The Supply Chain Interview: Graeme Carter

Graeme Carter wants supply chain to be perceived as a board-level priority. As Chief Supply Chain Officer at Coty, one of the world's largest beauty companies, he leads everything from forecasting and planning through to manufacturing, logistics and operational sustainability.

His mission is clear: "My job is to ensure that the supply chain is a true competitive advantage for the business – not a back-office function.”

That ambition rests on two pillars. The first is building an adaptive, technology-enabled network that can respond quickly as demand shifts across markets and brands.

The second is culture. He wants his team members to “feel genuine ownership, make fast decisions and see problems as chances to improve the system – not reasons to slow down”. 

Graeme brings more than 20 years of operations and manufacturing experience across consumer goods to his role. That background has shaped his perspective on what supply chain really is.

"It is not a neat straight line,” he explains. “It is a creative, interconnected system, or even biome, that constantly evolves.”

The Coty network

Coty's scale demands a supply chain to match. It competes in prestige and mass fragrances, as well as colour cosmetics and skincare. Fragrance and scenting drive the majority of revenue and profit.

The company manufactures across Europe, the US and Brazil, shipping to more than 125 countries. It uses a mix of in-house production and strategic partners to provide the flexibility needed for major launches or sudden demand spikes.

Over recent years, Coty has rebuilt its supply chain around digital tools and AI. More than 20 advanced forecasting models now compete at stock-keeping unit (SKU) level, with automation embedded across planning, logistics and supplier management.

"That has taken a lot of time and friction out of processes and improved the quality of our decisions," says Graeme. 

Operational sustainability is built into the model too, with all factories and warehouses running on renewable energy.

From plant floor to planning

Graeme's route into supply chain began early in his professional career. 

His very first roles were in manufacturing, working on the ground in plants and learning how products are actually made.

"I very quickly realised that working in supply chain suited how I think," he recalls. "It gave me a mix of hands-on problem solving, engineering logic and very tangible impact."

Later moves into planning and broader operational leadership revealed how the entire system connects. 

"That is where you really see how the whole system connects, from procurement decisions right through to what appears on shelf," Graeme adds.

“At some point, it clicked for me that supply chain is where a company proves its strategy. You only create value if you can make, move and scale your brands reliably."

What has kept Graeme in the field – and engaged in his current role – is the pace of change: “Digital tools, artificial intelligence and sustainability expectations have transformed the work. Coty felt like the right global stage to do that on."

A joined-up system

Graeme's role involves ensuring Coty's end-to-end network behaves as a single, joined-up system, rather than a collection of silos. 

Most mornings begin by reviewing performance with his team: service levels, capacity, inventory positions and demand signals from AI models.

"That gives us an early warning system for where we might need to act," he notes.

From there, his time is split between running the business and changing it. That includes day-to-day operational work alongside longer-term transformation projects such as reviewing new digital tools, automation programmes or investment decisions.

People development is another major focus: "We are in the process of upskilling around 1,000 leaders and giving half our workforce digital tools by 2027, so coaching is a big part of my role.”

Building resilience

The events of recent years have taught Graeme and his team a crucial lesson: no disruption can be treated as a one-off event. It is critical, therefore, to “build resilience into the system upfront”. 

Structurally, Coty has diversified its approach. 

Graeme continues: “We have strengthened supplier relationships, increased dual sourcing where it really matters and designed our manufacturing and logistics networks to be flexible so we can pivot faster when things change.

“We are exploring the green thread – from retailers' shelves, where consumers buy our products through our intelligent enterprise, reaching back to the inbound materials choices of our key suppliers. All those green threads combined create our supply biome where we will thrive.”

Technology is, unsurprisingly, providing game-changing supply chain visibility for Coty, with AI-based planning models delivering earlier, sharper signals on demand and risk. 

"We use automated scenario tools so teams can stress test capacity, transport constraints or material issues and make real decisions on inventory and investment before a problem becomes a situation we need to address," says Graeme.

“We’ve also changed how we operate during a situation that needs addressing. Cross-functional teams can come together quickly with clear data, clear decision rights and clear escalation paths.”

That approach helped maintain strong service levels through recent disruptions, while supporting growth in prestige and mass markets.

AI at scale

Pressed on the technological innovations that really excite him, Graeme points again to AI, particularly when embedded in day-to-day operations.

Referring again to Coty's 20+ advanced forecasting models that run at SKU level, he says: “They effectively compete with each other to see which gives the best prediction, and that has really sharpened our planning.”

The multinational is also building AI assistants to handle tasks that once took days but can now be handled in minutes. 

"These assistants take the grind out of things like supplier data, purchasing analysis and risk screening – even line maintenance in our factories," Graeme adds. 

“Automation is moving quickly too. We are using robotics, digital workflows and predictive maintenance to cut manual work and improve consistency across factories and distribution centres. 

"Digital twins and predictive quality tools are starting to give us earlier visibility of bottlenecks and help us make better decisions on where to put capital.”

By 2027, Coty aims to have at least 15 AI-enabled tools in daily use, completely transforming how its supply chain is run.

Sustainability embedded

For Graeme and Coty, sustainability is not an add-on but woven into day-to-day supply chain operations. 

"It affects how we design the network, which suppliers we choose, how we plan routes and how we measure performance,” he asserts.

In fact, all Coty’s factories and distribution centres now run entirely on renewable energy. Energy consumption has been reduced by more than a third when compared to its baseline, while more than 40% of sites are carbon neutral when it comes to Scope 1 and 2 emissions. 

What’s more, air freight emissions are down around 65% since 2019 and transport emissions continue to decline.

Overall progress has been significant. Coty has surpassed its 2030 Scope 1 and 2 emissions targets and Scope 3 emissions are down 27%. 

“To keep pushing forward, we are redesigning packaging, working with suppliers on climate targets and increasing the use of low-carbon materials,” Graeme goes on.

“A modern supply chain must be both commercially and environmentally resilient – and that is exactly what we are building at Coty.”

Continued transformation

For both Graeme and Coty, the next 12 months will be focused on embedding the transformation already under way. 

This translates as scaling AI tools, rolling out further automation in key factories and pushing harder on Scope 3 progress – particularly through close collaboration with suppliers. 

Graeme also wants sharper alignment between inventory and what retailers and consumers actually want to buy. Part of this will involve fully utilising new planning platforms and what he calls “collective sensing” in the markets, where commercial, finance and supply chain teams share what they see and act on it quickly. 

Underlying everything are three priorities: people, service and cost. 

Graeme concludes: “Capability building and spending time with teams will remain a key focus. Service is about availability, responsiveness and reliability. Cost is about freeing up every dollar, cent, penny or euro we can, so we can reinvest in our brands and future growth.”