Logistics Industry culture shift targets workforce shortage

One of the most critical issues facing the logistics industry right now is workforce shortages. While automation and robotics are allowing teams to achieve higher output, simplify complex tasks, and remove manual paperwork — the need for skilled personnel will never be replaced.

The industry is continuing to grow in both size and value, and flow on-impacts from the global pandemic continue to impact day-to-day operations — including remaining workforce shortages.

The unprecedented nature of the pandemic highlighted the critical role of supply chain stability and flexibility in the logistics industry. However, it also brought with it border closures coupled with workforce restrictions, illness, and health precautionary measures that dwindled the workforce at a time when logistics operations were booming.

The wider impact of post-pandemic flow-on include rising labor and operational costs (rising fuel prices and warehouse rent among a few), changes in workforce preferences and accelerated retirement. These trends have coupled to change the workforce of our industry, driving companies to explore new avenues in terms of workforce attraction and retention.

The CartonCloud Logistics Index (CCLI) 2022 Q3 industry whitepaper found ongoing workforce shortages were driving businesses to think outside the box in terms of hiring.

Gathering insights from over 80 members of the logistics industry, from operational roles to senior management, the Q3 CCLI report detailed a strong cultural shift angled at boosting workforce recruitment and retention.

“What it means to work in logistics is changing. Our industry is changing, and while our bread and butter will continue to be the storage and movement of goods, the services and specialized roles supporting this are evolving,” said Mr Fletcher.

“We’re seeing a major shift in the attitudes and tactics surrounding hiring within our industry.

“Companies are working to become more attractive employers by offering flexible work arrangements, on-the-job training, higher pay structures, and career advancement, looking at their own company values and culture.”

Having more defined company values can not only be used to set employers apart from the pack, CartonCloud COO/ Head of North America Shaun Hagen explained.

Strong company values also provide an opportunity for employers to look at bringing in new skill sets, and offering their customers new services, like data analysis, sales and marketing.

“It may be that new logistics employment opportunities emerge as a result of the cultural shifts toward hiring,” Mr Hagen said.

“New members of the workforce will continue to diversify the skill sets held within companies, and the adoption of technology and software solutions will continue to reduce the load of manual tasks, allowing companies to invest in other areas for growth.”

The CCLI report showed adoption of technology is trending upward, driven by greater expectations from both customers and other industry partners for data capture and sharing.

“This is altering the landscape of hiring within the logistics workforce,” Mr Fletcher said.

“Higher tech adoption across the industry brings new roles for data analysis and may open up greater opportunities for hiring flexibility in terms of roles and hours. What’s more, companies using easy-to-operate technology are finding it easier to train and assign workloads within their workforce, which means they can expand their hiring beyond those with prior industry experience.”
CCLI respondents cited flexible hours, on-the-job training, healthy team dynamics, wage incentives, and appropriate benefits as some of the tactics they were using to attract and retain their staff.
The report gathered insights from over 80 members of the logistics industry, across all roles and operations, from Australia and North America.
“The CartonCloud Logistics Index allows us to track and understand the issues that are most important to industry members today, and also gives us the opportunity to provide valuable insights and data back to the industry,” Mr Hagen said.

“We believe in data-led decision-making to drive growth. It’s at the heart of what we do, creating technology that is both powerful and easy to use — based on the most important features logistics people need to grow their business.

“Providing data like this allows us to support industry members to explore their own decisions within an industry context, and grow from the insights shared by others.”

CartonCloud works closely with industry members to identify, track and predict the issues and opportunities facing logistics businesses today and in the future.

To find out more, download the full CartonCloud Logistics Index from our webiste, or contact the team at CartonCloud for more information on intuitive software systems, built for logistics people.