The Supply Chain Buzz is Supply Chain Now’s regular Monday livestream, held at 12n ET each week. This show focuses on some of the leading stories from global supply chain and global business, always with special guests – the most important of which is the live audience!

This week’s edition of The Buzz featured special guest Lilah Taha-Rippett, Senior Vice President of Supply Chain at First Watch Restaurant Group. a popular daytime dining restaurant with almost 500 locations in 29 states. She shared some of the most successful sourcing practices her team uses as well as advice for building strong, mutually-beneficial relationships with suppliers.

The featured news stories in this week’s livestream, discussed in collaboration with a live Supply Chain Now audience, include:

• A 200 ship traffic jam building up in the Panama Canal thanks to drought-level conditions in the area

• The challenging supply chain conditions that might make it hard to find Huy Fong Foods siracha hot sauce

• Three key areas of the business that Walmart has targeted as part of their Artificial Intelligence strategy

Intro/Outro (00:03):

Welcome to Supply Chain. Now, the voice of global supply chain supply chain now focuses on the best in the business for our worldwide audience, the people, the technologies, the best practices, and today’s critical issues, the challenges and opportunities. Stay tuned to hear from Those Making Global Business happen right here on supply chain now.

Scott Luton (00:32):

Hey, good morning, good afternoon, good evening, wherever you may be. Scott Luton here with you on Supply Chain. Now welcome to today’s live stream. Hey, on today’s show, as most of y’all know, it’s the supply chain buzz, which comes at you every Monday at 12 noon Eastern time. That’s by, by my calculation, I believe, at 6:00 PM Central European time. But y’all know, my math, my conversion skills <laugh> are, are, are missing here. But hey, big thanks behind the scenes, Catherine and Amanda, thanks for, uh, helping to make production happen here. And welcome everybody. We’ve got a ton of folks already here. We’re gonna say hello to, uh, each of y’all in just a few minutes today for the on the buzz. As y’all have come to expect, we’re gonna be discussing a variety of news and developments, really across global business. And we’ve got a special guest here today.

Scott Luton (01:17):

And trust me, when y’all, when I tell you that you’re really gonna get a kick out of our guest, I promise you, we just had a very engaging pre-show with Lilah Taha-Rippett, uh, senior Vice President of, uh, supply chain with First watch, which as y’all may know, very popular daytime dining restaurant, almost 500 locations in 29 states here in the us. So stay tuned as we’ll be gaining her insights. Now, some of y’all may know this about me, but I’m really particularly very interested ’cause as, as Layla and Catherine, a few others, and Apre show pointed out, you know, we, we’ve covered global supply chain in a number of different sectors, but really Layla’s one of our first, what I’ll call, uh, executive practitioners joining us from the restaurant or the daytime dining industry, I should probably put it. And for me, having worked in the food industry throughout college and then some, and then for a couple years, uh, after I graduated, I’m really looking forward to learning from Layla and, and her expertise and her, uh, experience.

Scott Luton (02:14):

So, but hey, we also wanna hear from you. Give us your take in the comments throughout the show. Uh, let us know what you’re thinking. And for those of you that may be listening to the podcast, replay y’all to consider joining us live on LinkedIn or YouTube or some other social media channel. If you’re choosing as we go live every Monday at 12 noon Eastern time, we’d love to hear from you. Now, some of y’all may notice I’m by myself today. Watch out. Uh, usually I’m joined by the one and only Greg White, but he’s traveling today and we’ll be back in the saddle with us next week. Okay, we’re gonna get into a few resources. We’re gonna get into a few stories we’re gonna walk through here today. And, uh, but before, before I do, before I say get some shout outs, uh, really important as we wanna send our, our thoughts, our love, and our prayers, all those impacted by tropical, uh, storm Hillary, as reports have come in more and more on the damage in Mexico and California.

Scott Luton (03:06):

So please stay safe. And we wish, uh, a very speedy recovery. Alright, so let’s say, man, we got a packed house. What is it with August 21st? Uh, and, and they are chopping at the bit. Let’s see here. We have got, uh, Mohamed tuned in via LinkedIn. Let us know where you’re tuned in from. Shabi, uh, Josh back with us from gorgeous and Smoky Seattle. He says 60 degrees up in Seattle. Great to see you here. Josh, Derrick from Dallas. Y’all, uh, trademark that, uh, tuned in from Dallas. It’s gonna be around 106 degrees. I think you’re gonna get the prize. Uh, Derek, goodness gracious. Uh, let’s see. <laugh>, I think Josh is saying, boom goes the, the temperature, uh, gauge there. Esh is back with us via LinkedIn. Esh, let us know where you’re tuned in from Rodriguez, uh, via LinkedIn as well. Audrey Arthur from Morgantown, Pennsylvania.

Scott Luton (03:56):

Love your show, Arthur. I really appreciate that. We all appreciate that. We love getting feedback from our audience, uh, wherever they may be. So, really appreciate that Angela is back with us from North Carolina via LinkedIn. Uh, and of course we couldn’t do a buzz without JP John Peterson tuned in from Marietta, Georgia. Great to see you, John. And we’re gonna hit everybody else here in just a moment. But I want to do this, I wanna start with some resources, right? It’s really important, as y’all know, the commitment from the supply chain Now, team, Hey, we’ve got your back. As you’re fighting through the trenches and make things happen for your customers, you know, and, and for your teams, we wanna share some, uh, some resources that may help you in, uh, that endeavor. And I’m gonna start with, with that said, over the weekend, who, in, who in the world is that?

