What happens when a single chokepoint threatens to upend the entire global supply chain?
Join host Diego Solorzano as he welcomes Jonathan Colehower, Managing Director of Global Supply Chain Practice at UST, to unpack the realities of navigating today’s volatile trade environment. From the strategic risks of the Strait of Hormuz to opportunities in Trans-Arctic shipping routes, Jonathan shares his decades of insights and strategies on scenario planning, private trading networks, and building supply chain resilience. Listeners will discover how leading companies can move beyond prediction and develop actionable playbooks that transform disruption into competitive advantage.
Here are some of the key topics that Jonathan and Diego discuss:

• How to approach risk management by focusing on potential impact rather than probability
• Why the Strait of Hormuz is a critical chokepoint for global energy supply chains
• How emerging trade routes like Trans-Arctic shipping and the China-Pakistan Economic Corridor are reshaping global logistics
• The impact of container ship overcapacity on shipping rates and supply chain planning
• Why building and practicing alternative supply chain "playbooks" is crucial for resilience
• How private trading networks and blockchain enable better supply chain visibility
• Why simulation and scenario planning tools are transforming executive decision-making
• The importance of data quality and cleansing in successful supply chain transformations
• How corporate leaders can engage with government regulation to mitigate trade risks

Jonathan Colehower is Managing Director of the Global Supply Chain Practice at UST, where he advises global enterprises on building resilience and driving operational excellence. With leadership experience at McKinsey, Accenture, Oracle, and Manhattan Associates, he has managed P&Ls exceeding $ 100 M and sustained multimillion-dollar revenue pipelines. An expert in digital transformation, lean manufacturing, and enterprise software integration, Jonathan brings a proven track record of delivering lasting impact. He holds an MBA in Marketing and Operations from Vanderbilt University.
Key Highlights:

• 03:17 - Risk Impact Assessment Strategy
  
  

Jonathan introduces a contrarian approach to supply chain risk management by focusing on potential damage magnitude rather than predictability. This strategy enables companies to identify and prepare for high-impact disruptions that could significantly impact their operations, even if they seem unlikely. Using the Strait of Hormuz as an example, he demonstrates how a single chokepoint disruption could impact global energy supply and cascade across all industries. Companies should map out their most devastating potential risks and build detailed response plans for each scenario. 

• 18:01 - Building and Practicing Supply Chain Playbooks
  
  

Supply chain leaders need to move beyond just having backup plans to actually practicing their response playbooks regularly. Organizations must first understand their specific risks and potential business impacts, and only then develop detailed alternative strategies for each major disruption scenario. The playbook should be treated like a sports team's strategy guide, practiced repeatedly until responses become automatic. Regular simulation of disruption scenarios helps teams build muscle memory and confidence in executing backup plans. 

• 20:42 Modern Scenario Planning Tools
  
  

Advanced computing power has transformed supply chain scenario planning from overnight batch processes to real-time simulation capabilities. Today's tools allow executives to run dynamic "what-if" analyses and test multiple alternatives in seconds, enabling more agile decision-making. The shift from seeking single optimized solutions to exploring multiple scenarios reflects a more sophisticated approach to supply chain planning. Companies can now rapidly model different network configurations and disruption responses to build resilience..

• 23:03 Network Modeling for Resilience 
  
  

Supply chain simulation tools now enable companies to build comprehensive end-to-end network models and identify critical vulnerabilities. Rather than relying on past experiences or gut feelings, organizations can use data-driven analysis to architect alternative supply chains for different disruption scenarios. Open-source optimization tools make this capability accessible to more companies, allowing them to stress-test their networks against various risks. Using real examples like port strikes or infrastructure failures, companies can develop specific contingency plans with confidence. This systematic approach to network resilience helps organizations prepare for and quickly respond to supply chain disruptions.

• 26:15 - Agricultural Supply Chain Innovation

Jonathan shares an interesting case study of managing complexity in agricultural seed production, where multiple variables from weather to market futures affect planning. The challenge involved coordinating production across different growing seasons while dealing with unpredictable factors like pest resistance and farmer preferences. By opening additional growing seasons in South America, the company created flexibility to respond to demand spikes for successful products. Instead of relying solely on expert opinions, they leveraged the "wisdom of crowds" by gathering insights from thousands of farmers. This innovative approach to agricultural supply chain management demonstrates how combining geographical diversification with collective intelligence can solve complex planning challenges.
Episode Resources:

• Jonathan Colehower on LinkedIn
• UST Website
• Diego Solorzano on LinkedIn
• Desteia Website
• Supply Chain Optimizers on Apple Podcast
• Supply Chain Optimizers on Spotify

 

