Supply Chain Professionals Are at Risk of Spear Phishing: Here’s How to Address It

3pls, Global Logistics, Global Trade Daily

Supply Chain Professionals Are at Risk of Spear Phishing: Here’s How to Address It

April 9th, 2024 Oscar Collins Leave a comment

Supply chain professionals hold plenty of sensitive information about businesses and their beneficiaries. Guarding this data has become more challenging as hackers refine their methods of attacking individuals and organizations.

While cyberattacks like spear phishing have become more well-developed, security solutions have also scaled up and improved. Employ the right programs and methods to keep the supply chain safe and businesses moving in the right direction.

How Spear Phishing Happens

Spear phishing occurs in various communication settings, including emails, phone calls and chat-based platforms. Many people know phishing is a cyberattack targeting multiple individuals and companies. Spear phishing involves posing as a reliable authority to extort data through links and manipulation. It’s more effective because these cyberattacks are targeted.

Phishing attacks feature a general script copied and pasted to various individuals. People who use spear phishing seek information about their victims. For example, a spear phishing message will open with a line about what the recipient and the perpetrator have in common.

Some people may use AI to remove grammatical mistakes and create hyper-realistic messages. They can adapt and impersonate the voice of a colleague or leader in phone calls to lure victims into sharing important information.

The extra time that goes toward identifying viable targets and conducting preliminary research can make spear phishing much more likely to succeed. Social engineering makes it harder to differentiate a real message from a spear phishing one.

The Impact of Spear Phishing

Big companies fall for phishing scams all the time. General Electric released news about a data breach in February 2020 involving Canon. While processing documents involving benefit entitlements, the company discovered that a hacker accessed a Canon email account to tap into employee information.

Spear phishing can trigger a lack of trust between partners in the supply chain. For instance, when people notice that the fleets shipping their goods compromise their data, it can raise uncertainty and doubt about continuing to order or do business with them.

The results can also have a devastating effect on a company’s finances. About 39% of organizations affected by spear phishing attacks cite direct instances of monetary loss, like transferring cash. Reputational and financial damage can cause closure or bankruptcy. Such an imbalance can cause supply chain problems and eventually affect the economy.

Addressing Spear Phishing

Spear phishing is a viable threat. However, it is preventable to a certain degree with the correct methods.

1. Provide Employee Training

Employees in a supply chain are viable targets for spear phishers. They can access sensitive information like names, addresses, certificates, tax forms and Social Security numbers. Educate them about the dangers of spear phishing and to be more discerning with their communications.

A spear-phishing attack can be incredibly convincing, especially since the sender pretends to be someone close to the recipient. After gaining trust, the perpetrator will send a request, such as opening an attachment or providing login credentials. Promote confidentiality and suggest reporting the incident so IT can verify it. Discourage taking telephone calls from unknown numbers.

Promoting a low profile on social media platforms is also important. Spear phishing experts will likely sweep public accounts to review targets and their backgrounds. Ask employees to limit posting personal information. They should avoid posting company news or mentioning their employer to deter cyberattackers.

2. Verify Organizations

Working with a new supplier or vendor can be exciting. However, be wary of their background and whether they have ties to cybercrimes. Spear phishing can make companies out of thin air or impersonate legitimate ones.

Verify third-party legitimacy before conducting business. It’s best to hold in-person meetings with an established authority rather than relying on digital communications.

3. Secure Vehicles

Some logistics businesses look to self-driving trucks because of labor shortages. The trucking industry saw a deficit of 80,000 drivers in late 2021. Autonomous vehicles provide a big advantage in meeting demand and regulating fuel use. However, these preprogrammed systems are susceptible to hacking when cyberattackers gain access.

Some people may use spear phishing to pose as a maintenance specialist or another authority figure to gain access to the self-driving system. Restrict access to these assets. Be vigilant when receiving messages.

4. Conduct Inventory Reviews

Inventory is another vulnerable aspect of the supply chain. Stored products can hold incredible value in quality and quantity. Technological devices also have access to sensitive data, so limits should be placed on who can use them.

It’s also imperative to conduct inventory reviews. Regularly update who has accessed what and which devices are on a company’s network. Audit logs of suspicious activity can uncover a spear phishing attack or another cybercrime.

5. Improve Order Monitoring

Professionals responsible for order management should look for ways to optimize the processes. Some people coordinate through email to manage things— about 82% of companies saw a higher volume in 2022. However, this entails a higher risk of email-based threats like spear phishing.

Use machine learning-powered email security solutions to filter spear phishing messages from an inbox. Seek unique and protected order monitoring platforms. The ideal system can simplify operations and fulfillment while securing vendor and patron information.

6. Update Company Security

Company cybersecurity should never be overlooked. Adopt the right policies, such as keeping financial information and passwords secure. Passwords should be changed regularly to avoid data leaks that will compromise the supply chain.

Make sure to verify all email recipients and senders. Use a work email address to make internal communications safer in the long run. For external communications, seek tech specialists who can vet profiles.

It’s also ideal to install up-to-date security software on all work devices. Systems like firewalls and antivirus software can detect spear phishing emails and alert employees. Early identification is key to preventing anything drastic from happening.

7. Create a Contingency Plan

Spear phishing can be incredibly elusive and slip through security. That’s why it’s vital to have a contingency plan. The right processes can offer significant damage control and recovery in the wake of a cyberattack.

If data is compromised, file a cyber insurance claim to cover the damages. It’s also essential to back up data and change all passwords. Restrict access to prevent more information from leaking. Ensure they’re more secure than previous variations.

