Facing challenges head-on: interview with 2022 NFSD chair Jonathan Dawley
In today’s pandemic-era labor environment, operator and pedestrian safety is more important—and perhaps more difficult to achieve—than ever, says National Forklift Safety Day 2022 Chair Jonathan Dawley.
Contributing Editor Toby Gooley is a writer and editor specializing in supply chain, logistics, and material handling, and a lecturer at MIT's Center for Transportation & Logistics. She previously was Senior Editor at DC VELOCITY and Editor of DCV's sister publication, CSCMP's Supply Chain Quarterly. Prior to joining AGiLE Business Media in 2007, she spent 20 years at Logistics Management magazine as Managing Editor and Senior Editor covering international trade and transportation. Prior to that she was an export traffic manager for 10 years. She holds a B.A. in Asian Studies from Cornell University.
The world has changed dramatically in the nine years since the Industrial Truck Association (ITA) launched the annual National Forklift Safety Day program to educate customers, policymakers, and government officials about the safe use of forklifts and the importance of proper operator training. The Covid-19 pandemic has deeply impacted businesses, including those that use forklifts, in myriad ways. One of the biggest changes has been in the labor market, where every industry is challenged not just to hire but also to retain trained workers. The high rate of turnover has directly affected forklift safety. “The unique, transitory environment for employees we’re in requires us to be on our game all the time” when it comes to operator and pedestrian safety, says 2022 National Forklift Safety Day Chair Jonathan Dawley.
Dawley is president and CEO of Summerville, South Carolina-based Kion North America Corp., which provides the Linde Material Handling and Baoli brands of lift trucks. He has spent his career in manufacturing industries like material handling, automotive, and infrastructure and heavy construction equipment. He joined the Kion Group in 2020 from Putzmeister Holding GmbH, where he had been president and CEO of the Americas region. Prior to that, he was responsible for the global aftermarket business at JLG Industries Corp., a subsidiary of Oshkosh Corp. He gained extensive experience in intralogistics as well as in the material handling business in senior management roles at Hyster-Yale Materials Handling Inc. from 2005 to 2014, most recently as president of Hyster Co. distribution.
Described by peers and colleagues as a strategic thinker with vision and deep technical knowledge, Dawley has long experience in manufacturing, developing international markets, financial management, and industrial technology and automation. He is active as a board member in the German American Chamber of Commerce (Southeast), the Charleston (South Carolina) Metro Chamber, and the president’s industry board at College of Charleston.
DC Velocity recently spoke with Dawley about the labor-related conditions that are challenging forklift safety today, his thoughts on training technology, and his priorities for National Forklift Safety Day 2022.
Q: What are your current job responsibilities?
A: As president and CEO of Kion North America, I am responsible for sales and marketing; operations, including production, supply chain, and procurement; engineering and product strategy functions; and administrative functions such as human resources and finance. Ultimately, though, my job is to lead the company to success. I am a growth-stage CEO, which means I am changing the culture of the company to manage and support our growth. One thing about our culture that won’t change, though, is our commitment to caring for and developing our people. I put building a sustainable culture at the center of all of my actions.
Q: How did you get into material handling originally?
A: My first exposure came while I was working and getting my college degree. Through that job, I met the COO of a large forklift dealer. He became a customer and later asked me what I was doing with my life. I explained that I was finishing my degree, and he said, “Come talk to me as soon as you finish.” I did, and he hired me as an aftermarket sales rep at the dealership.
I ended up going on to work for automotive OEMs and suppliers for the following 10 years, but material handling really did get in my blood, as I enjoyed the diversity of applications. Eventually, I came back into this business in 2005, when I was hired by one of the leading lift truck manufacturers in North America. I was there for nearly 10 years, holding numerous senior leadership roles. I left the industry for six years but am now back, with the privilege of leading Kion North America.
Q: Is there anything you especially like or find exceptionally interesting about the industrial truck industry?
A: I enjoy the diversity of applications and the opportunity to problem solve in many different industries. As a young person entering the industry, I was able to experience many different market sectors, from automotive manufacturing to warehousing to food and beverage applications. Learning about different industries, processes, and business models, and solving diverse problems for these customers were attractors early on. Plus, the industrial truck industry is the backbone of logistics. It’s exciting to be in an industry that has a direct impact on every supply chain around the world.