Supply Chain Optimizers is handcrafted by our friends over at: fame.so 

What if your supply chain could operate with military grade precision using AI-driven insights? 
In this episode of Supply Chain Optimizers, host Diego Solorzano speaks with Ralph Asher, founder of Data Driven Supply Chain LLC and a former Marine Corps officer, about leveraging systems thinking, decision science, and advanced analytics to tackle complex supply chain challenges. They explore how to bridge the gap between being “data rich but insight poor,” how to optimize multi-echelon inventory, and implement AI-powered strategies while balancing real-world constraints. Practical case studies and actionable insights make this episode essential for leaders seeking high-performance, future-ready supply chains.
Here are some of the key topics that Ralph and Diego discuss:

• How systems thinking transforms supply chain optimization 
• Why being "data rich but insight poor" limits organizations and how to bridge the gap between data collection and actionable insights
• The practical application of AI and decision science in the supply chain through large-scale optimization models
• How to implement multi-echelon inventory strategies that balance service levels with cost efficiency
• Why successful supply chain transformations require early stakeholder involvement across functions
• The future impact of geopolitical shifts on sourcing analytics and supply chain visibility
• How to evaluate the true cost-benefit relationship between service level improvements and operational investments
• The essential balance between technical optimization capabilities and deep domain expertise in solving supply chain challenges
  
  

Ralph Asher is the founder of Data Driven Supply Chain LLC and an expert in network design, supply chain analytics, and decision science. With over a decade of experience across CPG, automotive, agricultural, and restaurant industries, he combines AI, optimization, and systems thinking to tackle complex supply chain challenges. A former Marine Corps officer and adjunct instructor at the University of Saint Thomas, Asher has held key roles at General Mills and Target, helping organizations transform operations through data-driven strategies and innovative supply chain solutions.

Key Highlights:

• 09:30 Systems Thinking in Supply Chain Network Design 

Ralph reveals how systems thinking transforms supply chain optimization by examining interconnected trade-offs between facility locations, inventory, and transportation costs. While adding distribution centers reduces last-mile delivery costs, it increases facility and inventory expenses in a non-linear relationship that requires holistic analysis. Optimization modeling helps quantify these complex trade-offs by considering millions of variables and constraints simultaneously. Organizations must move beyond siloed metrics to understand how decisions in one area impact overall supply chain performance. Companies like Target have successfully applied this systems approach to optimize their sortation center networks, balancing local inventory positioning with efficient last-mile delivery routes.

• 16:20 The Data Rich, Insight Poor Paradox  
  
  

Companies are collecting unprecedented amounts of granular supply chain data but struggling to translate it into actionable insights. While most organizations focus on descriptive analytics through dashboards, they often lack the foundational data infrastructure needed for advanced decision-making. Supply chain leaders must prioritize data management as the essential "basement" that supports more sophisticated analytics capabilities. Effective optimization requires not only raw data but also the ability to forecast demand, understand cost structures, and model complex scenarios. 

• 23:00 Multi-Echelon Inventory Optimization Case Study  

A national auto parts distributor with 100 local DCs sought to optimize its network by establishing regional DCs for slow-moving SKUs. Rather than using a simple Pareto analysis, they developed a sophisticated model that incorporated lost sales risk, bulk purchase rebates, and facility constraints. The solution provided SKU-by-unit recommendations, balancing inventory consolidation benefits against service level impacts. This real-world application demonstrates how combining network design with inventory optimization can unlock significant value. 

• 28:57 Implementation Success Requirements  

Successful implementation of supply chain optimization projects requires early involvement from all stakeholders before modeling begins. Organizations need dedicated project management, finance, real estate, and other functional experts aligned from the start. Without proper planning and cross-functional coordination, even the best models risk becoming "nice PowerPoint presentations" without real impact. Supply chain leaders must focus as much on execution planning as on the technical solution development. This approach ensures optimization insights translate into operational improvements rather than theoretical exercises.

Episode Resources:

• Ralph Asher on LinkedIn
• Data Driven Supply Chain LLC Website
• Diego Solorzano on LinkedIn
• Desteia Website
• Supply Chain Optimizers on Apple Podcast
• Supply Chain Optimizers on Spotify

 

Supply Chain Optimizers is handcrafted by our friends over at: fame.so 

What if you could transform trade compliance from a business barrier into a strategic enabler?
Trade compliance is no longer just a regulatory hurdle; it’s becoming a driver of business growth. Host Diego Solorzano speaks with Diego Montemayor, Executive Director of Trade Compliance and Supply Chain Operations at Olympus Corporation of the Americas. Together, they explore how compliance can shift from a policing role to a strategic enabler by leveraging AI, automation, and robust program frameworks while adapting to global trade dynamics and emerging geopolitical shifts.
What you will learn:

