Will the lack of qualified personnel derail the digital transformation of the retail supply chain? – RetailWire

May 13, 2022

New research reveals that more companies than ever are engaged in efforts to digitally transform their supply chains. He also finds that many do not have enough qualified staff to meet this target at a time when external factors such as supply chain disruptions and inflation complicate the planning process.

Ninety-three percent of supply chain professionals surveyed by ToolsGroup and the Council of Supply Chain Management Professionals (CSCMP) said their companies were actively engaged in digitally transforming their operations.

“The past two years have highlighted the need to digitize supply chain planning and, thankfully, more companies than ever are responding by stepping up efforts to transform their operations,” said Caroline Proctor, Chief Marketing Officer at ToolsGroup. statement. “The percentage of companies not pursuing a digital transformation strategy at all is, at 7%, the lowest we have measured so far. Our results reveal growing investments in software, automation and people. “

Fifty-three percent of respondents said having people with the necessary skills was the biggest barrier they currently face in making the transition. Recruitment is top of the list for many companies, but labor shortages in key disciplines remain a significant challenge.

“As supply chain challenges become more frequent and intense, business leaders are increasingly focused on implementing solutions that can help them better manage risk, circumvent the shortage of skills and become more resilient,” said Mark Baxa, President and CEO of CSCMP.

Half of respondents said a focus on people, process, technology and security was key to their digital transformation efforts. Forty-five percent said change management and effective communication are necessary for success. Forty-three percent point to the need for leadership-focused goals.

The more than 300 supply chain professionals participating in the study said they started 2022 with a positive outlook, but external factors made supply chain planning more difficult. Twenty-five percent say supply chain delays are a complicating factor. Twenty-four percent reported runaway inflation and 19% reported increased fulfillment costs.

Internal concerns, including shorter product life cycles and more production options, were not a priority for many who must respond to external challenges on a daily basis.

DISCUSSION QUESTIONS: Has the lack of qualified personnel, combined with supply chain disruptions, inflation, and other external challenges, made the logistics planning process much more complicated than before? Are there ways for companies to effectively pursue their digital transformation efforts despite the internal and external challenges they currently face?

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“If retailers really direct good candidates into the supply chain, they will see big rewards.”

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