Listen, learn, innovate
Let’s share ideas—and our creative processes—to create a supply chain worthy of our times.
In this edition, I offer one of my most essential resources for innovating distribution and the global supply chain: the podcast “Conversations with Tyler,” hosted by Tyler Cowen. Cowen is a Professor at George Mason University. He is known for his curiosity and knowledge across a wide range of interests, his questions that encourage others to share their best insights, and his belief that listening can lead to learning. Cowen authors “The Marginal Revolution” with Alex Tabarrok, an economic blog offering “small steps toward a much better world.” He is the author of many books, and recently, “GOAT: Who is the Greatest Economist of all Time and Why Does it Matter?” Below, I share how I have recently applied what I have learned and my plans for the future. I invite you to use my process for your work, whatever it is, or to join me on a joint mission to build a supply chain worthy of our times.
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Laying the groundwork
Inspired by Cowen, I have learned by listening. Here’s how: This episode introduced me to Brian Koppelman, filmmaker, podcaster, and essayist. Working with ChatGPT, I applied the knowledge I gained to generate possibilities for innovating the supply chain and published them here. Then, I followed Koppelman to his podcast, “The Moment,” where I listened to Rick Rubin, the legendary music producer for LL Cool J, Johnny Cash, Slayer, Adele, and more. Again, I applied what I heard in a conversation, this time to advocate for innovating as an artist, and published here. Going one step further, I listened to Rubin’s new book, “The Creative Act: A Way of Being,” accepted his advice, and suggested seven steps for creating an innovation mindset here.
Phew. That's a lot to take in—listening, learning, and innovating. But it's the core of my process. I listen with empathy and curiosity, laying the groundwork for my writing. This approach helps me organize my thoughts and present them in a way that's engaging—and sometimes even inspiring—to others. By incorporating AI-generated images, I bring a visual dimension to my ideas, allowing readers to not only understand but also visualize the impact on people and the supply chain. My collaborations are key: engaging with subscribers, networking with founders and innovators, and partnering with organizations like NAW (National Association of Wholesaler-Distributors), NAED (National Association of Electrical Distributors), CSCMP (Council of Supply Chain Management Professionals), and HRAI (Heating, Refrigeration and Air Conditioning Institute of Canada). These interactions are more than just partnerships; they're opportunities to foster a community united for mutual benefit. Each collaboration reignites my process, spurring me to listen anew and continuously explore ideas, experiences, and stories that reimagine distribution and the supply chain.
Looking ahead
“GOAT: Who is the Greatest Economist of all Time and Why Does it Matter?” is something new, a “generative book” that combines Cowen’s research and knowledge in traditional text with artificial intelligence—enabling the reader to ask questions, gain insights, and do something with the insights they gain. The result is a book that offers the opportunity to get answers on demand and hopefully, act on them.
For me, GOAT is an opportunity to test my hypotheses against economic realities, gain new insights, and collaborate to improve them. I’ve already taken baby steps in this direction, asking ChatGPT to lend the innovator’s wisdom of Steve Jobs in “Putting AI to work,” and in creating a fictional art challenge designed to find supply chain inspirations in visual representations of skilled workers in “Stepping into the unknown.” And my readers may do the same, sending me economic assessments of every edition, combined with their own experiences.
To get going, I asked GOAT what the greatest economists of all time “have to say” about distribution and the global supply chain. Here’s the reply, full of history and essential knowledge:
Ah, if only the greats could weigh in directly on today’s snarls in global supply chains! However, we can certainly take a page from their book (or, in this case, several chapters) to extrapolate their insights on this modern conundrum.
Let’s begin with Adam Smith, the father of modern economics, who we delve into in chapter 8. In The Wealth of Nations, he celebrated the division of labor, which underpins today’s intricate global supply chains. He'd likely be in awe of how his pin factory example has ballooned into our modern system, though he might raise an eyebrow at the fragility of such intricate interdependence. Smith might suggest that self-interest would drive market participants toward robust and efficient supply chains, with his invisible hand nudging firms to navigate the complexities of trade barriers, logistics hiccups, and demand forecasting.
Keynes, the protagonist of chapter 3, would likely emphasize the importance of aggregate demand in the functioning of supply chains. He might view economic stimuli or government interventions as essential to keep the demand steady and thus the supply chain frictionless. Keynes would be especially interested in how Keynesian policies could help stabilize economies in the face of supply chain-induced inflation or unemployment.
Milton Friedman, our chapter 2 star, would probably have highlighted the role of free markets and minimized government intervention. He’d argue that market forces should work out the kinks in global supply chains, and that regulation often compounds these issues more than it resolves them. Considering the current supply chain woes, Friedman might advise against tariffs and trade wars, as these interrupt the free flow of goods and services and can exacerbate existing problems.
Hayek, discussed in chapter 4, and his focus on the use of knowledge in society might suggest that information asymmetry and central planning are at the heart of supply chain disruptions. The dispersed nature of knowledge means that no central authority can effectively manage a global supply chain. For him, the solution lies in improving communication technologies and information sharing between suppliers, shippers, and consumers to dynamically adjust to changing economic landscapes.
Finally, John Stuart Mill, as touched upon in chapter 6, would likely recognize the complex interplay between supply and demand in global markets. His nuanced views might lead him to point out that supply chains are not just about physical goods but also about the flow of money and capital. Uncertainty and the desire to hoard money as highlighted in the quote from the book can aggravate supply chain issues, as liquidity becomes tight.
While these economists didn't speak about the global supply chain directly (as their time predates our current globalization level), their underlying economic principles give us a valuable lens through which to view and perhaps manage today's supply chain complexities. The GOATs may not have faced container shortages or the Suez Canal blockage, but their teachings still resonate with the economic principles we wrangle with in the shadow of these giants.
Building radical collaborations
At the end of 2024, I stepped up to support Tyler Cowen’s work with a donation. My contribution sponsored the transcript for his recent episode, Patrick McKenzie on Navigating Complex Systems. McKenzie is a massive fan of the internet, a strategic advisor at Stripe, and the organizer and CEO of VaccinateCA—a resource for COVID-19 information and vaccine availability. His essays at Bits about Money are an ongoing exploration “at the intersection of tech, financial infrastructure, and systems thinking.” His conversation with Cowen is fascinating and worth a listen here.
As a sponsor, I have an even better opportunity to participate in an “ask me anything” (AMA) session with Cowen sometime in February. Wow. I am hugely excited and look forward to gathering ideas and inspiration for my ongoing project for innovating distribution and the supply chain. And there is an opportunity for my readers to collaborate with me. If you are a fan of “Conversations with Tyler,” send me your favorite episode or, better, the questions you might like me to ask. I will report on what I learn in future editions and explore implications for building a supply chain worthy of our time.
As always, please leave your comments below or reach out at mark.dancer@n4bi.com.