Seek assistance from the IT team in charge. These specialists can scan and remove malware and other threats from the system. They can also trace the exact date and time the infiltration happened. Companies should also file a report with the Internet Crime Complaint Center. An investigation can prevent criminals from spear-phishing other businesses and bring them to justice.

The Securities and Exchange Commission also requires public companies to disclose cybersecurity breaches and risk management processes. Details should include the nature of the incident and its material impacts and be submitted within four business days.

Shield Supply Chains From Spear Phishing

Supply chains are vulnerable to spear phishing. Companies should be aware of how it happens and stay on high alert at each step of operations. Effective security is vital to ensuring commerce continues without a hitch and nothing interrupts the process.

Global Logistics, Global Trade Daily, Warehousing

An Efficient Warehouse Should Incorporate These 8 Design Choices

March 19th, 2024 Oscar Collins Leave a comment

Running an efficient warehouse is one of the most crucial aspects of business management. It directly impacts bottom lines, as most people will shop elsewhere if the item they need is out of stock at their preferred store. Maintaining accurate inventory and accessing it quickly facilitates quick turnaround times and satisfied clientele.

Designing a new warehouse is an exciting and daunting task. What should leaders be sure to include to establish and maintain organizational efficacy, employee productivity and inventory accuracy? An efficient warehouse should incorporate the following eight design choices.

A Customized, Optimized Layout

Warehouse layout determines how quickly personnel can move inventory from receiving to shipping while accurately fulfilling customer orders. There are three primary methods for organizing warehouse layouts:

U-shaped: The most common layout where shipping and receiving area doors lie parallel to each other on the same end of the store. Benefits of this system include equipment sharing between shipping and receiving and short walk distances for quick in-and-out orders.

I-Shaped: This warehouse design has shipping and receiving areas on opposite ends. It requires two such loading and unloading facilities and twice the equipment. However, it may work best for some high-end operations that handle specialty parts assembly-line style.
L-Shaped: In these warehouse layouts, the shipping and receiving lie on opposite ends but at 90° angles, with the middle of the “L” used for storage. Although it minimizes congestion, this design most often appears on L-shaped buildings out of necessity, as it takes the most space.

A warehouse’s layout helps determine structural needs and potentially reduce costs, so be particular.

The material of the door is also an important consideration. A few options include aluminum and steel — the former of which is lightweight and comparatively less expensive. However, steel is much better at tolerating damage, so usage is a prominent determining factor.

The best choice depends on each facility’s unique needs.

Storage System Solutions

The right storage system solutions facilitate efficient warehouse workflow. There are two basic types of warehouse storage:

Dynamic storage: Best-selling items that move in and out of the warehouse quickly.
Static storage: Longer-term product storage, typically on pallets.

Managers have multiple methods for storing goods. The right solution depends on the type of business or businesses served, typical item size and type, the type of equipment needed to move it (i.e., forklift), how fragile it is and any other special handling requirements, such as temperature control. Efficient warehouses may use a combination of the following:

Conventional shelves
Pallet racks
Carton-Flow Racks
Longspan Shelving
Mobile Racking
Drive-in Racking
Cantilever Racking
Mezzanines
Cold Storage
Bins
Wire partitions
Narrow aisles

Warehouse Management Technology

Maintaining accurate inventory and control is the heart of warehouse management. Today’s technology empowers leaders to know what’s on hand, in surplus and running low. Many such systems run continuously to provide real-time data at any time.

Many warehouses use various levels of management technology, including the following:

Standalone WMS: These systems exist on a single warehouse premise using the firm’s own software.

Supply-chain execution modules: These facilitate the flow of goods from production, transportation and delivery, integrating information from the standalone WMS and other portions of the supply chain, such as planes, trains and delivery trucks.

Integrated ERP: These systems tie all aspects of the warehouse business together, including accounting and management, into one financial statement necessary for tax and funding operations.

Material Handling Equipment

Warehouse equipment is a lot like Baby Bear’s chair. Too little promotes reliance on manual labor, slowing delivery times and increasing accident rates. Too much creates a cluster that cramps efficiency with unnecessary traffic jams.

Ordering material handling equipment and designing a warehouse layout must often occur in tandem. For example, it does little good to shift to a very narrow aisle design if the company forklifts won’t squeeze between them.

Furthermore, the type of equipment order may hinge on factors such as the type of shelving used. Warehouses that frequently move heavy lumber require much different gear than those that primarily stock knick-knacks.

A Safety-First Mindset

Protecting worker safety is paramount. Accidents can result in costly fines and compensation claims, and too many harm a company’s reputation while impacting the bottom line.

Many warehouse accidents occur as a result of violating one of OSHA’s big ten areas that also see the most citations, including:

Forklifts
Hazard communication
Electrical, wiring methods
Electrical, system design
Guarding floor and wall openings and holes
Exits
Mechanical power transmission
Respiratory protection
Lockout/Tagout
Portable fire extinguishers

Lighting

It’s difficult to overstate the importance of lighting in warehouse design. Workers must be able to quickly and efficiently locate items, which is significantly harder to do in dim settings. Appropriate lighting is also a safety precaution. If tall shelves block overhead fluorescents, does auxiliary lighting along the aisles pickup the slack?

Pick-to-light systems offer an innovative way to increase productivity on operator-picked items. These systems operate through a series of light modules mounted on racks and shelving units that illuminate to indicate the location and quantity of items needed.

According to Hui Shen Tan, a Logistics Automation Solution Provider with Intralogistics 4.0 Solution, such systems integrate with existing WMS to quickly reduce the time it takes for order fulfillment.

