchasing, sourcing, contracting, distribution, receiving, finance management, the copy center, and mail services,” Nikki explains. “I’ve actually been with GW Hospital for 28 years now, starting out in the emergency department and working my way up through interventional radiology, Cath Lab, laboratory services, and purchasing before ending up in my current role around 17 years ago.” Today, in 2021, Nikki leads a well-knit team of 25 experienced professionals who work closely and seamlessly together thanks to a culture of loyalty and trust. According to Nikki, an emphasis on relationship building, both externally and internally, has always been paramount. “Our purchasing team here has an average tenure of 20 years, so we have all been together a really long time,” Nikki reveals. “Even when people leave, they tend to find their way back to us, and it means we have been able to spend a great deal of time building relationships in-house and with our vendors.”
“We have incredibly strong relationships with our vendors,” echoes Purchasing Manager Rosslyn Fanning. “We have their personal phone numbers and we know that, if we have a crisis at any given time, we can reach out to our vendors and they will do everything in their power to assist.” Even for supply chain veterans like Nikki and Rosslyn, the last 18-to-24 months have been incredibly taxing due to the difficulties presented by Covid-19. However, reflecting on the obstacles thrown up by the pandemic, Nikki is proud of how her team reacted and rose to the challenge. “Looking back on the pandemic, I think we did really well to maintain our high level of service and come out of it in the way we have,” Nikki declares. “Thanks to our relationships with prime distributors, our response was pretty incredible. Partners reached out to us straight away to see how they could help and we were able to get supplies in very quickly, which meant we could immediately start building an inventory. “In general, we are quite short on storage capacity at GW Hospital so we had to rely on our partnership with the university to give us extra storage space,” she adds. “As we continue to expand, we have recently taken on a contract with a local warehouse through
Nikki Colletti
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George Washington University Hospital one of our partners. It’s been vital for us to make use of storage solutions experts in order to stay on top of our inventory and ensure we have the necessary items available for quality patient care at all times.” To make the most of its relatively small footprint, GW Hospital employs a carousel system that can hold and locate around 75 percent of the facility’s inventory. Operating in a similar manner to a dry cleaner conveyor system, the carousel can - on receiving information from a coordinator - pick and present them with any items for up to four units at a time. “That piece of inventory equipment has been increasing our overall efficiency for many years now,” Nikki states. “Other technologies
proved very useful during the pandemic too, including package tracking, which allows us to improve the efficiencies behind deliverable products. On the back of these systems, we are now looking to introduce real-time asset tracking information, which we hope will be in place by early to mid 2022.” While GW Hospital’s supply chain team has worked tirelessly over the course of the last two years to help maintain the facility’s high level of performance, Nikki has been overwhelmed by the support her team, has been afforded by the local communities, regional and university communities. “Across the board - from Leadership, through the university community, and out to our corporate peers - the support has
LogiQuip LogiQuip is a proud supplier of medical storage solutions to George Washington University Hospital. For nearly 30 years LogiQuip has been providing a unique mix of quality products and services exclusively to the healthcare industry. Leveraging innovative products, lean principles, and best practices, our experienced Sales Representatives work with you to assess your needs and recommend the best solutions to ensure healthcare professionals have the supplies they need when they need them. With George Washington University Hospital, we installed ParWire® Basket Shelving to increase storage capacity, allowing for future growth. Further efficiency can be achieved by adding our patented Intelli-Flip™ System to LogiQuip Wire Shelving. This innovation replaces the traditional twobin system and takes our patented Kanban Divider to the next level. Simple and responsive, Intelli-Flip allows you to better track and replace inventory through an intuitive dashboard. To learn more, go to Intelli-Flip.com.
