[{"id":20292,"date":"2026-04-08T14:50:33","date_gmt":"2026-04-08T14:50:33","guid":{"rendered":"https:\/\/haslam.utk.edu\/gsci\/?post_type=news&p=20292"},"modified":"2026-04-08T14:50:34","modified_gmt":"2026-04-08T14:50:34","slug":"ut-haslam-graduate-scm-programs-place-no-2-in-u-s-news-ranking","status":"publish","type":"news","link":"https:\/\/haslam.utk.edu\/gsci\/news\/ut-haslam-graduate-scm-programs-place-no-2-in-u-s-news-ranking\/","title":{"rendered":"UT Haslam Graduate SCM Programs Place No. 2 in U.S. News Ranking"},"content":{"rendered":"\n

The Supply Chain Management graduate programs<\/a> in the Haslam College of Business<\/a> at the University of Tennessee, Knoxville,<\/a> rose to No. 2 among U.S. public universities and placed at No. 8 overall in the U.S. News and World Report 2026 Best Graduate Business Schools<\/a> specialty rankings. This marks the seventh consecutive year Haslam\u2019s graduate supply chain programs have placed in the top five among publics. Supply chain has been recognized in the top 10 for more than a decade.<\/p>\n\n\n\n

Further, the Full-Time MBA program placed at No. 19 among public schools and No. 43 overall. The MBA program\u2019s entrepreneurship concentration was ranked No. 15 among publics and No. 33 overall. Additionally, Haslam\u2019s graduate accounting programs placed at No. 25 among publics and No. 48 overall; management placed at No. 26 among publics and No. 52 overall; marketing placed No. 28 among publics and No. 52 overall; finance ranked No. 29 among publics and No. 57 overall; and business analytics placed at No. 42 among publics and No 73 overall. The Executive MBA ranked No. 25 among publics and No. 46 nationally.<\/p>\n\n\n\n

Graduate Programs that Deliver Excellence<\/strong><\/p>\n\n\n\n

Stephen L. Mangum<\/a>, Haslam\u2019s dean and Stokely Foundation Leadership Chair, said the college\u2019s multidisciplinary rankings are a source of pride for Haslam\u2019s administration, faculty and staff.<\/p>\n\n\n\n

\u201cWe are pleased with the supply chain graduate programs\u2019 presence in the top two of the U.S. News ranking among public schools, signaling its status as a trusted leader in the discipline to students, alumni and peer institutions and making Haslam a destination school for prospective supply chain students,\u201d he said. \u201cThat so many of our departments are recognized in the U.S. News specialty rankings speaks both to a quality academic experience that results in superior outcomes for all of our graduates and the impact our students make in industry after graduation.\u201d<\/p>\n\n\n\n

The rankings also reflect the college\u2019s commitment to delivering a comprehensive, high-quality educational experience students have come to expect from Haslam, says Amy Cathey<\/a>, Haslam\u2019s associate dean for Graduate and Executive Education<\/a>.<\/p>\n\n\n\n

\u201cOur students thrive in an academic atmosphere that challenges and enriches them with experiential learning projects delivered by highly respected faculty who are thought leaders in their fields,\u201d Cathey said. \u201cThey benefit from relevant networking and internship opportunities from corporate partners that build real-world experience. This holistic experience ensures our graduates leave Haslam with the skills and business acumen to immediately contribute to the workforce.\u201d<\/p>\n\n\n\n

About the U.S. News & World Report 2026 Best Graduate Business School Specialty Rankings<\/strong><\/p>\n\n\n\n

The U.S. News graduate business rankings are based on surveys sent to accredited MBA programs, of which 333 responded. The rankings consider such factors as recruiter reviews, job placement, graduates\u2019 starting salaries and bonuses, mean GMAT and GRE scores, peer reviews and more. Specialty rankings reflect the perspectives of business school deans and graduate program leadership regarding quality of graduate coursework and concentrations that award credit toward the MBA degree.<\/p>\n\n\n\n

About <\/strong>Haslam College of Business\u2019 Graduate & Executive Education<\/strong><\/a><\/strong><\/p>\n\n\n\n

Haslam offers graduate and executive education programs that prepare students to reach their full potential and advance their careers. At the master\u2019s level, these programs include the Haslam Full-Time MBA<\/a>, Online MBA<\/a>, Professional MBA<\/a>, Executive MBA<\/a> (Healthcare Leadership<\/a> and Strategic Leadership<\/a>), Aerospace and Defense MBA<\/a>, Physician Executive MBA<\/a>, Master of Accountancy<\/a>, M.A. in Economics<\/a>, M.S. in Business Analytics with AI<\/a>, M.S. in Management and Human Resources<\/a>, M.S. in Marketing<\/a>, M.S. in Supply Chain Management (Global)<\/a>, M.S. in Supply Chain Management Online<\/a> and M.S. in Business Cybersecurity Online<\/a>. Haslam also offers a full portfolio of doctoral programs<\/a>. <\/p>\n\n\n\n

Haslam\u2019s graduate programs address real-world challenges through an interdisciplinary approach that develops both analytical and leadership skills. Its faculty<\/a> are industry thought leaders, seasoned practitioners and accomplished researchers who work tirelessly to create dynamic, relevant and impactful learning experiences.  <\/p>\n\n\n\n

Originally written by Scott McNutt, senior business writer for the Haslam College of Business<\/a><\/em><\/p>\n\n\n\n

<\/p>\n","protected":false},"excerpt":{"rendered":"Haslam\u2019s supply chain, accounting, business analytics, entrepreneurship, finance, management, marketing, Full-Time MBA and Executive MBA recognized as top programs","protected":false},"author":18,"featured_media":20293,"template":"","department":[468],"class_list":["post-20292","news","type-news","status-publish","has-post-thumbnail","hentry"],"yoast_head":"\nUT Haslam Graduate SCM Programs Place No. 2 in U.S. News Ranking - Global Supply Chain Institute<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/haslam.utk.edu\/gsci\/news\/ut-haslam-graduate-scm-programs-place-no-2-in-u-s-news-ranking\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"UT Haslam Graduate SCM Programs Place No. 2 in U.S. News Ranking - Global Supply Chain Institute\" \/>\n<meta property=\"og:description\" content=\"Haslam\u2019s supply chain, accounting, business analytics, entrepreneurship, finance, management, marketing, Full-Time MBA and Executive MBA recognized as top programs\" \/>\n<meta property=\"og:url\" content=\"https:\/\/haslam.utk.edu\/gsci\/news\/ut-haslam-graduate-scm-programs-place-no-2-in-u-s-news-ranking\/\" \/>\n<meta property=\"og:site_name\" content=\"Global Supply Chain Institute\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/GlobalSupplyChainInstitute\" \/>\n<meta property=\"article:modified_time\" content=\"2026-04-08T14:50:34+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2026\/04\/University_of_Tennessee_on_behalf_of_its_Haslam_College_of_Business.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"975\" \/>\n\t<meta property=\"og:image:height\" content=\"550\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:site\" content=\"@GSCInstitute\" \/>\n<meta name=\"twitter:label1\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data1\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/haslam.utk.edu\\\/gsci\\\/news\\\/ut-haslam-graduate-scm-programs-place-no-2-in-u-s-news-ranking\\\/\",\"url\":\"https:\\\/\\\/haslam.utk.edu\\\/gsci\\\/news\\\/ut-haslam-graduate-scm-programs-place-no-2-in-u-s-news-ranking\\\/\",\"name\":\"UT Haslam Graduate SCM Programs Place No. 2 in U.S. News Ranking - Global Supply Chain Institute\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/haslam.utk.edu\\\/gsci\\\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\\\/\\\/haslam.utk.edu\\\/gsci\\\/news\\\/ut-haslam-graduate-scm-programs-place-no-2-in-u-s-news-ranking\\\/#primaryimage\"},\"image\":{\"@id\":\"https:\\\/\\\/haslam.utk.edu\\\/gsci\\\/news\\\/ut-haslam-graduate-scm-programs-place-no-2-in-u-s-news-ranking\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/haslam.utk.edu\\\/gsci\\\/wp-content\\\/uploads\\\/sites\\\/2\\\/2026\\\/04\\\/University_of_Tennessee_on_behalf_of_its_Haslam_College_of_Business.jpg\",\"datePublished\":\"2026-04-08T14:50:33+00:00\",\"dateModified\":\"2026-04-08T14:50:34+00:00\",\"breadcrumb\":{\"@id\":\"https:\\\/\\\/haslam.utk.edu\\\/gsci\\\/news\\\/ut-haslam-graduate-scm-programs-place-no-2-in-u-s-news-ranking\\\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/haslam.utk.edu\\\/gsci\\\/news\\\/ut-haslam-graduate-scm-programs-place-no-2-in-u-s-news-ranking\\\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/haslam.utk.edu\\\/gsci\\\/news\\\/ut-haslam-graduate-scm-programs-place-no-2-in-u-s-news-ranking\\\/#primaryimage\",\"url\":\"https:\\\/\\\/haslam.utk.edu\\\/gsci\\\/wp-content\\\/uploads\\\/sites\\\/2\\\/2026\\\/04\\\/University_of_Tennessee_on_behalf_of_its_Haslam_College_of_Business.jpg\",\"contentUrl\":\"https:\\\/\\\/haslam.utk.edu\\\/gsci\\\/wp-content\\\/uploads\\\/sites\\\/2\\\/2026\\\/04\\\/University_of_Tennessee_on_behalf_of_its_Haslam_College_of_Business.jpg\",\"width\":975,\"height\":550,\"caption\":\"The Supply Chain Management graduate programs in the Haslam College of Business at the University of Tennessee, Knoxville, rose to No. 2 among U.S. public universities and placed at No. 8 overall in the U.S. News and World Report 2026 Best Graduate Business Schools specialty rankings. 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With the first-place ranking, Haslam has now placed in the list\u2019s top five for the last 12 years. Making up the rest of the 2026 top five were: the University of Arkansas at No. 5, Michigan State University at No. 4, The Ohio State University at No. 3 and Arizona State University at No. 2.<\/p>\n\n\n\n<p><strong>A Standard of Excellence in Industry and Academia<\/strong><\/p>\n\n\n\n<p><a href=\"https:\/\/haslam.utk.edu\/people\/profile\/stephen-mangum\/\">Stephen L. Mangum<\/a>, Haslam\u2019s dean and Stokely Foundation Leadership Chair, said the ranking reflects the college\u2019s excellence and productivity in the field as well as the dedication of its faculty.<\/p>\n\n\n\n<p>\u201cOur faculty\u2019s research has a substantial effect on industry as well as far-reaching societal impact,\u201d Mangum said. \u201cBeing ranked No. 1 nationwide for that research is a singular achievement, and I join with the entire college and the university in congratulating the supply chain management department for this well-deserved recognition.\u201d<\/p>\n\n\n\n<p><a href=\"https:\/\/haslam.utk.edu\/people\/profile\/chad-autry\/\">Chad Autry<\/a>, associate dean for faculty and research, Myers Distinguished Professor of Supply Chain Management and R. Stanley Bowden II Faculty Research Fellow, called the ranking a result of Haslam\u2019s long-standing tradition of attracting and retaining the brightest minds in the field and their commitment to academic achievement and practical problem-solving.