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A purpose-driven supply chain is one where everyone understands the purpose behind what they do every day, and how they bring value to the consumer, according to Lori Shaffer, vice president of global nonwovens at Kimberly-Clark.
“Our purpose is to deliver better care for a better world,” Shaffer says. “And for that to be a powerful tool within any organization, people have to understand what it means to them on a personal level, and how the role they play in the supply chain contributes to delivering that purpose. Because at the end of the day, it really should inform strategic decision-making.”
It works at a personal level, Shaffer says. Kimberly-Clark’s chief executive officer, Michael Hsu, started encouraging a sense of wider purpose at the organization by sharing his own personal story, then asked senior leaders to do the same. “And then we cascaded it down all the way to the shop floor to our hourly employees,” Shaffer says. “And the people who work in our manufacturing facilities look at that purpose and they say, ‘We're actually making the materials that provide that better care.’” That has led to innovative programs that, for example, have sought out alternative materials that contain less plastic, or that can be manufactured with a lower carbon footprint.
A sense of purpose translates into many positive outcomes, including making a company’s brand more attractive, Shaffer says. When you put something in your cart at the supermarket, you’re typically choosing it because it represents something that you care about. “People choose things because they're sustainable, or because they're known for being high quality,” she says.
Focusing on the personal also helps build strong relationships between internal and external collaborators in the supply chain, Shaffer says. “We do joint objective-setting with our partners across the supply chain, because it allows us to understand not only what we're trying to accomplish, but what they're trying to accomplish.”
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