Scott Luton (04:43):

Who let that guy up, up on a stage talking about Chocolate Kit Katts from Cape Town? Yes. So, uh, y’all check out. So every weekend we release our with that said, and it’s really meant to be a, a newsletter that’s not just a, uh, a replay of all the other content and podcasts and live streams. Really try to offer up a unique take. Um, and what we talked about this past weekend was our experience that Amanda and I had when we spent some time at the SAEX conference in Cape Town. And we were, our, our kids had asked for a bunch of different treats, right? Well, as we were at the Woolworths filling up a bag of treats, which would later, we’d have a, a fun time getting through customs <laugh> in, uh, with, but this Kit Katt stood out and I noticed on this Kit Kat there in Cape Town that Nestle was promoting that it was a hundred per, it was made with a hundred percent sustainable cocoa.

Scott Luton (05:32):

And that, uh, there’s a whole rest of the story there, but check out, you have to read with that said, but really, it’s cool to see Nestle commit that by 2025, just less than two years away, all of their global supply of cocoa that they use is going to be 100% sustainably sourced. So how cool is that? Check out the link. I think we’ve got that here. So you’re one click away from checking that out and make sure you subscribe so you don’t miss our, um, with that said, each and every weekend. All right, so from Kit Katt to Music, man, lots of our favorite things, uh, this morning here, Catherine and Amanda, uh, we’ve got a live stream coming up. Uh, this, let’s see, this is, uh, this will be Wednesday, August 23rd, my birthday. Hey, I, I love talking supply chain on my birthday.

Scott Luton (06:16):

Hey, we’re gonna be <laugh>, we’re gonna be featuring Matt Spooner with Conaxis and check out this title, quote, music to our ears, the power of supply Chain Orchestration. I love that. Right? Well, we’re gonna be talking about what that means and how that definition has continued to evolve. And some of the cool things Matt’s been up to on one hand as he just got back from a European cycling race. I can’t remember the name of that race. Catherine, let’s drop that in the link maybe. Um, and some of the cool things that Conaxis is up to that, uh, will all benefit from learning. So y’all check that out. I gotta catch up on, uh, a couple comments here. Yes, Arthur, gimme a break. Gimme me a break. I’m not sure if anyone remembers that Kit Kat commercial from the nineties, but, uh, <laugh>, that was, that was certainly, uh, imprinted in between my ears.

Scott Luton (06:59):

Uh, Greg, uh, join us again in, uh, from Wisconsin. Great to see you here. Greg Solo. Hello, supply Chain Enthusiasts. I think that’s a great title. Great looking at it. Uh, Simon, hello to wherever you are dialed in from. Let us know. Uh, Russh has tuned in from India. That’s right, I remember that. Uh, T squared says, bring on those dog days of summer nourishment. It’s gonna be 93 degrees where T Squared is. And I wanna say he’s up in the Maryland area, correct me, T squared, but he says it feels like 1 0 7, but it just feels hot, really hot and big show. Bob Bova is with us. He says, a little wet and windblown, but that’s okay. Up in the mountains. And, uh, high Desert got the worst of it as well. An earthquake on top of things. It’s crazy. Uh, and that’s right.

Scott Luton (07:44):

Uh, Bob, you’re out in California, so hope you and your family and, and all your colleagues are doing okay. All right, we have got one more resource before we hit our first new story that I wanna share. And that would be this. We’re having this conversation, y’all check out this graphic. Uh, we were having this conversation with our friends, um, Dan, uh, Reeve, never, not Reeves as in the, the Hall of fame coach and football player, Dan Reeve from Esker, right? We had Dan join us, and he brought along, once again, Dr. Morgan Wink from Texas Christian University. Now, uh, they have collaborated on some interesting research focused on managing working capital. And we’re gonna drop a link so y’all can check out that, uh, get your own copy, uh, in the comments. But one item that stood out to me that was included was, check this out, this global supply Chain Pressure index.

Scott Luton (08:31):

I bet this resonates with a bunch of y’all, right? I, I really think it’s interesting to see this pressure mapped out on a chart. It’s just the latest reminder. And we’ve had millions of them, of our workforce and how they’re under, we’re all under a ton of pressure and strained to perform. And as one of the constant mantras that we really, we don’t just preach, but we act on around here at supply chain. Now we gotta make it as easy as we can to help them succeed, right? So y’all check that out. Also, check out this report I mentioned the managing working capital, returning to a strategic, uh, strategic end-to-end approach. Really some interesting factoids from industry div, uh, driven by the data that you’ll want to, uh, check out in that research piece. Okay? Uh, let’s see here. I wanna make sure we’ve got, we’ve got links.

Scott Luton (09:17):

I mentioned that livestream or one click away, if y’all wanna check that out, that we can sign up for that session. Uh, this coming week. T squared Baltimore. That’s right. So I’m assuming T squared with Lamar Jackson, that he’s successfully negotiated his contract extension. Maybe he’s got a, he’s gonna teach the rest of us how to do stuff like that. Um, I bet the Ravens are in for a big N F L season coming up. Uh, salmon tuned in from Dubai. Man, big thing is happening in Dubai. Uh, Simon, a great friend, um, Kim, uh, Kim Winter is usually tuned in from Dubai. It’s amazing what’s going on there. Alright, so with all of that said, I want to get into our first story here today, and we’re gonna be talking about the Panama Canal. Now, some of y’all may be familiar with what’s going on, uh, down in the Panama Canal.