<\/p>\n\n\n\n<p>\u201cFrom the days UT was known as a leader in transportation and logistics, supply chain management has been among UT and Haslam\u2019s top programs,\u201d Autry said. \u201cOur faculty\u2019s accomplishments in the field have deservedly earned the respect of their peers in academia. They also team with leading companies in multiple areas of the industry to resolve supply chain challenges, which benefits industry, academia and the community at large and is captured in their research.\u201d<\/p>\n\n\n\n<p><a href=\"https:\/\/haslam.utk.edu\/people\/profile\/yemisi-bolumole\/\">Yemisi Bolumole<\/a>, head of the SCM department and Ryder Professor of Supply Chain Management, praised the researchers for this accomplishment.<\/p>\n\n\n\n<p>\u201cSome of the world\u2019s foremost supply chain minds call Haslam home, and this ranking is a fitting testament to their exceptional capabilities,\u201d Bolumole said. \u201cThe pioneering scholarship they generate empowers supply chains to become more flexible and proactive. Our curriculum draws on their research, ensuring Haslam students graduate are well versed in the industry\u2019s most current advances in applications and thinking.\u201d<\/p>\n\n\n\n<p><strong>About The SCM Journal List Ranking<\/strong><\/p>\n\n\n\n<p>The SCM Journal List annually ranks universities\u2019 supply chain management analytical and empirical research output, drawing on articles in eight leading supply chain management journals. For the empirical ranking, those journals are Decision Sciences, Journal of Business Logistics, Journal of Operations Management and Journal of Supply Chain Management. Endorsed by 422 supply chain scholars globally, each year\u2019s ranking is based on the research published in these journals over the past five years. The SCM Journal List reevaluates these journals every four years to ensure their quality and focus remain consistent.<\/p>\n\n\n\n<p><strong>About Haslam\u2019s Department of Supply Chain Management<\/strong><\/p>\n\n\n\n<p>Haslam has one of the most comprehensive, forward-thinking and highly regarded <a href=\"https:\/\/haslam.utk.edu\/supply-chain-management\/\">supply chain<\/a> programs in the world, with Gartner and U.S. News & World Report consistently ranking it either first or among the top five programs. An advisory board of more than 40 industry professionals informs its curriculum. Students develop applied skills to help improve organizational performance through supply chain management.<\/p>\n\n\n\n<p><em><a href=\"https:\/\/haslam.utk.edu\/news\/ut-haslam-no-1-nationwide-for-supply-chain-management-empirical-research\/\" target=\"_blank\" rel=\"noreferrer noopener\">Originally written by Scott McNutt, senior business writer for the Haslam College of Business<\/a><\/em><\/p>\n","protected":false},"excerpt":{"rendered":"This marks the 12th straight year the UT Haslam supply chain management department has placed in the top five of the SCM Journal List annual research ranking.","protected":false},"author":18,"featured_media":20257,"template":"","department":[468],"class_list":["post-20256","news","type-news","status-publish","has-post-thumbnail","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>UT Haslam No. 1 Nationwide for Supply Chain Management Empirical Research - Global Supply Chain Institute<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/haslam.utk.edu\/gsci\/news\/ut-haslam-supply-chain-research-ranking\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"UT Haslam No. 1 Nationwide for Supply Chain Management Empirical Research - Global Supply Chain Institute\" \/>\n<meta property=\"og:description\" content=\"This marks the 12th straight year the UT Haslam supply chain management department has placed in the top five of the SCM Journal List annual research ranking.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/haslam.utk.edu\/gsci\/news\/ut-haslam-supply-chain-research-ranking\/\" \/>\n<meta property=\"og:site_name\" content=\"Global Supply Chain Institute\" \/>\n<meta property=\"article:publisher\" 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the Forecast: Rethinking Demand-Driven Planning"},"content":{"rendered":"\n<p>T<em>he forthcoming white paper, \u201cLove to Hate the Forecast: Segmenting Planning Demand Triggers to Drive Total Value,\u201d co-authored by Haslam College of Business faculty members Mike Burnette and <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/lance-saunders\/\" target=\"_blank\" rel=\"noreferrer noopener\">Lance Saunders<\/a>, and edited by <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/ted-stank\/\" target=\"_blank\" rel=\"noreferrer noopener\">Ted Stank<\/a> and <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/dan-pellathy\/\" target=\"_blank\" rel=\"noreferrer noopener\">Dan Pellathy<\/a>, marks the 40th white paper released by the UT Global Supply Chain Institute.<\/em> <em>The paper will be released during the Spring <a href=\"https:\/\/haslam.utk.edu\/supply-chain-forum\/\" target=\"_blank\" rel=\"noreferrer noopener\">Supply Chain Forum<\/a> and be available for digital download.<\/em><\/p>\n\n\n\n<p><em>Read the first blog post about the <a href=\"https:\/\/haslam.utk.edu\/gsci\/news\/supply-chain-forecasting-failures\/\" target=\"_blank\" rel=\"noreferrer noopener\">cultural roots of forecasting<\/a>.<\/em><\/p>\n\n\n\n<figure class=\"wp-block-image alignleft size-thumbnail is-resized\"><img loading=\"lazy\" decoding=\"async\" width=\"150\" height=\"150\" src=\"https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/03\/michael-burnette-150x150.webp\" alt=\"Mike Burnette Headshot\" class=\"wp-image-14489\" style=\"width:150px;height:auto\" srcset=\"https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/03\/michael-burnette-150x150.webp 150w, https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/03\/michael-burnette-250x250.webp 250w, https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/03\/michael-burnette-120x120.webp 120w, https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/03\/michael-burnette.webp 300w\" sizes=\"auto, (max-width: 150px) 100vw, 150px\" \/><figcaption class=\"wp-element-caption\">Written by <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/michael-burnette\/\" target=\"_blank\" rel=\"noreferrer noopener\">Mike Burnette<\/a><\/figcaption><\/figure>\n\n\n\n<p>While inaccurate forecasts create service and inventory defects, the deeper issue is misalignment between demand signals and supply system capability. The solution is not eliminating forecasting altogether. Rather, it is segmenting demand triggers and applying forecasting only where it creates the highest total value.<\/p>\n\n\n\n<p>The forthcoming Global Supply Chain Institute white paper, \u201cLove to Hate the Forecast: Segmenting Planning Demand Triggers to Drive Total Value,\u201d argues that the answer is not simply mathematical\u2014it is cultural.<\/p>\n\n\n\n<p>Right-to-Left (RtL) Planning<\/p>\n\n\n\n<p>Leading-edge companies are adopting Right-to-Left (RtL) supply chain planning. RtL synchronizes activity as closely as possible to actual consumption. Instead of defaulting to forecast-based planning, organizations segment SKUs and apply demand triggers that best match variation patterns.<\/p>\n\n\n\n<p>The vision is ambitious: provide consumers with the exact product they desire at the moment of next consumption, maximizing total value across the enterprise.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Understanding Variation<\/h2>\n\n\n\n<p>Three sources of demand variation must be assessed:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Consumer demand variation<\/li>\n\n\n\n<li>Customer demand variation<\/li>\n\n\n\n<li>Company demand variation<\/li>\n<\/ul>\n\n\n\n<p>In many systems, company-driven variation exceeds consumer-driven variation\u2014an indicator that internal behaviors are distorting the demand signal.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">When Forecasting Does Not Make Sense<\/h2>\n\n\n\n<p>Forecasting begins to lose its value when the data reveals persistent structural bias. If monthly forecast results are biased high or low more than 60 percent of the time, the issue is not random error\u2014it is systemic distortion.<\/p>\n\n\n\n<p>Another warning sign appears when customer service performance and inventory days on hand consistently lag competitors. In these environments, improving forecast accuracy alone rarely fixes the problem. Instead, the underlying demand signal is being influenced by internal behaviors.<\/p>\n\n\n\n<p>Cultural signals are equally revealing. When sales rewards are tied to beating the forecast, when general manager compensation depends on forecast comparisons, or when ownership of revenue and inventory is split across functions without integrated accountability, forecasting becomes political rather than operational. Under these conditions, statistical refinement simply sharpens a distorted signal.<\/p>\n\n\n\n<p>Additionally, when shipment patterns fail to follow clear regression-based slopes or when variation is driven primarily by internal promotions, pricing decisions, or end-of-quarter revenue management, the forecast becomes reactive to internal noise rather than consumer behavior.<\/p>\n\n\n\n<p>In short, forecasting is least effective when internal variation exceeds external demand variation.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">When Forecasting Does Make Sense<\/h2>\n\n\n\n<p>Forecasting remains valuable in specific contexts.<\/p>\n\n\n\n<p>It plays an essential role in long-range business planning, particularly in six-month to five-year horizons where strategic investment decisions must be informed by directional demand expectations.<\/p>\n\n\n\n<p>It is also indispensable for new-to-the-world product introductions, where historical shipment data does not yet exist. In these cases, statistical modeling, combined with structured assumption testing, provides necessary guidance.<\/p>\n\n\n\n<p>Forecasting is most effective when consumer variation is the dominant source of demand fluctuation and when shipment patterns follow identifiable statistical slopes. In these environments, regression-based forecasting tools can meaningfully improve planning precision.<\/p>\n\n\n\n<p>Equally important, forecasting works best in organizations that rigorously measure bias, detect minimal distortion, and operate without financial incentives tied to beating the forecast. When the organization embraces the forecast as a value-added tool, rather than a scoreboard, it regains its strategic relevance.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Case Study Results<\/h2>\n\n\n\n<p>A Fortune 500 CPG company reduced finished goods inventory from 180 days on hand to below 100 after implementing a produce-to-shipment RtL trigger, while improving service performance for 48 consecutive months. A regional food manufacturer identified unused capacity and reduced inventory by 25\u201330% without sacrificing service. An electronics company implemented a rate-based trigger and reduced safety stock by approximately 20% while maintaining service levels.