Climate Control and Comfort

While warehouse management primarily concerns the workspace, it’s equally important to devote time and care to auxiliary spaces that complement operations. This need goes beyond appointing offices and conference rooms for management and team meetings.

Managing climate control in warehouses creates several safety considerations. Some regions, such as cold storage, require accurate temperature control to safeguard goods like certain chemical mixtures or electronic goods. What about the workers in such areas? Does the warehouse offer proper PPE, such as gloves, to allow them to work in such regions without harm?

Furthermore, considering ergonomics promotes the longevity and health of your workforce. Warehouse workers are particularly prone to cumulative trauma disorders like arthritis that occur when the human body forces itself into unnatural postures for extended times. Allow adequate space for workers to move and take stretch breaks. Offering onsite yoga might seem a bridge too far, but warehouse management might marvel at what it does for production numbers.

Finally, stories of pee bottles at Amazon warehouses created a PR nightmare. Restrooms should be readily accessible to staff, located at appropriate distances from workstations and cleaned and maintained regularly. Failure to do so creates serious public health risks and creates impossible working conditions for many.

Data Analysis for Continued Improvements

Even the best WMS with integrated ERP won’t help leaders improve operations if they never schedule time to review the reports. Planning regular times for data analysis and review isn’t technically a physical design choice, but it can improve operational efficiency more than moving shelves or ordering an upgraded forklift.

Furthermore, go beyond the data — talk to warehouse staff. There could be reasons for production lags of which management remains unaware. Small changes to daily procedures can make a huge difference, as can toxic supervisors. Something as seemingly minor as a reprimand for cellphone use when a worker has a sick child can spark resentment that affects an entire team’s productivity. Upper echelons may have no clue from examining numbers alone.

Without workers, there is no warehouse, but more people leave bad bosses than jobs. Those who flee often cite a lack of communication and uncommunicative, secretive or inconsiderate behavior as prompting their resignation. Choose leadership roles with care and an eye for interpersonal skills over experience alone.

Crucial Design Choices for Warehouse Efficiency

The role of warehouses is to facilitate the efficient storage and delivery of goods from manufacturer to consumer. The right design eases the myriad operations involved in this system, creating a healthy workplace while delighting customers.

Consider the eight elements above when making crucial design choices for warehouse efficiency. A little mindfulness goes a long way, whether improving an existing structure or starting a new warehouse from scratch.

Global Logistics, Global Trade Daily, Uncategorized

10 Innovative Approaches to Enhance Procurement Efficiency in 2024

February 23rd, 2024 Oscar Collins Leave a comment

Optimizing procurement efforts can launch businesses into new realms of success. However, the steps between implementation and increased profits can seem murky even for the most experienced industry professionals.

Use these tips to enhance procurement efficiency this year with innovative approaches that make finding, negotiating and purchasing goods much more manageable.

1. Consolidate Various Supplier Lists

Suppliers serve different purposes, so procurement leadership teams keep numerous lists. Although it may help keep suppliers organized by the departments they support, it can also make it more challenging to identify issues like maverick spending or overlapping suppliers.

Consolidating the lists into one software platform removes some of the administrative work. Leaders can filter them to get instantaneous answers. Maintaining secondary sourcing lists as purchasing backup options is even easier because procurement experts will keep track of their primary suppliers with less effort.

2. Conduct Frequent Educational Courses

Companies with long-term employees or high turnover positions would benefit from recurring educational courses on procurement processes. Informative videos or quick lectures would help eliminate the risk of human error caused by forgetfulness or communication issues.

Teams could watch a presentation on the current process to understand how to reduce overall procurement costs with existing company software that makes every expenditure visible in a single location. If they don’t use that software feature daily, it could be easier for team members to forget it exists and accidentally overspend because they don’t have the collective data in front of them.

Even a short training session once a quarter would remind team members of the information they need to solve problems in real time, use at-hand technology with confidence and remain as efficient as possible.

3. Work on Supplier Relationships

Negotiation and communication are two foundational parts of any procurement relationship between a company and a supplier. Noting the aspects of each one, such as negotiation patterns, will point leadership teams toward the relationships that need strengthening.

Efforts like checking in frequently could build the trust or communication necessary for improved conversations regarding their services.

4. Review Expectations With Suppliers

Leadership teams have expectations for their supply base. They set specific schedules and shipment amounts outside of negotiating purchase points. Procurement could become more efficient by reviewing those expectations with each supplier.

Industry leaders will gain greater respect from suppliers by showing their dedication to each relationship and improving their workplaces simultaneously. Everyone benefits when suppliers and purchasers know what isn’t working for them and how they could improve their professional arrangements.

5. Remain Open to Solutions of All Sizes

Leadership teams should keep an open mind if supplier shipments still struggle to meet a company’s expectations or needs. Innovative approaches to procurement efficiency come together from new ideas of all sizes. A business may need to communicate with its suppliers earlier when placing orders. Team members could also change how they input them to avoid quantity or item selection errors.

Little details matter when problem-solving issues like these. Procurement experts could make purchase amounts and specifications more evident by arranging the request differently per email or highlighting the data on an order form. The changes would easily catch the supplier’s eye, creating an innovative approach without a total process overhaul.

Organizations can also find procurement solutions by consolidating steps and making tasks easier for employees. For instance, integrating procurement and accounts payable functions produces a single procure-to-pay process. With this strategy, leadership can reduce costs and streamline processes while enhancing procurement visibility. However, professionals should be aware of the implementation required to ensure all stakeholders support the solution.

