Jabil brochure – October 2018

Driving digital

transformations

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Jabil pushing forward digital transformations

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$19bn

Approximate revenue (2017)

1966

Year founded

180,000 04

Approximate number of employees

MANUFACTURING SERVICES LEADER JABIL IS ENABLING DIGITAL TRANSFORMATIONS, BOTH WITHIN ITS OWN ORGANISATION AND FOR ITS CUSTOMERS WORLDWIDE WRIT TEN BY

JA MES HENDERSON PRODUCED BY

CHARLOT TE CL ARK E

O

rganisations around the

world are embarking on company-wide transfor-

mations, embracing a future de-

fined by technology. But Jabil – a manufacturing services leader employing approximately 180,000 people – finds itself in the unique position of driving both its internal digital transformation, as well as leading transformative efforts on behalf of some of the biggest

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and best-known brands in the world.

Jabil categorises the role it plays in

sively complex supply chains. We partner with these companies to streamline

its customers’ digital transformations

supply chain orchestration while helping

into three sections, says John Caltabi-

them reduce cost and risk.

ano, VP of Supply Chain Management.

“The second category of customers

“We’re a manufacturing services provider

are those going through a transforma-

so we support diverse customers across

tion due to market disruptions. They

a variety of markets with different digital

may be going through divestitures or

transformation needs. You can group

acquisitions. They also may be facing

these customers into three general

major changes in their industry sector,

categories. In one category are large

which requires them to reshape how

multinational organizations with mas-

they operate. These organizations look w w w. j a b i l . c o m

to us for thought leadership, market benchmarking and product proof of concept support. It’s a very collaborative approach.

“Then you have a third kind: customers that are really up-and-coming and don’t have to rectify historical issues. They can concentrate on what they’re good at and say to Jabil, ‘I want you to run my supply chain’.

Their perception is that they’re not going to invest in those capabilities, when we can do it for them.”

At the same time, Jabil is transforming how it runs its own supply chains, and is 06

implementing a digital initiative around the platforms it utilises to deliver its services, signalling a move towards cloud-based infrastructure. The size of the business – over 100 factories in 29 counties, hundreds of customers and a supply chain of 17,000 companies – means the transformation is one of real scale.

New technologies have already transformed how Jabil operates from a procurement perspective, says Caltabiano. “The size of our company means we have hundreds of contract negotiations going on at any one time. It’s critically important for us to expedite report generation, quickly produce analytics, drive rapid negotiations and produce results that help our custom-

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“ I F YOU’RE BUILDING PRODUCTS DESIGNED 15YEARS AGO WITH A SUPPLY CHAIN THAT WAS IMPLEMENTED 15 YEARS AGO, IT’S HARD TO TRANSFORM YOURSELF” — John Caltabiano, VP of supply chain management

ers achieve better business outcomes.

“With our digital platforms and tools, we now utilise, data and analytics are available in real time, so we can start negotiations at any time. We can deploy pricing as soon as negotiations are completed, which changes the whole dynamic of time-fenced events. We now can change the conversation with suppliers very quickly based on our analytics and actionable insights.”

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CLICK TO WATCH : ‘JABIL COMPANY OVERVIEW’ 09

Working with so many companies in

After all, if you’re building a product

locations across the globe gives Jabil a

designed 15 years ago with a supply

better perspective than most when

chain that was implemented 15 years

speaking about industry sectors keen

ago, it’s hard to transform how you

to embrace disruption and digitisation.

operate because of long-term invest-

It is Caltabiano’s belief that companies

ments and legacy operations.

in the markets that are being most

“To an extent, how prepared compa-

significantly disrupted – notably by IoT

nies are to embrace the change is partly

– are ‘moving the fastest’.

dictated by the dynamics of the industry

“I think the regulated businesses are the slowest,” he observes. “Regulated

they work in.”

When it comes to Jabil’s own digital

products tend to have lengthy life

transformation, the company is on a fast

cycles, which makes it difficult to change

track, analysing how new technology

the way you run their supply chains.

can speed the myriad transactions that w w w. j a b i l . c o m

“ WITH THE DIGITAL PLATFORMS AND THE DIGITAL TOOLS WE NOW UTILISE, DATA AND ANALYTICS ARE AVAILABLE REALTIME, SO WE CAN DO NEGOTIATIONS ANYTIME WE WANT” 10

— John Caltabiano, VP of supply chain management

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“ W E HAVE TO THINK DIFFERENTLY BECAUSE IT IS A NEW GENERATION OF PEOPLE WE’RE HIRING. YOU HAVE TO THINK ABOUT WHAT’S INTERESTING TO THEM” — John Caltabiano, VP of supply chain management

take place every day. “We have, in my division, 1,500 buyers, so I’m buying over 350,000 parts on a quarterly basis,” says Caltabiano.

“That’s very transactional and repetitive and there is certainly the opportunity for part of that decision-making process to be accelerated and streamlined through digitisation, automation and analytics.”

Jabil believes that by automating some of the more transactional responsibilities, the prospect of a career in manufacturing and supply chain operations will become even more attractive to emerging young talent.

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EXECUTIVE PROFILE

John Caltabiano is Vice President , Global Supply Chain at Jabil and is responsible for all Materials and Customer Supply Chain Solutions for the company’s Engineered Solution Group Division. He is responsible for driving supply chain strategies for all of ESG’s Businesses. Prior to this role, John was Vice President of Global Sourcing where he was responsible for World Wide Commodity Management, Sourcing, Centralized Procurement and Supplier Development covering a spend of over $12 Billion. With more than 30 years of supply chain experience, John recently returned to St. Petersburg, Fla., following a three-year assignment in Singapore.

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“People who come into the workforce don’t want to sit at a desk and place orders.

A machine could do that. We have to think differently because it is a new generation of people we’re hiring. You have to think about what’s interesting to them.

“We recruit new college grads out of supply chain curriculums, from some of the top schools, and they can bring a lot of talent to the manufacturing sector. What we can do is attract them with our digital tools.

They want to dive into it and they’re exactly the kind of people we want because to take 14

this forward, you have to have practitioners.

“We can’t go back to the old way, because they will come in and only think about the new way. A benefit of the transformation has to be bringing in the talent that knows how to use these tools and think differently about their work.”

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10560 Dr. Martin Luther King Jr. St. N. St. Petersburg, FL 33716 T: (727) 577-9749 www.jabil.com