Procurement News — November 13, 2024

Procurement News — November 13, 2024

Welcome to Procurement News, part of our ongoing aggregate news series covering recent supply management headlines and trends pertinent to Chief Procurement Officers and other procurement leaders! Contact us with your news story here.

Procurement Executive News

Krystyna Kostka Named CSCO for BJ’s Wholesale Club

MARLBOROUGH, Mass. — BJ’s Wholesale Club announced that Krystyna Kostka, currently senior vice president, operations, has been named chief supply chain officer. She will lead the company’s distribution and logistics networks, planning and allocation and robotics and automation.

The company stated that Kostka joined BJ’s in 2014, leading fuel operations. She has played a key role in the successful growth of BJ’s Gas. Kostka is also responsible for club and distribution center operations infrastructure.

Most recently, Kostka has been the driving force behind the company’s deployment of robotics, automation and emerging technologies in BJ’s clubs and distribution centers.

Along with Kostka, Scott Schmadeke, senior vice president, field and fresh operations, was named executive vice president, chief operations officer.

According to Bob Eddy, chairman and chief executive officer, “Scott and Krystyna are dynamic leaders with deep knowledge of our company and impressive records at BJ’s,” he said. “These changes will ensure that we continue to offer world-class service to our members and drive efficiency across our network as we deliver unbeatable value and profitable growth. I look forward to continuing to work with Scott and Krystyna as we take care of the families who depend on us.”

Read the full announcement here.

Sylvester Donelson, Jr. Appointed CPO for City of Portland

PORTLAND, Ore. — The City of Portland announced the hiring of Sylvester Donelson, Jr. as the new chief procurement officer. Donelson brings a wealth of experience in procurement and contract management, having held several leadership roles in public sector organizations, successfully leading initiatives to enhance operational efficiency and promoting equitable procurement policies.

Donelson will oversee the city’s procurement activities, including ensuring public spending aligns with the city’s equity in contracting goals. His most recent roles include director of procurement for the San Joaquin Regional Transit District, procurement officer for Sacramento Housing and Redevelopment Agency, and chief procurement officer for the County of Santa Barbara.

In his previous positions, Donelson spearheaded the creation of a five-year procurement strategic plan, introduced innovative procurement strategies that resulted in substantial cost savings and enhanced efficiency, and implemented new systems to streamline solicitation and purchasing processes.

According to Sara Morrissey, deputy city administrator for City Operations, “Sylvester is an accomplished leader whose track record demonstrates his dedication to improving procurement practices and advancing equity,” she said.

“His skills and vision make him the right choice to lead our procurement efforts and drive initiatives that support both the city’s operational goals and our values of equity and sustainability,” Morrissey added.

Donelson’s leadership experience and strong negotiation and strategic planning skills, along with his innovative approaches to inclusive procurement processes, will guide the city’s investments in construction projects, goods and services — particularly by women-owned businesses and those owned by Black, Indigenous, and people of color.

Read the full announcement here.

NIKE Announces Changes to Senior Leadership Team

BEAVERTON, Ore. — NIKE, Inc. announced changes in its senior leadership team, including the addition of Venkatesh Alagirisamy, chief supply chain officer, and 18-year NIKE veteran, who will now report directly to Elliott Hill, president & CEO, NIKE, Inc and become a member of the senior leadership team. The leadership changes will position the company for continued growth and success with a focus on putting sport and athletes at the forefront and driving speed and efficiency.

Other senior leadership moves include:

  • Ann Miller, an accomplished leader with nearly 18 years of experience at NIKE, and currently executive vice president, chief legal officer, assuming the role of executive vice president, global sports marketing. She will lead and grow the company’s athlete, league, and federation portfolio, while driving end-to-end integration of athletes across innovation, product, and storytelling.
  • Rob Leinwand, currently vice president, deputy general counsel, succeeds Miller. A seasoned lawyer with a proven track record, Leinwand joined NIKE in 2004 and has led numerous teams across the legal function. He will report to Hill and become a member of NIKE’s SLT.

Read the full announcement here.

Supply Management News

Starbucks Adds Two New Coffee Farms, Expanding Effort to Protect the Commodity

SEATTLE — Starbucks announced an expansion of its collaborative coffee innovation network, further connecting farmers from around the world with resources to protect the future of coffee.

Building on the groundbreaking global agronomy innovation at Hacienda Alsacia , Starbucks first company-operated coffee farm, the company added farms located in Guatemala and Costa Rica with future farm investments in Africa and Asia. The learning on these farms aims to find solutions to increase productivity on farms, support increased profitability for farmers, and build climate resilience.

According to Michelle Burns, Starbucks EVP of global coffee and sustainability, “Starbucks works with more than 450,000 farms that grow the highest quality Arabica coffee in the world,” she said.

“Our promise to those farmers and their communities is that we will always work to ensure a sustainable future of coffee for all. Our solution is to develop on-farm interventions, share seeds, research and practices across the industry to help farmers mitigate the impacts of climate change.”

Starbucks buys three percent of the world’s coffee, sourcing and roasting only Arabica coffee beans, a variety known for its rich and complex flavors. Climate change is impacting the availability of high-quality coffee around the world and farming communities are feeling the impact on productivity, crop quality and their livelihoods.

Rising temperatures that cause drought, coffee leaf rust disease and other related climate challenges are impacting the availability, quality and taste of coffee as it’s known today.

Read the full announcement here.

U.S. Manufacturing Continues Contraction

TEMPE, Ariz. — The manufacturing sector contracted for the seventh consecutive month and the 23rd time in the last 24 months, according to the latest Manufacturing ISM® Report On Business®.

The report was issued by Timothy R. Fiore, CPSM, C.P.M., Chair of the Institute for Supply Management® (ISM®) Manufacturing Business Survey Committee, who remarked: “U.S. manufacturing activity contracted again in October, and at a faster rate compared to last month. Demand continues to be weak, output declined, and inputs stayed accommodative.

“Demand remains subdued, as companies continue to show an unwillingness to invest in capital and inventory due to concerns (for example, inflation resurgence) about federal monetary policy direction in light of the fiscal policies proposed by both major parties. Production execution eased in October, consistent with demand sluggishness.”

Read the full announcement here.

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