Quick Take: Taming the talent crisis
Supply chain companies are poised to develop a workforce ecosystem comprised of both knowledge-based workers and skilled tradespeople. Are you ready to create the future of work?
Shaping the future of work
Last week, I watched Vsimple’s digital event featuring Steve Cadigan, author of Workquake: How Things Will Shake Out in a New Era of Work. I was excited to explore “future of work” trends to find inspiration for supply chain innovations as I prepare my remarks for CSCMP EDGE 2022, the Council of Supply Chain Management’s annual industry conference, scheduled for September in Nashville. If global and local supply chains help us all live our lives and do our work, then understanding how companies acquire, task, inspire, and retain workers is a powerful North Star for B2B innovations.
Cadigan shared facts to quantify today’s continuing talent crisis, defined by unprecedented talent shortages and turnover. He explored how expert talent strategies are necessary for world-class innovations. One critical takeaway Cadigan offers is that “the future of work is learning and development.” Wise words. And actionable.
For B2B innovators, Cadigan's insights reveal opportunities for going beyond delivering containers and products to helping companies acquire knowledge and enable workers. Distributors, the global supply chain's local end, are already innovating in this direction. By adding global capabilities, a new worldwide supply network may emerge, creating seismic value for every worker, company, community, and society.
In this edition, I share my takeaways inspired by Vsimple’s digital event. All are investments and actions that global and local supply chain companies can pursue. I offer my ideas to help spark a conversation about making an impact:
Reinvent procurement. As every supply chain customer struggles to recruit and retain talent, they will increasingly rely on suppliers to offer advice, training, and other business support. Distributors have always done so—on the side, without charge—as an enticement to buy products. With the help of critical suppliers and supply chain professionals, business buyers will redesign procurement organizations to acquire essential knowledge, talent, and products.
Be a talent hub. Employee turnover is an issue for companies and entire industries if departing employees leave to work in other sectors. Local and global supply chain companies can help solve the talent drain by creating“rotational” positions: roles designed to help next-generation workers leave a manufacturer, retailer, or other customer, work for the supply chain company, then return to another manufacturer, retailer, or other customer in the same industry. Going further, supply chain companies might help to establish a “qualification dashboard” to document knowledge gained through on-the-job experiences as employees move from company to company within an industry.
Act as an innovation intermediary. As explored in this Quick Take edition, an innovation intermediary is “any organization that acts as an agent or broker in any aspect of the innovation process between two or more parties.” This is an easy upgrade for most supply chain companies. Acting as an innovation intermediary requires only that a supply chain company be curious about customer challenges, listen for the necessary knowledge or resources, and arrange for experts or vendors to meet with customers. Over time, suppliers gain a deep understanding of customer innovations and act on that knowledge to offer new products or services to execute their own innovations.
Build a knowledge network. I know a few startups seeking to develop a LinkedIn-like network as a platform business. The idea is to help customers digitally manage their network of helpful suppliers, capture information exchanges, and optimize business interactions. Digital startups understand platform models but lack enough customers to create network effects. Established supply chain companies have customers, but are short on leading-edge digital capabilities. By partnering, an integrated product delivery and knowledge network is possible.
Integrate with skilled workers. A shortage of truck drivers aggravates the current supply chain crisis, but there is a bigger problem. In an economy dominated by knowledge workers, skilled trades—including trucking, electrical, plumbing, mechanical, and culinary arts—are not encouraged or developed as attractive careers. Societies suffer, as skilled trades offer middle-class incomes and a pathway to substantial wealth as some workers become business owners. Supply chain companies can make a crucial social impact by embracing skilled workers as part of the supply chain, helping them acquire and use products, secure work, adapt to digital technologies, and more.
Develop platforms for workforce ecosystems. As the talent crisis continues, companies will increasingly collaborate to get work done, sharing people, knowledge, resources, and assets. One implication is that companies (and the supply chain) will organize to facilitate projects. In the motion picture industry, projects are staffed with people from multiple companies as well as independent contractors. This approach is called a workforce ecosystem. As intermediaries in a value chain with critical information about inventory and deliveries, supply chain companies are already deeply involved in helping companies get work done. Supply chain companies may become more digitally integrated, responsive, and ultimately resilient by offering the software, tools, and platforms on which workforce ecosystems operate.
Your take?
Vsimple is a new company founded to develop better ways to “connect the people who move and make things.” By hosting conversations about overcoming talent challenges, essential insights for the future of the global and local supply chain will emerge, but only if supply chain professionals and B2B innovators listen and join in.
Join me at CSCMP EDGE 2022. Watch Vsimple’s digital event here. Share your comments below and help push the conversation forward toward a bold and bright future for the global and local supply chain.
I think that a John D Rockefeller quote goes something like “Leadership is nurturing and organizing average employees to do the work of superior employees”.