• How to transform trade compliance from a "police" function to a strategic enabler
• Why data governance and data management are crucial for effective trade compliance
• The framework for building robust compliance programs 
• How to leverage AI and automation while maintaining human oversight 
• Why companies need distinct supply chain strategies for the US markets 
• How to prepare for and successfully manage customs audits 
• The emerging role of South Asian countries in reshaping global trade corridors
• Why early integration of trade compliance prevents costly complications

Diego Montemayor is Executive Director of Trade Compliance and Supply Chain Operations at Olympus Corporation of the Americas. With over a decade of experience spanning Thermo Fisher, CSL, and other global firms, he specialises in sanctions, customs, export controls, logistics, and supply chain design. Educated in foreign trade and customs in Mexico, Diego combines technical expertise with a passion for solving complex regulatory challenges, building resilient supply chains, and leveraging data-driven strategies to support sustainable business growth.
Key Highlights:

• 09:21 From Police to Business Enabler: Transforming Trade Compliance 

Diego shares how trade compliance has evolved from being seen as the corporate police to becoming a strategic business enabler. Instead of just saying "no" to opportunities, modern trade compliance teams help companies navigate complex regulations to unlock new markets, like finding compliant ways to operate in heavily sanctioned regions. This shift requires compliance professionals to deeply understand business objectives and proactively propose solutions rather than simply enforcing rules. By positioning compliance as an enabler rather than a barrier, teams can help companies expand into new frontiers while managing risks effectively. 

• 17:01 Leveraging Technology to Scale Compliance

Trade compliance teams are chronically understaffed yet face increasingly complex regulations, making technology adoption crucial for scaling operations. Modern tools for HS code classification, sanctions screening, and origin determination have become essential for companies operating across multiple countries. While AI shows promise in areas like custom rulings and initial classifications, human oversight remains critical for final decisions, given the high stakes of compliance errors. 

• 27:42 Navigating the New Multi-Polar Trade Landscape 

Companies are adapting to a fundamental shift in global trade dynamics, moving from US-centric to multi-polar power structures. This has led some organizations to develop separate supply chain strategies for the US markets versus the rest of the world. The rise of nearshoring in regions like Mexico faces new complications from evolving trade agreements and increased scrutiny of Chinese investments. South Asian countries are emerging as important alternative sourcing hubs as companies seek to diversify beyond China. These changes require companies to maintain flexibility in their strategic planning while working closely with compliance teams to navigate an increasingly complex regulatory environment.

• 39:04 Early Compliance Integration Drives Success 

The most successful global companies integrate trade compliance considerations at the earliest stages of business planning rather than treating it as an afterthought. This proactive approach helps identify potential issues before significant resources are invested, whether in new market entry, supplier selection, or product development. For example, early compliance screening can reveal if potential business partners are sanctioned, preventing costly mistakes and legal issues. By making trade compliance a key stakeholder in strategic decisions, companies can better navigate regulatory complexities while maintaining business agility.
 Episode Resources:

• Diego Montemayor on LinkedIn
• Olympus Corporation of the Americas Website
• Diego Solorzano on LinkedIn
• Desteia Website
• Supply Chain Optimizers on Apple Podcast
• Supply Chain Optimizers on Spotify 

Supply Chain Optimizers is handcrafted by our friends over at: fame.so 

How can businesses thrive when global trade policies are in constant flux?
Host Diego Solorzano sits down with Kyle Peacock, Principal at Peacock Tariff Consulting, to unpack the complexities of tariffs, shifting regulations, and sourcing strategies. From leveraging AI and machine learning to understanding the rise of "micro-sourcing," Kyle reveals actionable strategies that help companies balance cost savings with resilience. He also explores how regional trade blocs and CUSMA certification are reshaping the future of North American manufacturing. Whether local or global, this conversation equips leaders to navigate international trade and sourcing with confidence.
What you will learn:

• How US trade policies are reshaping how businesses rethink their sourcing strategies
• Why companies are adopting "microsourcing" strategies to diversify supplier networks 
• The trade-off framework between cost savings and operational resilience 
• How AI and machine learning are transforming supply chain optimization 
• Why CUSMA certification should be integrated into product development from day one
• The emerging trend of regional trade blocs and their impact on global supply chains
• How manufacturers are balancing product portfolio decisions against tariff pressures
• The role of technology in helping businesses navigate supply chain disruptions 

Kyle Peacock is the Principal at Peacock Tariff Consulting, where he specializes in helping businesses navigate complex trade regulations and optimize their global supply chains. With over two decades of experience in international trade, including significant tenure at industry leaders like Nestlé and Wrigley's, he brings deep expertise in tariff optimization and trade compliance. His work focuses particularly on supporting small and medium-sized enterprises in managing international trade complexities and uncovering cost savings opportunities.
Key Highlights:

• 05:43 The Unpredictable Nature of Modern Trade Policy

Kyle reveals how the biggest impact of recent trade policies has been the element of unpredictability, with tariffs now being implemented immediately versus the previous 6-8 month notice period. Companies are struggling to react strategically, often overreacting to tweets or following crowd behavior rather than analyzing their specific situation. This uncertainty has led many businesses to halt investments and stockpile cash while they wait for clarity. The solution lies in developing company-specific strategies rather than following one-size-fits-all approaches. Smart businesses are using this challenge to become more efficient and resilient by reviewing their entire operations.

