Dr. Dale Rogers, professor of supply chain management at Arizona State University, enjoys venturing off the well-worn path and investigating research questions and topics that have received little to no attention from his fellow academics.
Case in point: While everyone else was focusing on forward logistics in the late 1990s and early 2000s, Rogers was looking at reverse logistics, co-writing one of the first books about the subject. In fact, he was so early to the study of the discipline that he has since been dubbed, “the father of reverse logistics.”
Similarly, while many have studied how macroeconomic trends affect logistics, Rogers helped create the Logistics Managers Index, which shows how logistics serves as a leading indicator for the rest of the economy.
Finally, many practitioners and researchers have looked at how to cut costs and improve efficiency in the supply chain. In contrast, Rogers’ most recent book, Supply Chain Financing (co-written with Rudolf Leuschner of Rutgers University and Thomas Choi of Arizona State) discusses how supply chain management can fund the rest of the organization.
While being known as a bit of a maverick, Rogers has always been open about how much he owes to his mentors, especially the late Donald J. Bowersox, legendary logistics professor at Michigan State University. Like Bowersox, Rogers is dedicated to raising up the next generation of supply chain thinkers, including his own son Zachary Rogers who teaches supply chain at Colorado State University.
This sense of curiosity and desire to help educate and advance others is what led to Rogers being presented with supply chain’s highest honor: CSCMP’s Distinguished Service Award.
Rogers took some time to reflect on his career with Supply Chain Quarterly’s Managing Editor Diane Rand a the CSCMP EDGE Conference in September.
NAME: Dale S. Rogers
TITLE: ON Semiconductor Professor of Business at the Supply Chain Management department at Arizona State University
EDUCATION: bachelor’s degree, MBA, and Ph.D. from Michigan State University
PREVIOUS EXPERIENCE: Professor of Supply Chain and Logistics Management at Rutgers University; Professor of Supply Chain and Logistics Management, University of Nevada
LEADERSHIP: Director of the Frontier Economies Logistics Lab and the Co-Director of the Internet Edge Supply Chain Lab ASU; Principal Investigator of the $15 million CARISCA Project at Kwame Nkrumah University of Science and Technology in Kumasi, Ghana; Director of Global Projects for ILOS–Instituto de Logística e Supply Chain in Rio de Janeiro, Brazil; Board Advisor to Flexe, Enterra Solutions, and Droneventory; founding board member of the Global Supply Chain Resiliency Council and Reverse Logistics and Sustainability Council; serves on the board of directors for the Organización Mundial de Ciudades y Plataformas Logísticas
HONORS: CSCMP Distinguished Service Award and International Warehouse and Logistics Association Distinguished Service Award
RESEARCH AREAS: reverse logistics, sustainable supply chain management, supply chain finance, and secondary markets
What first sparked your interest in supply chain management?
I was an MBA student at Michigan State concentrating in finance, and somebody told me, “There is this thing called material and logistics management, and Michigan State is the best in the world at this thing.” I thought, gee, I was a math teacher in the Lansing Public School district, which was in great decline. I would like to be in a profession where I am not at risk of being laid off, so I switched [my concentration]. And I really fell in love with it. Dr. Bowersox, who taught a class I was in, remembered me, and he brought me back home to Lansing a couple of years after I graduated. I worked for his company, and then I got my doctorate under him. That was really the beginning of it.
You were one of many prominent supply chain academics who were taught by Dr. Bowersox. How did he influence your own work?
He actually changed how I think. He was always in a hurry and was always pushing [his students] to be in a hurry with him. He could see the simple truth in a big complex thing, and he sort of taught us how to do that. In that way, he kind of taught us how to be faculty. You know, it was really kind of a thing: All of his Ph.D. students ended up being pretty successful. It is an honor to have gotten to be one of them.
Well, having a wonderful mentor…
It really matters.
It really does matter. So, one of your main areas of focus for many years has been reverse logistics. How has reverse logistics, and the industry’s attention to it, changed over the years?