<\/p>\n\n\n\n<p>These examples demonstrate that forecasting should be applied intentionally, not universally.<\/p>\n\n\n\n<p>Supply chain leaders must segment SKUs, assess variation patterns, eliminate cultural distortions, and build capabilities that move planning closer to actual consumption.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\" \/>\n\n\n\n<p><em>Written by UT professors in collaboration with GSCI partners, our <a href=\"https:\/\/haslam.utk.edu\/gsci\/research\/white-papers\/\" target=\"_blank\" rel=\"noreferrer noopener\">white papers<\/a> translate rigorous research into practical insights for business leaders. The institute\u2019s applied research has been featured in Forbes, Harvard Business Review, Supply Chain Management Review, and The Wall Street Journal.<\/em> <em>To learn more about how your company can partner with us to explore advanced supply chain management concepts, visit\u00a0<a href=\"https:\/\/haslam.utk.edu\/gsci\/advanced-supply-chain-collaborative\/\" target=\"_blank\" rel=\"noreferrer noopener\">ASCC<\/a>.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"Benchmark supply chains are shifting from internally driven planning to a Right-to-Left model synchronized with actual consumption. The result: lower inventory, stronger service, and measurable gains in total value.","protected":false},"author":18,"featured_media":20219,"template":"","department":[467,465],"class_list":["post-20218","news","type-news","status-publish","has-post-thumbnail","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Beyond the Forecast: Demand Triggers and Supply Chain Planning<\/title>\n<meta name=\"description\" content=\"When does forecasting help in supply chains\u2014and when does it hurt? 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Cultural Roots of Forecasting Failures"},"content":{"rendered":"\n<p><em>The forthcoming white paper, \u201cLove to Hate the Forecast: Segmenting Planning Demand Triggers to Drive Total Value,\u201d co-authored by Haslam College of Business faculty members Mike Burnette and <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/lance-saunders\/\" target=\"_blank\" rel=\"noreferrer noopener\">Lance Saunders<\/a>, and edited by <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/ted-stank\/\" target=\"_blank\" rel=\"noreferrer noopener\">Ted Stank<\/a> and <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/dan-pellathy\/\" target=\"_blank\" rel=\"noreferrer noopener\">Dan Pellathy<\/a>, marks the 40th white paper released by the UT Global Supply Chain Institute.<\/em> <em>The paper will be released during the Spring <a href=\"https:\/\/haslam.utk.edu\/supply-chain-forum\/\" target=\"_blank\" rel=\"noreferrer noopener\">Supply Chain Forum<\/a> and be available for digital download.<\/em><\/p>\n\n\n\n<figure class=\"wp-block-image alignleft size-thumbnail is-resized\"><img loading=\"lazy\" decoding=\"async\" width=\"150\" height=\"150\" src=\"https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/03\/michael-burnette-150x150.webp\" alt=\"Mike Burnette Headshot\" class=\"wp-image-14489\" style=\"width:150px;height:auto\" srcset=\"https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/03\/michael-burnette-150x150.webp 150w, https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/03\/michael-burnette-250x250.webp 250w, https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/03\/michael-burnette-120x120.webp 120w, https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/03\/michael-burnette.webp 300w\" sizes=\"auto, (max-width: 150px) 100vw, 150px\" \/><figcaption class=\"wp-element-caption\">Written by <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/michael-burnette\/\" target=\"_blank\" rel=\"noreferrer noopener\">Mike Burnette<\/a><\/figcaption><\/figure>\n\n\n\n<p>I have been actively involved in supply chain work since 1980, across Procter & Gamble, consulting, lecturing, and conducting applied research at the University of Tennessee. During these decades, I have interfaced with hundreds of supply chain organizations. In the last 20 years, virtually all the company leaders I\u2019ve interviewed have included forecasting issues as a top-five improvement opportunity. Despite continuous investment in systems and analytics, forecasting remains a widely recognized barrier to achieving business goals and a significant source of organizational frustration.<\/p>\n\n\n\n<p>Why is forecasting such a persistent obstacle?<\/p>\n\n\n\n<p>The forthcoming Global Supply Chain Institute white paper, \u201cLove to Hate the Forecast: Segmenting Planning Demand Triggers to Drive Total Value,\u201d argues that the answer is not simply mathematical\u2014it is cultural.<\/p>\n\n\n\n<p>A professional, robust corporate volume forecasting process has been in place in leading supply chains since the 1960s. In the 1980s, organizations began formally documenting forecasting systems and measuring results. Statistical regression methods became commonplace tools for improving accuracy. Over five decades, SKU-family level MAPE\u2014Mean Absolute Percentage Error, a common forecasting metric\u2014has improved incrementally. Yet forecast bias has not improved at the same rate.<\/p>\n\n\n\n<p>This reality forces us to examine two foundational questions: Are forecasts negatively impacted by organizational and functional cultural norms? And are statistical forecast models appropriate for all demand patterns?<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Cultural Influencers<\/h2>\n\n\n\n<p>Historically, supply chains have created at least two\u2014and sometimes as many as four or five\u2014aggregated forecasts covering a 1-to-12-month planning horizon. One forecast (often conservative) is shared externally with enterprise owners or shareholders. A second forecast\u2014typically higher\u2014is deployed internally as the business commitment. In some organizations, additional forecasts exist to support functional reward systems.<\/p>\n\n\n\n<p>Through monthly forecast deployment, the supply chain is tasked with creating a supply plan that delivers the aggregate commitment while meeting customer service, inventory, and cost objectives. Historically, the internal business commitment is \u201cbias high\u201d\u2014in other words, consistently exceeding actual demand\u2014more than 90% of the time.<\/p>\n\n\n\n<p>In response, many supply chains create their own SKU-level forecast through a process known as Left-to-Right (LtR) planning. LtR planning incorporates supplier capability, operational efficiencies, cost targets, and safety stock into the demand signal. Inventory buffers are built to protect against variation in demand, cycle time, lead times, and operational reliability.<\/p>\n\n\n\n<p>While rational, LtR planning shifts the system\u2019s focus from delivering actual consumer demand to managing internal efficiency and protection. Over time, this dynamic generates waste.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Normalized Dysfunction<\/h2>\n\n\n\n<p>Unproductive behaviors often become normalized. Inventory is added to SKUs experiencing service issues. Inventory is reduced across the board during cash crises. Sales rewards are tied to beating the forecast. General manager compensation may be linked to forecast comparisons. When service or inventory targets are missed, forecast accuracy becomes the convenient explanation.<\/p>\n\n\n\n<p>When forecasting is not working, several warning signs typically appear:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Monthly forecast results are either bias low or high more than 60% of months<\/li>\n\n\n\n<li>Customer service results lag competition<\/li>\n\n\n\n<li>Inventory days on hand lag benchmarks<\/li>\n\n\n\n<li>High level of demand variation is driven internally<\/li>\n<\/ul>\n\n\n\n<p>In these environments, the forecast is not the root problem but a symptom of deeper organizational defects.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">The Role of Demand-Supply Integration (DSI)<\/h2>\n\n\n\n<p>True Demand-Supply Integration is focused on creating a single-number business plan that every function executes. Demand plans must be based on unconstrained consumer demand; supply plans must reflect demonstrated capacity. Leadership\u2014across demand, supply, finance, and general management\u2014must own the process. DSI must be a disciplined decision-making drumbeat, not a reporting ritual.<\/p>\n\n\n\n<p>Changing the culture is the first step toward eliminating waste from forecasting systems. Without eliminating internal variation and aligning incentives, new tools will simply reinforce old dysfunction.<\/p>\n\n\n\n<p>In Part 2, we examine how leading-edge companies are moving beyond forecasting as the default demand trigger.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\" \/>\n\n\n\n<p><em>Written by UT professors in collaboration with GSCI partners, our <a href=\"http:\/\/supplychainmanagement.utk.edu\/research\/white-papers\/\" target=\"_blank\" rel=\"noreferrer noopener\">white papers<\/a> translate rigorous research into practical insights for business leaders. The institute\u2019s applied research has been featured in Forbes, Harvard Business Review, Supply Chain Management Review, and The Wall Street Journal.<\/em> <em>To learn more about how your company can partner with us to explore advanced supply chain management concepts, visit\u00a0<a href=\"https:\/\/supplychainmanagement.utk.edu\/research\/advanced-supply-chain-collaborative\/\" target=\"_blank\" rel=\"noreferrer noopener\">ASCC<\/a>.<\/em><a id=\"_msocom_1\"><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"While forecast accuracy metrics have improved incrementally over five decades, bias and dysfunction persist. Leading-edge supply chains are discovering that the solution begins with organizational realignment.","protected":false},"author":18,"featured_media":20212,"template":"","department":[467,465],"class_list":["post-20209","news","type-news","status-publish","has-post-thumbnail","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Supply Chain Forecasting Failures and Organizational Culture<\/title>\n<meta name=\"description\" content=\"New supply chain research shows culture, incentives, and planning systems often drive bias and poor forecast accuracy.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/haslam.utk.edu\/gsci\/news\/supply-chain-forecasting-failures\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta 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Free Helps the Competition: New Research on Platform Promotions"},"content":{"rendered":"\n<p>Conventional wisdom says competitors should lose sales. But new research from University of Tennessee, Knoxville, supply chain management scholar <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/seongkyoon-jeong\/\" target=\"_blank\" rel=\"noreferrer noopener\">Seongkyoon Jeong<\/a> suggests something far more surprising.<\/p>\n\n\n\n<p>In a recent study published in <em>Production and Operations Management<\/em>, Jeong and his coauthors analyze a common tactic used in digital platform competition: giving away products to attract users. Their findings reveal that, in some cases, these promotions can actually increase sales for rival platforms.