• 20:16 The Portfolio Mix vs Profitability Trade-off 

Companies are being forced to make tough decisions between maintaining product variety and ensuring profitability under tariff pressures. A fascinating example is retailers reducing their SKU count, like going from 15 to 5 product variants to minimize changeover costs and maintain margins. The decision often comes down to company values: some prioritize customer choice even at lower profits, while others focus purely on profitability. This trend is particularly visible in holiday inventory planning, where retailers are carrying fewer variants but maintaining quick-response capabilities for popular items. 

• 27:09 Leveraging AI for Supply Chain Optimization

AI and machine learning are becoming critical tools for companies navigating tariff complexities and capacity constraints. The technology allows businesses to analyze massive datasets to identify efficiency opportunities that humans might miss, from optimizing batch processes to improving shift scheduling. Virtual manufacturing simulations powered by AI help companies test different scenarios without real-world risks. The impact is particularly valuable for smaller companies expanding into new markets who need to quickly scale operations. Companies embracing these tools are seeing significantly faster improvements in cost reduction and output optimization.

• 33:53 The Rise of Micro-Sourcing Networks

A major shift is occurring from single-source strategies to "micro-sourcing" networks with multiple smaller suppliers across different regions. This approach allows companies to rapidly shift production between countries in response to tariffs, transportation issues, or geopolitical tensions. The strategy requires sophisticated coordination but provides much greater supply chain resilience. Companies can maintain production even when one region faces challenges by quickly scaling up alternate suppliers.
Episode Resources:

• Kyle Peacock on LinkedIn
• Peacock Tariff Consulting Website
• Diego Solorzano on LinkedIn
• Desteia Website
• Supply Chain Optimizers on Apple Podcast
• Supply Chain Optimizers on Spotify

Supply Chain Optimizers is handcrafted by our friends over at: fame.so 

What does it take to build, scale, and transform global supply chains at the world's largest retailers?
Host Diego Solorzano sits down with Arthur L Valdez, Jr., EVP Global Supply Chain and Customer Solutions at Starbucks. Together, they trace the evolution of global retail logistics, from Amazon’s groundbreaking fulfillment and sortation systems to Target’s transformative “stores as hubs” model. Arthur reveals lessons on balancing culture with technology, the rising role of AI, and how convenience is shaping customer expectations. He also shares leadership insights on tackling complex problems, mentoring diverse talent, and preparing supply chains for a future defined by speed, efficiency, and customer-centricity.
What you will learn:

• How family-owned delivery businesses sparked innovation in modern retail logistics
• Why sortation became Amazon's secret sauce for scaling operations to 30-minute deliveries
• The fundamental difference between Amazon's "technology beats culture" vs Target's "culture beats technology" philosophies
• How Target's "stores as hubs" model leverages proximity to deliver same-day orders more cost-effectively than traditional fulfillment
• Why end-to-end system connectivity and AI will reshape supply chain decision-making
• How mentoring first-generation students creates pathways for diverse talent 
• Why convenience and speed will drive technology adoption across retail operations
• The role of AI in optimizing store operations, from inventory management to customer service prioritization
• How data-driven service level promises shape supply chain strategy and customer satisfaction

Arthur L Valdez, Jr. is a veteran supply chain executive with over three decades of experience transforming global retail operations. As a former Vice President of Worldwide Operations at Amazon (1999-2015) and subsequent leadership roles at Target and Starbucks, he has pioneered innovative fulfillment strategies, including Amazon's international logistics expansion and Target's stores-as-hubs model. His expertise spans from scaling early-stage e-commerce operations to revolutionizing traditional retail distribution networks. 
Key Highlights:

• 11:10 The Secret of Amazon's Scaling Success: Perfecting Sortation

Arthur reveals that sortation capabilities were the critical foundation that enabled Amazon's massive growth from processing individual orders to millions of daily shipments. By mastering the art of sorting products by size, location, and order composition, Amazon could dramatically cut throughput time while maintaining the accuracy of orders. This focus on sortation efficiency led directly to their current robotic fulfillment solutions, as human-only operations couldn't scale to handle millions of units per hour. The investment in advanced sortation technology helped Amazon evolve from 4-day processing times in 1999 to 30-minute deliveries today. 