I think people have begun to see that it is an important strategic variable. Over the last year, we really saw a shift in e-commerce, and returns became a more important part of managing your supply chain. Also, I think people have discovered that returns and overstocks can be quite profitable. The secondary market in the U.S.—think about [the retail stores like] Ross Stores, Marshalls, HomeGoods, and all the factory outlets—those were originally designed to be a drain for stuff that didn’t sell or got returned but those are very profitable businesses. A lot of times you can buy for very low cost, and then you can sell for less.
As an analogy, I always tell people to think back to your college experience, where you probably bought that new science textbook for—well, I am old so I was going to say $75, but it is now probably $200.
It’s like $250. I have a college student.
$250. Then you sell it back for $20, and then the bookstore sells it for $175. For the bookstore, that is a great deal, right?
A wonderful deal.
So, there is a lot of money—a lot of profit—in reverse logistics that is then transformed into the secondary market.
In what ways are we still struggling in terms of reverse logistics?
Well, there is not as many really great reverse logistics [IT] systems. There hasn’t been a lot of digitization in reverse logistics actually.
Maybe now is the time for some good innovation.
I think this is a really great time for some of the startups.
Shifting gears: Last year the book you co-authored on supply chain financing came out. Can you briefly explain what supply chain financing is?
So, the purpose of the supply chain has always been: make, source, deliver, return, and so on. But today, a lot of times, the best source of capital is found within the supply chain, so supply chains are being used to fund the organization and sometimes vice versa. For example, if you think about the Apple model, they’ve got about 10 days’ worth of inventory globally. Do they only have 10 days? No. They’ve probably got more, but they are sticking it at the supplier, so they are using their supply chain to facilitate really good financials for Apple.
How did your interest in this area develop?
Well, I was teaching at Rutgers [University] at the time in New Jersey, and we went over to Midtown Manhattan, and we visited Colgate-Palmolive. They were so nice to us. They had a supply chain finance department, and they had all their people there to talk to the old professor. They kept using an acronym I didn’t understand, “FTG.” I thought maybe that was a financial thing. I didn’t know what it was. I said, “What is that?” And they said, “Oh sorry Dale, it is ‘fund the growth.’” So, Colgate is an old company. Their stock price is not going up a lot or down. You can max out on your debt capital very easily. So, the best capital to fund growth in emerging economies is found in the supply chain. That really piqued my interest.
How are you helping to mentor and influence the next generation of supply chain thinkers?
Well, you know, one of them, [my son Zac Rogers,] grew up in my house. So maybe he is more mentoring me these days. It really is fun because a lot of the young academics have exceptional toolsets, and they can really do stuff that an old man doesn’t know how to do. It is sort of a mutual thing. I really enjoy getting to work with them. There is a lot of really bright young faculty in supply chain that are coming through. This is a really exciting time.
How do you like collaborating with your son?
That is pretty fun most of the days. He is a smart kid. He does the [Logistics Managers Index] with me, and he does more work than me on it. He knows a bunch of stuff I don’t, so it has been really fun. What a gift to get to work with your son.
You have been involved in Executive Education programs all over the world. Why are these international assignments so important to you, and how have you benefited from them?
Truthfully it is a two-way street because whenever you teach in one of those, you usually learn stuff from the class. I really enjoy getting to see the world a little bit as well. It is fun, it is profitable, and it is also a really nice learning tool for me. I have students all over the world.
Lastly, what is one of your proudest career achievements would you say?}
Well, I have to tell you, this Distinguished Service Award is a real gift. But, you know, getting to be one of the early guys on reverse logistics, that’s a cool thing, and getting to be early on supply chain financing, that is also a cool thing. Truthfully the whole deal has been kind of a blast. It is really a great job. Eventually maybe somebody is going to come to my classroom, and say, “Sorry Dale, you’ve got to go home.” But until they do, I am going to keep doing it.
Companies in every sector are converting assets from fossil fuel to electric power in their push to reach net-zero energy targets and to reduce costs along the way, but to truly accelerate those efforts, they also need to improve electric energy efficiency, according to a study from technology consulting firm ABI Research.
In fact, boosting that efficiency could contribute fully 25% of the emissions reductions needed to reach net zero. And the pursuit of that goal will drive aggregated global investments in energy efficiency technologies to grow from $106 Billion in 2024 to $153 Billion in 2030, ABI said today in a report titled “The Role of Energy Efficiency in Reaching Net Zero Targets for Enterprises and Industries.”