<\/p>\n\n\n\n<p>The research focuses on the PC video game marketplace, where two platforms dominate distribution: Steam and Epic Games Store. Since its launch in 2018, the Epic Games Store has pursued a growth strategy centered on weekly promotions that make popular games free for a limited time. The expectation with such a strategy is simple: if gamers can download a title for free on Epic, fewer people should purchase the same game elsewhere.<\/p>\n\n\n\n<p>But that\u2019s not what the data shows.<\/p>\n\n\n\n<p>Using sales data from more than 5,000 games and 270 promotion events, Jeong and his fellow researchers found that when Epic Games Store offered a game for free for one week, sales of that same game on Steam increased by nearly 60% during the promotion period.<\/p>\n\n\n\n<p>In other words, a free promotion on one platform sometimes helps its competitor sell more.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">The \u201cSpillover\u201d Effect of Platform Promotions<\/h2>\n\n\n\n<p>The research identifies this phenomenon as a cross-platform spillover effect. In digital marketplaces, promotions do more than change prices\u2014they also increase awareness.<\/p>\n\n\n\n<p>Platforms today host enormous catalogs of products, from games to apps to digital media. Many customers don\u2019t know that most of these products exist. A high-profile promotion can suddenly bring attention to a product across the entire ecosystem.<\/p>\n\n\n\n<p>Epic\u2019s free-game campaign acts as a discovery engine. Gamers see the promoted title, become curious, and start searching for it elsewhere. That curiosity can lead them to purchase the game on Steam instead, even when a free version is available elsewhere.<\/p>\n\n\n\n<p>The researchers describe this process using the classic Attention-Interest-Desire-Action (AIDA) model of consumer decision-making. Promotions generate attention first, then curiosity and search behavior, which can ultimately lead to purchases on competing platforms.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Why Consumers Still Buy<\/h2>\n\n\n\n<p>So if a game is free on Epic, why would someone pay for it on Steam?<\/p>\n\n\n\n<p>The study highlights several factors that influence this decision.<\/p>\n\n\n\n<p>First, platform ecosystems matter. Steam offers features such as multiplayer interaction, friends lists, and a broader range of downloadable content to enhance the gaming experience.<\/p>\n\n\n\n<p>Second, the price difference may be less important than the network of players and products surrounding the game. Gamers often want to play with friends or access add-on content within a particular platform.<\/p>\n\n\n\n<p>Finally, many users \u201cmulti-home,\u201d meaning they use more than one platform. When promotions increase awareness of a game, some consumers opt to purchase it on the platform where they already play most often, not necessarily where it is available cheapest.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Implications for Platform Strategy<\/h2>\n\n\n\n<p>For businesses operating digital platforms\u2014from marketplaces to streaming services\u2014these findings challenge a long-held assumption.<\/p>\n\n\n\n<p>Promotions are often designed to take market share from competitors. But in platform markets where customers can easily move between ecosystems, promotions may expand the overall market instead of simply shifting demand. That insight has implications for pricing strategies, promotion timing, and platform partnerships.<\/p>\n\n\n\n<p>Strategic promotions can serve as a market-expansion tool, increasing product awareness and stimulating activity across an entire ecosystem. On occasion, this benefits competitors.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Applied Research in Platform Competition<\/h2>\n\n\n\n<p>Jeong\u2019s work reflects the kind of relevant research, both academic and applied, that helps firms navigate today\u2019s increasingly complex digital marketplaces. As platform competition intensifies across industries, whether gaming, retail, or logistics, understanding how actions ripple through interconnected ecosystems becomes critical.<\/p>\n\n\n\n<p>The study offers a clear reminder: in digital platform markets, competition doesn\u2019t always behave the way traditional economics predicts.<\/p>\n\n\n\n<p>Sometimes, giving something away for free helps everyone sell more.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\" \/>\n\n\n\n<p><em>Access an online version of \u201c<a href=\"https:\/\/journals.sagepub.com\/doi\/full\/10.1177\/10591478261421045\" target=\"_blank\" rel=\"noreferrer noopener\">Cross-Platform Spillover Effect of Promotion: Evidence from the PC Game Market<\/a>\u201d from Production and Operations Management. Learn more about the range of expertise present among UT\u2019s highly regarded <a href=\"https:\/\/haslam.utk.edu\/gsci\/supply-chain-experts\/\" target=\"_blank\" rel=\"noreferrer noopener\">supply chain management faculty<\/a>.<\/em><\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"What happens when companies give away their product?","protected":false},"author":18,"featured_media":20195,"template":"","department":[470],"class_list":["post-20189","news","type-news","status-publish","has-post-thumbnail","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>When Free Helps Competitors: New Research on Platform Promotions<\/title>\n<meta name=\"description\" content=\"New research from the University of Tennessee shows promotions on digital platforms like the Epic Games Store increase competitors' sales.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, 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You Need to Know from the Fall 2025 Supply Chain Forum"},"content":{"rendered":"\n<p>From November 4 to 6, the Global Supply Chain Institute and the Department of Supply Chain Management hosted another successful <a href=\"\/supply-chain-forum\/\" target=\"_blank\" rel=\"noreferrer noopener\">Supply Chain Forum<\/a>, welcoming more than 600 business professionals, industry executives, top scholars and students\u2014including more than 200 partner company employees\u2014to the University of Tennessee, Knoxville.<\/p>\n\n\n\n<p>Below is a summary of everything you need to know about the event.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Relive the best of the forum<\/h2>\n\n\n\n<p>In the <a href=\"https:\/\/haslam.utk.edu\/supply-chain-forum\/partner-login\/\" target=\"_blank\" rel=\"noreferrer noopener\">Partner Portal<\/a>, attendees can access video recordings of Main Sessions as well as slide decks and other resources from presenters. While in the portal, click the Event Survey to rate each session and provide feedback. Your response goes a long way to ensuring we offer attendees the best experience this upcoming spring.<\/p>\n\n\n\n<p>To maximize the value partner organizations receive from forum membership, GSCI does not make written or recorded sessions publicly available. However, we have provided recaps of two popular sessions.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>\u201c<strong><a href=\"https:\/\/haslam.utk.edu\/gsci\/news\/kevin-sweeney-military-leadership-fall-supply-chain-forum\/\" target=\"_blank\" rel=\"noreferrer noopener\">Translating Military Leadership to Today\u2019s Supply Chain Challenges<\/a><\/strong>,\u201d where retired United States Navy Rear Admiral and national security expert Kevin Sweeney spoke with <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/ted-stank\/\">Ted Stank<\/a> and <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/thomas-goldsby\/\">Tom Goldsby<\/a> about the geopolitical landscape, his 30-plus year naval career, and how military leadership principles apply to a complex business environment. The session also served as the debut episode of Season 4 of the <em><a href=\"http:\/\/gscipodcast.com\/\" target=\"_blank\" rel=\"noreferrer noopener\">Tennessee on Supply Chain Management<\/a><\/em> podcast<br><\/li>\n\n\n\n<li>\u201c<strong><a href=\"https:\/\/haslam.utk.edu\/gsci\/news\/georg-schaur-supply-chain-forum-economics-supply-chains\/\" target=\"_blank\" rel=\"noreferrer noopener\">Tariffs, Protectionism, and Uncertainty<\/a><\/strong>,\u201d a conversation between GSCI co-executive director <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/thomas-goldsby\/\" target=\"_blank\" rel=\"noreferrer noopener\">Tom Goldsby<\/a> and international trade and economics expert <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/marianne-wanamaker\/\" target=\"_blank\" rel=\"noreferrer noopener\">Georg Schaur<\/a>, in which he discussed the hidden costs of trade disruption and how economic policy in the United States affects global supply chains.<\/li>\n<\/ul>\n\n\n\n<div style=\"height:20px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<div id=\"buzzsprout-player-18173156\"><\/div><script src=\"https:\/\/www.buzzsprout.com\/1844640\/episodes\/18173156-s4e1-strategic-leadership-in-volatile-times-with-retired-rear-admiral-kevin-sweeney.js?container_id=buzzsprout-player-18173156&player=small\" type=\"text\/javascript\" charset=\"utf-8\"><\/script>\n\n\n\n<div style=\"height:20px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p>We’ve also assembled <a href=\"https:\/\/www.flickr.com\/photos\/utkgsci\/albums\" target=\"_blank\" rel=\"noreferrer noopener\">photo galleries<\/a> with hundreds of shots from all three days. Look for yourself and share your favorites on social media. When you do, make sure to <a href=\"https:\/\/www.linkedin.com\/company\/5096852\">tag us on LinkedIn<\/a> and <a href=\"https:\/\/www.instagram.com\/utkgsci\">Instagram<\/a> and use the #Fall2025SCF.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Grow as a supply chain professional<\/h2>\n\n\n\n<p>If you want to access the expertise that has consistently placed <a href=\"https:\/\/haslam.utk.edu\/gsci\/rankings-and-accolades\/\" target=\"_blank\" rel=\"noreferrer noopener\">UT among the world’s top supply chain education institutions<\/a>, apply to participate in one of our upcoming SCM Academies. We currently offer short, virtual courses on <a href=\"https:\/\/haslam.utk.edu\/gsci\/event\/scm-leadership-academy-3\/\" target=\"_blank\" rel=\"noreferrer noopener\">Leadership<\/a> (Jan. 30\u2013May 10), <a href=\"https:\/\/haslam.utk.edu\/gsci\/event\/scm-finance-academy-3\/\" target=\"_blank\" rel=\"noreferrer noopener\">Finance<\/a> (March 2\u2013May 3) and <a href=\"https:\/\/haslam.utk.edu\/gsci\/event\/scm-planning-academy\/\" target=\"_blank\" rel=\"noreferrer noopener\">Planning<\/a> (March 11\u2013May 10), with customizable options for corporate partners. The SCM <a href=\"https:\/\/volsonline.utk.edu\/program\/microcreditials\/supply-chain-management-procurement-academy\/\" target=\"_blank\" rel=\"noreferrer noopener\">Future-Ready Procurement Academy<\/a> will return in the Fall of 2026.