• 15:20 Target's "Stores as Hubs" Innovation: Leveraging Proximity for Speed

Target's breakthrough stores-as-hubs model capitalizes on having 85% of the US population within 5 miles of a store to enable same-day delivery. This local fulfillment approach allows Target to split multi-item orders across nearby stores when needed, since the short delivery distances keep costs low. The model requires balancing predictive inventory placement with flexible logistics to ensure stores maintain the right stock levels. Success depends on investing in local sortation centers and delivery networks to make this distributed fulfillment approach work efficiently. 

• 20:48 Culture vs Technology: The Great Retail Divide 

Arthur highlights the fundamental difference between Amazon's "technology beats culture" philosophy and Target's "culture beats technology" mindset. This distinction has shaped how each company approaches innovation and customer experience, with Amazon heavily investing in automation while Target emphasizes human connection. However, the rise of AI and growing consumer demand for convenience is forcing traditionally culture-focused retailers to increase their technology investments. Companies that don't embrace both technological efficiency and cultural strengths risk falling behind as customer expectations for speed and service continue to rise. 

• 28:06 Starbucks' Customer Service Challenge: Algorithmic Solutions

At Starbucks, Arthur tackled the challenge of long wait times caused by competing service priorities between in-store, drive-through, and digital customers. The solution involved creating algorithms to properly sequence and prioritize orders across channels while maintaining service promises. This required connecting point-of-sale systems with supply chain tools to ensure proper inventory levels matched service capabilities. The experience shows how applying technology to seemingly simple operational challenges can significantly improve customer satisfaction. 

Episode Resources:

• Arthur L Valdez, Jr. on LinkedIn
• Diego Solorzano on LinkedIn
• Desteia Website
• Supply Chain Optimizers on Apple Podcast
• Supply Chain Optimizers on Spotify 

Supply Chain Optimizers is handcrafted by our friends over at: fame.so 

What do ancient Greek oracles have to teach us about AI modern supply chain design?
Host Diego Solorzano sits down with Jay Koganti, VP of Supply Chain Center of Excellence at The Estée Lauder Companies, to explore how foresight, AI, and structured planning can drive meaningful transformation. From implementing the three-horizon planning framework to using AI agents for ESG challenges like scope three emissions, Jay reveals why resilience starts with preparation over prediction and asking the right questions. Jay also unpacks his supply chain playbook that blends ancient Greek wisdom with modern supply chain design. The conversation provides a practical roadmap for leaders looking to balance short-term agility with long-term impact.
What you will learn:

• How to implement the three-horizon planning framework to balance immediate needs with long-term transformation
• Why should foresight focus on preparation rather than prediction accuracy
• The Greek Oracle principle for leveraging AI: asking the right questions matters more than getting answers
• How to structure a Supply Chain Center of Excellence to drive breakthrough innovation 
• Why scope three emissions tracking requires AI agents and strategic supplier management
• The essential skills for supply chain leaders: staying curious, maintaining an outside-in perspective, and bridging the knowing-doing gap

Jay Koganti is Vice President of the Supply Chain Center of Excellence at The Estée Lauder Companies. With over 24 years of experience in transforming global supply chains, he specializes in strategy, planning, distribution, and digital innovation. Jay has led major initiatives across Fortune 100 firms and tier-one consulting and is passionate about efficiency, sustainability, and equity. Jay blends technology with process excellence to create next-generation supply chains. Beyond work, he explores ancient wisdom, writes on spiritual themes, and practices yoga and meditation.
Key Highlights:

• 06:43 The Three-Horizon Framework for Supply Chain Excellence

Jay introduces a powerful three-horizon framework for managing supply chain transformation, focusing on short-term operations, mid-range innovation, and long-term strategic goals. This approach helps organizations balance immediate challenges with future preparation, preventing the common trap of focusing solely on current quarter results. The framework divides responsibilities among different teams, with dedicated staff handling day-to-day operations while others focus exclusively on long-term strategic planning. At Estée Lauder, implementing this model proved especially valuable during COVID-19, enabling rapid response while maintaining strategic initiatives. 

• 13:11 Leveraging AI in Supply Chain: The Oracle of Delphi Principle 

Drawing from ancient Greek history, Koganti reveals three critical principles for effectively using AI in supply chain: the importance of asking the right questions, embracing multiple possible answers, and maintaining human wisdom in interpretation. Many organizations struggle with AI implementation because they focus on getting answers rather than formulating strategic questions. The approach emphasizes that while AI can provide powerful insights, human expertise remains crucial for contextualizing and applying those insights effectively. 