Scott Luton (10:05):

Uh, this comes to us via our friends over at the Wall Street Journal. Got a traffic jam building up on both sides of the Panama Canal. All of our listeners probably remember how far a long stretch there we were, uh, tracking backed up, uh, port traffic across the US on both coasts. If y’all remember, uh, Greg, uh, who, uh, spends a good chunk of his time on the island or Hilton head as he’ll call it. He was even calculating his own index as he watched ships sitting and waiting, uh, back then down near Savannah, I wanna say we got up into the dozens of ships there, Savannah, uh, backed up and waiting, not nearly like the, the traffic on the West Coast. Well, all that traffic congestion has shifted South. Now, get this, according to the Wall Street Journal, more than 200 ships are waiting on either side of the Panama Canal to transit the primary culprit.

Scott Luton (10:54):

You ask. Well, it’s an extraordinary drought, uh, drought condition impacting really the whole region. Now, did you know, as shared by this article, the Panama Canal uses three times as much water as New York City every single day. Now, that adds a little helpful context. And when the rainfall is low, well, the first thing to be cut are the number of transits that the canal allows. So if you do elect to, uh, uh, try to get your ship through there and transit during these times, well, you’re gonna be paying a very hefty fee. Now, for the most part, con uh, container ships aren’t nearly as packed in, uh, as impacted as others because they’re booked far in advance. Right? But more short notice shippers like gas carriers where they’re running into all sorts of problems and expenses. Uh, the Panama Canal Authority, interestingly enough, has hired the US Army Corps of Engineers.

Scott Luton (11:44):

Yes, the same group that built the canal back in the, um, early 19 hundreds, uh, where they’ve, they’ve brought the Corps of Engineers in to look at possibly diverting four more rivers into the canal, which already currently taps only three rivers. All right, so that’s just the first of, let’s see, I think we’re gonna knock out three stories here today. So check that out. We’re gonna keep our finger on the pulse of what’s going on there in the Panama Canal. And our second story, uh, from Panama to restaurant tables and home cabinets, <laugh>, uh, across the country, right? From our friends at, uh, uh, over at C N B C, we’re talking about a highly popular garlicy hot sauce that Americans just can’t get enough of. That’s right. Hoy, Fong Foods, sriracha hot sauce. I bet many of y’all love this stuff on your pasta, on your fa on your sandwiches, you name it.

Scott Luton (12:34):

Many of you probably used it comes in that big iconic plastic bottle with the rooster and the green plastic cap, right? But for years, for three or four years now, it’s been harder and harder to find. In fact, I saw bottles selling on Amazon for about 22 bucks this morning. Now, C N B C said it found the same, going for as much as 52 bucks. So here I, I was scrounging and I’ve got, got product here and bidding will begin at about $40. So as <laugh>, we’ll see if we get anyone take us up. But yeah, Catherine, I know you love Sriracha. I know Amanda loves Ssha. I love Ssha on, on just about everything. But let’s dive into what’s going on here. So, it’s the problem, ma, mainly, there’s two main reasons here. Number one, hoy. Fong foods evidently got into a dispute with its longtime supplier of jalapeno peppers, which is the primary ingredient, right?

Scott Luton (13:24):

For 28 years, Underwood ranches supplied Ong foods with peppers until a dispute hit around 2017, causing that relationship to cease. Now, that longtime supplier was cut out of the operation, and that’s where the second problem comes into play, replacing that steady stream of hot, delicious peppers. Well, that hasn’t been as easy as ho Fong foods must have thought. Since moving on from underwater, uh, ranches, the hot sauce maker has reportedly tried sourcing jalapenos from farms in California, New Mexico, uh, and Mexico. But drought and poor weather conditions has impacted these areas and its crops. Now, we’ll see how this story continues to develop, as Greg points out, uh, the tropical storm, Hillary, um, well, that’s not, that’s gonna have a big impact perhaps, um, on these, these, uh, farm regions that we were just talking about. But on a personal note, anytime I see a bottle of the sriracha sauce, I think about where I first tasted it, uh, in a, a Vietnamese, uh, fall restaurant in Wichita, Kansas, of all places.

Scott Luton (14:26):

I was in the Air Force at the time, and my buddies, Hylan Wong and Troy Boozer took me to this fall place, and I instantly fell in love with it. I mean, how couldn’t you, as Catherine pointed out. Uh, so it was delicious then. And still delicious now, and it goes with just about everything. So we’re hoping that the supply rebounds we’ll see. Um, alright, share a couple of comments here. T squared. Can you smell the greed, deflation, <laugh>, new term in this supply and demand uncertainty notwithstanding? That’s an interesting comment. Now, I haven’t noticed if these bottles have gotten any smaller. I know, you know, we, we got some ice cream over the weekend for my kids, and y’all know what’s going on there with reflation, you’re getting less than what you used to get, but greed, deflation, new term. Josh says, can’t tell you how much ramen with sra.

Scott Luton (15:12):

Uh, sriracha. He’s had essential for college diets everywhere. Excellent point. Excellent point. Uh, going back to the Panama Canal, will says the canal was turning away bigger ships due to lower water. That’s a good point, will. And additionally, with the bigger container ships, what it’s been having to do for years is take, uh, containers off of them and onto secondary, uh, ships so they can get, um, the whole craft through the canal. Good point. There Will, and by the way, will must be a big Chicago Bears fan. Uh, he says good things in store for my Chicago Bears this year, I bet. Well, um, I cannot remember the name of the quarterback that the Bears drafted, uh, that he played at Georgia, and then he went on to play with the Buckeyes. Uh, but I think he is poised for a big year. Um, all right, so we are going to, I got a couple other resources, right?