<\/p>\n\n\n\n<p>Participating in the Academies not only earns you valuable industry credentials while expanding your network and driving value for your business. It also fast-tracks your path to earning our highly regarded <a href=\"https:\/\/volsonline.utk.edu\/program\/masters\/supply-chain-management-ms\/\" target=\"_blank\" rel=\"noreferrer noopener\">Master of Science in Supply Chain Management Online<\/a>, with up to 6 course credits. <strong>Plus, GSCI partners get a 15% discount<\/strong>!<\/p>\n\n\n\n<p>At the forum, attendees heard from faculty working with our <a href=\"https:\/\/haslam.utk.edu\/gsci\/advanced-supply-chain-collaborative\/\" target=\"_blank\" rel=\"noreferrer noopener\">Advanced Supply Chain Collaborative<\/a>, a think tank that partners UT researchers with corporate leaders to address advanced concepts in supply chain management. You can download \u201c<a href=\"https:\/\/haslam.utk.edu\/gsci\/publication\/reshoring-supply-chain-workforce\/\" target=\"_blank\" rel=\"noreferrer noopener\">Reshoring the Workforce: Bridging America’s Manufacturing Talent Gap<\/a>\u201d by <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/alan-amling\/\" target=\"_blank\" rel=\"noreferrer noopener\">Alan Amling<\/a> and <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/darrell-edwards\/\" target=\"_blank\" rel=\"noreferrer noopener\">Darrell Edwards<\/a> and \u201c<a href=\"https:\/\/haslam.utk.edu\/gsci\/publication\/returns-management-white-paper\/\" target=\"_blank\" rel=\"noreferrer noopener\">The 5Ps of Returns Management: An Integrative Approach<\/a>\u201d by Tom Goldsby and <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/huseyn-abdulla\/\" target=\"_blank\" rel=\"noreferrer noopener\">Huseyn Abdulla<\/a> for free, along with more than 30 other industry-relevant white papers.<\/p>\n\n\n\n<p><strong>Good news<\/strong>: Your company doesn’t have to be a GSCI partner for you to keep up with the latest industry insights, trends, and research from UT. Sign up for our <a href=\"https:\/\/haslam.utk.edu\/gsci\/gsci-newsletter\/\" target=\"_blank\" rel=\"noreferrer noopener\">monthly newsletter<\/a>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Save the date<\/h2>\n\n\n\n<figure class=\"wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio\"><div class=\"wp-block-embed__wrapper\">\n<iframe loading=\"lazy\" title=\"Join the University of Tennessee Supply Chain Forum\" width=\"900\" height=\"506\" src=\"https:\/\/www.youtube.com\/embed\/dXRU_qsyF_o?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe>\n<\/div><\/figure>\n\n\n\n<p>The Spring Supply Chain Forum will be held <strong>April 21\u201323, 2026,<\/strong> at the Marriott Knoxville Downtown. We have a strong feeling that it will only get bigger and better for attendees. <\/p>\n\n\n\n<p>In the meantime, consider participating in our next big event, the <a href=\"https:\/\/haslam.utk.edu\/gsci\/event\/scm-career-expo\/\">SCM Career Expo<\/a> on February 16, for a chance to recruit the best emerging talent in North America. <strong>The $1000 registration fee is waived for partners<\/strong>.<\/p>\n\n\n\n<p><em>If your company is not an GSCI partner, <\/em><a href=\"mailto:gsci@utk.edu\"><em>contact us<\/em><\/a><em> to speak with a team member about either of our two corporate partnership options.<\/em><\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"Hundreds of business professionals, industry leaders, and top students joined us on Rocky Top for three days of learning, networking, and recruiting 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Protectionism, and Uncertainty: How US Economic Policy Affects Global Supply Chains"},"content":{"rendered":"\n<p><em>Written by <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/scott-mcnutt\/\" target=\"_blank\" rel=\"noreferrer noopener\">Scott McNutt<\/a><\/em><\/p>\n\n\n\n<p><em>This is the second of two posts recapping sessions from the\u00a0<a href=\"https:\/\/haslam.utk.edu\/supply-chain-forum\/fall-2025-supply-chain-forum-agenda\/\" target=\"_blank\" rel=\"noreferrer noopener\">Fall 2025 Supply Chain Forum<\/a>, held from November 4\u20136 in Knoxville, Tennessee. Attendees can view full recordings of this and other Main Sessions in the\u00a0<a href=\"https:\/\/haslam.utk.edu\/supply-chain-forum\/partner-access\/\" target=\"_blank\" rel=\"noreferrer noopener\">Partner Portal<\/a>.<\/em><\/p>\n\n\n\n<p>In an engaging discussion about the economy\u2019s impact on supply chains at the Fall 2025 Supply Chain Forum, Global Supply Chain Institute (GSCI) co-executive director <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/thomas-goldsby\/\">Tom Goldsby<\/a> spoke with Haslam College of Business economics professor <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/georg-schaur\/\">Georg Schaur<\/a> about tariffs, protectionism, national industrial policies and more.<\/p>\n\n\n\n<p><em>Note: The following are highlights of the exchange, which have been restructured, edited, and condensed for clarity and continuity.<\/em><\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Q&A: Tariffs<\/h2>\n\n\n\n<p><strong>Goldsby: When President Trump announced his heavy tariffs on virtually all U.S. trading partners on April 2, \u201cLiberation Day,\u201d I believed those costs would be passed directly to American consumers, sparking widespread inflation. That hasn\u2019t happened. What\u2019s your explanation for why tariffs haven\u2019t affected prices more drastically?<\/strong><\/p>\n\n\n\n<p><strong>Schaur:<\/strong> When the first Trump administration imposed tariffs, evidence showed they were passed to the U.S. economy almost at a rate of 100 percent. Research is being conducted into who is absorbing tariffs now, considering their full extent is not passed to consumers. The data shows it\u2019s unlikely the sellers are to blame. That means somebody in the middle is probably absorbing them.<\/p>\n\n\n\n<p><strong>Goldsby: There\u2019s also the notion of companies getting quite creative with tariffs in the harmonized trade code [the internationally standardized numerical method of classifying traded products]. Can you explain what\u2019s going on here?<\/strong><\/p>\n\n\n\n<p><strong>Schaur:<\/strong> I have no evidence that this is happening, but there are several ways to avoid tariffs. The easiest way to pretend you are not shipping what you are shipping is choosing product codes that are similar to what you\u2019re shipping, but with lower tariffs. That is difficult to show in trade data research because firms will not tell you they are doing this. If there\u2019s a mismatch between what a country says it’s exporting and what it’s importing, that could indicate misreporting. We\u2019ve found previously that when tariffs increase, misreporting increases.<\/p>\n\n\n\n<p><strong>Goldsby:<\/strong> Can you address the concept of importing indirectly?<\/p>\n\n\n\n<p><strong>Schaur:<\/strong> Yes, instead of directly exporting from China to the United States, perhaps go first to Canada, Mexico or Vietnam to avoid some of these tariffs.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Protectionism and Industrial Policy<\/h2>\n\n\n\n<p><strong>Goldsby: The Biden administration maintained the tariffs imposed by the first Trump administration. Now we\u2019re seeing additional tariffs placed on businesses. Can you give us a landscape of protectionist measures?<\/strong><\/p>\n\n\n\n<p><strong>Schaur:<\/strong> After the two world wars, U.S. tariffs were at about 15 percent, which were eventually negotiated down to around three percent. What we see right now is an increase in U.S. tariffs to about 14, 15, or 18 percent. Essentially, we are moving back to the trade protection we had after the wars.<\/p>\n\n\n\n<p><strong>Goldsby: The U.S. doesn\u2019t touch or influence 85 percent of global commerce. There\u2019s a suggestion that the U.S. is stirring up trade wars, and some conversations on multilateral agreements are starting to happen around the world without U.S. involvement. Do we risk that other 85 percent cutting the U.S. out?<\/strong><\/p>\n\n\n\n<p><strong>Schaur:<\/strong> It\u2019s important to understand how international trade has changed and how flexible international supply chains have become. In the 1800s, 1900s, we were trading finished products, and we needed all the materials here to finish those products. In the 1990s\u2014with all the innovations in computers, the internet, reductions in communication costs\u2014that production was fragmented and split all over the world. Given how fragmented production is, it\u2019s easier to move individual pieces of that process elsewhere in response to trade barriers.<\/p>\n\n\n\n<p>We would expect if you\u2019re imposing these kinds of costs, some supply chains will start excluding the U.S. On the other hand, we have policies in certain industries that make it more attractive to come to the United States, because there are subsidies for things we want.<\/p>\n\n\n\n<p><strong>Goldsby: As a national industrial policy, the Biden administration recognized supply chains were important and identified critical sectors to reshore. The CHIPS Act was a $50 billion carrot to build advanced chips here. About $450 billion in private sector funding followed. That was the carrot approach. In my work with the Department of Commerce then, we talked about other sectors we needed carrots for. Now, there seems to be a reversal of that approach. What are your thoughts on economic carrots and sticks?<\/strong><\/p>\n\n\n\n<p><strong>Schaur:<\/strong> If you want some production to move back to the U.S., you need both. Standard economics says open markets stimulate economic growth and innovation. Imposing protective measures closes markets, leading to less innovation and less growth, which decreases returns, making the U.S. less attractive to foreign investors. To counteract that and attract industries you want in the U.S., you must give firms an incentive to move here despite the higher tariffs. That is the carrot in terms of the industrial policy measures.<\/p>\n\n\n\n<p><strong>Goldsby: A question from the audience notes that Chipotle and DoorDash recently reported weak earnings. Personal debt levels are also at record highs. Is the country in a silent recession?<\/strong><\/p>\n\n\n\n<p><strong>Schaur:<\/strong> Several indicators are showing the labor market is much weaker than we thought. We see this in the Federal Reserve’s actions. On the one hand, inflation is above target, but the Fed is starting to lower interest rates because it shares the view that markets are not in good shape and that we may be trending towards a recession. We\u2019re headed into a period when labor markets are weaker than they’ve been over the last 10 or 15 years. And concerns are increasing.<\/p>\n\n\n\n<p><strong>Goldsby: Regarding trade regulation compliance, there has been so much walking back and doubling down on tariffs. How can companies hope to comply?