• 21:06 AI Agents: The Next Evolution in Supply Chain Automation

Jay explains how AI agents are transforming supply chain operations by combining the intelligence of large language models with specific, rule-based actions. Supply chain organizations are seeing particular success in procurement, where AI agents automate contract management and price negotiations with unprecedented efficiency. Unlike traditional automation, these agents can handle complex decisions while maintaining strict operational parameters. 

• 24:28 Mastering Scope 3 Emissions Through AI Technology

Jay outlines how AI technology is revolutionizing the tracking and management of scope 3 emissions and the challenging task of monitoring suppliers' emissions. Traditional methods of tracking these emissions are nearly impossible due to the vast network of suppliers and sub-suppliers involved. AI agents can now automate data collection and analysis across complex supply networks, making previously unmanageable tasks feasible. This technological approach enables organizations to meet ESG mandates while maintaining operational efficiency, marking a significant advancement in sustainable supply chain management.

• 30:31 Essential Skills for Future Supply Chain Leaders

Jay emphasizes four non-negotiable skills for aspiring supply chain leaders: maintaining curiosity about emerging technologies, developing an outside-in perspective, understanding commercial partners, and bridging the knowing-doing gap. Many practitioners limit themselves by focusing solely on their immediate operational environment without considering broader market dynamics. Success in supply chain leadership requires not just theoretical knowledge but practical application and results orientation. These skills form the foundation for effective supply chain transformational leadership in an increasingly complex environment.
Episode Resources:

• Jay Koganti on LinkedIn
• The Estée Lauder Companies Website
• Diego Solorzano on LinkedIn
• Desteia Website
• Supply Chain Optimizers on Apple Podcast
• Supply Chain Optimizers on Spotify 

Supply Chain Optimizers is handcrafted by our friends over at: fame.so 

What if the key to unlocking the future of supply chains lies in smarter diagnosis, rather than just smarter technology?
Host Diego Solorzano sits down with Chandan Trehan, Lead of Digital Transformation, Supply Chains and Sustainability at Bosch USA, to unpack how successful supply chain innovation starts with identifying real problems before jumping into solutions. From scaling tech pilots to orchestrating human-AI collaboration, Trehan shares how data sharing, AI literacy, and control tower evolution are reshaping logistics. Learn why transformation isn't just about adopting tools, but enabling meaningful outcomes through strategic alignment. This episode offers a grounded, insightful roadmap for navigating the next wave of supply chain disruption.
What you will learn:

• How to diagnose supply chain problems effectively 
• Why digital transformation requires collaboration across partners 
• The framework for scaling successful pilots to full-scale implementations
• How AI is transforming warehouse operations 
• Why supply chain control towers are evolving from visibility platforms to predictive decision hubs
• How to prepare for a future where managers will oversee both human teams and AI 
• The principle of examining existing problems rather than creating new ones 
• Why data and analysis are fundamental to building long-term supply chain resilience

Chandan Trehan is a recognized global thought leader and Digital Transformation Leader at Bosch USA, driving innovation in supply chain sustainability and emerging technologies. Named a Top 50 Thought Leader by Thinkers360, he has over a decade of experience leading large-scale digital transformations across industries. Trehan specializes in AI, blockchain, IoT, and circular economy strategies. With deep expertise in supply chain analytics, design thinking, and change management, he helps organizations unlock growth, resilience, and long-term value through strategic innovation.
Key Highlights:

• 02:43 Start with Diagnosis, Not Solutions

Chandan Trehan emphasizes that digital transformation must begin with thorough benchmarking analysis rather than jumping straight to solutions. Supply chain leaders often make the mistake of treating symptoms instead of underlying problems, like implementing AI chatbots without questioning why vendors need so many queries answered. The key is setting specific, measurable objectives based on data - for example, reducing scrap from X% to Y%, rather than vague goals about "improving efficiency." Only after establishing clear benchmarks should teams identify bottlenecks and potential solutions through targeted pilots. Real transformation happens when organizations take time to diagnose root causes rather than chasing the latest technology trends.

• 07:45 The Pragmatic Approach to New Technology

Rather than getting caught up in hype cycles, Chandan advocates for "realistic pragmatism" when evaluating emerging technologies like AI. The fundamental problems supply chains face haven't changed dramatically, companies still need visibility, efficiency, and reliability, but the tools to solve them have evolved from horses to mobile apps. Organizations should focus on existing challenges rather than inventing new problems to match available solutions. The key is understanding what's realistically possible with current technology while maintaining perspective on how it fits into broader business objectives. 

