How Clorox is establishing a future-fit supply chain

Mauricio De la Peña, vice president, Supply Chain Services & Transformation, recently joined the Supply Chain Now podcast to share his view on digital transformation, aligned with how Clorox is establishing a future-fit supply chain as part of our enterprise Supply Chain strategy. He also discusses the importance of upskilling teammates to help drive long-term growth and innovation across the business. The result is a supply chain that is a competitive advantage for Clorox, designed to better serve consumers, customers and the business for years to come.

Highlights from Mauricio’s interview

What is the top challenge in implementing digital transformation in the supply chain?

The biggest challenge in any digital transformation is humans. Success depends on whether teammates are ready to embrace new ways of working and clearly understand what’s in it for them. If people don’t adopt the change, even the best technology investments will fail. Organizations must focus on building the right behaviors, habits and incentives to support the transformation.

What is one key lesson learned from digital transformation efforts?

One of the biggest lessons is that you can’t simply throw more money or technology at a problem. When organizations respond to challenges by adding more tools, they often add complexity.

Successful transformation starts with reimagining business processes and then aligning technology to support those processes. Equally important is investing in change management and helping people adapt to new ways of working.

For companies like Clorox with long histories and deeply embedded legacy systems, transformation must also be prioritized. It is impossible to modernize everything at once. Leaders need to focus first on the initiatives that deliver the greatest value for customers and consumers, then sequence future investments.

How is AI transforming the way supply chain teams operate?

Artificial intelligence, predictive analytics and digital technologies are fundamentally changing how supply chain teams work. Many routine and repetitive decisions can now be automated, allowing supply chain leaders to focus on higher-value decision making.

As a result, the role of supply chain leaders is shifting from making only day-to-day operational decisions to exercising judgment, providing strategic guidance and enabling better decision-making. This evolution is driving greater speed throughout the supply chain.

Interestingly, organizations adopted digital tools because the world was moving faster. Now, those same tools are accelerating the pace, so it’s a self-fulfilling prophecy.

What new skills do supply chain leaders need?

The role of a supply chain leader increasingly requires an end-to-end business perspective rather than a narrow supply chain focus.

The lines between supply chain, IT, sales, finance, and operations are increasingly overlapping. Effective leaders must understand how decisions impact the broader business and collaborate across functions to drive outcomes.

The future supply chain leader will be less of a functional expert and more of a business leader.

Want to learn more? Listen to the full podcast here.