6. Use AI to Review Processes

Another innovative solution is to use artificial intelligence (AI) for procurement efficiency. The global procurement market will grow 11.1% through 2030, but only if the experienced professionals leading the way know how to wield advancing industry technology. AI simplifies the learning curve and gets employees on board with the technology of the future.

AI software monitors live data streams during each workday. When granted permissions, it tracks factors like purchasing orders to detect patterns that reveal inefficiencies. Leadership teams don’t have to spend as much energy searching through files and data sets for areas needing improvement when AI presents its findings automatically.

7. Try New Inventory Software

Updated inventory software takes the guesswork out of enhancing procurement efficiencies. Outdated programs could lack helpful tools like AI data analysis. They might also not use communication servers or platforms for daily collaboration with suppliers using newer software.

Installing new inventory management software could provide more accurate data for goods or materials before submitting purchase orders. It depends on what each company already uses compared to their competitors, suppliers and industry software trends. Given that the procurement software market will increase by $4.9 million through 2027, there are new programs available yearly that could solve developing inefficiencies.

8. Formalize the Procurement Process

Companies that have recently experienced growth may need to formalize each team’s procurement process to eliminate recurring errors. The word-of-mouth system that worked for a smaller team may be less effective when 10 or 20 more people join.

Team leaders can formalize the process with step-by-step, accessible outlines during the workday. Printed and digital copies would make each system clear, no matter an employee’s responsibility. Training would also need updates to include the formalized process. These efforts would make things understandable to new hires and those adjusting from previous procurement methods.

9. Strategize Market Analysis

Keeping an eye on local or global market trends is much easier with multiple workers watching assigned statistics. Procurement leaders should work closely with management teams or employees by giving each a specific market sector to watch.

They pay greater attention to a single market because it’s easier to track than numerous sectors. The company would gain more eyes on upcoming changes like the low-code platforms two-thirds of procurement companies already use to implement department-specific code for greater efficiency.

Team leaders could report their findings in weekly or quarterly meetings. Details like possible changes in procurement prices due to market fluctuations or high-demand shipment delays would become apparent long before they disrupted the schedule.

10. Reassess Cost Evaluation

Procurement managers can easily slip into habits where they look for vendors offering the lowest individual product pricing. Although that might work with budgets at the moment, the total acquisition cost might not benefit the company.

Managers could practice factoring in things like the cost of using each item and the financial loss regarding product disposal before finding the price point from a consumer’s perspective. Even if it means purchasing things for more money from different suppliers, overall profits increase when consumers get more competitive final prices. The ultimate sales boost would negate the increased supplier costs, resulting in more efficient budgetary decisions.

Enhance Procurement Efficiency Year-Round

It’s always a good time to reflect on procurement since efficiency is an ongoing process. These innovative approaches make it easier to obtain and maintain information on how to improve. Industry or company leaders should keep an open mind to trying new strategies to improve their purchasing processes, budgets and overall company performance.

Global Logistics, Global Trade Daily

How to Renovate Your Break Room for Improved Morale in 2024

January 24th, 2024 Oscar Collins Leave a comment

Break rooms are essential spaces that provide relaxation amidst hectic work days. When employees enter the break room, they want to recharge and prepare for the rest of the day.

How a company organizes these areas demonstrates its priorities and how much it values workers. Here’s how businesses should renovate their break rooms to cater to employees in 2024.

Introduce Food Stations

Long days at work mean employees are expending a lot of energy on each shift. Managers can keep their energy levels up by introducing free food stations inside the break room and providing healthy snacks.

Fruit is an excellent option because it provides energy during physical activity and essential vitamins and nutrients. Bananas, pears and nectarines don’t need refrigeration at room temperature. Other terrific break room snack options include nuts, yogurt, tea and coffee. Managers should ask their employees what foods they want to see to ensure the food doesn’t go to waste.

Food energizes employees and free snacks encourage them to come to work and take advantage of the options. A 2023 ezCater study reveals that 67% of hybrid workers would be more willing to work on-site if their company provided free lunch. Logistics professionals should consider providing free lunches to motivate workers and boost morale, especially considering the divide between remote and on-site work.

Ensure Comfortable Seating

Workers need a comfortable resting spot on break to let their bodies relax for a while. Folding chairs and stools might not be sufficient for employees, so companies must invest in comfortable seating around the break room. Leadership designing the break room should place sofas and lounge chairs because they’re among the most accessible and comfortable options for employees.

The break room should also include plenty of tables and similar structures for employees to eat their food. Placing tables makes it easier for them to eat and reduces messes compared to eating meals from their laps. The tables also serve as a conversation starter when employees sit together and take their minds off work with social time.

Bring in Natural Light

Employees may only briefly be in the break room, but the lighting will impact how relaxed they feel during their stay. Bright overhead lights may cause migraines or overstimulate workers, so the break room should have relaxing lighting options when possible.

Businesses should introduce natural light by installing windows in the room. Natural light is an accessible way for employees to improve their vitamin D levels and improve their sleep at night. A 2022 Journal of Pineal Research study shows natural light is critical for sleep by preventing circadian clock disruption. Additionally, natural light boosts productivity for workers by straining their eyes less and providing more relaxation.

Plant Greenery

Introducing plants to the break room is another great way to add a natural touch. Flowers, cactuses and other plants are aesthetically pleasing and add personality to the break room. Employees will look forward to going to the break room and seeing the plants as they grow and produce lovely smells.

