In an interview with RETHINK Retail, Roger Mayerson, Senior Vice President (SVP) Industry Principal for Apparel and Soft Goods (ASG) at Logility, discussed the evolution of supply chain solutions, sustainability practices, and how digital tools can help retailers optimize their global supply chains.
Logility’s Origins: From Academia to Industry
Logility’s roots trace back to a dissertation at Georgia Tech almost 50 years ago, leading to the development of their original planning software. Today, Logility offers end-to-end supply chain management solutions, helping companies with everything from planning to execution. Mayerson, who has been with Logility for over 14 years, shared that the company’s evolution stems from its ability to integrate its divisions under one umbrella, offering comprehensive supply chain solutions.
Key Strategies for Successful Vendor Management
When asked about managing global vendors, Mayerson highlighted three key areas: proper vendor onboarding, good manufacturing practices, and corporate social responsibility. Logility’s vendor management solution helps companies onboard suppliers at various tiers of the supply chain, ensuring transparency and accountability, particularly in sectors like apparel.
Successful vendor management happens in three core areas: proper vendor onboarding, good manufacturing practices, and corporate social responsibility.
“We have a solution set called vendor management. And basically it starts with bringing on not only tier-one vendors, but then the other tiers of suppliers,” Mayerson explained. This depth of visibility is crucial for addressing sustainability and ethical sourcing.
Implementing Holistic Supply Chain Solutions
“The direction that companies should be going is bringing on a platform that is holistic and able to see all the different pieces.”
Mayerson emphasized the need for a holistic view of the supply chain to ensure transparency, quality, and sustainability. Many retailers struggle because they use siloed solutions—one for quality assurance, another for traceability. “I really believe the direction that companies should be going is bringing on a platform that is holistic and able to see all the different pieces,” Mayerson explained.
One example he provided was a Logility customer that onboarded vendors using five “swim lanes” simultaneously, covering everything from corporate responsibility assessments to good manufacturing practices (GMP). By aligning with GMP, retailers can work with vendors on continuous improvement initiatives.
Leveraging Digital Tools for Corporate Responsibility
Retailers are increasingly adopting digital tools and analytics to track their social responsibility goals. According to Mayerson, there are multiple frameworks for corporate responsibility, such as the Social & Labor Convergence Program (SLCP), which Logility integrates into its solution. This allows retailers to monitor progress and ensure compliance with sustainability benchmarks.
“With a holistic report card, we evaluate a vendor, factory, or supplier on corporate responsibility, quality, and testing.”
Mayerson explained that “with a holistic report card, we evaluate a vendor, factory, or supplier on corporate responsibility, quality, and testing.” Color-coded analytics help companies spot issues, providing insights to collaborate with vendors on corrective action plans.
Addressing External Supply Chain Challenges
Supply chain transparency is critical, but managing external factors like political circumstances or logistical issues adds complexity. Mayerson noted that cultural differences could impact what is acceptable in different regions. For instance, labor practices that are standard in one country may conflict with a retailer’s ethical guidelines.
By leveraging digital tools to monitor suppliers, retailers can ensure compliance without disregarding regional norms.
The key, Mayerson suggests, is balancing local cultural realities with global corporate responsibility standards. By leveraging digital tools to monitor suppliers, retailers can ensure compliance without ignoring regional norms.
Engaging Gen Z and Millennial Consumers
As Gen Z and millennial consumers increasingly prioritize brand transparency and social responsibility, retailers need to communicate their efforts effectively. One way to achieve this is through QR codes on products, where retailers can relate key metrics to customers. According to Mayerson, this “gives the customer confidence that you are doing due diligence with your supply chain.”
“You need to come up with a graphic or visual way of showing [customers] where you stand against the average or the baseline.”
He further emphasized that “you need to come up with a graphic or visual way of showing them where you stand against the average or the baseline.” This allows retailers to present supply chain data in an easy-to-understand format, building trust and demonstrating their commitment to responsible sourcing.
Mayerson shared that some of Logility’s customers are already using QR codes in garments and shoes, giving consumers a direct view of the product’s journey.
The Role of Capacity Planning in Sustainability
“One of the biggest reasons for non-compliant corporate responsibility at the factory is overloading.”
Another critical factor in maintaining corporate responsibility is managing factory capacity. “One of the biggest reasons for non-compliant corporate responsibility at the factory is overloading,” Mayerson noted, as factories may take on more work than they can handle, resulting in missed deadlines, excessive overtime, or the need to subcontract to non-certified suppliers. Logility’s supply planning solutions help retailers balance supply and demand by ensuring factories are not overwhelmed.
Additionally, Logility’s network design and optimization solutions allow retailers to review their entire supply chain network, ensuring manufacturing and logistics are optimized for efficiency and sustainability.
To learn more about Logility and their supply chain management solutions, visit their website or register for LogiCon24, an On-Demand Global Virtual Summit where you’ll find a combination of on-demand sessions, content, and videos – all accessible from your own space.
