EXECUTIVE INSIGHTS
Karen-Marie Katholm
Chief Integrated Supply Chain Officer at AkzoNobel
#04: Karen-Marie shares her career journey from procurement at Lego to leading global supply chain operations.
In this interview, Sam Yates speaks with Karen-Marie Katholm, Chief Integrated Supply Chain Officer at AkzoNobel. Karen-Marie shares her career journey from procurement at Lego to leading global supply chain operations. She discusses her transition from procurement to end-to-end supply chain roles, the value of learning across industries, and the importance of modernising supply chain practices.
Sam: Hello Karen-Marie, thank you for your time today. Would you mind just starting with a run-through of your career to date?
Karen-Marie: Yes, absolutely. I studied engineering as higher education. During that study, there were lots of technical courses, but also a mix with marketing and commercial topics. As I went through my studies, I realised I was most interested in understanding how to price a product. That’s how, after graduation, I ended up in procurement. It was a deliberate choice, and it was incredibly insightful—a fantastic learning experience.
I really wanted to understand the costs behind products: raw materials, production, energy, sustainability, and so on. That knowledge has been incredibly valuable, and it aligned well with my engineering studies. I started my career in construction toys with Lego. I had the choice between working for an engineering company in former Eastern Germany or going to Lego. It was a difficult decision and one of the first times I found myself standing at a career crossroads.
I ultimately chose Lego for several reasons: their onboarding program, their global presence, their fantastic products, and the additional capability-building opportunities they offered new graduates. Following Lego, I worked for different companies and industries in procurement for several years before transitioning into broader supply chain positions.
Another point where I faced a major career decision was when I was at Arla Foods. After some years there, we went through an assessment with a third-party provider, which included all kinds of testing, interviews, and evaluations. Leaders were essentially mapped onto a two-by-two matrix, and I was fortunate enough to be placed in a category where they said, “We should consider some different options for you.“
That conversation was positive and gave me some valuable food for thought. The external search firm that ran the assessment suggested two options: I could stay in procurement and continue to build a great career, or I could go into a more global context, or even better, move into an end-to-end supply chain role. By that point, I had gained experience in procurement, logistics, warehousing, distribution, and manufacturing, so I liked the idea of diving into the entire supply chain.
After some self-reflection, I decided to take the plunge into end-to-end supply chain management, leaving procurement behind. It was interesting because even after I made the move, I continued to be contacted about procurement roles. But gradually, people started to see me as more of an end-to-end supply chain expert.
It was a great experience, and I’ve never regretted it; I moved into end-to-end supply chain management and accelerated rapidly. I took on roles in various companies, both in Denmark and abroad, focusing on manufacturing, planning, capex management, distribution, and health and safety. I had the chance to manage multiple manufacturing sites and distribution centres, and it was a truly rewarding journey across different industries and companies with varied ownership structures.
In 2021, after 11 years with DuPont in the world of Nutrition and Bioscience, I decided to move on, and that’s when I joined AkzoNobel. Now, I’m part of the executive committee, overseeing the global end-to-end supply chain.
Sam: It sounds like you’ve had quite a varied and interesting journey.
Karen-Marie: Definitely. Over the years, I’ve also done board work, which has been super helpful. I encourage people in supply chain management to get involved in board roles because, as an executive committee member, you’re often in front of a board. It helps to understand the dynamics, mechanisms, and how to navigate those situations. That additional experience has added a valuable dimension to my career.
Sam: Thank you, Karen-Marie. It’s interesting to hear that you gained so much from your board experience, especially given the relative lack of supply chain representation on boards.
You’ve worked across diverse industries – Lego, fish feed, chemicals, paint, and coatings. Were there any universal principles you learned early in your career that you’ve consistently applied across these industries?
Karen-Marie: There are differences when working in different companies, especially considering the impact of ownership. For example, decision-making processes can vary significantly between privately owned and publicly listed companies; in the latter, you often must pass the “quarterly exam.” This affects the time horizons and overall decision-making. However, a common thread is that all the companies I’ve worked for produce physical products that need to be brought to market and delivered to customers. There are many similarities, such as production scheduling, supply and demand planning, and quality, health, and safety. I see many more similarities in the end-to-end supply chain than differences.
In fact, I believe many industries could benefit from learning best practices from other sectors and then applying them in their own context. For instance, during a digitalisation journey at one of my previous companies, we struggled to find inspiration within our own industry. So, a colleague and I visited and researched the automotive and steel industries, which provided us with valuable insights. Of course, you must adapt these ideas to fit your specific context, but I think many companies could benefit significantly from this cross-industry learning.
Regarding your earlier comment about the lack of supply chain representation on boards, I’m hopeful that will change. Many companies have realised the importance of robust supply chains, especially after COVID-19, and I expect to see more boards recruiting CEOs with supply chain backgrounds. Historically, CEOs have primarily come from finance or commercial backgrounds, but I believe supply chain leaders have a lot to offer.