Companies should find low-maintenance shrubs, such as a bamboo palm or a snake plant, because they’ll survive in low-light conditions. Office plants are also beneficial because of their health benefits. For example, rooms with plants have less mold and dust than areas without any. Other health benefits of break-room plants include reduced anxiety, allergy relief and purified air.

Choose Relaxing Colors

While it might not seem important, the colors inside a break room significantly impact how employees feel during the time spent there. Managers should choose warm colors for their cabinets, walls and flooring to make employees feel comfortable as if they’re at home. Conversely, cool-toned true whites can be harsh despite being simple colors for decor.

Color choice affects an employee’s mood, so managers should poll their employees to see what colors they want in the break room. A 2020 Association for Psychological Science gives clues for color association after surveying people from 30 countries. For example, 68% of respondents associate red with love, while 52% link yellow with joy. Cheerful colors will put employees in a better mood for the remainder of their day.

Place a Community Bulletin Board

The break room is a communal space, so managers should make it a spot where workers can gather, socialize and recognize each other’s achievements. Logistics professionals should place a community bulletin board to post announcements and acknowledge workers when it’s time for recognition.

For example, an employee may reach a work anniversary or show exemplary work in a quarter. The bulletin board can also be a place for employees to post milestones from their personal life. A colleague may announce their engagement, the birth of a child or graduating from school.

A community bulletin board is excellent for spreading positivity and boosting work morale. Additionally, it allows workers to feel valued and appreciated at work. Research shows 29% of employees don’t receive recognition for their work, so shouting out good work motivates employees and helps them stay engaged.

Hang Artwork

If managers want to add personality to the break room, hanging artwork is an excellent start. Paintings, drawings, sculptures and other art forms stimulate the brain and bring positivity.

Designers could hang pictures of serene beaches, snow-capped mountains and other peaceful landscapes to promote tranquility. Research shows artwork positively affects people both physically and mentally. A 2021 BMJ Open study found that artwork reduces stress by aiding systolic blood pressure, heart rate and cortisol levels.

Another way to boost company morale is to let workers post their artwork throughout the break room. Employees will feel proud to come to work and share their drawings with their colleagues.

Set Up Games

While break rooms are relaxing, they can also be for fun times throughout the day. Setting up a card and board game station is a wonderful way to spend time and relax while encouraging bonding time with colleagues. Managers should select card and board games that are easy to set up and play on breaks, such as Uno, Monopoly Deal and Trivial Pursuit.

The board games also provide an opportunity for company-hosted happy hours and game nights. These social events encourage employees to take their minds off work and hang out with colleagues. Setting up these events aids in team bonding and boosts morale.

Renovating the Break Room in 2024

Break rooms are times for relaxing and re-energizing as employees prepare for their next tasks. These rooms should be comfortable spots for people to eat food, socialize and take their minds off work.

Logistics professionals should survey their colleagues to see what amenities they’d most like to see in the break room to ensure no upgrades go to waste.

Global Logistics, Global Trade Daily, Uncategorized

8 Strategies for Empowering Emerging Talent in the Supply Chain Industry

January 14th, 2024 Oscar Collins Leave a comment

Some supply chain industry companies need help attracting new talent. Executives can turn this around by making opportunities more appealing to applicants.

Although improving job-specific details like pay is crucial to future employees, they’ll also appreciate employers who provide training for the workplace and their lives.

1. Make Hours More Flexible

Supply chain management teams should consider letting their teams have flexible hours. Recent research shows that when given the opportunity, 87% of employed adults chose flexible work schedules over those requiring 40 hours in an office each week.

Employees could agree to set their schedules at least a week or two in advance so everyone knows who will be at work and who will be remote during specific dates. It makes modern workplaces more competitive than employers with strictly traditional schedules.

Supply chain companies can empower their teams to get more joy from their employment by appealing to a broader audience of workers and future hires.

2. Provide Career Growth Plans

Forward momentum is key to retaining employees. No one enjoys feeling stuck in a job. They want to improve their skills and gain promotions as rewards for their efforts. Communication is the best way to ensure this career growth occurs for talent in the supply chain industry.

Management teams could create general growth plans for specific roles within their organization. The employees in those positions can trace their way up the company ladder based on which departments they want to work within as the months and years pass.

People who see their potential future charted before their eyes will know they have the forward momentum required for a long-term career.

3. Update Teams Regularly on Automation

Researchers with the International Journal of Environmental Research and Public Health noted that employees of all ages feel worried that automation will replace them, but that anxiety is especially prevalent among young people. They have many years ahead to work, pay their bills, save for retirement and enjoy their jobs. Supply chain employers must communicate their job security with regular updates on the industry’s automation.

Recurring meetings present opportunities to discuss the latest technological updates to work processes and explain why they’re necessary. The core of each gathering should focus on how each employee will remain on the team even with machine-focused optimization.

People feel empowered when they have job security because they know their efforts won’t become a waste of time.

4. Provide a Scholarship Program

Young people often hear that getting a college education is the best way to secure a comfortable paycheck. However, 75% of people choosing not to attend college are opting out because they can’t afford it. They may feel like they’ll never make a livable wage because they can’t get a degree, but employers can erase that anxiety with scholarship programs.

Scholarship programs are life-changing financially and empowering personally. They show employees they are worth more than paycheck and benefits. Their dreams are worth pursuing, which they may not hear from people or organizations outside the workplace.

One company that hosts a scholarship program recently awarded two women with money to help them through college. As a result, Elayne Blancas received financial support as she worked to become the first in her family to graduate as an engineer. Elizabeth Landers was able to apply to more residencies with the goal of providing healthcare in her home state of Oklahoma. Communities will benefit from their support while the company providing the scholarship creates opportunities for aspiring professionals.

