CIO Leadership Live: Avnet CIO Max Chan on AI-Driven Supply Chain Transformation

Podcast Episode: CIO Leadership Live
Guest: Max Chan, CIO of Avnet
Host: Lucas Marion
Date: January 7, 2026
Location: CIO100 Symposium, Scottsdale, AZ

Episode Overview

This episode of CIO Leadership Live features Max Chan, CIO of Avnet, a global distributor of electronic components and tech solutions, discussing Avnet’s journey to transform its global supply chain operations with artificial intelligence. Through an in-depth conversation, Max shares how modern technologies—especially AI—are reshaping sales, engineering, inventory forecasting, customer experience, and supply chain resilience, with emphasis on actionable business outcomes over isolated technology ROI. He also delves into legacy modernization, workforce upskilling, and managing change in a century-old organization while highlighting practical applications of generative AI.

Key Discussion Points & Insights

1. Avnet’s Shift from “Moving Boxes” to Data-Driven Orchestration

• Timestamp: 01:08 – 02:23

• Avnet is repositioning itself from a traditional distributor to an orchestrator leveraging data and AI for better customer outcomes.

• AI is at the core of Avnet’s award-winning supply chain entry, focused on data cleansing for real-time, accurate decision-making.

  “We actually leverage intelligence, insight in the data that we have and also the data that we embrace around the ecosystems and help to orchestrate what is important for our customers to get their product from point A to point B so that they are able to maximize their profitability.”
  — Max Chan [01:12]

2. Four Pillars of AI in Avnet’s Operations

• Timestamp: 02:31 – 04:56

• Sales Enablement: Real-time quoting, AI-driven pricing, end-of-life and origin identification improves quote accuracy and conversion rates.

• Engineering Design: AI suggests component alternatives meeting strict design requirements under constraints.

• Inventory & Forecasting: Enhanced demand prediction and stock management.

• Supply Chain Orchestration: Overall process optimization using actionable analytics.

  “The most important thing as a distributor, when it comes to quoting is to be able to get the right information as quickly as we can to the customers … AI has actually helped us with pricing, getting the right informations on end of life, getting the right information on country of origins …”
  — Max Chan [03:16]

3. Prioritizing Technology Investments in a Complex Ecosystem

• Timestamp: 04:59 – 06:11

• Technology and AI strategy are fully aligned with business strategic priorities—not as standalone initiatives.

• Three guiding questions: Does it help the top line, improve margin, or generate investable cash?

  “Instead of having my own technology or digital AI strategy, the strategy is how we are enabling the business.”
  — Max Chan [05:16]

4. The Elusive ROI of AI: A Perspective Shift

• Timestamp: 06:11 – 07:31

• Traditional ROI models can be misleading; Avnet focuses on business outcomes driven by AI.

• Measures conversion improvements, speed, and completeness of customer information over isolated AI investment metrics.

  “Most companies struggle to find ROI in AI because they are looking at the wrong place. They’re looking for ROI from an investment in AI itself … AI to us is transformational.”
  — Max Chan [06:19]

5. IT Challenges in Hybrid Distribution and Digital Enablement

• Timestamp: 07:31 – 09:28

• Change management and governance are critical.

• Selective focus is essential: Only use cases tied directly to business strategy are pursued, despite temptation from many promising POCs.

  “AI governance has proven to be a lot more complex than a standard governance that you see with any technology implementations, right? So that is also another thing that we keep a close eye on and making sure that we truly get to what we have to deliver something that do no harm to the organization.”
  — Max Chan [08:43]

6. Modernizing Legacy Systems in a Century-Old Company

• Timestamp: 09:28 – 12:04

• Embraced greenfield, “digital-first, AI-first” architecture after discovering monolithic ERPs couldn’t keep pace.

• Organizational willingness to start from scratch, enabling continuous digital transformation despite low margins.

  “...We actually have the support from the organizations to allow us to just go greenfield, start from scratch, build a modern architecture that is digital first and AI first now … Not get so hung up on what we have built over the last 30 years has helped us with that success in driving AI and the transformation that we are seeing today.”
  — Max Chan [10:38]

7. Workforce Upskilling and Managing AI-Driven Change

• Timestamp: 12:04 – 15:43

• Capitalized on grassroots excitement from tools like ChatGPT.

• Three levels of AI adoption: general productivity tools, embedded AI in enterprise software, and custom internal AI solutions.

• Focused on reimagining business processes for autonomy, involving SMEs in prototyping, then adding human augmentation.

  “AI is probably a lot easier than most other technology that came before it because suddenly everyone … got excited about it.”
  — Max Chan [12:22]

8. Enhancing Global Supply Chain Resilience with Tech Stack Evolution

• Timestamp: 15:43 – 17:39

• Emphasis on upstream and downstream partnerships, tight industry data integration.

• Avnet’s “Partner Exchange Digital Exchange (PTX)” platform underpins digital orchestration, with strong API-led microservices for agility.

• Embedding AI in these digital exchanges for customer and ecosystem stickiness.

  “Internally from a Tech Stack standpoint, we need to drive for the modern architecture that drives microservices that allows us to have strong API connections. We create a platform called the Partner Exchange Digital Exchange … now with AI that allows us to bring AI into the mix.”
  — Max Chan [16:33]

9. Generative AI at Work: Google VO3

• Timestamp: 17:39 – 19:21

• Max’s current favorite tech: Google VO3, a generative AI video platform.

• Used for internal communication, including multi-language deepfake video demos, proving both the potential and ethical complexities.

  “The powerful video creation platform that Google announced. And playing with it, it can do a lot of crazy and exciting things.”
  — Max Chan [18:04]
  “Taking his [CEO’s] presentation, he presented in English. Now I convert that into three other languages and it lip sync to whatever.”
  — Max Chan [18:32]

Notable Quotes & Memorable Moments

• On reimagining legacy IT:
  “Not get so hung up on what we have built over the last 30 years has helped us with that success in driving AI and the transformation that we are seeing today.”
  — Max Chan [10:38]

• On AI ROI:
  “Most companies struggle to find ROI in AI because they are looking at the wrong place. … AI to us is transformational.”
  — Max Chan [06:19]

• On the adoption of generative AI:
  “AI is probably a lot easier than most other technology that came before it because suddenly everyone … got excited about it.”
  — Max Chan [12:22]

• On using deepfake positively:
  “Taking his [CEO’s] presentation, he presented in English. Now I convert that into three other languages and it lip sync…”
  — Max Chan [18:32]

Segment Timestamps (HH:MM:SS)

• 01:08 – Avnet’s shift to data-driven orchestration
• 02:31 – Four AI application pillars
• 05:10 – Aligning tech investments to business outcomes
• 06:19 – Redefining AI ROI
• 07:58 – IT challenges in hybrid distribution
• 09:43 – Modernizing legacy infrastructure
• 12:20 – Upskilling & managing AI change
• 15:43 – Evolving supply chain resilience and tech stack
• 17:49 – Most innovative current tech: Google VO3 and generative AI

Summary

Max Chan’s episode provides a vivid, pragmatic roadmap for large enterprises seeking to transform legacy supply chains into digital-first, AI-enabled operations. He advocates a relentless focus on business outcome alignment, governance, and a culture of continuous reinvention—demonstrating how a century-old company can still lead in digital transformation through modern technology, data intelligence, and employee empowerment. The interview concludes with a lighthearted exploration of generative AI’s future, illustrating both its business utility and its powerful, sometimes unexpected, creative potential.