Sam: Has there been any practice or precedent in the industries you’ve worked in—whether good or bad—that surprised you or made you stop and think, “Wow, this is unique”?
Karen-Marie: I’ve noticed that some companies struggle with the fundamentals, especially in the demand and supply planning space. Many organizations still try to plan and schedule using basic Excel files, which seems outdated. There are modern offerings in the market, and some companies are finally embarking on advanced planning transformations. This is not only addressing inefficiencies but also helping to improve working capital, particularly inventory, which is fantastic for cash generation.
Sam: We touched on this earlier, but if someone is transitioning from purchasing or procurement into an end-to-end supply chain role, what advice would you give them?
Karen-Marie: Be prepared to roll up your sleeves and climb a steep learning curve. It felt a bit like climbing Mount Everest for me. You need to quickly learn the new terminology and language of supply chain. I attended conferences, read various literature about broader supply chain topics, and engaged with consultancy firms that had insights to share. I also interviewed colleagues and stakeholders to understand what was working and what wasn’t.
When I was selected for my role, I knew I was up against more experienced candidates in end-to-end supply chain. However, the recruitment team was focused on the change management skills I brought and my overall business acumen. They assured me they would invest in my success. I had to put in a lot of hard work and ‘deep dives’ to grasp the terminology. Eventually, I looked back and realised I was using the same language and understanding how everything operated.
Transitioning functions is not easy. I’ve worked in several companies that provided great support for making significant functional moves but moving from one company to another while changing functions was particularly challenging. I’m very grateful for my supportive colleagues throughout that journey.
Sam: So, there’s no silver bullet—just hard work and education?
Karen-Marie: Exactly! It’s about rolling up your sleeves, being open-minded, and listening to those who have worked in specific areas for a long time. My approach was never to jump in and claim to know everything.
Sam: As someone who serves on boards, how does your leadership style differ when it comes to problem-solving and influencing in a board role compared to your primary role at AkzoNobel?
Karen-Marie: They are quite similar, but there is a distinct difference. In my day job, my leadership role is very clear, whereas in a board position, I must respect the boundaries of not directly managing teams daily. In a board role, I act more as an advisor. For instance, I wouldn’t question the board of management or executive committee in the same detailed way that I would in my day job.
I leverage my experience from executive roles to ask insightful questions and guide the company. My leadership style in my day job is situational; I’m more rational than emotional in decision-making, focusing on data-driven conclusions. However, you often don’t have all the facts, so experience plays a crucial role in navigating those situations. I strive to be straightforward, approachable, and a good listener regardless of the context.
Sam: Given the current trend of resistance to globalisation, for example the rise in near-shoring of suppliers and partners, what principles do you apply to maintain supply chain resilience?
Karen-Marie: I’ve witnessed significant shifts in the supply chain landscape. Earlier in my career, the focus was on outsourcing, particularly to parts of Asia. Now, due to geopolitical reasons, many companies are looking to return to their original regions. This shift presents challenges, especially since some industries may no longer have a presence outside Asia.
Realistically, I don’t think we can reinvest in all those industries; it may be about exploring alternatives or finding new materials to replace certain chemicals. The sustainability agenda is also driving nearshoring, as companies seek to reduce CO2 impact through their sourcing and production methods. Many of the companies I’ve worked for already have product lines that don’t travel far by nature, so there are geographical limits.
In addition to our own assets, we’ve often collaborated with external tollers and contract manufacturers. This approach minimizes capital investments and depreciation costs. Flexibility is key; customers are increasingly asking relevant questions about contingency and supply continuity, pushing companies to think proactively about how to build resilient supply chains.
Sam: For those aspiring to reach executive roles in supply chain management, what skills and experiences should they prioritise early in their careers?
Karen-Marie: It’s very individual, but I would recommend seeking international experience, even if you don’t travel extensively. Working outside your home country can be very beneficial. Additionally, familiarise yourself with different functional areas within supply chain management. Explore various roles, such as planning, customer operations, manufacturing, and procurement. Each discipline offers valuable insights that can be applied in other contexts.
Trying different industries can also be advantageous; you gain diverse experiences that enrich your perspective. It’s worth noting that earlier in my career, frequent job changes were often viewed negatively. However, today, it’s more accepted and recognised as beneficial.
Sam: Lastly, is there anything happening at AkzoNobel that you’d like to share?
Karen-Marie: Absolutely! We’ve embarked on an exciting journey of Industrial Transformation, which we announced last year. We’re examining our operational footprint, determining where to produce, and looking into our external networks of tollers and contract manufacturers. We’re also focusing on customer service, as we operate across various industries, and a one-size-fits-all approach won’t work.
In addition, we’re increasing automation and digitalisation in our operations. This includes utilising data from various sensors for better insights—essentially, we’re on a journey toward manufacturing 4.0 and 5.0. We’re executing this program with a timeline extending until the end of 2026 and are making significant investments to drive these changes. It’s a truly exciting journey as this is not just theoretical; we’re living it daily.
Sam: Thank you for you time, Karen-Marie.
Karen-Marie: My pleasure.