5. Demonstrate How Their Teams Help the Environment

Environmental, social and governance (ESG) plans are more important to the modern workforce. They demonstrate an employer’s commitment to the planet and their communities through sustainable, compassionate business practices defined in ESG policies.

Research shows that 41% of employees want to work for companies with ESG plans, which includes one in four people in Gen Z. Leadership teams can formulate actionable plans regarding how their supply chain company can improve the planet, give back to its community, support employees and commit itself to the highest ethical business standards.

Publishing these commitments on the company website and posting them around the building reminds team members that everyone wants the same thing. They’ll support their employer more enthusiastically and feel heard, resulting in a desire to stay with the company.

6. Implement Recurring Raise Schedules

The annual inflation rate rises and falls, but it reached a peak of 8% in 2022. It makes everything from groceries to utilities more expensive, which is discouraging for people who aren’t receiving recurring raises.

Some employers don’t promise raises on a specific schedule, but doing so could help retain emerging talent in the supply chain industry. Scheduling an annual raise for each employee — unless their job performance takes a drastic turn for the worse — makes their futures brighter if they stay with the company longer. They know they’ll be able to keep up with the cost of living, providing peace of mind and financial stability.

7. Schedule Individual Growth Meetings

Workplace leaders can always meet with team members one-on-one to plan their futures. These meetings create time to ask big questions like:

What does the employee want to do with their career?
How do they want to use the skills they’re learning?
How would their work feel more fulfilling?

It’s nearly impossible to make these changes without employer support. Management teams could rearrange schedules to allow more study time for ongoing learning or connect employees with in-house mentors so they learn from those they look up to.

When these meetings occur, leaders should record the desired path forward within the company on a shared document. Employees can reflect on their short- and long-term plans to feel empowered and stay with the company longer.

8. Celebrate Everyone’s Successes

Recognition is vital in the workplace. People need to know their employers value their efforts and cheer them on. Pizza parties and gift cards are always options, but financial incentives through bonuses are equally — if not more — essential to employees.

Celebrate them as individuals in private meetings and as teams. Leaders can call out people’s accomplishments so everyone applauds. The widespread recognition bonds employees and makes them feel valued. They’ll continue making an effort to help their supply chain employer, which supports everyone who depends on the company for a living.

Empower Talent in the Supply Chain Industry

Companies should always seek opportunities to work with their team members more effectively. Empowering emerging talent in the supply chain industry with these ideas is an excellent start. They’ll show employees their value, forge stronger relationships and make people want to stay with their employers longer by supporting everyone differently.

Archives, Uncategorized

How Are Advanced Forklifts Transforming the Warehouse Environment?

December 13th, 2023 Oscar Collins Leave a comment

Modern warehouses are under immense pressure to meet demand and satisfy clients. Thus, facility managers must search for ways to improve efficiency without compromising their employees’ safety. They’re achieving this goal by incorporating advanced forklifts in their operations.

The technology in these machines has made tremendous strides in the past couple of decades. These advancements demonstrate how advanced forklifts are transforming the warehouse environment.

Implementing Automation

Automation has become a more significant part of warehouses and other workplaces worldwide. Experts predict the global industrial automation market will grow 10.5% annually from 2023 to 2030. Artificial intelligence (AI) and robotics are more crucial than ever, leading warehouse managers to implement automation through their forklifts.

Forklifts with these abilities include automated guided vehicles (AGVs) and autonomous mobile robots. AGVs can move independently throughout the warehouse and need minimal human control to get the job done. Autonomous forklifts can identify and pick up pallets on the warehouse floor, and transport them to the necessary destination.

Improving Navigation

An added benefit of automation is an advanced forklift’s ability to navigate the warehouse floor, selecting the most efficient paths to reach its destination. The machine uses algorithms and advanced analytics to study traffic over time, thus finding ways to reduce power consumption and transportation time.

Advanced forklifts take advantage of the latest technology to ensure smooth navigation. These machines use light detection and ranging, cameras and sensors for object detection, and navigation software for creating maps. AI is critical for advanced forklifts as they adjust to the warehouse environment. Additionally, their ability to adapt to situations makes them a stronger asset over time.

Collecting Data

Data collection is at the crux of modern forklifts. This ability lets the equipment learn more about its surroundings and improve its ability to work in a warehouse. Collecting data also makes work easier for managers because the machines can complete this task autonomously. Human employees can then focus on the bigger picture instead of worrying about time-consuming jobs.

While forklifts collect data for navigation, they also collect information on various warehouse elements. Warehouse managers can take advantage of advanced forklifts for these uses:

- Predictive maintenance: Advanced forklifts tend to last longer because their sensors can tell when they’ll require maintenance. Operators know when their machines need service sooner with this information, ensuring uptime stays as high as possible.

Tracking performance: Increasing efficiency at every corner is critical, so warehouse managers have started employing advanced forklifts to track performance. The collected data shows how efficiently the operator works and what they can do to improve.

Inventory management: Inventory management is among the most critical data advanced forklifts collect. These AGVs roam the warehouse floor and provide real-time information on stock levels, helping warehouse managers avoid stockouts.

Changing the Workforce

Advanced forklifts have expanded their capabilities, making them as valuable as humans in the warehouse. These machines are practical because they don’t become fatigued like people, letting them work for more extended periods with fewer breaks in between. The only necessary stoppages are for refueling or recharging the battery.

