Saturday, January 07, 2006

Logistics Leadership Musings

Great leaders relish responsibility and accountability. They inspire others and bring out their best, whether on the warehouse/shop floor or in the executive cubicle.

For supply chain mastery Logistics professionals must work across functions within the organization, with business units throughout the company, as well as partners across the supply chain.

Collaborating with supply chain partners and developing innovative solutions from time to time to optimize logistics and supply chain strategy and operations therefore require strong leadership abilities.

According to practicing professionals a good supply chain leader must span boundaries. A successful supply chain manager must not just be armed with domain and IT skills, he must have a high level of social awareness, and at the same time be accommodating and flexible to lead change that transcends boundaries.

While Leadership is required at all levels in an organization, the warehouse floor and the executive suite represent their own challenges. Each environment has its own set of rules and forces, often non-quantifiable. A leader must understand the surroundings and win the hearts and minds of the team. A great leader is able to bring the best out of each person whether on the warehouse floor or in the executive cubicle.

Call this doomsday Prophecy, you may, if you please, companies in the early 21st century may be on the brink of a leadership crisis. With Baby Boomers about to retire in droves, and other potential leaders downsized or demotivated, any clue as to who will replace them?

"Where the next generation of leaders will come from has given many organizations pause, and a renewed interest in leadership development," opines Dr. Carol J. Dell'Amore, director of the National Leadership Institute at the University of Maryland University College, Maryland, US.

While leadership capabilities are important in all business disciplines, the unique challenges in the logistics and supply chain arena make them a critical part for achieving results.

Logistics functionaries today are not just the playing the traditional role of getting the shipment out of company premises but are giving strategic direction to the company. Further, they must take responsibility for the huge investment that goes into the function and maximize ROI by inspiring their organizations to achieve goals. Ideally, they work on both ends of the equation: drive down cost and improve performance and economy, away from the classical view of savings and only savings.

Dell'Amore has identified the following competencies and skills as a core part of leadership:


1. Vision.

2. Inspiration and motivation.

3. Empowerment.

4. Authenticity.


Mike Finley, a retired Rear Admiral in the Supply Corps of the U.S. identifies loyalty, as a leadership trait -something he believes is not that spoken of but is very powerful. Says Finley, “Leaders who are loyal to the organization, the people they work with, and themselves are a valuable commodity. They understand the power that loyalty and integrity bring and the confidence they instill.”

Leaders are infact enablers quite different from traditional managers. William Pagonis, Head of Supply Chain, Sears Roebuck Co says “Managers today need to be a hybrid, serving as both managers and leaders.”
Rajib Kumar, Offline (The Material World Online Management Journal) Volume-4, No- 2, January 2006

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