• 22:19 AI's Impact on Warehouse Operations

Warehouses currently spend 55-60% of their time on retrieval and storage systems, presenting a massive opportunity for AI optimization. Rather than simply adding more inventory, leading organizations are using AI to predict demand patterns and optimize layout and operations. The technology enables better planning of seasonal product placement, automated retrieval through AGVs/AMRs, and predictive upstream supply chain adjustments. However, the goal isn't "dark warehouses" with zero humans, but rather intelligent orchestration between automation and human workers. This hybrid approach allows automation to handle repetitive tasks while humans focus on creative problem-solving and continuous improvement.

• 31:05 The Future Supply Chain Professional

The next generation of supply chain leaders will need to combine systems thinking with curiosity and creative problem-solving abilities. As AI agents take over routine tasks, the human value will increasingly come from understanding complex interconnections and questioning established processes. Supply chain professionals must develop both a strategic perspective to see the big picture and tactical abilities to solve operational issues. Rather than competing with other people, they'll need to learn to work alongside and manage AI systems while focusing on tasks that require human creativity and judgment.
Episode Resources:

• Chandan Trehan on LinkedIn
• Bosch USA Website
• Diego Solorzano on LinkedIn
• Desteia Website
• Supply Chain Optimizers on Apple Podcast
• Supply Chain Optimizers on Spotify 

Supply Chain Optimizers is handcrafted by our friends over at: fame.so 

What if the future of global supply chains depends not on large-format retailers, but on 50 million tiny, family-run shops in emerging markets?
Host Diego Solorzano sits down with Christopher Mejia, Director and founder of MIT’s Food and Retail Operations Lab, to explore how 50 million nanostores in emerging markets could be the key to transforming global supply chains. Learn how Mejia and his team are combining mathematical optimization, AI, and social impact to redesign food distribution networks, balance nutrition goals with logistics efficiency, and cut costs by up to 20%. This episode provides a powerful glimpse into local commerce as a catalyst for significant change.
What you will learn:

• Why nanostores are essential community hubs and why they will remain relevant despite modern retail growth
• The complex optimization challenges of serving 50 million nanostores
• Why reaching small retailers effectively needs direct and indirect distribution strategies 
• How to balance nutrition goals with logistics efficiency in food distribution networks
• How combining operations research and AI reduces logistics cost by up to 20% 
• Why data-driven public policy is essential for improving emerging market supply chains

Christopher Mejia is the Director and founder of the MIT Food and Retail Operations Lab and a leading expert in supply chain optimization, with over 15 years of experience tackling logistics challenges in emerging markets. A passionate researcher, author of Reaching 50 Million Nanostores, and advocate for data-driven policy, Mejia focuses on reducing poverty, food insecurity, and inefficiencies through applied research. His work combines mathematical modeling and social impact to create sustainable, equitable strategies for improving food distribution and retail operations in underserved regions. 
Key Highlights:

• 08:07 - Understanding Nanostores: The Hidden Retail Giants
  
  

Christopher Mejia reveals that nanostores are family-owned retailers constrained by limited space and budgets, but they serve as crucial community hubs in emerging markets. These small shops, despite handling most daily consumer purchases, operate with fragmented data systems, often just notebooks for inventory tracking. The risk-averse behavior of shopkeepers, combined with their reliance on CPG manufacturers, creates unique optimization challenges for supply chains. A major complexity comes from managing perishable goods alongside regular inventory, which requires sophisticated stochastic modeling approaches. The optimization solutions must balance commercial efficiency with social impact, particularly in improving nutritional access for vulnerable populations.

• 20:26 - Vehicle Routing Innovation in Last-Mile Delivery

The integration of multi-compartment vehicles with compatibility constraints presents a fascinating optimization challenge in nanostore logistics. In emerging markets, delivery routes must serve up to 100 stops per route, compared to just 30 in developed countries, thereby dramatically increasing computational complexity. The solution requires sophisticated methods like adaptive large neighborhood search and evolutionary algorithms to handle various product types, including dry, chilled, frozen, and humidity-controlled items. The optimization must consider not just efficiency but also nutritional value delivery to communities. 

• 31:05 - Achieving 20% Logistics Cost Reduction

A major Latin American company achieved an 18-20% reduction in logistics costs through the implementation of combined operations research and AI approaches. The project involved optimizing cargo combinations, routing strategies, and fleet management across national distribution networks. The key success factor was building an analytics team that could leverage both traditional OR methods and machine learning capabilities. The company's transformation from pure data-driven decisions to incorporating operations research principles showcases the power of hybrid approaches. The project's most significant impact was enabling the company to handle stochastic elements independently, leading to sustained optimization improvements.

