The Digital Supply Chains of the Future with Prem Kumar, IBM Consulting

Conversation with Prem Kumar, Global Supply Chain and Sustainability Leader with IBM Consulting discussing the latest developments in digital supply chains and which supply chain technologies will be key to the future.

In this episode of Interlinks, we talk to Prem Kumar, who is the Global Supply Chain and Sustainability Leader at IBM Consulting.

Prem is an experienced management and technology consulting leader who advises the executive management teams of client companies through complex business and technology solutions implementation.

Prem’s professional career stretches back to the late 1990s and he has been with IBM for 12 years. Prem is originally from India, and lived for several years in Singapore and has been based in Dublin, Ireland, since 2020, 

Click here to read full transcript

Patrick Daly:

Hello, this is Patrick Daly and welcome to Interlinks. Interlinks is a program about connections, international business, supply chains, and globalization, and the effects these developments have had on our life, our work and our travel over recent times. Today on Interlinks, we will be talking to Prem Kumar, who is the global supply chain and sustainability leader at IBM global services. Prem is an experienced management and technology consulting leader who advises the executive management teams of client companies through complex business and technology solutions implementation. Prem’s professional career stretches back to the late 1990s. And he has been with IBM for 12 years. Prem is originally from India, but he’s lived for several years in Singapore and is now based in Dublin since 2020, and delighted to have you here with us today Prem, you’re very welcome.

Prem Kumar:

Hey, thanks. Thanks Patrick. Pleasure.

Patrick Daly:

Likewise, so just to get kicked off, could you tell me a little bit in overview about your background and your career to date?

Prem Kumar:

Okay, sure. So I started off as a chartered accountant by education background. And when I looked at my career, it was starting off in audit and consulting with Deloitte, where I used to get involved in the typical routine of statutory audits, tax audits, internal audits, process improvements, right? Any kind of business process, re-engineering kind of advisory engagements that were there initially. And when I completed my education, surprisingly, I moved into the information technology space. So I moved into one of the product development companies in India, where they were moving on from developing their ERP, which was in client server based architecture to a service oriented architecture. So they were moving in from the client server to the web application. So I was part of the development team around 40 plus members of the product development team, working on developing modules in the ERP space, across finance, supply chain manufacturing, so on and so forth.

              So that’s how I started my career in IT, I should say. Where we went on to build the product, and then I was also involved in implementing these solutions to clients across the globe. So I started off in ERP, I should say from then on, I was involved in multiple roles being in product development, product management, within the ERP space, across the Indian IT services. And then I kind of switched gears into the exciting space of business intelligence and analytics. So that’s a transition that I made while have been in the ERP implementation space, moving in from there to get involved in the exciting space of data, warehousing BI analytics.

              So where I was focused on providing solutions for clients in the enterprise performance management space, I should say. So that’s how I started off with which typically had solutions for clients around planning, consolidation, statutory reporting, so on and so forth. So that’s where I started my journey into the BI or the analytics space from then on. I think there’s no looking back, have been playing multiple roles across both the Indian, global ID providers, as well as some of the American multinationals. So I’ve been with IBM for about 12 plus years. You alluded to earlier where I have been part of the global center of competency initially, which again, focused on providing analytics based solutions to clients, both in the finance supply chain space, which is again, cross sector for us.

Patrick Daly:

So lots of people associate IBM with the personal computer, I guess obviously enough, but quite a few years ago now IBM adopted a services strategy that some people still might not be fully aware of or familiar with. So what exactly does IBM global services do now?

Prem Kumar:

Okay. So typically yeah, people think IBM is mainly into hardware, but nevertheless, IBM has hardware’s providers and then it also provides software and services. So I’m part of the arm, which is services arm. It’s been rebranded to IBM consulting now, it used to be called global business services before. So what we typically do is we advise clients in their overall journey across various areas. So be it business transformation services, be it hybrid cloud management that they would want to embark on. So very kind of services provided across a spectrum of portfolios that we have. So we are not just the hardware sellers. We also provide typical consulting services for our clients across the globe.

Patrick Daly:

And your job title now is global supply chain and sustainability leader. So what are your main responsibilities in that role and what is the sustainability element to the role?

Prem Kumar:

Okay. So I’m part of one of the organizations within IBM consulting called [inaudible 00:06:27]. So we play a role in the presale cycle where we typically work with our sellers and our clients in terms of providing solutions to our clients across various areas that I just talked about before. So my role within global [inaudible 00:06:48]. Is to focus or provide services in the area of supply chain and sustainability, which is again to do with products that IBM has in terms of the capabilities that we are talking about in supply chain, but also working with our ecosystem partners in terms of looking at what’s the client landscape and typically what are their investment priorities?

