Retaining talent is crucial for every industry, and the logistics and supply chain industry is no exception. The industry is highly competitive, and having skilled and experienced employees can be a significant advantage for companies. Meanwhile, losing talented employees can result in increased costs associated with recruitment, training, and decreased productivity. According to Skills Dynamics, more than half (56%) of senior supply chain professionals say that employee retention in their function has decreased over the past three years – and 57% admit this is a problem.
Employees are looking to build on their employer’s branding, flexible work arrangements, engagement, career development opportunities, competitive compensation and benefits and diversity through the latest technology. By deploying the right strategy, organisations can not only attract top talent, but they can retain it, too.
In-Demand Roles
Data analysts are in high demand across multiple industries due to their expertise in analyzing and interpreting complex data sets to help organizations make informed decisions and improve their products and services. With the increasing reliance on technology, there is also a growing demand for skilled software developers who can design, develop, and maintain software applications that meet the needs of businesses and consumers.
With the popularity grows in cloud computing, the industry is seeing a high demand for professionals who can design, develop and maintain cloud-based systems and applications. This growth in the cloud, however, continues to drive the risk of cyber threats, and many businesses are now looking for cybersecurity specialists who can protect their networks, systems, and data from cyber-attacks.
Finally, as interest in Artificial Intelligence (AI) and Machine Learning (ML) continues to develop, there is a growing need for AI and ML engineers, who can solve complex problems and improve business operations. Businesses must keep their approach to attracting – and retaining – professionals within these roles in mind.
Retaining talent to optimise productivity
Regular churn of employees not only compromises business efficiency, but it also comes with great financial cost. According to Indeed, companies can expect to pay anywhere between $4,000 and $20,000 for each new hire – not including salary and benefits. It also has a significant negative impact on team morale and overall company culture. Alternatively, long-standing employees provide a range of benefits to a business, including the ability to provide insight and knowledge that can assist an organisation in improving its operations and decision-making. Many businesses are using a combination of benefits, incentives and other innovative approaches to keep hold of talent and build a strong and engaged workforce.
Team Stage reports that 69% of employees would work harder if they received more recognition. The most effective way to retain employees is to offer them competitive compensation packages that are aligned with industry standards and commensurate with their skills and experience alongside employee recognition through bonuses, awards and public recognition to acknowledge and reward the employee’s hard work and help to increase their motivation.
Businesses introducing health and wellness and retirement benefits can help to promote the employee’s physical and mental well-being. To attract and retain employees who prioritize work-life balance, businesses are increasingly providing flexible work options, including remote work or adaptable schedules. According to The Adecco Group, 29% of employees want to quit within 12 months of working in the logistics sector and out of the 29% that want to quit, 25% say it would be to gain more flexibility. Additionally, companies are emphasizing employee engagement strategies such as regular feedback and recognition to enhance employee satisfaction and improve retention.
The impact of technology on retention and satisfaction
Introducing and investing in technology to retain staff and improve employee satisfaction through training should be at the top of employers’ priorities. For example, employers can offer on-the-job training to assign new employees to experienced employees to help them learn their roles as they work which, in turn, helps the new employee to adapt to the work culture relatively quicker than what they would without.
Online training allows employees to be able to attend whether they’re working from home or the office. Webinars, e-learning modules and other online learning can allow employees to learn at their own pace and convenience as opposed to coaching and mentoring.
In addition to providing employees with various communication tools, such as instant messaging and video conferencing, technology can also assist in improving collaboration and reducing communication barriers. The result of this can be an increase in job satisfaction and retention among employees since they will feel more connected to their colleagues and the company.
By utilising technology, employees can work more efficiently and productively. As a result, work-related stress can be reduced and job satisfaction can be increased, resulting in higher retention rates. Companies can increase employee loyalty and reduce turnover by leveraging technology to create a positive work environment.
Adjusting to new strategies
Companies are adopting various new strategies and other innovative approaches to recruit and retain talent more effectively, such as building their brand image as an employer to attract top talent. With today’s workforce increasingly seeking purpose in the workplace. Businesses are making efforts to showcase their company culture, values, and employee benefits through social media, career fairs, and other marketing channels.
Moving forward, it is essential that companies strive to develop a more accepting and inclusive brand image and culture within their organization in order to not only recruit new talent but retain it.
By offering more training and development opportunities for employees to help them advance their skills and career paths within the company, employers will reap the benefits in the long term. Companies within the supply chain and logistics industries must hold themselves accountable when it comes to developing team members into specialists and seeking out ways to increase productivity while increasing employee retention.