Scott Luton (16:02):

As we continue getting a little bit further in today’s supply chain Buzz. Stay tuned. We’ve got an excellent guest coming, uh, into the show in about 10 minutes or so. So stay tuned for that. Um, but a couple things. Um, we invite you now, we, we talk about webinars and live streams and, and so much more, right? We don’t want y’all to miss anything. So, uh, it’s really easy to become a member of the Now community. There’s just a couple pieces of information that we ask y’all to give us, and that way you’ll be on the docket to get announcements and other opportunities to check out. We invite you to join us and become a part, an engaged member of the now community. Speaking of resources, who raise your hand if you’re struggling with the Last Mile. I think everybody is right? Well check out this upcoming webinar.

Scott Luton (16:44):

Speaking of resources, September 21st, so about a month away where Freight and our friends from Estes and, uh, Bart, uh, from, uh, Everstream Analytics. Well, there we’re, we’re gonna be talking about unlock, unlocking the power of diversification in last mile delivery. So join us for that live session on the 21st and get this, we’re about to touch on a, on a story from our friends at Walmart, which we’ve really enjoyed interviewing executives, uh, through the years. Uh, we’re partnering with Supply Pike. So if you do business with Walmart, y’all know how tricky that can be at times, right? Well, these folks have been there and done it, and they’re offering, uh, that expertise on three proven strategies to level up your business with Walmart. And I would just argue, uh, putting things maybe too simply that if you can be really successful in your business with Walmart, there’s tons of transferable best practices to apply to all of your relationships with other organizations.

Scott Luton (17:39):

So join us there, uh, Dino and I host, uh, Stacy and Eric with Supply Pike on September 26th at 12 noon. Alright, one more story. And this is an interesting, interesting story here. Now, folks, it’s next impossible to even have a conversation these days without mentioning ai, right? I mean, it’s, it’s, it’s crazy from what I can tell. I really, I’ve really enjoyed the conversations where we’re talking about real artificial intelligence, not the fake stuff that, uh, our <laugh> friends in marketing may apply to whatever product they’re pushing, but real artificial intelligence that’s being applied to really going back to that pressure in our workforce, make it easier for them to be successful and un and allowing humans to do the extraordinary human things. So, check out this story from our friends at C I O Dive. Walmart has targeted three primary areas with its artificial intelligence strategy.

Scott Luton (18:32):

They are personalization for customers. So that mass custom or mass personalization, uh, trend continues associate operations. I love that they’re gonna help their team and their associates, uh, make their days easier and supply chain optimization. Walmart, c e o, Doug McMillion says that the retailer is already using AI to help estimating demand, and in its planning to meet that demand. For example, they’re using AI to run simulations on what customers do on Black Friday. And he says that AI further represents an opportunity for the company to be even more anticipatory. Say that word, seven times fast anticipatory in its planning and identifying and predicting problems before they arise. Now, one issue that the Walmart team has identified and has been working on for years, clean and structured data, McMillan said, quote, we’ve been working for a few years now to try and get our data in better shape so that we can really put it to work end quote.

Scott Luton (19:26):

Now, can you imagine, we’re talking about this pre show. Can you imagine the sheer tidal waves of data that Walmart is working through? Man, if they have opportunities with data, what does that mean for, for all the rest of us out there? Outstanding, outstanding opportunities. And it sounds like a, to me, to my ears at least, a very practical approach for the successful and meaningful application of AI at Walmart. Okay, folks, we are, you’re in store. Oh, thank you Justin Fields. Thank you Amanda and Catherine from pointing that out. Uh, that’s my first Hess. So Justin Fields, going back to Will, you’re a big Bears fan. We’ll see what Justin does this year. I bet it’s gonna, I bet he’s gonna have a big year. And also, the other thing, I couldn’t think of the transcontinental race. Thank you, Catherine. Our friend Matt Spooner from Conaxis, uh, has, uh, just finished, completed this Transcontinental race, annual self-supported ultra distance cycling race across Europe.

Scott Luton (20:20):

Uh, the route and distance varies for each edition between thirty two hundred and forty two hundred kilometers. Goodness gracious. I’d be doing something if I could just get out and do a 10 kilometer bike ride, right? Um, alright, so stay tuned for that on August 23rd. Alright, folks, I have really enjoyed, you know, we, we get to spend a little bit of time appreciate before each of these live sessions with our guests and really our team, the co-host, you, you name it. We had a ton of fun with our guest here today. And I’m, I am, uh, delighted to welcome in a very special guest here on the supply chain Buzz. Layla Taha Ript is the senior Vice President of Supply Chain with First Watch, a popular daytime dining restaurant with almost 500 locations in 29 states here in the U us. So let’s welcome in. Layla.

Lilah Taha-Rippett (21:05):

Hey, Scott, how are you? How

Scott Luton (21:07):

Are you doing?

Lilah Taha-Rippett (21:09):

I’m great. Thank you for having us. This is awesome.

Scott Luton (21:11):

Well, you know, right, right. When we connected this earlier today, the whole excitement factor, I mean, w we need to tap in, we need to connect you to the local power grid, and we’d power the, uh, 50 states, you know, from start to finish. So great to have you here with us, uh, today, Layla, now little fun warmup question. Yeah. Right now we’re both food lovers and we’re kindred spirits a number of different levels. But yesterday, August 20th was National Bacon Lovers Day, <laugh>. Now I want to ask you, I’ve got a couple of guesses on my end, but what is one of your favorite dishes with bacon, Layla?

Lilah Taha-Rippett (21:45):

So, I am in love with our million dollar bacon. So imagine it, it’s, it’s got, uh, cayenne pepper in it and it has, uh, maple syrup on it, and it’s cooked to perfection, and you wanna have it. So, uh, if you haven’t tried it, come in. It is, it is so good.