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been incredible,” she affirms. “As a member of Universal Health Services, which is an independent delivery network, we were kept abreast of what was going on across the nation and able to share knowledge and resources when needed. The ability to leverage those types of resources was pretty powerful and we enjoyed similar perks more locally, where we are part of a regional coalition. “Our largest suppliers, in particular, have been a huge source of support,” Nikki continues. “Throughout the crisis, we communicated with them every day, Monday to Friday, to go over orders and areas that could potentially be a problem, just to make sure we were ahead of the curve. Honestly, we couldn’t have done it without them.” Looking back on what has, understandably, been a tumultuous two years for GW Hospital’s supply chain team, Nikki is able to highlight a number of valuable areas in which the group has thrived. Atop of this list? Teamwork. “I have always been aware of it, but after the pandemic I can truly appreciate the importance of being part of a strong team,” Nikki asserts. “Similarly, I have always thought I was a good leader, but the crisis has helped me become more aware of the fact that, to be a great leader, you have to appreciate and respect teamwork. By this I mean you have to learn when to lead and when to step back. You have to be flexible enough to take on different roles and understand that you and your team are all in it together.” No matter what GW Hospital’s supply chain team has encountered during the Covid-19 pandemic, the group has stayed true to its mission of putting patients first. The emotion is clear in Nikki’s voice as she reflects on the vital nature of her team’s work, and the people that spare no effort in making sure that it is done right. “When I look back on what we have been through over the last two years, and how we have come together for the community, I am so proud of what we have accomplished,” she proclaims. “One of the biggest takeaways is the fact that we all have the ability to save lives and heal people no matter what role we serve. Whether you are in a hospital or not, if you are passionate and kind, then we can get through the toughest times together.” In the next year or so, Nikki plans to modify and modernize her team’s job descriptions, as well as adding the aforementioned tracking and forecasting technology, and introducing a more centralized warehouse facility. Though
the longer-term future is more difficult to predict, the focus of GW Hospital and its supply chain team will remain the same – to continue caring for patients and healing the community. “Everything we do at GW Hospital comes about from looking at problems and potential improvements through the lens of the patient,” Nikki says. “Our whole team feels this way and I am so proud to be a part of this group because it really feels like a family. I am truly grateful for the support we have had from HR and our leadership team in the last two years, and now I believe we can focus on growth.
“GW Hospital,” she concludes, “brings our community together and it feels like home to so many of us that work here. From the supply chain end, we will continue to ensure our physicians and our clinicians have the right materials available to them for the treatment of patients, and as a group and a community, I just hope we can keep caring about each other as people.”
George Washington University Hospital www.GWhospital.com Products or Services: Hospital
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Scientific Laboratory Supplies
The science of service
Celebrating its 30th anniversary in 2021, Scientific Laboratory Supplies has grown to become the UK’s largest independent supplier of laboratory equipment, chemicals and consumables
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perating in an industry historically dominated by a handful of major global players, Scientific Laboratory Supplies (SLS) has become successful by focusing on the things that make it different – namely, flexibility and excellent customer service. Managing Director Ian Roulstone explains more: “A couple of our corporate competitors might be larger, but they are much more process-driven than us,” he says. “Due to our agile business model, we can be much more flexible and customer-oriented than our rivals. We know our customers, we deal in real, personal relationships, and that helps us to understand their requirements. Whereas bigger businesses take a bit of a ‘one-size-fitsall’ approach, we go out of our way to adapt
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for our clients and that is why SLS has become so valuable to so many people.” Since it began trading in 1991, SLS has become renowned for its approach to sourcing and supplying the highest quality, best value products and brands on the market. From pipettes and petri dishes to the latest in laboratory instrumentation, the company has always prided itself on providing precisely what customers need, when they need it. In addition to their own consumable and chemical ranges, SLS partners with a huge range of leading industry names, including Sigma-Aldrich, Becton Dickinson, Eppendorf, Kimberly-Clark, Thermo-Scientific, 3M, Merck, and Corning, allowing it to confidently carry out even the most specific and demanding customer requirements.
