Experienced Guidance in Play: A Discussion with Leonard Han, Independent Consultant!
Hey there! We're here to share some amazing insights from Leonard Han, a true industry leader in Supply Chain Management. Here's our rip-roaring interview with him:
Introducing Leonard Han, the mastermind of supply chain strategy
Leonard has been rocking the Supply Chain game since 1983, when it was all about Materials Management and Logistics. He's got the chops, having run businesses across Asia and handling people like a boss, no matter the country or their culture.
He's super practical, knowing exactly how to tackle business and customer challenges, while also earning the respect of everyone he deals with. In fact, he contributed an insightful article for us last year on the Humble Label in Supply Chain – Too many of them are in use!
Now, let's dive into our electrifying interview with this legend!
Leonard on his background and experiences
Leonard kicked off his Supply Chain journey in '83, when it was still called Materials Management and Logistics, supporting Operations to keep the supply chain rolling smoothly. He used inventory models such as EOQ, Safety Stock, Fixed Lead-time, and Demand Forecasting to keep the wheels turning without interruption. Then came MRP, and Leonard got his hands dirty with implementing and using these systems, which eventually expanded to MRPII and DRP.
Since then, he's taken on various roles within the field of Supply Chain, culminating as Vice President of Operations for a Supply Chain company, with experience in Taiwan and China.
Leonard's greatest achievements in the Supply Chain and Business
One of Leonard’s major achievements was being in China in the 1990s to the early 2000s. During that time, he helped create a Supply Chain model that took advantage of flexible, low-cost manufacturing capable of meeting high-volume demands and customizing products to meet the specific needs of different markets. Products were customized and shipped directly to stores or consumers – way ahead of the eCommerce trend.
However, there were some constraints – the model was ideal for high-volume demand consumer products that required customization, the products had to be lightweight for quick air-freight, and it worked better before the relentless proliferation of eCommerce.
How the Supply Chain has evolved throughout Leonard's career
Back in the day, the Supply Chain was focused on managing the supply, with demand assumed to be fixed, and little thought given to customizing products. Fast-forward to today, and it's all about delighting our customers by managing demand and creating customized solutions.
In the past, manufacturers followed economies of scale principles with large lot sizes. Now, creation happens in smaller batches tailored to meet specific needs. In essence, we've shifted our focus from ensuring operational efficiency to meeting consumer demands faster.
Lessons Leonard learned and wants to share
Throughout his career, Leonard has recognized several important lessons:
- Changing Supply Chain models and expanding roles within companies have become increasingly common. Big players like HP and IBM have taken on the role of fulfilment houses or Supply Chain service providers, while traditional retailers like Amazon now own grocery stores like Whole Foods.
- Embracing change wasn't always welcomed, but those who embraced it succeeded – just look at Fedex pushing into freight forwarding in the early days. By going bold and venturing into bulk freight, they became trailblazers and thrived.
Challenges facing the world Leonard is passionate about
Leonard is deeply concerned about trends skewing towards mass customization and prioritizing speed over efficiency. The convenience of eCommerce has taken out the middleman, bringing lower prices to consumers, but at a cost—inefficiencies, waste, and unnecessary packaging.
Rather than just tearing down traditional brick-and-mortar retail, we should be focused on reducing waste and inefficiencies in this new trend of mass customization and speedy availability. Otherwise, we'll just replace malls with wasteful forward stock locations and return goods locations opened 24/7. It's a trade-off that needs careful consideration.
Role of Supply Chain and Change Leadership in addressing challenges
With a keen eye on waste reduction, Supply Chain leaders and business leaders are recognizing the need to address inefficiencies. Policymakers need feedback from businesses to ensure the viability of new solutions, such as:
- Using Pop-up Boxes (like post office parcel pickup spots) for more efficient product delivery.
- Utilizing data to better predict consumer buying patterns, preferences, and habits.
- Planning forward stocking locations (FSLs) for consumer goods. In the past, FSLs focused on supporting operational up-time, but in the future, they'll provide the materials needed to quickly meet customer demand.
- Implementing more efficient routing strategies, such as examining ground transportation options to replace air freight.
What Leonard is working on these days
Leonard is now freelancing and working with companies on Supply Chain models, primarily focusing on supplies from China, the major hub of supply for Asian markets.
Advice for those seeking a career in the Supply Chain or considering joining it
The Supply Chain landscape has drastically transformed, shifting from a supporting role to the main role in businesses. Personal ambitions within the Supply Chain should focus on embracing this new reality, becoming data-savvy, and understanding how to turn data into valuable supply chain models that boost efficiency for companies.
How to reach Leonard
You can contact Leonard Han through his LinkedIn account at https://www.linkedin.com/in/leonard-han.
Takeaways: Get ready to learn, grow, and take on the Supply Chain world like a boss, just like Leonard Han!
- Leonard Han's expertise in Supply Chain Management spans over four decades, starting with Materials Management and Logistics, and today, he freelances to help companies optimize their supply chain models, particularly in sourcing from China.
- Leonard Han's career highlights include his work in the 1990s and early 2000s, where he developed a Supply Chain model that combined flexible, low-cost manufacturing with high-volume demands and customized products.
- For those seeking a career in the Supply Chain, Leonard advises embracing the transformation from a supporting role to the main role in businesses, becoming data-savvy, and understanding how to turn data into efficient supply chain models. To connect with him, visit his LinkedIn profile at https://www.linkedin.com/in/leonard-han.