Scott Luton (22:04):

Oh, I love, well, you know what? I stole a picture from your site early. This is the, uh, this is a Monterey club. Yeah. And, and of course, Bacon’s on it, delicious Turkey, but you got me at the sourdough bread, and I’m sure those tomatoes are, are fresh and ready to go. So I’m gonna have to join my local first watch and take in this Monterey club. Huh?

Lilah Taha-Rippett (22:24):

That’s awesome. Please do. We’d love to have you come in and try it.

Scott Luton (22:29):

All right. So folks, as we continue on with Layla, we’d love to get your favorite baking dishes, whether it’s a, a gen, uh, popular one, or maybe something that’s one off in this special to you and your family. Alright, so, Layla, for our audience here, they don’t have the benefit of, of, um, of our pre-show and, and our homework we did on you and your background for perspective and context. Share a little bit information about your background, Layla.

Lilah Taha-Rippett (22:51):

Sure. So, um, I’m first generation American Lebanese from Detroit. And I started out, my family had grocery stores and bars, so I didn’t, uh, veer too far away from food service. It is, uh, an area that I love and have a strong passion for. So my career has taken me from working in operations to working in supply chain. And about seven years ago, I had the privilege and I was really excited, uh, for this offer to come through to join first watch. So, we’re doing things, uh, non-traditional here for supply chain. We’ll love to share that with you as well. But first watch is my love. I’m here and we’re having a lot of fun.

Scott Luton (23:36):

I believe it, uh, we can tell it, we see it. <laugh>. Uh, before my quick follow up question, Josh says, bacon wrapped Dutch oven chicken with chives and cream cheese. Man, I could

Lilah Taha-Rippett (23:46):

Get into that. Josh

Scott Luton (23:48):

<laugh> <laugh>. I could too. Uh, all right, so really quick question before we move on. So, uh, you grew up in Detroit, but now you’re in Sarasota, right? So any sports allegiances that you might can share with us? Layla, oh,

Lilah Taha-Rippett (24:00):

You won’t believe this, but every now and then, um, I’m still watching Detroit Tigers. You know, you have to, you’re here. Got to. That’s what I do. So, uh, that’s my allegiance.

Scott Luton (24:11):

Love it. And I think, I think Miguel Cabrera is wrapping up a Hall of Fame career this year, if I’m not mistaken, with the Tigers. Uh, I, as a, as Atlanta Braves fan, we watched him kill us in the early days of his career with the Florida Marlins. Um, alright. See, we say bacon, will’s like bacon <laugh> with literally anything will me And you are probably, uh, cousins, second cousins maybe. I, I’ll agree with you. Um, alright. So, uh, Layla, we, as we discovered in the pre-show, which I, I I figured we are big, um, believers and, and really, um, uh, lovers of the people that make up the restaurant industry. You’ve been, as you mentioned in the industry for quite some time. What is one thing that folks don’t know or maybe they underestimate about supply chain management in the restaurant industry? I

Lilah Taha-Rippett (24:56):

Think that, um, for us it’s having a lens on operations and how important that is. But that you have collaboration across every single department, whether it’s it or marketing or anything that’s happening, even with construction on how buildings are built and, and all of these pieces that come together. So for me, if I could send one message out to my peers, it’s the importance of collaboration and how you move your business faster by doing that.

Scott Luton (25:26):

Absolutely. Yeah. Abs and, you know, I would submit to you that I think collaboration has, has really meant and been cliche for a long time. And then the pandemic hits, and then we’re reevaluating how important these, uh, relationships are, especially those outside the four walls, so to speak. And that the term collaboration all of a sudden was reinvented with a lot, I think a lot more, uh, practicality. Would you subscribe to that too, Layla? I would,

Lilah Taha-Rippett (25:52):

Although it’s kind of unique here. I wanna tell you a little story if you wouldn’t mind, Scott, just so I can share with you how we work a little different here. And that’s that culinary and supply chain are tied together. Hmm. We do no sourcing for culinary. Culinary does all the sourcing. Now, that doesn’t mean that Chef Shane and I don’t talk every single day to talk about who are the right suppliers, we should be aligned with who has the right product, all of those things. But by working so collectively, we’re able to get to market faster. Think of all that in between, of getting samples in and sending them out and trying to record it and what works and what doesn’t. And asking about equipment, all that detail. When you have the right person who’s gonna move the ball forward, and then you support them by coming in to know it’s the right supplier and take care of the logistics and the pricing behind the scenes, getting the five Rs right. You’re able just to move the business real fast.

Scott Luton (26:54):

Alright, so I’m gonna have, I’m gonna, I got a follow up question on, uh, when it comes to successful sourcing with let those ingredients Yeah. But before that you said the five Rs, can I ask you, your five Rs may be different than my five Rs. What are they for you?

Lilah Taha-Rippett (27:05):

Right product, right quality, yep. Right place, right time, right price.

Scott Luton (27:13):

Love it. Okay, man. Uh, and you mentioned a chef too. Yeah. What was that chef’s name you talked to every day? Chef

Lilah Taha-Rippett (27:19):

Shane.

Scott Luton (27:20):

Chef Shane, please

Lilah Taha-Rippett (27:21):

Go on our white our on our website and look him up and check out his blog and you’ll get a better understanding. It is, it is so cool to work collectively and be able to look at all kinds of dishes and just progress. First watch forward,

Scott Luton (27:37):

Layla. Absolutely. And Greg makes a, um, points out a really important thing, breaking down the silos. Oh yeah. We talk about that a lot here. Yeah. And really, you were just talking about that as you were talking, uh, culinary and supply chains. Y’all work together each and every day, right? Yeah.