“Over the last 18 months, considering all the market conditions brought on by Brexit and the pandemic, we have had to adapt quickly to the challenges,” Ian states. “It has involved winning new agreements and supporting different customers with things like PPE, which, incidentally, we have always supplied to the UK market. Demand in that area just went through the roof in 2020, leading to a wide array of ongoing supplier contracts with firsttime SLS clients. “We have also worked very closely with the Department of Health and Social Care (DHSC) over the last year or two,” Ian continues. “Covid-19 meant the department’s demand for product increased, and so did the complexity of the items in question. From clinical supplies, equipment and consumables to PPE and
storage freezers for the vaccination program, we have been incredibly active and highly successful in our work.” As Ian suggests, in December 2020, SLS joined forces with leading international life sciences company Eppendorf to develop a 3-phase delivery schedule to complete delivery of the ultra-low temperature freezers required for the UK’s supply of Covid-19 vaccines. Having been awarded with a contract from the DHSC to equip two central sites and 56 regional hubs with vital laboratory equipment for the vaccine’s safe storage, SLS worked to ensure that free-standing ULT freezers were in place and ready-to-use as soon as the vaccine became available. SLS also helped the NHS sites to create storage and ULT protocols and simulate vaccine packed scenarios with engineers temperature mapping the units to validate each unit in situ. As well as coordinating the delivery, installation and testing of the freezers, SLS supplied PPE to each site, allowing the entire rollout to be completed in a matter of weeks. “This was an extremely ambitious and challenging project as we didn’t know when a vaccine might be approved, or what its storage requirements might be,” Sales Director Bob Mclaughlin points out. “Open communication and adaptability were essential as we worked side-by-side with Eppendorf to develop a strategy that would allow us to deliver their large, heavy, ULT freezers to almost 60 sites at very short notice. Looking back, we are very proud of what we achieved, providing everything on time and on budget to help in the UK’s fight against SARS-CoV-2.” With thousands of customers on its books, SLS is used to servicing highly individualized demands and specific expectations on each and every one of its projects. One of the company’s longest-standing customers, for instance, is a contract testing facility whose relationship with SLS depends on the firm’s ability to deliver a variety of ‘process critical products’. “Process critical products are items that, if not delivered, can bring a business to a halt,” Ian reports. “This particular contract testing customer came to us several years ago and asked if we could guarantee availability of around 200 different products. Not only that, but they also wanted to be able to order and receive products on the same day, which, given that they are several hundred miles away from our distribution hub, is not a very easy task. However, by ringfencing a large volume of product to guarantee availability for this company’s process critical items, and then
placing those items in a warehouse close to the client, we created the ability to call that product off on a daily basis. If the customer in question placed an order with us on the morning of any given day, they could receive it by the afternoon.”
Similarly, SLS’s ability to find new ways of serving its customers’ increasingly complex requests has proved invaluable throughout both the Covid-19 pandemic and the fallout of Brexit. As well as arranging temporary storage for hundreds of pharmaceutical freezers scw-mag.com
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integral to the fight against the virus that SLS were contracted to supply, the firm allayed fears about a lack of continuity after the UK left the EU by offering several clients the opportunity to analyze their product purchase profiles and identify any potential risks before supply issues occurred. “It meant that our customers could see if a product was coming in from continental Europe, and if so, we could install contingency plans for alternative items, or offer forward buying options,” Ian reveals. “It’s yet another example of rolling with the times and growing with the circumstances with which we have been presented.” Growing consistently since 1991, SLS has enjoyed accelerated progress during the last ten to 15 years. Over the course of the last decade, the company has become ISO 14001 certified, doubled the size of its warehouse in Nottingham (enabling the firm to hold more stock and serve more customers) and firmly established itself as a supplier of choice for countless scientists and scientific institutions across the UK. While most of the company’s growth has been organic, SLS has also
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expanded its presence through acquisition. “Around 2016, we purchased a business in Northern Ireland and have integrated that into SLS, meaning we now have a direct footprint on the isle of Ireland,” Ian remarks. “That was a big step forward for us, and, in the same year, we joined forces with French firm Dominic Dutscher to help us better serve customers across Europe. “Most recently, in 2019, we acquired a company called Wolf Laboratories, which is based in Pocklington, Yorkshire. Again, that has added a lot to SLS Group, including more bench-top equipment and a successful web offering, which complements us very nicely. 2019 was a busy year as we also opened our first office in Africa with SLS East Africa opening its doors in Nairobi, Kenya.” In the next few months, SLS will be going live with an international website speciallydesigned for non-UK customers, which will include translation services. The site’s launch is set to round off a special year for SLS – the company’s 30th anniversary. “I was at SLS for our 21st anniversary and we marked that in style at the time with a big
party, inviting lots of suppliers and customers to celebrate with our staff,” Ian notes. “Of course, we would absolutely love to do that again to celebrate our 30th, but with Covid-19 still a presence in our daily lives, it is simply not possible at the moment. We will still be marking this key milestone in our company’s history, but this time it will be much more reserved. For instance, alongside a small internal event, the front of our new catalogue has a 30th birthday celebration element to it and we have had a variety of promotional content sent out with a similar theme. “Thirty is a big number for any business,” Ian affirms. “It is certainly a very proud moment, so it would wrong not to mark it in one way or another. The most important thing though is to do it in context and in keeping with the strange times in which we are living.” With 2022 already looming on the horizon, attentions for many businesses are turning to the year ahead. However, as an SLS veteran and someone deeply familiar with the ways and workings of the industry, Ian’s take on the future of the company remains the same as always.