<\/strong><\/p>\n\n\n\n<p><strong>Schaur:<\/strong> Economists can ensure we are on top of the changing policies and have a logical framework to understand how they might affect the future bottom line of the economy and of a firm. Companies need someone who understands these policies and has a logical take on how they might affect things, and there are also resources that do a good job of tracking tariff changes.<\/p>\n\n\n\n<p>Other, non-tariff costs are much more difficult to observe. For example, when the tariffs were imposed, customs struggled because they suddenly had to be more careful about ensuring tariffs were paid, which led to delays. It is difficult to determine, on average, how much a three-day delay costs a firm. And how do you determine what investments to make to mitigate those costs when you don\u2019t know what those costs are? The less-transparent effects of trade policies that increase the cost of doing business are more challenging for firms and consumers than tariffs are these days.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Uncertainty Hurts Long-Term Business Relationships<\/h2>\n\n\n\n<p><strong>Goldsby: You\u2019ve done extensive research in supply chain configurations and how they\u2019ve changed. What does your research show about whether these protectionist policies will achieve the stated goal of reshoring production and operations?<\/strong><\/p>\n\n\n\n<p><strong>Schaur:<\/strong> In terms of production location, one of the most challenging issues is the non-tariff barriers. One important barrier that is difficult to grasp is uncertainty. Everybody intuitively understands that uncertainty is much higher than it was 10 or 20 years ago. How does that impact international business? Recent research is assessing how global uncertainty affects production location. There are two ways to do business. One is, you write a contract for what you need from your supplier, and if they don\u2019t deliver, you take them to court for not delivering. Another way of doing business is, forget contracts, I\u2019m going to pay you a little more so you\u2019re incentivized to maintain a good relationship with me and deliver the quality product I want.<\/p>\n\n\n\n<p>Why does uncertainty matter here? With a good contract, you don\u2019t need relationships because you can go to court if they don\u2019t deliver. Relationships depend on whether you believe the relationship will continue. A relationship\u2019s productive longevity motivates the seller to deliver the promised quality. If they believe the relationship won\u2019t last, they don\u2019t have an incentive to deliver because they can reap the one-time benefits from cheating and move on.<\/p>\n\n\n\n<p>In our research, we use U.S. import data to see relationships between buyers and sellers in their transaction patterns to distinguish whether they are in a one-time contract or a long-term relationship. From this research, we see if global uncertainty increases, the probability that business relationships last decreases, making it more costly for firms to form relationships.<\/p>\n\n\n\n<p>The surprising finding from our research model is that, if you increase global uncertainty, production will shift from Europe to China. The reason for that shift is that Europe and the U.S. have, over time, built long-term relationships. If uncertainty increases, those relationships are less likely to last. That increases the cost of doing business with Europe, and that change will make it more attractive to source from China.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Save the date<\/h2>\n\n\n\n<p>The Spring Supply Chain Forum will be held\u00a0<strong>April 21\u201323, 2026,<\/strong>\u00a0at the Marriott Knoxville Downtown, and you won\u2019t want to miss it. The event is exclusive to the\u00a0<a href=\"https:\/\/haslam.utk.edu\/supply-chain-forum\/ut-supply-chain-forum-partners\/\" target=\"_blank\" rel=\"noreferrer noopener\">over 80 organizations<\/a>\u00a0that partner with UT to learn, network, and recruit the best supply chain talent.<\/p>\n\n\n\n<p><em>If your company is not an SCF partner,\u00a0<a href=\"mailto:gsci@utk.edu\" target=\"_blank\" rel=\"noreferrer noopener\">contact us<\/a>\u00a0to speak with a team member about either of our two corporate partnership options.<\/em><\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"Economics professor Georg Schaur joined Tom Goldsby on stage at the Fall Supply Chain Forum for a discussion on the hidden costs of trade disruption.","protected":false},"author":18,"featured_media":20092,"template":"","department":[467,465],"class_list":["post-20091","news","type-news","status-publish","has-post-thumbnail","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO 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Military Leadership to Today\u2019s Supply Chain Challenges"},"content":{"rendered":"\n<p><em>Written by <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/scott-mcnutt\/\" target=\"_blank\" rel=\"noreferrer noopener\">Scott McNutt<\/a><\/em><\/p>\n\n\n\n<p><em>This is the first of two posts recapping sessions from the <a href=\"https:\/\/haslam.utk.edu\/supply-chain-forum\/fall-2025-supply-chain-forum-agenda\/\" target=\"_blank\" rel=\"noreferrer noopener\">Fall 2025 Supply Chain Forum<\/a>, held from November 4\u20136 in Knoxville, Tennessee. Attendees can view full recordings of this and other Main Sessions from the forum in the <a href=\"https:\/\/haslam.utk.edu\/supply-chain-forum\/partner-access\/\" target=\"_blank\" rel=\"noreferrer noopener\">Partner Portal<\/a>.<\/em><\/p>\n\n\n\n<p>The Beyond Supply Chain session at the Fall 2025 Supply Chain Forum featured Global Supply Chain Institute (GSCI) executive directors <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/ted-stank\/\" target=\"_blank\" rel=\"noreferrer noopener\">Ted Stank<\/a> and <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/thomas-goldsby\/\" target=\"_blank\" rel=\"noreferrer noopener\">Tom Goldsby<\/a> in a Q&A with retired Rear Admiral Kevin Sweeney on how to translate military leadership to business in today\u2019s volatile supply chain environment.<\/p>\n\n\n\n<p>Sweeney, whose last assignment before retiring from the Navy in 2014 was as commander of Carrier Strike Group TEN, later served as chief of staff to Defense Secretary James Mattis in the first Trump administration. He has also held C-suite positions with private companies and serves on the Airbus U.S. Space and Defense board, among others.<\/p>\n\n\n\n<p><em>Note: The following are highlights of the exchange, which have been restructured, edited, and condensed for clarity and continuity.<\/em><\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Learning Through Adversity<\/h2>\n\n\n\n<p>Before the Q&A, the admiral recounted the most fateful occurrence of his military career. He was stateside awaiting transfer overseas to take command of the guided missile destroyer USS Cole when it was struck by an Al-Qaeda suicide bombing in Yemen’s Aden harbor on October 12, 2000. Seventeen U.S. Navy sailors were killed and 37 were injured in the attack. Sweeney became captain of a ship that had to be towed to the U.S. and then spent the next 22 months being rebuilt in Pascagoula, Mississippi. He recognized he was not trained how to rebuild a ship while helping his crew cope with the aftermath of the most horrific, traumatic event of their lives.<\/p>\n\n\n\n<p>\u201cAs a young 41-year-old CEO, there was no playbook,\u201d he recalled. \u201cIt was demanding, rewarding and a profound learning experience. The highest honor in my career was being the skipper to Cole after the attack and rebuilding and bringing the ship back.\u201d<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Q&A: Geopolitics and Supply Chain<\/h2>\n\n\n\n<p><strong>Stank: What is your take on the geopolitical landscape today, particularly how it impacts supply chains?<\/strong><\/p>\n\n\n\n<p><strong>Sweeney<\/strong>: It is a time of change. This administration, whether it’s tariffs, trade policies, national security, or the borders, is focusing on the homeland, and the challenges are unique. The government shutdown impacts so much every day \u2014not just the military, but everybody in the federal government. Strategically, we see a pause.<\/p>\n\n\n\n<p>But competition doesn’t stop overseas. At Airbus, we’re building satellites. We’re competing for limited assets in the supply chain. We’re also focusing on what we call the assured supply chain because we can’t have anything fail in space or elsewhere. Concurrently, there’s stress on the EU and NATO. We have two wars going on, Ukraine-Russia and Israel-Hamas. That is impacting the defense industry. Munitions demand is surging. There’s a focus on shipbuilding. Where is that going to take us long term?<\/p>\n\n\n\n<p><strong>Goldsby: What do you see happening there over the next couple of years?<\/strong><\/p>\n\n\n\n<p><strong>Sweeney<\/strong>: All the military modeling we had on weapons consumption has changed. In the Red Sea, the Navy is shooting down drones with multimillion-dollar missiles because that’s what we have. The cost equation is out of whack. So, there will be a continuous focus on building up munitions and new technology and taking it beyond drones at sea and underwater. What we call collaborative combat air will start coordinating the larger drones with crewed jets. The demand will persist because the threat is not going away.<\/p>\n\n\n\n<p><strong>Stank: What do you see geopolitically for supply chain? Is there going to be any stabilization in Europe?<\/strong><\/p>\n\n\n\n<p><strong>Sweeney<\/strong>: Europe is waking up to the fact that they are going to be much more responsible for their own national security. NATO has been a blanket the U.S. has paid the bill for for many years. The Trump administrations\u2019 focus on NATO isn’t new. We’ve been talking about it for many years, but there had been little action to catalyze investment out of the NATO countries. They realize that they have to step up financially, and it means a big shift in their budgets.<\/p>\n\n\n\n<p>In Asia Pacific, the Chinese are growing regionally every day, and the goal is to ultimately be a global power and have the global system underneath their control. What we’re doing in South America is tied to that. The question is, are we committed? How are we positioned for the supply chain and for things like rare earth minerals? There is also a focus on manufacturing capacity in the U.S. I\u2019m involved in microelectronics, and we don’t have the ability to turn around quickly and build that out if something goes wrong in Asia Pacific or elsewhere.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Industry, Security and Military Readiness<\/h2>\n\n\n\n<p><strong>Goldsby: Do we need to be able to build vital pieces of military equipment here?<\/strong><\/p>\n\n\n\n<p><strong>Sweeney<\/strong>: The military side needs to expand capacity, which you can’t do overnight. The thrust is to encourage outside investing. We have commitments from shipbuilding companies around the world. Building at that capacity takes years and a lot of capital expenditure. The administration is looking for third-party private equity investment into our needs in the U.S.