• 41:43 - Practical Approach to Supply Chain Optimization

Christopher explains that companies beginning their optimization journey should start with simple combinatorial optimization. The approach emphasizes modular development, allowing gradual complexity increase while maintaining solution clarity. Stochastic programming becomes crucial for handling real-world uncertainties like tariffs and delivery variations. The focus should remain on creating understandable and  implementable solutions rather than unnecessarily complex models. This methodical approach helps companies build lasting optimization capabilities while avoiding the trap of overcomplicated solutions that practitioners won't use. Episode Resources:

• Christopher Mejia on LinkedIn
• Emerging Market Economics Logistics Lab Website
• Diego Solorzano on LinkedIn
• Desteia Website
• Supply Chain Optimizers on Apple Podcast
• Supply Chain Optimizers on Spotify 

Supply Chain Optimizers is handcrafted by our friends over at: fame.so 

Host Diego Solorzano sits down with Gabriella Runnels, Principal Data Scientist at American Eagle Outfitters, to explore how AEO combines tried-and-true mathematical optimization with cutting-edge AI to solve complex supply chain challenges. Learn how the team built four interconnected apps to slash costs, improve service levels, and even offer these capabilities to smaller brands via Quiet Platforms. Gabriella also shares her philosophy on change management, data quality, and why the future belongs to supply chain professionals who leverage AI without losing human creativity.
What you will learn:

• How American Eagle reduced shipments per order from 1.2 to under 1.1, saving millions 
• The four-app optimization framework for retail supply chains
• Why combining traditional optimization with AI creates more powerful solutions
• How to handle new product introductions in fashion retail with clustering algorithms and attribute-based forecasting
• The critical importance of data quality and digitization in supply chain optimization
• Why human judgment remains essential in retail
• How shared logistics platforms can help smaller retailers access enterprise-level supply chain capabilities
• The practical approach to change management when implementing AI solutions 

Gabriella Runnels is a Principal Data Scientist and Senior Manager of Supply Chain Science at American Eagle Outfitters, where she specializes in building algorithms to solve complex supply chain challenges. With extensive experience in AI and supply chain optimization, she leads the development of innovative solutions, including forecasting, assortment planning, and dynamic inventory management applications. At American Eagle, she has helped reduce shipments per order from 1.2 to under 1.1 and decreased average package delivery distances by approximately 100 miles by implementing advanced analytics and AI solutions.
Key Highlights:

• 07:55 Integrated Supply Chain Apps for Inventory Optimization

American Eagle's four-app system (forecasting, assortment, dynamic carton routing, and transfer) works together to optimize inventory across their network. The forecasting app predicts demand by location and SKU, while the assortment app determines optimal product placement to minimize delivery costs and prevent stockouts. For new products, they use clustering algorithms to associate them with similar historical items, enabling accurate forecasting from day one. This integrated approach has helped reduce shipments per order from 1.2 to 1.1, saving millions in delivery costs. 

• 14:40 Product Affinity Analysis for Efficient Order Fulfillment 

American Eagle's assortment app analyzes product relationships to optimize inventory placement and reduce split shipments. The system identifies items frequently purchased together, such as bikini tops and bottoms, or jeans and shorts, ensuring complementary products are stocked in the same location. This approach has reduced average shipping distance by 100 miles per package and significantly improved delivery times. The technology considers both obvious and non-obvious product relationships to maximize efficiency.

• 21:21 Change Management Strategy for AI Implementation

Gabriella emphasizes the importance of humility and collaboration when implementing AI solutions in supply chain operations. Rather than positioning AI as a replacement for human workers, the focus should be on creating tools that empower employees to work more effectively. Success requires understanding existing processes and KPIs from those who know them best, while avoiding jumping to AI solutions without fully understanding the problem. Building trust and relationships proves more valuable than technical expertise alone.

• 27:07 Data Foundation for Supply Chain Innovation

The key to successful supply chain optimization lies in developing a robust data infrastructure before implementing advanced AI solutions. Organizations must focus on digitalizing manual processes and capturing institutional knowledge that often exists only in employees' heads or scattered across emails and spreadsheets. Clean, well-documented data enables more effective modeling and optimization strategies. While not glamorous, this foundational work is essential for any meaningful supply chain transformation.
Episode Resources:

• Gabriella Runnels on LinkedIn
• American Eagle Outfitters Website
• Diego Solorzano on LinkedIn
• Desteia Website
• Supply Chain Optimizers on Apple Podcast
• Supply Chain Optimizers on Spotify

Supply Chain Optimizers is handcrafted by our friends over at: fame.so 

This week, we talked with Michael Watson, an optimization legend with decades of experience. Michael got a PhD in Industrial Engineering and Management Sciences from Northwestern before joining IBM. Afterwards, he founded his own company, Opex Analytics, which helped companies become more efficient through implementing ML. The company was acquired by LLamasoft and later by Coupa software. Ever since, he’s been a professor at Northwestern where he teaches optimization. Supply Chain Optimizers is handcrafted by our friends over at: fame.so