Lilah Taha-Rippett (27:52):

And as well as with all other departments. I mean, it is a, that is one of the unique things here and why I was so excited to join First Watch is really comes from the top, right? So our c e o is like that, right? He really wants us to work collectively, work things together. So whether we’re working with marketing, qa, culinary operations, uh, all of our departments are working collectively together. And that is key to our success.

Scott Luton (28:22):

I’m with you

Lilah Taha-Rippett (28:22):

Also part of our culture, right? When we think of our culture, our culture is built on you first. And so in order to do that, it’s that respect with one another and how we, how we continue to grow the business.

Scott Luton (28:36):

Mm. All right. You got three more hours, Layla. We’re gonna need three more hours today. Let’s do it. <laugh>. So let me back up for a second. We’re gonna talk about sourcing in just a second. Yeah. You, you shared something there that really, oh, going back to my Kit Kat story. I was talking on the front end. Yeah. It’s interesting, as you were describing all this collaboration, uh, with, with the Nestle story, their supply chain teams successes and real outcomes as they made progress on finding su a hundred percent sustainably sourced cocoa in certain parts of the region. Well, that’s a win in and of itself. But what makes it even better as your point kind of alluding to Layla, is it gives a sales and marketing team outstanding fodder to bake into Yeah. How, how they position the product, right? And just becomes such a nice right symbiotic relationship that everyone wins.

Lilah Taha-Rippett (29:23):

I think we spoke about it when in the pre-meeting when I said that as a customer, you are really only as good as the supply chain of your suppliers. Knowing then you’ve got a players who are out there really moving forward, really thinking about E S N G or other, uh, areas of how they can innovate and take their business forward really helps us and Yep. And we need to be able to do that. So we’re looking, when we are evaluating a supplier, understanding their supply chain team Mm. Is part of the cocktail of determining if you’re gonna work with someone or not.

Scott Luton (30:03):

Layla. I love that. Um, alright, so getting back to the gauntlet, I bet that Chef Shane, probably in the rest of your team has thrown down that’s sourcing fresh, delicious products critical priority for first, first watch, not gonna compromise, right? If you could share, uh, what’s a couple of best practices, especially as it relates to, um, uh, the, the ingredients that your team has developed when it comes to successful sourcing.

Lilah Taha-Rippett (30:27):

Right. So for us, uh, watching and having fresh produce in our restaurants is everything we’re juicing all day long. So we’re bringing in, you know, fresh beets and fresh English, cucumbers, fresh kale, everything that we bring in, we’re sending through the juicer. And that’s really important. So today we’re watching what’s going on with the weather in California, hurricane, uh, Hillary, to understand how that’s going to impact us. All that leads to our mantra of what we do called Follow the Sun. So if you go on our website or you talk to any of our folks in our restaurant, you will hear us. Or if you came and saw us here, we would talk about following the sun, using the freshest best quality when Mother Nature tells us it’s ready,

Scott Luton (31:18):

Man. Okay. Following the sun. And it’s not, as we like to talk around here, uh, Layla, uh, we don’t, uh, no lip service leadership allowed deeds, not words all, any action. And it sounds like to me, Layla, what I’m gathering from my due diligence and, and our conversations that you mean what you say and you do what you say, huh?

Lilah Taha-Rippett (31:38):

We do. We really do. And we try and do that on everything and be really thoughtful about it. It’s so important that we tell a story and we, uh, serve good quality, right? Mm-hmm. Quality and culture go together for me when I think about that, uh, you know, serving quality and your culture together, those are the winning ingredients.

Scott Luton (32:00):

Yes, absolutely. And I see that, um, as I share with you, Precia, I’ve been in several first watch restaurants, uh, around Atlanta. But, um, as much as I see it there, I see it in other, other, uh, retail and, and food environments. You can tell when the team is bought in to what they’re doing there, it just makes all the food taste better. So I love what, uh, uh, what you’re describing there. And Victor loves, uh, those five Rs and follow the Sun. Yeah. Uh, I’m with you, Victor. Thank you,

Lilah Taha-Rippett (32:26):

Victor.

Scott Luton (32:27):

All right. So let’s go broader a little bit here. Yeah. Right. We’re kind of talking about, uh, uh, in a tactical ingredient, uh, level when it comes to sourcing, but generally speaking, I would argue has been illustrated once again in recent years, if not a million times in recent years, building strong, mutually beneficial relationships with your suppliers. Extremely important in global supply chain. You need ’em on the good days, you need ’em on the bad days, and all points in between. As you survey that, uh, and, and, and what you’re leading and contributing to now with First Watch, what’s a couple of core elements that are really critical to your approach, uh, when it comes to building those relationships with suppliers?

Lilah Taha-Rippett (33:05):

So, for us, it’s being transparent with a supplier. I don’t know if your audience knows this, but I want to share that we run five limited time offers a year. So every 10 weeks our menu is changing. So imagine sitting down with a supplier saying, do you wanna work with us for 10 weeks? We’re probably never gonna talk to each other again, <laugh>, that’s kind of a hard sell and a hard buy, but that’s what we do. So that’s important, right? Because it helps us to set, uh, something new for our consumer. And we, what we do that I think is unique is that we set a proving ground in Tampa where a year in advance, at the same time of the year that l t o is running today happens to be the start for our national fall, l t o. But if you were in Tampa, you would see what we’re gonna run in fall next year. Okay? So that allows us think about your automotive, uh, um, speakers who have come in and that audience and how they have proving ground. We do that as well. And it is an unusual thing and a unique thing to first watch restaurants,

Scott Luton (34:16):

Man. Um, I love that. So down in Tampa Yep. You’ve got the skunk works, the the proven grounds. Proven

Lilah Taha-Rippett (34:22):

Grounds.