Currently, there is so much going on in the area of technology. Customers worry about finding good employees and about employee turnover, and this demographic change is driving more automation. In the past, automation was seen as a disruptive technology that was a threat to jobs, but today it’s clear that with a very tight labor market for the foreseeable future, we have to apply automation as a support for businesses and the economy. At the same time, customers want to ensure their employees’ safety, and they also want to be more efficient and competitive. So, in addition to automation, we are looking at technologies that can help them in areas like energy efficiency and safety.
The technology opportunities are very interesting, but at the end of the day, success comes back around to people. In this industry, you have to get on the ground with people to understand their needs and build relationships.
Q: You have a lot of experience that is timely and relevant today, such as international business development, Industry 4.0, and automation. How will your background contribute to ITA’s efforts to promote forklift safety?
A: Having a background in product strategy and technology is especially relevant in leading a material handling company right now. Manufacturers and warehouse companies are dealing with not being able to get enough employees or are experiencing high rates of employee turnover. When you have high turnover, that means many new employees, so it’s important to keep up with basic levels of training. At the same time, business opportunities are growing and businesses that use forklifts are expanding, so businesses are working at a very fast pace.
In times like these, we can use technology to our benefit. We in the forklift industry can supply systems that enable another layer of safety management on top of the core safety training. For example, collision-avoidance systems can help with operator awareness of safe practices. But technology-based systems are not replacements for training and education—they are supplemental, or supportive of training.
Q: What are your personal priorities as National Forklift Safety Day chair?
A: First, I want to get the industry aligned, from the manufacturer to the dealer, to maximize awareness at the end-user level of the need for training and the basic tool kits and training the industry provides. I would like the industry to create one harmonized message to send to forklift end-users. Second, I’d like to look at how we can leverage technology to support operator training. While technology is not a replacement for basic training and good culture, technologies such as automation and collision-avoidance systems are a good supplement and can reinforce good safety principles. And third, I want to find a way to get dealer networks more engaged with National Forklift Safety Day. Every manufacturer and its dealers should consider holding open houses to drive safety awareness—for example, by holding operator training classes on site during that time.
Q: Are there specific topics this year’s National Forklift Safety Day program will focus on?
A: As always, we will emphasize that forklift safety is not a one-time issue and that it is as important for pedestrians as it is for operators. We will also be looking at the safety-related challenges warehouses and manufacturers are facing as we start to come out of the Covid-19 pandemic and the economy improves. For example, some businesses have grown dramatically, and in some cases that has meant higher levels of inventory. As a result, there may be material in new places in the DC or the factory where there wasn’t anything before. Perhaps that forces a pedestrian to walk outside of the normal marked path, which puts them in the way of equipment, or an operator has to drive around something that wasn’t there yesterday and pedestrians aren’t expecting a forklift to be there. These changing situations can compromise safety and put employees at risk.
Q: The pandemic has had a huge impact on forklift operations and labor. Has this “new normal” affected how end-users approach forklift safety?
A: It has. We need an additional 3.2 million workers in the United States to cover current job openings. As facilities search for employees in a very constrained labor environment, they may end up hiring people who may not have the same capabilities and experience as the previous employee base. That, together with the high rates of turnover that businesses everywhere are seeing, is making safety training more difficult, creating risk for end-users.
There are also two employee-related dynamics many businesses are seeing. One is that some employees do not feel a long-term commitment to the company that hires them, which means you have to engage them and help them feel connected so they will want to stay with the company. Another is that if someone does have a laissez faire attitude about coming to work, then they likely do not have a sense of urgency about safety. So, you have to aim for daily engagement, and supervisors on the line have to constantly be reinforcing the importance of safety. And if we as business leaders don’t establish a culture of accountability, then the safety system falls apart.
Q: What’s the main message you would like DC Velocity’s readers to take away from National Forklift Safety Day?
A: The main message is that safety is a culture. To make safety a priority in companies, that message has to come from the top, and we have to live it ourselves, day in and day out. We can leverage advanced technology to help limit risks, but we also have to ensure people practice the basics of safe operation every day and that training is maintained.
