Dan Castle is a true APICS success story. A longtime member, instructor, and leader, he made a very bold professional transition in 2009 and became the chief quality officer for Tata Communications in India. Dan recently transferred to Tata Quality Management Services, a division of Tata Sons, and he is charged with helping to set standards of excellence to achieve improvement goals across Tata enterprises. Because of his new role, Dan was excited to learn that APICS was holding the 2013 Asia Supply Chain & Operations conference April 4–5 in Mumbai. In preparation for the conference, I recently visited Mumbai, and Dan invited me to spend some time with Tata leaders and staff.
It was an incredibly valuable trip. Most impressive to me was how Tata employees I met were ambassadors for Tata Group corporate values. We heard stories about how Tata values, developed over the past 145 years, are sometimes at odds with the business culture in Indiaand the global business culture. The effort Tata leaders have taken to empower every employee to act upon the corporate values of integrity, understanding, unity, excellence, and responsibility has made Tata a recognized economic, social contributor on a global level. That Tata customers appreciate the connection is evident in the fact that the Tata brand is among the top 50 global brands based on net present value.
Brand impact is based on many intangibles, but there is no question it is significant to increasing shareholder value. Therefore, it is an important consideration in supply chain strategy development. Regardless of size, enterprises with values that are closely connected to their brands must take up the challenge of creating supply chain strategy and tactical plans that are consistent with those values. Sourcing, production, and distribution strategy should all be expressions of corporate values, and the decisions that supply chain professionals make day-in and day-out need also to align to these values.
The Tata Group is not the only Indian-based multinational enterprise making this connection. Infosys is leading a newly formed United National Global Compact (UNGC) sustainable supply chain taskforce on traceability. According to the UNGC, the purpose of this taskforce is to develop, “practical guidance for companies on how they seek improved transparency and traceability in their supply chains.” Transparency ultimately reveals whether corporate strategy is true to corporate values.
So what is the best way to ensure that corporate values influence supply chain strategy and execution across an enterprise? Are there compelling success stories? Which companies are best at walking their talk?