              So we would work in both providing services that are focused around IBM technologies plus non IBM technologies. So let’s say for example, in the area of supply chain, a customer wants to embark on an NextGen planning functionality. And we would look at that as a pure play consultative client look at what kind of investments do they have and advise them in terms of which could be the best technology that is suited given their current profile and their overall vision and goals. So that’s, that’s typically my profile within IBM consulting now within global solution.

Patrick Daly:

Okay. And you’re originally from Southern India, as we said earlier, you’ve lived and worked in Singapore and now you’ve been here in Ireland for a couple of years. So with that experience, what kind of attributes do you think are needed to be successful working internationally in that way? And how has living and working outside India changed you over the years?

Prem Kumar:

I wouldn’t… So the way I would probably answer that is even while in India, I have played global roles. So have been a consultant all through my life. So have been traveling, advising clients across the globe, wherever needed. But I would say that being in the global role based out of India, versus some of the regional roles that I have played gives you the dimension that is needed to look at it from a different perspective, right? So while you are servicing clients from India, it’s a different lens that you have, or it’s a different hat that you wear, but being in the market, working very closely with the clients and then providing services that are relevant to them makes even more sense, right? So the different roles that I’ve played have actually given me that perspective and dimension to look at it from different lenses. And that has probably helped me play different roles within IBM, I should say, or even in some of the only organizations that I worked before.

Patrick Daly:

And what has been most different or unusual for you coming to live in Ireland? Having always lived and worked in India, Singapore. So I guess it is Asia of one, one part of Asia or another part of Asia.

Prem Kumar:

I think that there are many, but I’ll probably call out two things, right? So one is the culture. The second is definitely the weather. So I transitioned into Dublin during the pandemic and in a way moving during the COVID pandemic has been more of a blessing for me, rather than I should say a detractor. It helped me kind of settle with my family at ease, given the way we used to work working from home, right? So IBM has been as a company being used to hybrid work, even I should say 10 years before. So IBM was able to quickly transition and move most of the work that was done in a hybrid way to complete remote, I think without much hindrance at all. So that kind of helped me and I’m kind of getting to understand the European ways of working now, so.

Patrick Daly:

So your clients typically, what kind of companies are they and what would you say about how they are better off after working with you?

Prem Kumar:

Okay, so the client organizations fall under different tiers as we may call. So it could be one of the top 500 in the world, or even companies that are embarking on their digital transformation or supply chain transformation or sustainability initiative. It could even be in a small and medium segment as well so our clients are very varied. Depending on the journey that they would want to embark on, we kind of work with multitude of clients so across sectors. So be it pharmaceutical, be it a CPG company, be it a manufacturing company. So depending on the kind of solutions that they’re looking for and what we can provide to them, it’s across the board, I should say. So it’s kind of really varied.

Patrick Daly:

I noticed when I was doing some research on some of the services that IBM talks about, intelligent workflows and smart supply chains. So could you give us an example of what they are and what maybe it takes for an organization to move from the conventional way of doing things in terms of supply chains and workflows to that kind of intelligent and smart future?

Prem Kumar:

Okay. So in my view, in my personal view, I should say. The best supply chains are ones with the highest resiliency, right? So if you look at the traditional supply chains, they are kind of built with structured and defined set of processes, right? So when you think of re resiliency, I would say that the workflows that are there should be more fluid and flexible, and it should be able to adjust to the changing dynamics as we have seen with the COVID 19 pandemic, right? So you don’t know what is going to hit you unless you know there is this particular link that’s going to break and you don’t know that, right? So intelligent workflows play a kind of a major role there in terms of kind of connecting all these dots, I should say. So typically what happens is that it is an orchestration of multiple things, automation, AI analytics, and the skills that are needed to fundamentally change or look at how the work gets done.

              So they are, in my view, again, different from the typical processes that you will have, they are the backbone of any organization. The processes are the backbone of any organization. But I would say that intelligent workflows are like the nervous system. It kind of extracts information, senses the demand that is needed for you to do your job well, and then respond to the right people at the right time, thus helping make the right decisions, right? So intelligent workflows align and integrate all these different processes within your overall ecosystem. And that’s the kind of benefit or advantage that comes up with leveraging intelligent workflows in many of the large transformational opportunities that we had.

Speaker 3:

93.9, Dublin South FM.

