Supply Chain World Volume 10, Issue 3 Volume 10, Issue 3 | Page 98

KEEN Footwear _____________________________________________________________________________
By adopting local manufacturing , we can minimize transportation distances and contribute to the decarbonization efforts of our group
Officer , I ’ m ultimately responsible for global supply chain policies , objectives , and initiatives for our parent company , Fuerst Group , and its subsidiaries ( including KEEN ).
“ My role also includes product creation , design , and innovation , product availability and quality , inventory productivity management , cost control , establishing gross margin targets , as well as logistics and distribution .
“ I interact with executive leadership across companies , regions , and functions to ensure global supply chain teams , including KEEN-owned manufacturing and third-party vendors , remain aligned with company budgets and schedules to meet strategic plans and objectives ,” he adds .
Working directly with KEEN founder and owner , Rory Fuerst , Hari executes long-range plans and develops future strategies for continued growth . “ I work with exceptional global leaders to meet the design and innovation needs of the companies in order to capitalize on market opportunities ,” he notes .
Addressing issues of rising costs and labor shortages , Hari emphasizes the importance of innovation and automation . “ We ’ re committed to implementing cutting-edge technologies in both our owned and contracted manufacturing facilities ,” he says . “ By pushing for innovation , we aim to enhance efficiency and productivity , while also maintaining the highest quality standards .”
Hari goes on to highlight a significant challenge the industry is facing . “ As of the end of 2021 ,” he reveals , “ 54.1 percent of the world ’ s footwear was still being made in China . Yet , with rising production costs and added tariffs , footwear prices are also bound to increase .
“ However , at KEEN , we ’ ve proactively diversified our global production ,” continues Hari . “ Currently , 98 percent of our production is divested outside of China , and we ’ ve plans to transition the remaining 2 percent within the next 12 months . This strategic move ensures that we ’ re prepared to navigate the challenges of rising costs and minimize the impacts on our fans .”
KEEN also embraces a ‘ local for local ’ concept in its manufacturing processes to contribute to its wider decarbonization initiative . Hari explains : “ We believe in positively impacting the environment by reducing carbon emissions .
“ By adopting local manufacturing , we can minimize transportation distances and contribute to the decarbonization efforts of our group . This strategic approach aligns with our commitment to sustainability and allows us to make a meaningful contribution to a greener future .”
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