Impact Of Digital Transformation On Supply Chain

Johnny Ivanyi is currently works as a Global Head of Distribution Operations at Bayer. He is responsible for leading the Global Distribution Operational Excellence strategy and transforming logistics across the regions by identifying, assessing, and implementing innovative, best-in-class strategy methods and new technologies such as Global Transportation Management Solutions (TMS), Global Warehousing Management Solutions (WMS), Last Mile Visibility, and Logistics Smart Centers, including Business Intelligence and Data Analytics. Additionally, Johnny oversaw transformation efforts that resulted in cost savings, distinct customer experiences, and a competitive edge while fostering strong stakeholder connections and creating external collaborations.

“We at Bayer are focusing on how we can improve the end-to-end experience for our customers”

In an interview with CIOReview Magazine, Johnny Ivanyi, Global Head of Distribution Operations at Bayer talks about evolution of supply chain management due to digital transformation.

What are some of the key aspects Bayer focuses on?

Bayer is a Life Science firm with a more than 150-year history and primary capabilities in the fields of health care and agriculture. The corporation currently focuses on three key aspects in terms of global distribution.

First and foremost, we are concentrating our efforts on digital transmission and the installation of new systems to support digital day-to-day business activities. So at, Bayer we are deploying and expanding the TMS transportation management system in partnership with a partner, Blue Gender, which is a market leader in its field. Currently, TMS is available in more than 25 countries, with plans to expand to another 20 in the near future. As a result, by the time this deployment comes to a close on February 23, we will touch about 90 countries using TMS technology. 

This will help in the integration of the transportation process, from planning to execution of payment incorporated within a tight formation. Getting real-time visibility into delivery in the final mile is the second pillar on which we are concentrating our efforts in three geographic regions: North America, Asia Pacific, and Latin America. And at the end, the most important aspect we are focusing on is summarizing the data and insights the to analyze the company's performance. Having a holistic understanding of the organization help in the continuous improvement of the organization's performance. Moreover, one can also evaluate customer experience, which helps maintain long-term relationships with clients.

How has the supply chain industry evolved through the years?

International logistics is the most significant development we are seeing in the supply chain right now. Two years ago, our primary focus was on the domestic market and bringing a product to market directly through our client. However, as the business evolves, we must now examine how we transport raw materials between the various regions and countries we have throughout the world. So, as a firm, we at Bayer are focusing on how we can improve the end-to-end experience for our customers.

What would be your piece of advice for your fellow peers and leaders?

One of the most important pieces of advice is emphasizing employee knowledge transformation rather than focusing solely on system and process enhancement. Employees' poor knowledge of new implementation will not provide any form of advantage to the organization. Therefore giving proper training for employees is essential in organizational transformation. Additionally, change management remains a crucial component in supply chain organizations for any new initiative, deployment, or restructure as it is required to overcome the inertia that people exhibit when they are not involved in the decision-making or driving of the change and have no notion how they will be impacted.