Astell Scientific
Established in 1884, Astell Scientific is a leading cross-sector manufacturer and supplier of laboratory, pharmaceutical and hospital autoclaves/ sterilizers, steam generators and Effluent Decontamination Systems (EDS), with UK-wide calibration and validation services. Astell products can be found in use in over 100 countries around the world. For more information visit astell.com.
“We will continue doing more of the same,” he declares. “Consistency has been important to our success up to this point and I expect that to remain true going forward. We might not be a global player in our market, but we are efficiently positioned as the largest independent laboratory supplier available to clients in the UK and Ireland. The key now is to keep growing organically, taking opportunities to develop the business through acquisition when they arrive. That’s something that might occur over the next three to five years, but essentially, we will keep doing what we have done best for 30 years now – staying flexible and retaining our focus on people. “Two years ago, we set ourselves a five-year target for scaling-up the business organically. Today, we are already two years ahead of that target and we believe we can achieve our goal in three years, rather than five. We’re ahead of the curve right now,” Ian says in summary. “If we can keep that trajectory up, then the future of SLS is going to be very bright indeed.”
Scientific Laboratory Supplies www.scientificlabs.co.uk Products or Services: Laboratory equipment, chemicals and consumables
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Rush University Medical Center
Life-saving supply
Having played a vital role in managing the Covid-19 pandemic, Rush University Medical Center continues striving for unparalleled clinical excellence through further integration and streamlining
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Jeremy Strong, VP of Supply Chain scw-mag.com
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Rush University Medical Center
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n academic medical center since 1837, Rush University Medical Center (Rush) is a core component of the Rush University Medical Center System for Health, which is made up of four hospitals and clinics across Chicago’s suburbia. Known for clinical quality and patient experience, Rush University Medical Center treated 20 percent of Illinois’ ventilated Covid-19 in-patients in 2020, and has been instrumental in this year’s vaccine distribution effort. Today, the hospital continues using outcome data to consolidate its life-saving supply chain management system, and provide the most efficient medical care possible. In March of 2020, Rush was faced with the global outbreak of Coronavirus; seeking to help as many patients as possible, the hospital used its industry-leading facilities to accommodate patients from all across Illinois. Thanks to its existing infrastructure, the hospital was able to fare well with the increased demand; as Jeremy Strong, Vice
President of Supply Chain, confirms: “Rush has done well. Our emergency department has been a huge asset, it has an ambulance bay that we can convert into a decontamination zone, lobbies that turn into intensive care units, and all the provisions necessary to make up isolation units, which we did pretty aggressively. “We had all the infrastructure built in, including an emergency supply chain, so we handled it all pretty well. We were even taking transfers, because we had the facilities, and felt a sense of responsibility to take on as many patients as possible,” he adds. As the effects of the pandemic become less urgent, Rush is in a strong position to accommodate a post-Covid-19 world. “The Delta variant hit a lot harder in other parts of the country, so the last few months have been manageable in comparison to what we were used to in 2020. At this point, we are dealing with our Covid patients, and vaccinations, whilst also handling our regular practice in the hospital; there are designated areas for
Covid-related issues, which has helped make it more manageable,” Jeremy affirms. The pressures of a global pandemic revealed the absolute importance of medical manufacturers and suppliers. As Jeremy explains: “Supply chain is a big part of what we do. In order to keep on top of it, we have weekly meetings with a lot of our primary suppliers, as well as our distribution partners. In these meetings we look at the existing data, and review any potential, up-coming shortages with them. “These meetings are for discussing any issues that we might be seeing on the horizon, so that we can start building substitution plans and other arrangements. We also work in this capacity with our clinical team, in order to smooth out the utilization of certain items; some of the products we used now have alternatives, which makes things easier, but it also means we have to communicate with the clinical team about when to use those substitutes.”
