Chairperson’s Opening Address

Expanding Scorecard Processes To Optimize Partnerships With Asian Suppliers

Laura Wittman Vice President, Corporate Compliance and Human Rights Jones Apparel Group Inc.

Jones Apparel began monitoring its factories in Asia in 1996 and, since then, the company has vastly expanded the scope of its scorecarding process, forging stronger partnerships with its Asian suppliers. While the company scrutinizes health and safety, wages, hours and child labor, Jones Apparel has now moved into a remediation phase, working more closely with factories advising them on their management systems and trying to understand the root causes of violations, should they happen.

• Realizing the cultural differences between US and Asian work culture and working sensitively to bring objectives in line
• Maintaining open relationships with preferred suppliers to dig deeper and identify issues of human resource management and conflict resolution
• Offering training to middle management in factories where staff may not have been previously exposed to expert knowledge
• Being fair and realistic about expectations – if you change your order mid-way through production without allowing for an adjusted delivery date then you risk compromising your supplier as s/he struggles to find workers to meet your deadline
• Understanding the retailer’s imperative to have all of their order at the assigned delivery date and the particular consequences for your industry should you fail

Optimizing A Global Transportation Network For Speed, Agility And Cost- Efficiency

Razat Gaurav Vice President and General Manager, Global Logistics Business Unit i2 Technologies

Continued adoption of the “source anywhere, sell anywhere” business model, combined with macro-economic trends like fuel price increases, cyclical transportation capacity challenges and regulatory mandates are making global logistics a more strategic business function. At the same time managing uncertainty and risk inherent in international freight flows is becoming increasingly important in today's business environment. Razat describes a framework for creating a closed-loop transportation management process infrastructure, addresses best practices related to managing global transportation operations, and outlines critical ingredients for achieving speed, agility and cost efficiency. Also, a case study will be discussed to highlight how a global consumer products company is putting these ideas into practice.

Panel Discussion: Outsourcing In Asia – Guaranteeing Delivery Of Quality Product

	Jerry Darby Senior Vice President, Operations Combe Inc.
	Ellen Martin Vice President – Business Systems VF Corp.
	Laura Wittman Vice President, Corporate Compliance and Human Rights Jones Apparel Group Inc.
	Tony Zasimovich Vice President, International Services APL Logistics

While more and more companies are choosing to outsource in Asia, even global leaders are not immune to the associated risks, as seen recently by the recall of 1.5 million toys by Mattel, who suspected their products might be coated with lead paint. How can companies build long-lasting and transparent relationships with factories to prevent this kind of public relations disaster? And what are some strategic decisions companies can take to help mitigate the other challenges of producing overseas, particularly with much longer lead times?

• Establishing vendor scorecards for outsourced manufacturers, assessing their treatment of workers and quality during the production process
• Choosing manufacturers with factories located near major transport routes
• Placing distribution centers near factories to speed deliveries and remain close to this vital business function
• Managing 3PLs on both sides of the ocean, striving to retain visibility at all times
• Encouraging positive corporate citizenship at the manufacturing and receiving ends of the value chain based on the potential repercussions if you do not
• Searching always to reduce lead times

Interactive Roundtable Discussions

We break out into sessions so you can interact and get answers to your most pressing transportation and global logistics challenges. The goal of these interactive roundtable discussions is to help both suppliers and retailers grasp real solutions for improving their supply chains. Each table is led by an expert to ensure you leave with a balance of practical and strategic know-how. The roundtables are also an optimal time to network. Topics to be discussed include:

• Realizing The Understandable Goals Of Government Regulations Yet Urging Policymakers To Keep Business In Mind And In The Loop When Setting Mandates
• Capacity Crunch Or Poor Planning? What’s The Real Reason For Freight Shortages?
• To Fleet Or Not To Fleet, That Is The Question; Outsourcing Or Insourcing

The Current Landscape Of The U.S. Freight System: A Short-Term And Long-Term Perspective

Anthony Furst Director, Office of Freight Management and Operations Department of Transportation

Every logistics expert knows that increasing freight flows are resulting in a significant impact on the US road system, putting pressure on carriers as they navigate their way through clients’ expectations and unpredictable capacities. Anthony Furst of the Department of Transportation shares with participants the current landscape of this issue and some of the challenges moving forward. What is the role of the private sector and government from the federal level to the metropolitan planning organization level?

• How will the U.S. road system look in the future? How will goods be moved in 2020?
• What can be done to help relieve the congestion as more trucks are on the road?
• How are the public and private sectors collaborating to use technology or operational improvements with a view to achieving a more efficient and productive transportation system?

Balancing The Benefits Of Outsourcing With The Drawbacks Of Product Quality

Corwin Karaffa Vice President of Supply Chain Authentic Specialty Foods

When Cor joined Authentic Specialty Foods (ASF) in 2004, his first task was to assess the company’s existing manufacturing capability and determine whether or not outsourcing our manufacturing was a correct strategy. ASF shut down its manufacturing arm in November, 2005, and the company now outsources 100% of its product procurement, though Cor still maintains contractual control of a number of the raw and packing material supply processes. At the same time, he also took ASF’s outsourced logistics process and brought it back in-house. Cor provides an in-depth and balanced case study assessment of the pros and cons of outsourcing in various business units.

• Ensuring that you never lose control of your product quality based on the fact that you are outsourcing its production
• Understanding that outsourcing was always about saving costs and keeping the same quality – it was never meant to be a trade-off
• Realizing that the value of your brand is always on the line; and even more so when it is in someone else’s hands
• Understanding the inherent differences between product manufacturing and various other outsourcing relationships - For example: IT services, transportation management etc.
• Realizing that outsourcing is potential cancerous if you attempt to outsource problems as opposed to creating value through your strategic outsourcing relationships

Collaborative Transportation Management – Creating Value Through Increased Transportation Efficiencies

Joel Sutherland Managing Director - Center for Value Chain Research Lehigh University

The process of collaborating in the transportation area, particularly full truckload transportation, is called Collaborative Transportation Management (CTM). CTM is a process that brings shippers, receivers, and transportation service providers together for the sake of “win-win-win” outcomes for all participants. While CTM has been around since the mid-90s it’s been like the weather: Everyone talks about it, but no one does anything about it. That is, until recently. With fluctuating carrier capacity, rising fuel costs, port congestion, driver shortages, increased security concerns, confusion over hoursof- service regulations, and increasing lead-time variability, more trading partners are taking real steps towards serious collaborative transportation relationships. Joel provides a clear definition of collaborative transportation, what some of the key benefits are, and include a compelling business case for taking action.