Introducing advanced forklifts changes the workforce within the warehouse. Managers can worry less about labor shortages as more autonomous machines enter the facility. Keeping and finding reliable human workers can be complex, considering the high turnover rate in warehouse jobs. The American Journal of Transportation says transportation, utilities and warehousing experienced a 49% turnover rate in 2021 — an increase of 8 percentage points since 2017.

Lowering Environmental Impact

Increased warehouse demand leads to 24-hour operations and more energy used. Shareholders and consumers have become increasingly concerned about power consumption and its effects on the environment, which is why many warehouses have turned to renewables to lower their impact and build their reputation. Electric forklifts provide the opportunity to achieve these sustainability goals.

Electric forklifts emit very little pollution, minimizing their ecological impact. They also have fewer internal moving parts than gas-powered forklifts, making them easier to maintain and more reliable in the long run. Besides air pollution, electric forklifts also improve noise pollution inside the warehouse, fostering better communication and reducing the risk of hearing loss on the job.

Electric forklifts have evolved to emulate electric vehicle technology. For example, these machines typically employ regenerative braking to recapture energy lost during braking. The reclaimed power helps equipment last longer and increases productivity, even while considering battery-electric forklifts can have limited ranges.

What Are the Advantages of Advanced Forklifts?

While best warehouse practices change annually, advanced forklift technology paves the way for logistics professionals. Here are a few benefits these machines give warehouse managers.

1. Productivity

Experts predict a 10% compound annual growth rate in e-commerce between 2023 and 2028, so productivity is a priority for warehouse managers. Advanced forklifts enhance productivity, and deliver results by working around the clock and requiring fewer breaks. AGVs don’t feel physical or mental fatigue, so their capacity to work effectively is higher than most humans.

2. Safety

Protecting employees is a chief concern for warehouse managers. Thankfully, it’s become a priority, considering workplace injuries increased by 7.5% from 2021 to 2022. Advanced forklifts reduce the risk of injury by taking over the most demanding tasks. Additionally, their sensors can detect unsafe conditions inside the facility and assist the operator while running.

3. Operating Costs

While advanced forklifts can be pricey, they bring lower operating costs over time. Optimizing routes and reducing fuel consumption are two ways warehouse managers can lower operating costs while maintaining efficiency. Switching to an advanced electric forklift can eliminate fossil-fuel consumption, further increasing profitability.

What Are the Challenges of Advanced Forklifts?

Advanced forklifts will become more commonplace for logistics professionals, but they have drawbacks. Here are a few challenges warehouse managers face with this new technology.

1. Upfront Costs

Innovative technology comes at a high price — AGVs can exceed $100,000, depending on the manufacturer and the machine’s size. Smaller operations may be unable to afford this and will have to wait for costs to come down. Organizations able to take on that expense must account for maintenance and integration costs on top of the initial price tag.

2. Learning Curve

Integrating an advanced forklift into warehouse operations requires time and resources. A machine with autonomous capabilities needs time to learn the warehouse floor and optimize itself. Additionally, employees will need time to adjust to this new technology.

3.Cybersecurity

Incorporating advanced technology accelerates productivity and efficiency. However, it also comes with risks, such as cybersecurity concerns. Collecting and storing large amounts of data leaves companies vulnerable to losing valuable and sensitive information. Research shows about 43% of cyberattacks target small businesses, so this problem extends to warehouses of all sizes.

Moving Warehouse Environments Forward With Advanced Forklifts

The past few years have presented numerous challenges for warehouses, prompting managers worldwide to reevaluate their practices. Considering the rising e-commerce demand and shifting business landscape, the next decade of operations will be critical.

Advanced forklifts and similar technologies are moving warehouse environments forward by increasing productivity while lowering process costs.

vector artificial intelligence robotics market refurbished AI

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Reimagining Warehouse Robotics: From Silicon Valley to Assembly Lines

November 23rd, 2023 Oscar Collins Leave a comment

Advancing technologies have increased efficiency in numerous industries. Companies are thankful for robotics and how they’ve changed best practices for running a warehouse. What once was a limited technology has become a staple for warehouses worldwide.

Warehouse robots can make life easier for human workers and help them be as efficient as possible. Here’s how warehouse robotics has evolved and what the future holds.

How Has Warehouse Robotics Changed Over Time?

Warehouse robotics has dramatically evolved since its mid-20th-century beginnings. The changing technology has made warehouses safer and more efficient. Here are three ways warehouse robotics has changed to benefit companies worldwide.

Starting the Evolution

Understanding modern warehouse robotics starts with the first innovations. Using robotics in manufacturing and logistics on a wide scale began in 1961 in Ewing Township, New Jersey. General Motors (GM) began using a robotic arm from George Devol, the man who built the first programmable industrial robot. GM paid about $18,000 for the robot and changed the automotive industry.

Devol’s industrial robot may seem primitive in the 21st century, but the machine was crucial in the history of warehouse robotics. The robot, Unimate, transferred die castings onto the car’s body. Unimate improved the safety of GM plants because assembly line workers could harm themselves with toxic fumes from the die-casting transferral. Devol’s Unimate sparked a robotic evolution across auto manufacturing and other industries.

Adding Sensor Technology

Sensors play a significant role in warehouse robotics, letting machines understand their surroundings and act accordingly. Employing sensors gives robots human-like abilities while still keeping their machine identity. Sensor technology is still evolving, as seen in the automotive industry. Sensors help fleet managers make their company safer, considering humans cause most car accidents in the United States. With sensors, autonomous vehicles are a closer reality.