<\/p>\n\n\n\n<p><strong>Goldsby: From the audience: How much money do we spend on defense, and can we shift that to manufacturing? What\u2019s the potential for a national industrial policy?<\/strong><\/p>\n\n\n\n<p><strong>Sweeney<\/strong>: There’s a huge focus, and it started back in 2017, in a good way, on the industrial base. It has withered away, whether it’s building ships, aircraft or new technology. The percentage of GDP that the military controls is 3-4 percent, from a peak of 10, 11 or 12 percent. Back in the ’50s and ’60s, the broader military was the co-investor with industry, and a lot of technology spun out of that. Today, it’s the exact opposite, and we’re trying to rectify that.<\/p>\n\n\n\n<p><strong>Goldsby: Another audience question: What are our biggest threats, and how do we prepare to address those?<\/strong><\/p>\n\n\n\n<p><strong>Sweeney<\/strong>: Space and cyber are the two areas that we probably no longer have the competitive advantage, particularly versus China. Those are so important, and China is so persistent. They are manpower-intensive and technology-intensive. China\u2019s advantage is they take what we call a whole-government approach to everything. Every Chinese company has a responsibility to support the military in some way. In the cyber domain, it’s not just protecting your IT systems, it’s protecting your intellectual property, and not being brought to your knees when something goes wrong.<\/p>\n\n\n\n<p>I’ve been involved in a company that went through a ransomware attack, and we were brought down for about 10 days. We lost proprietary information. We couldn’t send out purchase orders or billing. If you could do that to an aerospace and defense company, think more broadly what can be done to critical infrastructure.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Applied Leadership<\/h2>\n\n\n\n<p><strong>Stank: What do corporate leaders on the boards you serve on look to you to provide?<\/strong><\/p>\n\n\n\n<p><strong>Sweeney<\/strong>: People like me bring broad experience to a board. I was an end-user of many of the military products being built. That’s one piece. Two, you understand how the government works, you understand how the federal government acquisition process works, you understand what we call the inter-agency, and we all have great relationships inside and outside the government. We also bring leadership. We bring a different background than folks who come up on the commercial side.<\/p>\n\n\n\n<p><strong>Goldsby: What leadership principles have influenced your success and growth in the Navy and the business world?<\/strong><\/p>\n\n\n\n<p><strong>Sweeney<\/strong>: The most important aspect of leadership is teamwork. It’s building teams that trust each other and work together at any level, from a squad of marines to the Department of Defense. You can have the smartest supply chain folks, the best engineers, but if you can’t build a team that works together for a common goal, you’re going to fail. You’re dealing with people, and you must have good relationships with all your key stakeholders. That’s the only way an organization can succeed.<\/p>\n\n\n\n<p>Another aspect of leadership is the power of mentorship, both to the mentee and the mentor. For students here preparing to enter the professional world, seek out folks for guidance and perspective that’s nonjudgmental. I still interact with my mentors who are long retired but full of wisdom. One of the most enjoyable things I do is mentoring.<\/p>\n\n\n\n<p><strong>Stank: What would be your parting thought to this group?<\/strong><\/p>\n\n\n\n<p><strong>Sweeney<\/strong>: You have to listen to people. Whether it’s a junior individual or the old guy in the corner who’s been here 40 years, you have to listen and engage people. Listening, not just hearing, but really listening is probably the most impactful tool that we have.<\/p>\n\n\n\n<p><strong>Goldsby: Admiral, thank you so much for your service.<\/strong><\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Save the date<\/h2>\n\n\n\n<p>The Spring Supply Chain Forum will be held <strong>April 21\u201323, 2026,<\/strong> at the Marriott Knoxville Downtown, and you won\u2019t want to miss it. The event is exclusive to the <a href=\"https:\/\/haslam.utk.edu\/supply-chain-forum\/ut-supply-chain-forum-partners\/\" target=\"_blank\" rel=\"noreferrer noopener\">over 80 organizations<\/a> that partner with UT to learn, network, and recruit the best supply chain talent.<\/p>\n\n\n\n<p><em>If your company is not an SCF partner, <a href=\"mailto:gsci@utk.edu\" target=\"_blank\" rel=\"noreferrer noopener\">contact us<\/a> to speak with a team member about either of our two corporate partnership options.<\/em><\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"At the Fall Supply Chain Forum, retired Rear Admiral Kevin Sweeney discussed lessons from his 32-year Navy career and how they apply to modern supply chain strategy and leadership.","protected":false},"author":18,"featured_media":20086,"template":"","department":[467,465],"class_list":["post-20080","news","type-news","status-publish","has-post-thumbnail","hentry"],"yoast_head":"<!-- This site is optimized with the 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the Headache: Smarter Returns Management with the 5Ps"},"content":{"rendered":"\n<p><em>In September, the University of Tennessee Global Supply Chain Institute published \u201c<a href=\"https:\/\/haslam.utk.edu\/gsci\/publication\/returns-management-white-paper\/\" target=\"_blank\" rel=\"noreferrer noopener\">The 5Ps of Returns Management: An Integrative Approach<\/a>,\u201d by Huseyn Abdulla and Tom Goldsby.<\/em> <em>The white paper summarizes research <\/em>conducted b<em>y the <a href=\"https:\/\/haslam.utk.edu\/gsci\/advanced-supply-chain-collaborative\/\" target=\"_blank\" rel=\"noreferrer noopener\">Advanced Supply Chain Collaborative<\/a>, a think tank that partner<\/em>s<em> faculty experts with industry professionals to enhance business performance, enrich teaching, and cultivate supply chain excellence.<\/em><\/p>\n\n\n\n<figure class=\"wp-block-image alignleft size-thumbnail is-resized\"><img loading=\"lazy\" decoding=\"async\" width=\"150\" height=\"150\" src=\"https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/09\/Huseyn-Abdulla-Smaller-Headshot-150x150.jpg\" alt=\"\" class=\"wp-image-19925\" style=\"width:150px;height:auto\" srcset=\"https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/09\/Huseyn-Abdulla-Smaller-Headshot-150x150.jpg 150w, https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/09\/Huseyn-Abdulla-Smaller-Headshot-250x250.jpg 250w, https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/09\/Huseyn-Abdulla-Smaller-Headshot-120x120.jpg 120w, https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/09\/Huseyn-Abdulla-Smaller-Headshot-300x300.jpg 300w, https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/09\/Huseyn-Abdulla-Smaller-Headshot.jpg 600w\" sizes=\"auto, (max-width: 150px) 100vw, 150px\" \/><figcaption class=\"wp-element-caption\"><a href=\"https:\/\/haslam.utk.edu\/people\/profile\/huseyn-abdulla\/\" target=\"_blank\" rel=\"noreferrer noopener\">Huseyn Abdulla<\/a><\/figcaption><\/figure>\n\n\n\n<figure class=\"wp-block-image alignleft size-thumbnail is-resized\"><img loading=\"lazy\" decoding=\"async\" width=\"150\" height=\"150\" src=\"https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/03\/Tom-Goldsby-NEW-Headshot-150x150.jpg\" alt=\"\" class=\"wp-image-14449\" style=\"width:150px;height:auto\" srcset=\"https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/03\/Tom-Goldsby-NEW-Headshot-150x150.jpg 150w, https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/03\/Tom-Goldsby-NEW-Headshot-250x250.jpg 250w, https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/03\/Tom-Goldsby-NEW-Headshot-700x700.jpg 700w, https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/03\/Tom-Goldsby-NEW-Headshot-768x768.jpg 768w, https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/03\/Tom-Goldsby-NEW-Headshot-120x120.jpg 120w, https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/03\/Tom-Goldsby-NEW-Headshot-300x300.jpg 300w, https:\/\/haslam.utk.edu\/gsci\/wp-content\/uploads\/sites\/2\/2025\/03\/Tom-Goldsby-NEW-Headshot.jpg 1161w\" sizes=\"auto, (max-width: 150px) 100vw, 150px\" \/><figcaption class=\"wp-element-caption\"><a href=\"https:\/\/haslam.utk.edu\/people\/profile\/alan-amling\/\">Tom Goldsby<\/a><\/figcaption><\/figure>\n\n\n\n<p>Returns are a fact of life in retail and e-commerce. <a href=\"https:\/\/nrf.com\/research\/2024-consumer-returns-retail-industry\" target=\"_blank\" rel=\"noreferrer noopener\">Nearly 17% of online purchases are returned<\/a>, costing companies billions while straining customer relationships. But what if returns could become a source of value rather than a headache?<\/p>\n\n\n\n<p>A new white paper from the <a href=\"https:\/\/gsci.utk.edu\/\">UT Global Supply Chain Institute<\/a> shows that leaders can reduce costs and improve customer loyalty by managing returns holistically. Authors <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/huseyn-abdulla\/\" target=\"_blank\" rel=\"noreferrer noopener\">Huseyn Abdulla<\/a> and <a href=\"https:\/\/haslam.utk.edu\/people\/profile\/thomas-goldsby\/\" target=\"_blank\" rel=\"noreferrer noopener\">Thomas J. Goldsby<\/a> introduce the 5Ps of Returns Management framework\u2014people, policies, processes, products, and partners\u2014as a roadmap for turning reverse logistics into competitive advantage.<\/p>\n\n\n\n<p>Here\u2019s what supply chain professionals should consider when tackling returns:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>People<\/strong> \u2013 Train frontline associates and customer service teams to make fair, consistent return decisions. Human judgment is the starting point for every return<\/li>\n\n\n\n<li><strong>Policies<\/strong> \u2013 Strike the right balance between leniency and protection. Overly strict policies may cut return rates but drive customers away<\/li>\n\n\n\n<li><strong>Processes<\/strong> \u2013 Don\u2019t just process returns\u2014design them. From returnless refunds to in-store drop-offs, smart processes reduce friction and capture value<\/li>\n\n\n\n<li><strong>Products <\/strong>\u2013 Customize policies by category. A one-size-fits-all return window doesn\u2019t reflect differences between apparel, appliances, or seasonal goods<\/li>\n\n\n\n<li><strong>Partners <\/strong>\u2013 Work with third-party providers to detect and prevent return abuse as well as for refurbishment, donation, and resale of the returned goods<\/li>\n<\/ul>\n\n\n\n<p>Their research, produced for the <a href=\"https:\/\/supplychainmanagement.utk.edu\/research\/advanced-supply-chain-collaborative\/\" target=\"_blank\" rel=\"noreferrer noopener\">Advanced Supply Chain Collaborative<\/a>, highlights that managing any one of these elements in isolation is rarely enough. Instead, it\u2019s the interaction of all five together that determines whether a company will succeed or struggle with returns.