ABI’s report divided the range of energy-efficiency-enhancing technologies and equipment into three industrial categories:
Commercial Buildings – Network Lighting Control (NLC) and occupancy sensing for automated lighting and heating; Artificial Intelligence (AI)-based energy management; heat-pumps and energy-efficient HVAC equipment; insulation technologies
Manufacturing Plants – Energy digital twins, factory automation, manufacturing process design and optimization software (PLM, MES, simulation); Electric Arc Furnaces (EAFs); energy efficient electric motors (compressors, fans, pumps)
“Both the International Energy Agency (IEA) and the United Nations Climate Change Conference (COP) continue to insist on the importance of energy efficiency,” Dominique Bonte, VP of End Markets and Verticals at ABI Research, said in a release. “At COP 29 in Dubai, it was agreed to commit to collectively double the global average annual rate of energy efficiency improvements from around 2% to over 4% every year until 2030, following recommendations from the IEA. This complements the EU’s Energy Efficiency First (EE1) Framework and the U.S. 2022 Inflation Reduction Act in which US$86 billion was earmarked for energy efficiency actions.”
Economic activity in the logistics industry expanded in November, continuing a steady growth pattern that began earlier this year and signaling a return to seasonality after several years of fluctuating conditions, according to the latest Logistics Managers’ Index report (LMI), released today.
The November LMI registered 58.4, down slightly from October’s reading of 58.9, which was the highest level in two years. The LMI is a monthly gauge of business conditions across warehousing and logistics markets; a reading above 50 indicates growth and a reading below 50 indicates contraction.
“The overall index has been very consistent in the past three months, with readings of 58.6, 58.9, and 58.4,” LMI analyst Zac Rogers, associate professor of supply chain management at Colorado State University, wrote in the November LMI report. “This plateau is slightly higher than a similar plateau of consistency earlier in the year when May to August saw four readings between 55.3 and 56.4. Seasonally speaking, it is consistent that this later year run of readings would be the highest all year.”
Separately, Rogers said the end-of-year growth reflects the return to a healthy holiday peak, which started when inventory levels expanded in late summer and early fall as retailers began stocking up to meet consumer demand. Pandemic-driven shifts in consumer buying behavior, inflation, and economic uncertainty contributed to volatile peak season conditions over the past four years, with the LMI swinging from record-high growth in late 2020 and 2021 to slower growth in 2022 and contraction in 2023.
“The LMI contracted at this time a year ago, so basically [there was] no peak season,” Rogers said, citing inflation as a drag on demand. “To have a normal November … [really] for the first time in five years, justifies what we’ve seen all these companies doing—building up inventory in a sustainable, seasonal way.
“Based on what we’re seeing, a lot of supply chains called it right and were ready for healthy holiday season, so far.”
The LMI has remained in the mid to high 50s range since January—with the exception of April, when the index dipped to 52.9—signaling strong and consistent demand for warehousing and transportation services.
The LMI is a monthly survey of logistics managers from across the country. It tracks industry growth overall and across eight areas: inventory levels and costs; warehousing capacity, utilization, and prices; and transportation capacity, utilization, and prices. The report is released monthly by researchers from Arizona State University, Colorado State University, Rochester Institute of Technology, Rutgers University, and the University of Nevada, Reno, in conjunction with the Council of Supply Chain Management Professionals (CSCMP).
"After several years of mitigating inflation, disruption, supply shocks, conflicts, and uncertainty, we are currently in a relative period of calm," John Paitek, vice president, GEP, said in a release. "But it is very much the calm before the coming storm. This report provides procurement and supply chain leaders with a prescriptive guide to weathering the gale force headwinds of protectionism, tariffs, trade wars, regulatory pressures, uncertainty, and the AI revolution that we will face in 2025."
A report from the company released today offers predictions and strategies for the upcoming year, organized into six major predictions in GEP’s “Outlook 2025: Procurement & Supply Chain.”
Advanced AI agents will play a key role in demand forecasting, risk monitoring, and supply chain optimization, shifting procurement's mandate from tactical to strategic. Companies should invest in the technology now to to streamline processes and enhance decision-making.