“The past year has been unprecedented, with extreme weather events, heightened geopolitical tension and cybercrime destabilizing supply chains throughout the world. Navigating this year’s looming risks to build a secure supply network has never been more critical,” Corey Rhodes, CEO of Everstream Analytics, said in the firm’s “2025 Annual Risk Report.”
“While some risks are unavoidable, early notice and swift action through a combination of planning, deep monitoring, and mitigation can save inventory and lives in 2025,” Rhodes said.
In its report, Everstream ranked the five categories by a “risk score metric” to help global supply chain leaders prioritize planning and mitigation efforts for coping with them. They include:
Drowning in Climate Change – 90% Risk Score. Driven by shifting climate patterns and record-high temperatures, extreme weather events are a dominant risk to the supply chain due to concerns such as flooding and elevated ocean temperatures.
Geopolitical Instability with Increased Tariff Risk – 80% Risk Score. These threats could disrupt trade networks and impact economies worldwide, including logistics, transportation, and manufacturing industries. The following major geopolitical events are likely to impact global trade: Red Sea disruptions, Russia-Ukraine conflict, Taiwan trade risks, Middle East tensions, South China Sea disputes, and proposed tariff increases.
More Backdoors for Cybercrime – 75% Risk Score. Supply chain leaders face escalating cybersecurity risks in 2025, driven by the growing reliance on AI and cloud computing within supply chains, the proliferation of IoT-connected devices, vulnerabilities in sub-tier supply chains, and a disproportionate impact on third-party logistics providers (3PLs) and the electronics industry.
Rare Metals and Minerals on Lockdown – 65% Risk Score. Between rising regulations, new tariffs, and long-term or exclusive contracts, rare minerals and metals will be harder than ever, and more expensive, to obtain.
Crackdown on Forced Labor – 60% Risk Score. A growing crackdown on forced labor across industries will increase pressure on companies who are facing scrutiny to manage and eliminate suppliers violating human rights. Anticipated risks in 2025 include a push for alternative suppliers, a cascade of legislation to address lax forced labor issues, challenges for agri-food products such as palm oil and vanilla.
That number is low compared to widespread unemployment in the transportation sector which reached its highest level during the COVID-19 pandemic at 15.7% in both May 2020 and July 2020. But it is slightly above the most recent pre-pandemic rate for the sector, which was 2.8% in December 2019, the BTS said.
For broader context, the nation’s overall unemployment rate for all sectors rose slightly in December, increasing 0.3 percentage points from December 2023 to 3.8%.
On a seasonally adjusted basis, employment in the transportation and warehousing sector rose to 6,630,200 people in December 2024 — up 0.1% from the previous month and up 1.7% from December 2023. Employment in transportation and warehousing grew 15.1% in December 2024 from the pre-pandemic December 2019 level of 5,760,300 people.
The largest portion of those workers was in warehousing and storage, followed by truck transportation, according to a breakout of the total figures into separate modes (seasonally adjusted):
Warehousing and storage rose to 1,770,300 in December 2024 — up 0.1% from the previous month and up 0.2% from December 2023.
Truck transportation fell to 1,545,900 in December 2024 — down 0.1% from the previous month and down 0.4% from December 2023.
Air transportation rose to 578,000 in December 2024 — up 0.4% from the previous month and up 1.4% from December 2023.
Transit and ground passenger transportation rose to 456,000 in December 2024 — up 0.3% from the previous month and up 5.7% from December 2023.
Rail transportation remained virtually unchanged in December 2024 at 150,300 from the previous month but down 1.8% from December 2023.
Water transportation rose to 74,300 in December 2024 — up 0.1% from the previous month and up 4.8% from December 2023.
Pipeline transportation rose to 55,000 in December 2024 — up 0.5% from the previous month and up 6.2% from December 2023.
The supply chain risk management firm Overhaul has landed $55 million in backing, saying the financing will fuel its advancements in artificial intelligence and support its strategic acquisition roadmap.
The equity funding round comes from the private equity firm Springcoast Partners, with follow-on participation from existing investors Edison Partners and Americo. As part of the investment, Springcoast’s Chris Dederick and Holger Staude will join Overhaul’s board of directors.
