Up Close is Sourcing Journal’s regular check-in with industry executives to get their take on topics ranging from their company’s latest moves to personal style. In this Q&A, John Ames Jr., vice president business development at supply chain design platform Optilogic, shares how to prepare for disruption from tariffs and more, and why teams need a “digital sandbox” for supply chain testing.
Name: John Ames Jr.
Title: Vice president business development
Company: Optilogic
Which other industry has the best handle on the supply chain? What can apparel learn?
I think it’s less about industry and it’s more about the organization, the executives and the team that coordinates end-to-end supply chain processes. The better aligned they are on their overall vision, the better they coordinate across departments, the more aligned on end-to-end KPIs [key performance indicators], the better focused they are on customers and the more agile they are in decision-making tend to make…organizations perform better financially in the long term, regardless of industry.
Where apparel can learn and is learning as it relates from supply chain is having a balanced focus on what good really means to their end-to-end supply chain. The growth in the digitalization of consumer channels means more adaptable replenishment to meet demand trends, less push and single season buys to more in-season replenishment, and an understanding of service, resilience and margin metrics on top of cost that in the past was the primary driver of supply chains. And now with tariffs adding to the issue, teams need to develop a digital sandbox of their end-to-end supply chains to test out alternative sourcing and pricing strategies on a continual basis to improve and feed planning and execution as new ways of producing and sourcing arise.
What should be the apparel industry’s top priority right now?
How to thrive in a volatile world where disruptions are the new normal. Tariffs are just the latest thing. Next quarter a warehouse fire will occur, a strike will shut down a port, a flood will close a supplier’s factory. Will brands just continue to react, or will they begin to understand how to better design their sourcing, buying and replenishment processes for their own stores, for online and for wholesale? With the tariff chaos going on right now, it’s a good time to be reflective and redefine what a good supply chain means and how does it support the underlying vision or goal of the organization. Aligning the supply chain to enable the organization’s success—however that is defined—would be a great priority.
What innovation or development holds the greatest potential to improve operations in the apparel and textile industries?
Circular supply chains, robotics, sustainable materials and artificial intelligence (AI) supported decision-making will drive a lot of innovation. Recycling blended and pure materials will mean more products can come back to brands to be rebuilt, upcycled, downcycled. The innovative companies are starting that today, and packaging reuse is legislated in Europe and will spread to other countries. Robotics in the form of automated milling processes will mean less labor, smaller batch sizes and more localized options for production. Biodegradable materials and recyclable materials will mean brands taking back their products to repurpose and less landfill of products. And AI will impact all elements of the apparel industry—demand analytics, supply chain planning and design, returns process, fraud detection, customer support and supply collaboration.
Tell us about your company’s latest product introduction:
We just introduced our Lumina Tariff Optimizer to enable companies understand the impact of the new global tariffs and develop mitigation strategies to counter the impact of tariffs. It automatically predicts duty drawbacks and ties directly to current tariff and duty costs.
How would you describe your corporate culture?
We are a bunch of geeky supply chain people passionate about driving value to our customers.
What’s the best decision your company has made in the last year?
To invest in our AI solution but to not buy into the hype that it is the only thing supply chain analysts should focus on.
Where do you look for personal style inspiration?
Mostly outdoor publications and brands as we spend a lot of time outside.
How do you shop for clothing? How would you describe yourself as a fashion consumer?
I look for the most sustainable brands and try to look past the greenwashing, then I try to find those doing style and fit along with sustainability.
What are the top product attributes that you factor into your purchasing decisions?
Material type, brand vision and sustainability ethos, where the product is made, style and fit—these things are important to keeping our planet healthy. Brands should be doing this, all brands.
What is a retail experience that stands out to you?
A small shop in Chelsea, Michigan called Chelsea Outfitters. It’s a super shop with sustainable ethos, deep product expertise and engaged attitude without being pushy. And [it has a] super deep assortment while tied to online stock as well; very sophisticated for a small independent [store].
What makes you most optimistic?
Things work out for a reason, karma [and] most humans want to do the right thing.