Scott Luton (34:23):

Yep. As you, uh, have these conversations and vet these suppliers and really getting to know their supply chain, um, chops as you put it earlier. Yep. Um, you’re like, come on in and prove it. Yeah. And they come down to Tampa, and if they make it, they’ll be worked into the schedule about this time next year. Is that about right, Layla?

Lilah Taha-Rippett (34:40):

That’s exactly right. We are running to see how does it work? Do we have the supply? Does it work on the equipments? How easy is it for operations? Can we get it through our last mile all the way to the back door? All of those, um, uh, technical points are worked through, including as we’re building more restaurants, how much more do we need because we follow the sun because everything’s fresh. We have know supply and demand matters here at First Wash, so we can get in front of it. I mean, there’s only one season to go, you know, fishing for Salmon as an example.

Scott Luton (35:16):

<laugh>. All right. So Layla, uh, one, one initiative I in in particular wanted to ask you about. Um, is this Project Sunrise growing out sourcing coffee beans down in Columbia? Yeah. Uh, south America. Tell us more about that.

Lilah Taha-Rippett (35:31):

Okay. So that was pretty exciting. About seven years ago now, we started working with the women growers in Columbia, specifically in the wheeler region of Columbia. And now, um, over 50% of our coffee, if not more, is coming from women growers. A hundred percent of the coffee is all coming from that region. But every year, as the women can take on more, we give them more. We continue to mushroom that out. Uh, it’s, IM, it’s important to us. It’s important to them. And this gets back to some of the pillars that we believe in, in supply chain and building longstanding relationships. We want to go there. We want to see them, we want to see their children. We wanna see their children progress, uh, as future generations, education, all these things that matter. Uh, it’s who we are. And it leads back to you first again, the culture. So we, you know, we pay a premium to the communities, to the women communities there, for them to grow the best coffee. And, you know, most people would look at that and say, wow, you know, usually in supply chain, it’s all about cutting the pennies. I never want my team to think in that fashion. I want us to think about growing the business, growing quality, growing sales, all of those things. So, you know, I’m really, uh, quite pleased and, and thankful that our leadership team as well as engaged in this program.

Scott Luton (37:03):

Layla, I’m with you. And, and you know, uh, so much comes to my mind as you shared that, uh, one of the things is, uh, I think traditionally, like old fashioned folks look at supply chain where they can save a buck. Yeah. But what you’re describing is truly forward-looking, Hey, here’s how we do supply chain. Here’s how we lead supply chains now. And then secondly, man, y’all are changing lives down in Columbia. Yep. What we need to do, Layla, um, is next time you join us, let’s bring one of those, uh, coffee bean entrepreneurs and farmers and let’s, let’s, let’s share their story with our audience. How about that?

Lilah Taha-Rippett (37:37):

We would love that. We would love that very much. And there are a lot of growers, farmers here in the US that we use and how we’re getting our maple syrup out of Vermont from a small little company. We don’t even have any restaurants in Vermont. Vermont’s important. Not yet, right? Not yet. Not

Scott Luton (37:54):

Yet. <laugh>.

Lilah Taha-Rippett (37:54):

That’s right. <laugh>.

Scott Luton (37:55):

That’s right. Hey, uh, really quick as I continue on with Layla Taha, rip it, uh, with first watch, uh, Michelle tuned in from Chicago. Let’s, uh, I bet you’re fellow Bears fan, maybe Michelle, great to see you, Gino from North Alabama. Great to see you, uh, Gino and, um, Layla, one of my favorite guests each and every week. My mom, Le Loot joins us. Hello, from Aiken, South Carolina. Hello to you. Love you, mom. Hello. It’s the best. Um, all right. So I’m gonna ask you a couple, uh, quick final things before we wrap. But one of the things I wanna specifically touch on, and you kind of alluded to it there, as we discovered in the pre-show, I think I’ll share ’em with you, that, um, I was in the restaurant industry throughout college. I started by busing tables at a place called Leia’s in Columbia, South Carolina.

Scott Luton (38:40):

Earning my way into being able to wait tables. I never was the best, um, server I could handle maybe two tables <laugh> at one time. But I, I love the people. And that’s really where I wanna ask you about Layla, because whether I was busing tables, bartending, uh, waiting tables, the people that make up the restaurant industry Yeah. Front of the house, back of the house, suppliers, you name it. They’re just some of the best people I ever rubbed elbows with. And really, you talk about how we like to celebrate the human factor. Yeah. Man. It, it’s still to this day, if you don’t tip somebody, well, I gotta put you on my bad list. I just can’t, you know, I, I got to, but Layla speak, if you would, before we start wrapping here, your view on the p on the people that make up the restaurant industry.

Lilah Taha-Rippett (39:24):

So I’m so glad that you asked about that because I think that we are a unique group of individuals. Um, one of the things we do is we do a coach teach train session here called Farm, which is First Watch Academy of Restaurant Managers. We bring people in for a full week, and we, they are emerged in our culture in what we do. One of the things that I say to these, uh, new managers when they’re here is that there is an army of people behind you wanting to make you successful in everything you do. And I think as supply chain professionals, we forget about the army of our, our, um, our suppliers and the logistic folks, and the selectors and pickers and everybody, whether it’s customer service, the, you know, accounting teams of others, every single person is working towards the same goal. I truly believe that nobody comes to work to do a bad job. Hmm. Right. And if you think positive about that and how you can help people, but that our teams walk away knowing that there is an army of suppliers who are here happy to be part of first watch and happy to help us grow. So that’s how I think about it.