Patrick Daly:

What role do the emerging technologies say, technologies like cloud computing, the internet of things, AI, blockchain, big data and analytics. What role do they play? And which of those technologies do you think are maybe the most significant ones?

Prem Kumar:

Okay. So there’s been a recent study by Gartner that said artificial intelligence, the business value that it’ll create is two and a half times amounting to about USD 5 trillion by 2025. If you look at some of the other emerging technologies, for example, IOT, right? Again-

Patrick Daly:

Internet of things, right?

Prem Kumar:

Internet of things. Yes. Thank you. Internet of things. And blockchain are, again anticipated as I should say, game changers, Revolutionizing different sectors at play to it. So I would say that AI, internet of things, blockchain, are some of the emerging technologies that are being tried and tested by different sectors across a multitude of use cases, I would say, and they are being tested as we speak now, which again, looks at, for example, how do I implement a food supply solution for a smart and a safer food system?

              One example of a use case that you might see, which again, is something first of a kind where you are bringing in, not just this from a single organization’s point of view, but bringing in the multi enterprise networks, it’s a network of networks. So it is going to be industry wide where people are looking at, “Hey, I’m not looking at this from my company’s perspective, but how do I transform my industry, working with many of the players or ecosystems that I always truly, and very well connect to.” Right? And that is the change that I’m seeing in the recent past several years, where there are POCs, pilots that are being done to really test and prove the value that it’ll create in helping, not just companies, but humans at large.

Patrick Daly:

And what do you envision the global supply chains will look like say from the point of view of, from that technology perspective in the future, when these technologies are kind of everywhere, when they’re ubiquitous. So let’s say, I don’t know how long, maybe 5 years, maybe 7 years, maybe 10 years, what will those future supply chains look like?

Prem Kumar:

I think digital transformation should be the key for many of these supply chains to react and respond to market events that are happening rapidly around us, right? So if you look at… If I break the overall supply chain landscape, you have a typical planning capabilities that you need to bring to the front. You also need to also look at how do I execute my operations and how do I integrate all my operations across the gamut of supply chain, right? From the procurement of [inaudible 00:18:47]. To how it is being delivered to a customer. There are so many intermediaries in between, right? That I need to manage both efficiently and also understand if there is an blockage in one of the node, how do I even [inaudible 00:19:07]. In that upfront? Right? Rather than waiting for the event to happen, how can I predict some of these events?

              So it, again spans across multitude of technologies or capabilities. So you would need analytics. You would need, I would say, automation to be there. You would need to probably look at how do I bring or embark on a digital transformation. That again helps in having the data that is needed to help transform every single organization from where they are today to where they want to be. So I think that will be my view in terms of… It’s an ever changing landscape. I should say. If you look at even blockchain, there are so many new technologies that are coming in today, which will again, come in the next two, three years, right? Because it is being tried, tested and proven to see what kind of value that it adds in my overall journey.

Patrick Daly:

It sounds like, say for example, you have companies that have capability in using AI to analyze lots of complex data of supply chain events that are happening around the world. And they’re able to advise to improve decisions, or maybe even automate some types of decisions. It sounds like the gap between those companies that are able to make that transition quickly and effectively, and those that don’t, the gap between the best and the rest is probably going to get wider. It sounds like that.

Prem Kumar:

It is wider today. So what we are seeing is while everybody talks about digital transformation, it’s not easy, right? So you need to also have the right set of budgets and investments that you have to provide to embark and successfully lead all these transformations. So what we are seeing is when we are talking to the line of business owners, there is a immediate need for them to integrate all the capabilities that they would need in the supply chain. But you are not going to implement all of that in one go, right?

              So you take a step by step approach in terms of looking at what is the immediate pressing need for me, what is the area that I should focus on, finish that first, right? And then scale from there. So the kind of model that we work on is when we start to work with clients, we co-create work with them to understand what the pain points are. And then we move into the [inaudible 00:21:58]. Phase, working alongside them, and then implementing some of the immediate rail challenges that they need. It could be a minimum viable product that’s needed in the short term, and then look at how do we cooperate as we move on so that’s the kind of model that we typically work on when we work with our clients. So it’s not one size fits all. It varies by clients, by sectors, but that’s our go to.

Patrick Daly:

Yeah. And again, when I was looking at some of the… Doing some of the research and IBM were talking about pursuing both efficiency and resiliency, and you mentioned resiliency earlier in this interview, and we know that companies have been focused on efficiency forever, or at least they say they are, whether they actually are or not is another thing. But now in the wake of all the disruptions such as the trade wars and natural disasters and COVID and war, as you said, companies are advocating the pursuit of resiliency, but it seems on the face of it that pursuing efficiency and resiliency at the same time implies some sort of a conflict or a trade off because they kind of go against each other, don’t they? So how have you see this kind of manifest itself in the real world when executives are trying to make decisions about these trade offs? Have you seen that and how does that happen in the real world?