<\/p>\n\n\n\n<p>Consider Amazon\u2019s partnership with Kohl\u2019s. Designed to provide hassle-free returns for Amazon customers, the arrangement initially boosted store traffic for Kohl\u2019s. However, it also <a href=\"https:\/\/retailwire.com\/discussion\/should-kohls-stop-accepting-amazon-returns\/?utm_source=chatgpt.com\" target=\"_blank\" rel=\"noreferrer noopener\">created long lines, strained employees, and didn\u2019t deliver the profits<\/a> Kohl\u2019s expected: an example of how one dimension of returns management, if not carefully balanced with others, can backfire.<\/p>\n\n\n\n<p>By contrast, Philips Consumer Electronics in the early 2000s faced massive returns problems but <a href=\"https:\/\/www.inboundlogistics.com\/articles\/full-circle-reverse-logistics-keeps-products-green-to-the-end\/\" target=\"_blank\" rel=\"noreferrer noopener\">solved them by implementing a coordinated, cross-functional strategy<\/a>. The company created a dedicated returns management team, standardized policies, partnered with retailers, and integrated consumer feedback into product design. The result: a $100 million annual reduction in returns.<\/p>\n\n\n\n<p>\u201cThe best return is the one that never happens,\u201d Abdulla and Goldsby note. But when returns do happen, using the 5Ps ensures they\u2019re managed strategically rather than reactively.<\/p>\n\n\n\n<p>Returns management doesn\u2019t have to be a drain on your supply chain. With the right policies, processes, and partnerships in place\u2014and a strong focus on people and products\u2014companies can transform returns from a cost center into a source of value. <\/p>\n\n\n\n<p><a href=\"https:\/\/haslam.utk.edu\/gsci\/publication\/returns-management-white-paper\/\"><em>Download the white paper<\/em><\/a><em>, \u201cThe 5Ps of Returns Management: An Integrative Approach,\u201d to explore case studies and practical strategies you can apply today.<\/em><\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<p><strong>To learn more about how your company can partner with us to explore advanced concepts in supply chain management, visit <\/strong><a href=\"https:\/\/supplychainmanagement.utk.edu\/research\/advanced-supply-chain-collaborative\/\"><strong>ASCC<\/strong><\/a><strong>.<\/strong><\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"The latest GSCI white paper shows that leaders can reduce costs and improve customer loyalty by managing returns holistically using the 5Ps of Returns Management framework\u2014people, policies, processes, products, and partners.","protected":false},"author":18,"featured_media":19930,"template":"","department":[467],"class_list":["post-19924","news","type-news","status-publish","has-post-thumbnail","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Beyond the Headache: Smarter Returns Management<\/title>\n<meta name=\"description\" content=\"Discover the 5Ps of Returns Management\u2014people, policies, processes, products, and partners\u2014for a holistic, integrated supply chain strategy.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/haslam.utk.edu\/gsci\/news\/smarter-returns-management\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" 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Institute"},"image":{"@id":"https:\/\/haslam.utk.edu\/gsci\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.facebook.com\/GlobalSupplyChainInstitute","https:\/\/x.com\/GSCInstitute","https:\/\/instagram.com\/utkgsci","https:\/\/www.linkedin.com\/company\/globalsupplychaininstitute"]}]}},"_links":{"self":[{"href":"https:\/\/haslam.utk.edu\/gsci\/wp-json\/wp\/v2\/news\/19924","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/haslam.utk.edu\/gsci\/wp-json\/wp\/v2\/news"}],"about":[{"href":"https:\/\/haslam.utk.edu\/gsci\/wp-json\/wp\/v2\/types\/news"}],"author":[{"embeddable":true,"href":"https:\/\/haslam.utk.edu\/gsci\/wp-json\/wp\/v2\/users\/18"}],"version-history":[{"count":0,"href":"https:\/\/haslam.utk.edu\/gsci\/wp-json\/wp\/v2\/news\/19924\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/haslam.utk.edu\/gsci\/wp-json\/wp\/v2\/media\/19930"}],"wp:attachment":[{"href":"https:\/\/haslam.utk.edu\/gsci\/wp-json\/wp\/v2\/media?parent=19924"}],"wp:term":[{"taxonomy":"department","embeddable":true,"href":"https:\/\/haslam.utk.edu\/gsci\/wp-json\/wp\/v2\/department?post=19924"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}},{"id":19685,"date":"2025-08-06T14:01:56","date_gmt":"2025-08-06T14:01:56","guid":{"rendered":"https:\/\/haslam.utk.edu\/gsci\/?post_type=news&p=19685"},"modified":"2025-08-06T14:01:56","modified_gmt":"2025-08-06T14:01:56","slug":"union-pacific-norfolk-southern-rail-merger-gsci","status":"publish","type":"news","link":"https:\/\/haslam.utk.edu\/gsci\/news\/union-pacific-norfolk-southern-rail-merger-gsci\/","title":{"rendered":"What the UP\u2013NS Merger Could Mean for U.S. Freight Rail"},"content":{"rendered":"\n<p>In July, Union Pacific and Norfolk Southern made headlines <a href=\"https:\/\/www.wsj.com\/business\/logistics\/transcontinental-railway-union-pacific-norfolk-southern-03e313aa?gaa_at=eafs&gaa_n=ASWzDAiiOeUdnGQhNSVCp0J7uThD4vL2hulRZjSuCXVkeALt6FgrphZB3o1vq7GK1ps%3D&gaa_ts=68921929&gaa_sig=xKI4urEeAtw0JHtrwPFn3ldrFPYbPGk5FFbcRvzXxtpy58OrZ6suVrfsjCN18slzH5qLKIPvo9oxl9V0uxJSaw%3D%3D\">by announcing plans to merge<\/a>, forming what would be the first true transcontinental freight rail network in the United States. The combined company would span coast to coast, with the potential to reshape the competitive landscape of American rail and, perhaps, the broader logistics ecosystem.<\/p>\n\n\n\n<p><a href=\"https:\/\/haslam.utk.edu\/gsci\/supply-chain-experts\/\">Faculty experts<\/a> with the University of Tennessee\u2019s Global Supply Chain Institute examined the implications of the proposed deal. Below are five key considerations, not intended as a position paper, but as a balanced commentary on what\u2019s at stake.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">#1 There\u2019s a Potential Efficiency Payoff (Eventually)<\/h2>\n\n\n\n<p>On paper, combining UP and NS could streamline operations and reduce handoffs, especially at key interchange points like Chicago and New Orleans. Advocates compare it to what Canadian National (CN) and Canadian Pacific Kansas City (CPKC) have achieved by creating end-to-end networks from Canada through the U.S. and into Mexico.<\/p>\n\n\n\n<p>In theory, shippers could avoid interchange delays and reroute freight more nimbly in response to coastal port disruptions. This could reduce overall transit time, save costs, and offer a more reliable intermodal product, which may be attractive in a volatile supply chain environment.<\/p>\n\n\n\n<p>But much of the touted efficiency gains are speculative. Infrastructure remains. Rail lines, containers, and locomotives don\u2019t just disappear or magically connect. Improving intermodal train speeds and eliminating transfers will take years, not months.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">#2 Shippers Could Gain, But Short Lines May Suffer<\/h2>\n\n\n\n<p>Some shippers could benefit significantly if the merged company can truly speed up transit. Removing one day from a CPG shipper\u2019s supply chain by avoiding stops in Chicago or New Orleans could pull $10 million out of inventory.<\/p>\n\n\n\n<p>However, this comes at a cost to competition, especially for the 500+ short line railroads that rely on access to multiple Class I connections to negotiate favorable rates. Today, if a short line connects to both Union Pacific and Norfolk Southern, it can negotiate. After the merger, that leverage disappears.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">#3 Reduced Competition Is a Real Concern<\/h2>\n\n\n\n<p>Railroads are, by nature, a capital-intensive and infrastructure-heavy business, often viewed as a \u201cnatural monopoly.\u201d The U.S. has just seven Class I railroads, with only four major players in the contiguous U.S.<\/p>\n\n\n\n<p>If UP and NS combine, BNSF and CSX will likely follow suit. That leaves just two transcontinental freight rail providers, eliminating competitiveness in the market.<\/p>\n\n\n\n<p>Imagine if U.S. travelers were limited to only two passenger airlines. Would that result in lower prices or better service? Likely not.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">#4 The Sustainability Case Has Promise, If Backed by Action<\/h2>\n\n\n\n<p>There\u2019s a strong interest in the sustainability argument for rail, especially in comparison to long-haul trucking. GSCI faculty who teach emissions modeling note that shifting freight from truckload (TL) to intermodal (IM) rail can dramatically reduce CO\u2082 emissions.<\/p>\n\n\n\n<p>However, there remains skepticism that service will improve enough to trigger a mass migration of freight from road to rail without investment in frequency, car availability, and pricing flexibility.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">#5 Regulatory Hurdles Remain, Lengthening the Timeline<\/h2>\n\n\n\n<p>The Surface Transportation Board (STB), which regulates rail mergers, placed a moratorium on such deals in the early 2000s after prior combinations caused major disruptions. While recent moves by CN and CPKC suggest a more merger-friendly environment, faculty at GSCI believe this deal will face rigorous review. One can also expect resistance from labor unions, shippers, and regional rail operators.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\" \/>\n\n\n\n<p>While the merger could theoretically result in a more seamless freight rail system across North America, supply chain managers should remain cautious about how and when those benefits will materialize. This is not a short-term play. Even if approved, the operational and cultural integration could take years. And in that time, much can change.<\/p>\n\n\n\n<p>As ever, the market will weigh in, as will policymakers, customers, competitors, and the everyday constraints of the rail industry itself. Whether this deal reshapes American logistics or stalls out on the regulatory tracks remains to be seen.<\/p>\n","protected":false},"excerpt":{"rendered":"Union Pacific and Norfolk Southern recently announced a merger with the potential to reshape the competitive landscape of American rail and, perhaps, the broader logistics ecosystem. GSCI senior faculty examine the implications and share five key considerations as a balanced commentary on what\u2019s at stake.","protected":false},"author":18,"featured_media":19687,"template":"","department":[285,472],"class_list":["post-19685","news","type-news","status-publish","has-post-thumbnail","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>What the UP\u2013NS Merger Could Mean for U.S. Freight Rail - Global Supply Chain Institute<\/title>\n<meta name=\"description\" content=\"A merger between Union Pacific and Norfolk Southern would reshape the competitive landscape of American rail. 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