Expanded value metrics will drive decisions, as success will be measured by resilience, sustainability, and compliance… not just cost efficiency. Companies should communicate value beyond cost savings to stakeholders, and develop new KPIs.
Increasing regulatory demands will necessitate heightened supply chain transparency and accountability. So companies should strengthen supplier audits, adopt ESG tracking tools, and integrate compliance into strategic procurement decisions.
Widening tariffs and trade restrictions will force companies to reassess total cost of ownership (TCO) metrics to include geopolitical and environmental risks, as nearshoring and friendshoring attempt to balance resilience with cost.
Rising energy costs and regulatory demands will accelerate the shift to sustainable operations, pushing companies to invest in renewable energy and redesign supply chains to align with ESG commitments.
New tariffs could drive prices higher, just as inflation has come under control and interest rates are returning to near-zero levels. That means companies must continue to secure cost savings as their primary responsibility.
Specifically, 48% of respondents identified rising tariffs and trade barriers as their top concern, followed by supply chain disruptions at 45% and geopolitical instability at 41%. Moreover, tariffs and trade barriers ranked as the priority issue regardless of company size, as respondents at companies with less than 250 employees, 251-500, 501-1,000, 1,001-50,000 and 50,000+ employees all cited it as the most significant issue they are currently facing.
“Evolving tariffs and trade policies are one of a number of complex issues requiring organizations to build more resilience into their supply chains through compliance, technology and strategic planning,” Jackson Wood, Director, Industry Strategy at Descartes, said in a release. “With the potential for the incoming U.S. administration to impose new and additional tariffs on a wide variety of goods and countries of origin, U.S. importers may need to significantly re-engineer their sourcing strategies to mitigate potentially higher costs.”
Freight transportation providers and maritime port operators are bracing for rough business impacts if the incoming Trump Administration follows through on its pledge to impose a 25% tariff on Mexico and Canada and an additional 10% tariff on China, analysts say.
Industry contacts say they fear that such heavy fees could prompt importers to “pull forward” a massive surge of goods before the new administration is seated on January 20, and then quickly cut back again once the hefty new fees are instituted, according to a report from TD Cowen.
As a measure of the potential economic impact of that uncertain scenario, transport company stocks were mostly trading down yesterday following Donald Trump’s social media post on Monday night announcing the proposed new policy, TD Cowen said in a note to investors.
But an alternative impact of the tariff jump could be that it doesn’t happen at all, but is merely a threat intended to force other nations to the table to strike new deals on trade, immigration, or drug smuggling. “Trump is perfectly comfortable being a policy paradox and pushing competing policies (and people); this ‘chaos premium’ only increases his leverage in negotiations,” the firm said.
However, if that truly is the new administration’s strategy, it could backfire by sparking a tit-for-tat trade war that includes retaliatory tariffs by other countries on U.S. exports, other analysts said. “The additional tariffs on China that the incoming US administration plans to impose will add to restrictions on China-made products, driving up their prices and fueling an already-under-way surge in efforts to beat the tariffs by importing products before the inauguration,” Andrei Quinn-Barabanov, Senior Director – Supplier Risk Management solutions at Moody’s, said in a statement. “The Mexico and Canada tariffs may be an invitation to negotiations with the U.S. on immigration and other issues. If implemented, they would also be challenging to maintain, because the two nations can threaten the U.S. with significant retaliation and because of a likely pressure from the American business community that would be greatly affected by the costs and supply chain obstacles resulting from the tariffs.”
New tariffs could also damage sensitive supply chains by triggering unintended consequences, according to a report by Matt Lekstutis, Director at Efficio, a global procurement and supply chain procurement consultancy. “While ultimate tariff policy will likely be implemented to achieve specific US re-industrialization and other political objectives, the responses of various nations, companies and trading partners is not easily predicted and companies that even have little or no exposure to Mexico, China or Canada could be impacted. New tariffs may disrupt supply chains dependent on just in time deliveries as they adjust to new trade flows. This could affect all industries dependent on distribution and logistics providers and result in supply shortages,” Lekstutis said.