According to Austin, Texas-based Overhaul, the money comes as macroeconomic and global trade dynamics are driving consequential transformations in supply chains. That makes cargo visibility and proactive risk management essential tools as shippers manage new routes and suppliers.
“The supply chain technology space will see significant consolidation over the next 12 to 24 months,” Barry Conlon, CEO of Overhaul, said in a release. “Overhaul is well-positioned to establish itself as the ultimate integrated solution, delivering a comprehensive suite of tools for supply chain risk management, efficiency, and visibility under a single trusted platform.”
Shippers today are praising an 11th-hour contract agreement that has averted the threat of a strike by dockworkers at East and Gulf coast ports that could have frozen container imports and exports as soon as January 16.
The agreement came late last night between the International Longshoremen’s Association (ILA) representing some 45,000 workers and the United States Maritime Alliance (USMX) that includes the operators of port facilities up and down the coast.
Details of the new agreement on those issues have not yet been made public, but in the meantime, retailers and manufacturers are heaving sighs of relief that trade flows will continue.
“Providing certainty with a new contract and avoiding further disruptions is paramount to ensure retail goods arrive in a timely manner for consumers. The agreement will also pave the way for much-needed modernization efforts, which are essential for future growth at these ports and the overall resiliency of our nation’s supply chain,” Gold said.
The next step in the process is for both sides to ratify the tentative agreement, so negotiators have agreed to keep those details private in the meantime, according to identical statements released by the ILA and the USMX. In their joint statement, the groups called the six-year deal a “win-win,” saying: “This agreement protects current ILA jobs and establishes a framework for implementing technologies that will create more jobs while modernizing East and Gulf coasts ports – making them safer and more efficient, and creating the capacity they need to keep our supply chains strong. This is a win-win agreement that creates ILA jobs, supports American consumers and businesses, and keeps the American economy the key hub of the global marketplace.”
The breakthrough hints at broader supply chain trends, which will focus on the tension between operational efficiency and workforce job protection, not just at ports but across other sectors as well, according to a statement from Judah Levine, head of research at Freightos, a freight booking and payment platform. Port automation was the major sticking point leading up to this agreement, as the USMX pushed for technologies to make ports more efficient, while the ILA opposed automation or semi-automation that could threaten jobs.
"This is a six-year détente in the tech-versus-labor tug-of-war at U.S. ports," Levine said. “Automation remains a lightning rod—and likely one we’ll see in other industries—but this deal suggests a cautious path forward."
Editor's note: This story was revised on January 9 to include additional input from the ILA, USMX, and Freightos.
Under terms of the deal, Sick and Endress+Hauser will each hold 50% of a joint venture called "Endress+Hauser SICK GmbH+Co. KG," which will strengthen the development and production of analyzer and gas flow meter technologies. According to Sick, its gas flow meters make it possible to switch to low-emission and non-fossil energy sources, for example, and the process analyzers allow reliable monitoring of emissions.
As part of the partnership, the product solutions manufactured together will now be marketed by Endress+Hauser, allowing customers to use a broader product portfolio distributed from a single source via that company’s global sales centers.
Under terms of the contract between the two companies—which was signed in the summer of 2024— around 800 Sick employees located in 42 countries will transfer to Endress+Hauser, including workers in the global sales and service units of Sick’s “Cleaner Industries” division.
“This partnership is a perfect match,” Peter Selders, CEO of the Endress+Hauser Group, said in a release. “It creates new opportunities for growth and development, particularly in the sustainable transformation of the process industry. By joining forces, we offer added value to our customers. Our combined efforts will make us faster and ultimately more successful than if we acted alone. In this case, one and one equals more than two.”
According to Sick, the move means that its current customers will continue to find familiar Sick contacts available at Endress+Hauser for consulting, sales, and service of process automation solutions. The company says this approach allows it to focus on its core business of factory and logistics automation to meet global demand for automation and digitalization.
Sick says its core business has always been in factory and logistics automation, which accounts for more than 80% of sales, and this area remains unaffected by the new joint venture. In Sick’s view, automation is crucial for industrial companies to secure their productivity despite limited resources. And Sick’s sensor solutions are a critical part of industrial automation, which increases productivity through artificial intelligence and the digital networking of production and supply chains.