RECAP — TechBrew:AM w/ Nathan Kerns
Nathan Kerns, Senior Vice President of Information Technology at Fareway, joined us at TechBrew:AM on February 8, 2024, sharing valuable insights into Fareway’s customer and employee-centric culture and how their technology infrastructure enhances customer experiences.
A Bettendorf native, Nathan Kerns joined Fareway Stores 15 years ago and, in that time, has seen dramatic growth and change in the Information Technology team, Fareway’s store footprint, and the overall technology landscape. In his current role as Senior Vice President of Information Technology at Fareway Stores, Nathan supports over 12,000 employees across seven states and oversees the strategic vision and operations of IT. Nathan described his leadership style as practical, purposeful, and dependable. He aims to foster communication and collaboration through transparency with his team.
KEY TAKEAWAYS FROM OUR CONVERSATION WITH NATHAN –
1. Customer-centric Philosophy
Fareway Stores, Inc. is a rapidly expanding, family-owned grocery company based in the Midwest. With over 140 stores across the region, Fareway is deeply committed to family values. This is reflected in its employee-focused approach and its strong emphasis on customer satisfaction.
This customer-centric philosophy extends to Fareway’s technology strategy, which carefully considers how each technological change will affect the customer experience. Nathan heads the IT department, which plays a crucial role in supporting each store and, by extension, the customers they serve. Fareway keeps all its store technology centralized, managed by its in-house technology team.
2. Automation Efficiency
Nathan heads a lean, agile IT team comprising 60 members. The team’s structure is designed to promote employee empowerment and foster a high level of collaboration.
Despite its size, the team places a significant emphasis on automation. Leveraging AI bots, they automate routine, mundane tasks, allowing human resources to be allocated toward more intricate tasks. This approach boosts efficiency and enhances job satisfaction by enabling team members to focus on challenging and rewarding projects.
3. Refine, Don’t Overhaul
In a recent interview with Toggle Magazine, Nathan emphasized his preference for refining existing systems rather than overhauling them entirely. He highlighted the importance of having a supportive organizational structure and culture in place to effectively implement transformational technology.
Nathan also noted that transformational technology does not always have to be cutting-edge, but rather should be strategically invested in where it is most needed. He emphasized the significance of not just promoting the technology itself, but also selling the holistic vision of how it will benefit the organization.
4. Sustainable, Strategic E-Commerce
During the COVID-19 pandemic, many grocery retailers quickly shifted to e-commerce and grocery delivery to meet changing customer demands. However, Fareway was slower to adopt e-commerce and still does not offer grocery delivery services.
When implementing its e-commerce strategy, Fareway prioritized aligning the platform with its culture and customer experience philosophy. Nathan’s team focused on implementing technology that would be successful, operational, and sustainable. Unlike many businesses that incur losses or raise prices to offset e-commerce costs, Fareway ensured its solution was profitable. They also addressed common e-commerce challenges such as inventory management, replacement items, and quality control.
Nathan emphasized the importance of digital equity, especially for their customer base of retired individuals who may require more assistance with technology. Fareway is currently evaluating its e-commerce platform to provide a variety of shopping and engagement options for customers.
5. Combatting Food Deserts
Recently, Fareway has adjusted its store strategy to target small towns in Iowa and the Midwest that face the risk of becoming food deserts, lacking access to affordable or fresh foods. Nathan explained that many of these towns rely on a single, locally-owned grocery store. If these owners were to retire, the town would be left without access to groceries. In such cases, Fareway steps in to fill this crucial gap. The grocery chain has developed highly efficient stores with a small footprint to serve these rural communities, a move that aligns with Fareway’s culture and mission of supporting communities.
6. Data-Driven Solutions
The pandemic caused disruptions across operations, notably in the grocery store supply chain, and Fareway continues to feel these effects. To address these challenges, the technology team relies on data to predict and proactively solve potential issues. Nathan noted that there are challenges in getting everyone in the organization to adopt the necessary technology and data practices. However, Fareway recognizes substantial opportunities to use data more effectively to enhance operations and outcomes.
At the conclusion of the event, Nathan urged the audience to adopt a mindset of perpetual learning, emphasizing the importance of acquiring new knowledge daily. He highlighted the significance of staying informed about emerging technologies, particularly in the rapidly evolving tech landscape, to make well-informed decisions.