BD BD is one of the largest global medical technology companies in the world and is advancing the world of healthTM by improving medical discovery, diagnostics and the delivery of care. The company develops innovative technology, services and solutions that help advance both clinical therapy for patients and clinical processes for health care providers. BD and its 70,000 employees have a passion and commitment to help improve patient outcomes, improve the safety and efficiency of clinicians’ care delivery process, enable laboratory scientists to accurately detect disease and advance researchers’ capabilities to develop the next generation of diagnostics and therapeutics. BD has a presence in virtually every country and partners with organizations around the world to address some of the most challenging global health issues. BD helps customers enhance outcomes, lower costs, increase efficiencies, improve safety, and expand access to health care. https://www.bd.com/SCW
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“
Supply chain is a big part of what we do. In order to keep on top of it, we have weekly meetings with a lot of our primary suppliers, as well as our distribution partners
“
Ongoing communication between its clinical and logistical departments helped steady Rush in the midst of uncertainty, as Jeremy reveals: “Our supply chain team works really well with our clinical team. They identify the need for substitutions ahead of time, we are made aware of it, and can ensure the existing product goes exactly where it needs to go. “We aim to make our supplies go as far as possible, as efficiently as possible. We know which items are critical, and which are provisional, that’s how we try to stay ahead of it. We are connected by ongoing communication between our manufacturers and clinicians.” Using data technology, Rush’s supply chain team has continued to hone these strategies, and make them more accurate. “Over the past couple of years, we have invested heavily in technology that matches the clinical work flow of Rush,” states Jeremy. “On a nursing unit, for example, they use a lot of supplies as and when they need them; in order to keep better track of our stock, we have tried to develop an inventory strategy that will highlight when the pile is running low, so we can re-stock.
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Rush University Medical Center
“We wanted to use a more weighted system because we felt it would be best if the doctors and nurses didn’t have to press any buttons, or do anything extra, in order to keep track of the supplies. They don’t have to do anything other than take supplies when they need them, and we still know what is in there. Using trends from this data, we can set up automatic reordering. “This way, medical professionals spend a lot less time worrying about or looking for stock, because they know exactly where the equipment is kept, and how much of it we have. In the meantime, we are monitoring supply levels, and keeping an eye on any changes that might be needed,” he elaborates. Unsurprisingly, these provisions helped cut through the chaos of the early pandemic, and kept operations running smoothly. “It’s really helped us during the Covid-19 outbreak; especially with syringes and basic things like that,” Jeremy asserts. “We can look at our system and know what we have, and where it’s going, we can also assign priority to items that are running low. “Using data this way means we can feed the body of information we already have, and make better decisions on proper inventory strategy. In some of the higher end implants we use bar-coding, which we have now set up with our clinical team, so that when they are documenting all they have to do is scan the items and it automatically adds to the system,” he continues.
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Having successfully emerged from the height of the pandemic, Rush University Medical Center takes what it has learned and continues to invest in supply chain and data analytics. “In 2022, we will be really focused on tightening our controls and contracting around purchase services. “Because we have grown pretty quickly, it’s important to look back and streamline our operation. We are partnering with human resources and marketing to really have a better, tighter contracting process in place,” says Jeremy. With 183 years’ worth of experience in the medical field, Rush aims to continue its long and storied history by investing in the ambulatory sector, and consolidating its distribution model. “We plan on handling all of our distribution internally, and we hope that we can leverage our technology to create a robust ambulatory strategy within the supply chain. We also want to keep our stock easily accessible, clean and standardized,” Jeremy summarizes. “Ultimately, we aim to be resilient in everything that we do. We want to develop different kinds of substitutions, and improve our ability to mitigate our own risks, should another unprecedented medical emergency occur,” he concludes.
Rush University Medical Center https://www.rush.edu/ Products or Services: Hospital
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Troy UK
Troy story Working in close partnership with market-leading manufacturers and specialist suppliers, Troy UK is building a better future for independent distributors of industrial supplies
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champion of independent distributors, Troy UK is providing a competitive advantage to companies throughout the industrial supplies sector. Founded by four cutting tool specialists in 1986, the company
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was launched when the group discovered that, by pooling their buying resources, all members could receive better prices. “After years of success, our founders started looking towards retirement in the early 2000s. They eventually decided to sell Troy on to
someone who would further its legacy and take the company forward, while keeping the existing business model intact. That person,” explains Sales Director Richard Pymm, “was Paul Kilbride, who bought the business in 2010 and is now our CEO.”
After assembling a team of experienced industry professionals, Paul immediately set about modernizing the business, with a focus on the value-added services Troy could offer. By 2018, thanks in part to its dynamic, forwardthinking approach, the firm had acquired one
of its main rivals, THS Tools, taking Troy’s membership base from 200 to 300 members. “Ultimately, our members are at the center of everything we do here at Troy,” Richard asserts. “Put simply, the membership base itself is made up of businesses that are great at sales, but very
time-poor. Part of our vision, therefore, is to act as a support mechanism for these independents for the things they may find challenging, like marketing, IT and inventory management, whilst also providing them with access to over 400 suppliers of industrial tools and equipment.”