Scott Luton (40:39):

I love it. The whole ecosystem, the whole village, the whole community. Um, and we can’t leave any of ’em behind. Right. No. One of the things I’m kind of picking up is, um, is you a as you your personal approach, maybe part of the, the the first watch approach as well is, is businesses gotta be good for everybody, right?

Lilah Taha-Rippett (40:57):

Yeah. These are also the people who you want that they’re delivery at your back door, but how about on Sunday, them coming in and eating in your restaurants mm-hmm. <affirmative> coming in the front door, right?

Scott Luton (41:07):

Yeah. That’s excellent point. Yeah. Um, all right. So Layla, as much as I hate to do, we gotta start winding things down. But I wanna ask you a couple quick questions, and I bet this next question, I bet we could fill it up for a couple hours, but any, if you had to think of one more thing in a nutshell of what folks should know about First Watch that may be expanding somewhere near their homes and communities, what would that one thing be?

Lilah Taha-Rippett (41:30):

That we care and that we are excited to be in the communities and the communities matter to us, and come out and see us, meet us and see that we have people from your community working in our restaurants.

Scott Luton (41:44):

Love that. Uh, and I tell you, you’re the same person in front of the camera, so to speak, as you are behind that. And when you, when you talk about, uh, transparency and trust and that consistency that’s so important, that really, uh, comes my mind. So I wanna, um, you just mentioned how you’re, you and the first watch team, big believers and, and very active in communities. I know you, you lead by example here, Layla. So you and your husband Brian, uh, big supporters of the National Multiple Sclerosis Society. That’s right. Um, why is that important to you? And, and if, if you were to share a way that maybe our listeners can help Yeah. Uh, what would you share there? So

Lilah Taha-Rippett (42:19):

There are three family members, including my husband, who, um, has multiple sclerosis mm-hmm. <affirmative>, and we work every day, and he’s on the board. And I support, uh, everything we can do to further research for this disease, early diagnosis, and someday a cure. So, as you were talking about bicycle riders in the earlier segment, there is an ms, uh, national bike ride in almost every community. Come on out, come on out and ride your bike. It’s not a race, it’s a tour. It’s no race. It’s a tour. <laugh>. I love it. Yeah, yeah. You know, come on out. And every penny that you work towards and help to bring goes to research. And not many organizations can say that. So I thank you so much for giving me this moment to share that, that’s just so thoughtful of you. So thank you, Scott.

Scott Luton (43:14):

Hey, Layla, uh, we try being really active, um, and doing good is really important to our culture and d n a, uh, it’s in our bones here, and I really appreciate your, uh, steadfast, you and Brian’s steadfast commitment to leading by example and making an impact. So folks, uh, check out the bike race and your community. I love what La Layla said there. It’s not a race, it’s a, what’d you say? It’s not a race tour. It’s a, it’s a tour.

Lilah Taha-Rippett (43:37):

It’s a tour.

Scott Luton (43:38):

Yeah. There are some life transferrable elements. Yeah. To that perspective, Layla, I really love that. Um, alright, so I bet we have created a bunch of new Layla Taha Ript fans out there across our audience. Um, and if folks, how would you invite them to learn more about you or first watch?

Lilah Taha-Rippett (43:58):

Two ways. One hookup with me on LinkedIn. Uh, I welcome everyone. I’m a big believer in supply chain. You are all puzzle makers, and it is important to connect. I love that. And the second way, it’s, uh, supply chain@firstwatch.com. Okay? Don’t be shy. Reach out to us supply chain@firstwatch.com.

Scott Luton (44:20):

Okay. Wonderful. So folks, if you wanna take a tour on that proven ground down at Tampa <laugh>, I think Layla’s a showing the way. So, and daring you to be a part, uh, love what you’re building. I’ll tell you, Layla, I wish I had had this chat before I went and enjoyed, um, my, my meals at first watch, it would’ve changed everything <laugh>. So I’m gonna really be looking and, and absorbing it all on my next visit. Huh.

Lilah Taha-Rippett (44:43):

Good. Enjoy it. We, we, we send hers out to everyone, and thank you so much for including us.

Scott Luton (44:50):

You bet. You bet. All right. So Layla, don’t go anywhere. We are going, uh, to wrap with you here, folks. Hopefully enjoy it. I, I tell you, I promise you a great guest one that that brings it both content, perspective, expertise, but that personality, the, the five Rs, the, the you first culture, I really love that. That’s, that’s a great t-shirt is folks loved, uh, Josh and Catherine and many others. That’s a great t-shirt. It’s not a race, it’s a tour, right. Josh, I’m with you. I’m with you. But folks, one big, big thanks to all of y’all, of course, for being here. Big thanks to Amanda and Catherine behind the scenes for helping to make production happen. Big thanks to our guest, Layla Taha, rip it. Senior Vice President for Supply Chain at First Watch. Layla, thank you so much for joining us here today. Thank

Lilah Taha-Rippett (45:32):

You, Scott. Thank you everyone.

Scott Luton (45:33):

And most importantly folks, hey Scott, on behalf of our entire team here, Scott Luton challenging you. Hey, be like Layla, do good, give forward, most importantly, be the change that’s needed. And we’ll see you next time, right back here at Supply Chain now. Thanks everybody.

Intro/Outro (45:50):

Thanks for being a part of our supply chain now, community. Check out all of our programming@supplychainnow.com and make sure you subscribe to Supply Chain now, anywhere you listen to podcasts. And follow us on Facebook, LinkedIn, Twitter, and Instagram. See you next time on Supply Chain. Now.