Marc Engel, a great catch for Maersk. He stands out like a colossus in his domain

Supply chain professionals are generally the unsung backroom boys or girls but things may have been changing of late

LOGISTICS MONITOR/By Ramesh Kumar

Marketing and Finance heads always have a monopoly over the corner offices in the corporate world. Rarely do supply chain honchos make it to the august office of the chief executive. Apple’s Tim Cook is the notable exception, who succeeded the mercurial Founder Steve Jobs after his demise a decade ago.

The point is marketing and finance heads have greater visibility in the corporate world vis-a-vis their counterparts handling the supply chain portfolio. However, these professionals play a pivotal role in ensuring the business enterprise runs as smoothly as possible by producing and then distributing the tangible products reach the market shelves. They are the unsung backroom boys or girls, no doubt.

No wonder the business world took notice of the announcement of fifth-generation Maersk ward Robert Uggla named as Chairman of the more than a century old Danish shipping giant. The world’s second-largest shipping company also announced that Marc Engel had joined its Board as vice-chair on the same day.

Engel is no babe in the supply chain ecosystem. He is the most renowned Chief Supply Chain Officer of the Unilever group, one of the world’s respected business conglomerates Engel served for 30 years. His glorious innings at Unilever are nearing the end in mid-March when he would join Maersk. Engel is not a newcomer to the Danish shipping giant. He has served on A.P. Moller–Maersk’s Board of Directors since 2019 and sits on the Board’s Transformation & Innovation Committee.

What’s his expertise? Extensive executive experience in global operations and supply chains, logistics, procurement, and sustainability. Why did he leave? He is forthright. “Making a difference to the things that really matter. Those of you that know me will recognise that this is at the heart of my leadership purpose. Challenges have always excited me. I love the journey, achieving the ‘impossible’, breaking new ground, and inspiring new pathways. These are the key reasons I joined Unilever more than 30 years ago, and it’s what kept me here year after year – proving that you can do well by doing good and that sustainable business really is THE way to do business.”

Having worked alongside over 100,000-strong supply chain team across the globe and ensuring the utmost compliance on various ESG parameters for the Anglo-Dutch giant in his capacity as CSCO for the past six years, it would have been tough to exit.

Unilever was lucky to have someone like Engel heading its supply chain as he was the fountainhead of accelerating growth through a “strategic supplier programme”. He developed the “Partner to Win” plan, which rolled out the concept of responsible sourcing, and not to be forgotten is his drive to emphasize and implement Sustainable Living Plan goals.

Today there are a handful of supply chain honchos in giant global business conglomerates. Yet, Engel stands out like the Colossus in this domain. The reason is not too far to seek. He is no run-of-the-mill supply chain professional ensuring timely procurement, production, delivery, keeping an unwavering eye on the cost. He elevated the role by enlarging his scope.

In an interview, he revealed his mind. Or is it his soul? “Our internal driver is business with a purpose, but there are also external factors. Brands with a purpose grow faster. But having a purpose is not possible if we don’t care about the health of our planet and the citizens of our society.”

The notion that the benefit of the product is only for the individual is changing as consumers are driving businesses to be more socially and environmentally responsible. As a result, those companies that are leading in sustainability are gaining more preference from customers, investors, and employees, and this is a way that they will remain ‘future fit’.

Engel enters the portals of Maersk at the right time. The shipping giant, one of the biggest beneficiaries of Covid-19 thanks to the skyrocketing freight rates, is enlarging its bucket list. Not content with its current portfolio, it is casting its net wide and afar. It is taking the inorganic route of acquiring business enterprises focusing on delivery such as air cargo and land transportation on a feverish pitch. Maersk plans to have a say in everything: to put in the supply chain jargon an end-to-end solution. Engel fit the bill perfectly. Any doubts?

Secondly, shipping companies are one of the biggest polluters in the world. The climate change and net-zero goals with the set deadline of 2050 need a strategist-cum-executioner for a company like Maersk. Engel again is the best choice with his credentials.

Last but not least is the sustainability goal. Doing good is laudable. At the same time, ensuring the Good Samaritan approach does not rock the boat and spell doom. With his sustainability strategy credentials, Engel is the right man at the right time for Maersk to chart a new course under the new and young leadership of Robert Uggla.

(The views are the author’s own and The News Porter bears no responsibility for the same.)

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The author is a business journalist specializing in logistics and supply chain. He has traveled 200,000 km on the Indian highways, met over 100,000 long-haul truck drivers across India since January 2010. He has authored three books: 10,000KM on Indian Highways, Naked Banana! and An Affair With Indian Highways. He is a Life Member of the Chartered Institute of Logistics & Transportation (CILT-India Chapter). He can be reached at konsultramesh@gmail.com. In this column, ‘Logistics Monitor’, he presents a global perspective on logistics and supply chain.