Prem Kumar:

So again, you touched upon it, so it’s again, you are not going to accomplish everything at one go. So depending again, on their, I would say immediate need, we either target to look at what are the key drivers that they’re looking for and which are the ones that we need to tackle on. So for example, in the area of supply chain, you would have supply chain risk management, right? So while if the client has a good capability around their planning solution, and then they’re looking at understanding what is the linkage that’s going to break and how do I kind of mitigate that? Then they embark on the risk and resiliency aspect of how do I better prepared and leverage the operations that I need to hold.

              So that’s one view, but if you’re looking at efficiency, again, both of this may or may not go together at one goal, so you focus on the near term, immediate need, and then try to do whatever you can accomplish, given the various parameters that you need to cover, and then move on to the other aspect later on. So even in large transformations, it again takes about five to seven years for them to get to where they want. But the immediate MVP that we are looking at is probably in the near term, which is like eight months. What kind of business value that I can add to my client, and then really focus on that, which probably gives them a way to move faster in a specific set of capabilities that they were looking for, and then move on as they [inaudible 00:25:26].

Patrick Daly:

Okay. As we come into the last few minutes of the interview, I might ask you some questions that are not work related, just about you as a person. So when you’re not working and so on, what kind of things do you like to do in your spare time?

Prem Kumar:

Mm. I typically go for a walk with my spouse, then play with my kids.

Patrick Daly:

And are you-

Prem Kumar:

That’s the kind of routine that I have.

Patrick Daly:

Sure. And are you reading or listening to anything lately, like eBooks or audio books, podcasts that you would recommend that you find inspiring?

Prem Kumar:

I use [inaudible 00:26:05]. App, given the digital revolution, it kind of gives you in a nutshell, a particular story or a book in an about 10 to 15 minutes timeframe. So you can listen to some of the stories that you’re looking for across various range of topics, but I have been advised or recommended by one of my friend it’s called, “Atomic Habits.” That I’ve just started to go through. So what it actually does is it gives you an easy and proven way to build good habits and break the bad ones. So I liked this particular one really well, and I’m just looking at what’s there in it for me, I’m sure it is relevant for all of us. We do have the bad ones. How do you get out of that?

Patrick Daly:

Yeah, it sounds good.

Prem Kumar:

[inaudible 00:27:06]. Bad habits

Patrick Daly:

Sounds interesting. There’s another book called, “The Power Of Habit.” I think it’s by, I think it’s Charles [inaudible 00:27:13]. “The Power Of Habit.” Which is actually very good as well, and it helps you to slowly build up the good habits and whittle away the bad ones. So yeah, that’s good for all of us.

Prem Kumar:

This one is by James Clear, “Atomic Habits.”

Patrick Daly:

Excellent. James Clear, “Atomic Habits.” What did you say the name of the app was that you mentioned

Prem Kumar:

[inaudible 00:27:35].

Patrick Daly:

[inaudible 00:27:36]. Okay, excellent. So where can people find out more about IBM global services and particularly the supply chain side of your services?

Prem Kumar:

If they’re looking at the global website of IBM, they would probably get a view of what sort of solutions we have in the supply chain space and even sustainability space. So you would have dedicated pages for the type of solutions that we provide, the kind of products that are there across both supply chain and sustainability. So we’ve made some recent acquisitions in the sustainability space now, which is called [inaudible 00:28:18]. So we are leveraging capabilities of [inaudible 00:28:21]. Plus our IBM consulting capabilities that we are taking to the market in terms of providing services across the ESG space.

Patrick Daly:

Excellent, Prem. It’s been an absolute pleasure, so wish you the very best for the future, both professionally and personally.

Prem Kumar:

Thank you. Thanks Patrick.

Patrick Daly:

And thanks also to our listeners for tuning in, keep well and stay safe until next time.

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Interlinks is a programme about the connections, relationships and supply chains, that underpin the globalisation of our modern world.

In each programme, we interview people from around the world including entrepreneurs, executives, academics, diplomats and politicians to get their unique perspective on globalisation as it has affected them both personally and professionally.

There is a little bit of history, a dash of economics, a sprinkling of business and an overlay of personal experience both from me and from my interviewees from around the world.

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