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Troy UK
A long way advanced from its humble beginnings, today, in 2021, Troy turns over close to £250 million and works with major brands like Bosch, Hikoki, Kärcher, Makita and Stanley. Though it remains rooted in the industrial sector, the company is also far more diversified than it once was, boasting a strong presence in PPE, power tools, fixings and fastenings, and cutting tools. “We are often described as a ‘buying group’, but really, the term ‘selling group’ would be much more apt,” Richard states. “We encourage, help, promote and offer opportunities for our members to sell. “Acting as a conduit between supply chain and member, we have built a network that strives to offer the same services, conditions and products to our members as their national competition. Interestingly though, these suppliers all do it with a twist, and that twist is that they are local – they
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understand the local market, they understand the technical constraints their customers are working with, and they offer the right tool and advice as a solution. “Despite everything you read about the power of the internet, people still buy from people, and there is a huge swing to companies wanting to support their local suppliers. It happened during the pandemic and it’s now really relevant postpandemic as we get back to normal.” As Richard suggests, Troy, like most of its peers in the business world, did not escape the impact of Covid-19. However, the company was quick to rise to the challenge, working together with its members and suppliers to increase the
what lay ahead,” says Purchasing Director Jim Chadwick. “Fortunately, the group rallied round and we had an extremely successful year, working closely with members and suppliers, negotiating on things like extended credit terms to enable our members to continue trading during that difficult period. “We have got really strong relationships with lots of our suppliers, as well as a strategic supplier campaign, which means we work with our suppliers to ensure their products and ranges receive a strong focus within the group,” he continues. “In terms of being able to access product over a tough year for the supply chain, we worked very closely with these suppliers to
chances of success for everyone involved with the firm. “Like the rest of the world, in March 2020, we had a moment’s pause, took a deep breath, and asked ourselves how we could prepare for
create bespoke product ranges, rather than relying on stock supplies, which, understandably have fluctuated. “The goal really has been to ensure that, in the event members can’t get products they would
normally purchase, we have alternative products available. Using our connections with suppliers to understand the markets our members are in and the relevant product developments, we have worked very hard to make sure everyone around us can thrive.” One of the key learnings from the Covid-19 pandemic for businesses across the world has been the importance of technology in helping a company adapt and evolve under changing circumstances. Driven by a recognition that the online market was always going to be invaluable in light of the global restrictions brought on by the pandemic, Troy has continued to invest in the latest technologies over the last 18 months in order to help its members remain operational and effective. “In some ways, we were quite lucky in 2020 in that a lot of our businesses were allowed to
remain open due to the nature of their work and their involvement with PPE,” reports Marketing Manager Keira Park. “As a group, we have done really well in that area. More than this though, investment in technology has allowed members to continue focusing on what they love to do, which is selling and looking after their customers. “As part of our existing digital services, we offer EZ-base, which contains quality product data on our 400 or so suppliers, and from which members can extract information on international brands like Stanley, Black+Decker and Draper, and use it to produce leaflets, flyers and websites. They can even link EZ-base into their ERP system – yet another useful aid in the battle to stay strong, relevant and competitive. “At present,” Keira adds, “we are in the process of building and launching an e-commerce platform for our members to use, which
integrates seamlessly into EZ-base, enabling members to trade through an avenue that they may never have had before. The pandemic has highlighted the need for businesses to be able to serve more than just their local area, and e-commerce obviously opens up those national opportunities. On top of that, it also drives efficiencies and gives members access to tools that the national players have had for years, levelling the playing field in the process.” With Troy, members making use of an e-commerce platform for the first-time benefit from the expertise of an extended team in place to support them through any unfamiliar, transitionary activities in the digital space, as well as market their efforts upon completion. This team, and their work, is evidence of the fact that, alongside technology, talented people remain an equally critical differentiator in the industry today.
Just 1 Source Just 1 Source & Supply offer a complete range of consistent high quality tested gloves at real value for money. With many of our designs now recognised as the industry standard, the ‘Predator by Ron’ brand now incorporates Coloursafe, Watersafe, Touchsafe and Gripsafe ranges. Our uniqueness and technical expertise enables us to specify and design bespoke products for all types of applications. All factories are ISO9001 approved, therefore all ‘Predator by Ron’ products in our extensive range are fully compliant with the current PPE EU Standards. Our BSIF membership confirms our commitment to the consistent high levels of customer service.
