Many companies that have relationships with 3PL’s feel confident in the upper level employees but not so much in the lower level employees. In the survey below, conducted by Dr. Lieb from Emerson College and Joseph Gallick from Penske, it shows talent shortage as the most significant problem.
With the Baby Boomer Generation headed for retirement, there will be a lot of roles opening up, including leadership roles. The upcoming Generation X will not be big enough to fill those roles, as well as the Generation Y will be too inexperienced. According to research done by Manpower Group, 52% of employers are finding it difficult to fill supply chain positions within their company.
Why is there a shortage?
- Mobility: those with the skills and talents are less likely to be willing to relocate.
- Young talent are most likely more willing to leave an employer for another if offered more compensation.
- Should be a balance between formal and informal professional development tools i.e. school and mentors
- Not a lot of universities preparing students for a role in supply chain management.
- Ineffective retention strategies
- Supply chain in general is becoming more pertinent.
How can the industry fix the problem?
- Make younger people more aware of supply chain and logistics and the role it plays in everyday life.
- Look beyond 4 year colleges and universities
- Have a dedicated and effective human resources department for supply chain roles
- Offer performance linked rewards
- Develop the talent themselves
- Implement succession planning
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