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Troy UK “We are a people business,” Richard declares, “and so are our member firms. “We have a great business development team that has helped our members through Brexit and Covid-19, and will continue to support them in the future. “Many Troy members have been with us for years and years now because we are not a profitdriven organization, but one that cares about the independents we support. Yes, we do make a profit, but a lot of that is reinvested back into our members, which helps us build trust. Members know we are with them every step of the way.” At the time of writing at the end of 2021, raw material costs and freight charges continue to add inflationary pressure to products in the
industrial supplies industry, while the sourcing of items from places like India and China is still proving difficult. However, although Jim feels that these pressures will continue for some time, he is hopeful that the challenges will stabilize in the second half of next year. “We are hoping that, in the next 12 months, things will start getting back to normal,” he remarks. “One way in which we aim to evolve is through diversification as we continue developing ranges of products that are exclusive to our members, both new and old.” For Keira and Troy’s marketing team, the emphasis remains on creating new opportunities for sales for members, which includes the e-commerce side of the business, as well as
developing its communications channels. “Members who were already geared up for e-commerce have thrived through the pandemic and now we want to make sure that, if anything like this ever happens again, every member has access to a fantastic e-commerce platform they can trade through,” Keira notes. “Elsewhere, we want to ensure that we are helping our members get their message out there, so we will be continuing with things like digital shows, where people can log on, watch us live and communicate through a chat function. We have been doing those shows exclusively for our members so far, but we aim to start doing them for our end-users as well to try and drive traffic and footfall back through our membership.
Europa Tool Co Ltd Europa Tool Co are a wholly owned subsidiary of the largest global round shank cutting tool manufacturing group, and a market leading supplier of tooling in all market sectors including Aerospace, Automotive, Energy, Medical and many others. We have been a Troy supplier for many years, and working hand-in-hand with Troy members, our Technical Managers have been able to supply cost-down initiatives to many companies; in turn growing business for the members. With the incorporation of Clarkson Osborn International into Europa we can supply a comprehensive range of hi-tech and standard products, with the Clarkson brand established for 80 years and Osborn brand for over 150 years. We carry large stocks of all our product ranges in our UK warehouse facility centrally located in Nuneaton, Warwickshire, close to all major motorway networks and transport hubs, so we are ideally situated for distribution of our products throughout the UK and beyond.
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Troy UK
Those shows, and our work in general, will be built around product innovation, sustainability, and making sure our voice, and our members’ voices, are heard in the industry.” Strengthened by the clear vision of its CEO, Troy is ready to tackle the decade ahead, supporting its members across the UK and creating a better environment for independent distributors of industrial supplies. As it has been
since its founding, the organization is set to be a vital ally to its members for years to come. “Independent businesses have an incredible ability, much more than their national peers, to create demand for products and bring innovation to the market. We, at Troy, will continue to help these firms maximize on the rewards they receive from this hard work,” Richard proclaims. “The goal now is to make sure that all our members with an appetite for growth are relevant in 2022, 2023, 2024 and 2025. By ‘relevant’, I mean that they are able to offer contemporary customers what they want, including retail shops for a ‘touch-feely’ experience, as well as online capabilities so that that customers can research and purchase a product online. “Around 85 percent of all products are now researched online prior to purchase, so if you don’t have a website that is accessible to your customers 24/7 then there will inevitably be
leakage to Screwfix or Amazon because it is just easy to buy from those firms. Members need an omnichannel approach; that is the most immediate requirement. “Beyond that, I think this business is totally scalable,” Richard says in closing. “Within the next three to five years, there is no reason why we can’t move into new markets. It doesn’t even necessarily have to be tools. At Troy, we have a successful template in place for all sorts of products and all sorts of businesses. I think we have proved, in our performance over the years, that this is a company with unlimited potential.”
Troy UK www.troyuk.co.uk Products: Supply facilitator of industrial engineering products
Toolbank Toolbank have worked in close partnership with Troy over many years. We consider Troy a vital link to the industrial supply chain and work hand-in-hand to deliver sales opportunities to Troy members. Toolbank are proud of our close links with Troy and we continue to offer Service – Support – Integrity.
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