In warehouse robotics, sensor technology has become crucial for similar reasons. Robotics use sensors to navigate the warehouse floor autonomously and perform tasks. Among the most critical advances in this sector has been light detection and ranging (LiDAR). LiDAR technology is essential for robots to create a 3D map and avoid bumping into obstacles. Additionally, they can optimize their routes within the warehouse to remain efficient.

Improved Durability

Increased reliance on robots means these systems must have maximum reliability and durability. Downtime significantly impacts efficiency despite implementing robots to improve it. Research shows downtime costs manufacturers about $260,000 per hour and the auto industry about $50,000 per minute. Fortifying warehouse robots to strengthen them has been crucial for their staying power in the 21st century.

Developers have strengthened warehouse robotics by improving their bodies and frames. Metal has proved effective due to its safety, durability and efficiency. Manufacturers have found metal castings to be formidable solutions, with about 90% of all manufactured goods containing them.

How Will Warehouse Robotics Grow in the Future?

The future of warehouse robotics is bright, with a growing market this decade. Facts and Factors research shows the robot as a service (RaaS) global market will grow by 16.5% annually, leading to a $44 billion market by 2028. These four innovations will drive the industry’s growth in the coming years.

Interconnecting the Warehouse

In its infancy, warehouse robotics may work with small sections of the facility. While effective, this limitation can inhibit warehouse employees and their ability to connect with other departments in the building. However, the future of warehouse robotics is bright with evolving technology in connecting machines across large spaces.

Evolving guidance systems will let robots work in every section of the warehouse and increase efficiency. While a fully robot-operated warehouse may be unlikely, robot adoption will increase with e-commerce demand. The European Business Review says the world should see about 50,000 robotic warehouses by 2025, emphasizing how widespread this advanced technology has become.

Expanding Autonomous Mobile Robots

Autonomous mobile robots (AMR) are growing a stronger foothold in warehouses because they build upon automated guided vehicles (AGV). The key difference is that AMRs are even more intelligent with their programming. Warehouses can employ AMRs and let them navigate the floor by themselves. Employees don’t have to train them in navigation, saving time and improving efficiency in the warehouse.

AMR’s evolution has let their responsibility grow in the warehouse. Modern AMRs excel in picking and packing, reducing the burden on human laborers and heightening accuracy in order fulfillment. Even careful human workers might not match the accuracy of AMRs in this task. Many warehouses also employ AMRs in receiving and storage optimization, assisting the company in making the most of its current space.

More warehouses will adopt AMRs this decade to work alongside their human workers. Evolving technology and increased competition will make it more affordable for smaller businesses and startups. The advantages of AMRs are hard to pass up, considering how they boost safety and productivity.

Wielding Robots for Last-Mile Delivery

Last-mile delivery is the last step, albeit a crucial one, to ensure client satisfaction with their purchase. Humans have executed last-mile deliveries since the beginning of package deliveries, but robotics will soon play a more significant role in this step. Some companies have already tested last-mile delivery robots for bringing food and small items to the end user’s doorstep.

For example, Kiwibot has machines delivering food on the University of California, Berkeley campus.

While last-mile delivery robots have existed for a few years, logistics professionals should expect this service to expand worldwide in large cities. The next step for last-mile technology is to make these robots more efficient. TeleRetail, a Swiss company, has developed the Pulse 1 robot to reduce emissions and energy consumption. The Range+, a newer, solar-powered robot, embodies the shift to renewable energy in robotics.

Cutting emissions is a focal point for warehouses and e-commerce as a whole. Packaging, transportation and building energy consumption combine for a detrimental environmental impact, so increasing robotic efficiency is necessary.

Employing More Drones

Expanding robotics in and out of the warehouse will rely on drones. Crewless aircraft has evolved sharply in the last few decades and will only improve with its technology. Warehouses can employ drones for multiple purposes, such as inventory management, inspection and monitoring. Modern drones have cameras and sensors powerful enough to give warehouse managers a real-time look at their stock.

Drones will open the door to expanding warehousing and shipping this decade. With drone technology, shipping companies can easily reach rural areas without using boats or crewed aircraft. Additionally, drones will reduce shipping times and increase customer satisfaction when they can receive their orders in a few hours rather than a few days. Companies like Amazon are heavily investing in this technology.

Taking Modern Warehousing to a New Level

Efficient warehouses are a must, considering today’s e-commerce demand. Shareholders demand well-oiled machines no matter what the company ships worldwide.

With robots, warehouses have increased productivity and reduced downtime thanks to speedier processes. The future of warehouse robotics is bright, with evolving technology pushing warehouses forward.

Global Logistics, Global Trade Daily

Social Inequality as Business Risk: 13 Factors Affecting the Supply Chain

October 6th, 2023 Oscar Collins Leave a comment

The world is becoming increasingly interconnected and globalized, forcing businesses to navigate a complex landscape of risks and opportunities. While traditional risks like market fluctuations and supply chain disruptions have long been a concern, social inequality is emerging as a significant and often underestimated business risk.

Social inequality encompasses disparities in income, education, health care, opportunities and access to basic resources among different segments of society.

The Link Between Social Inequality and the Supply Chain

Social inequality can affect the supply chain in several ways. The supply chain is a complex network of suppliers, manufacturers, distributors and retailers, and any disruptions or imbalances within this network can lead to significant challenges for businesses.

Here are some of the critical factors that illustrate the connection between social inequality and supply chain risks.

Labor Market Disparities

Social inequality can result in significant disparities in the labor market. Businesses rely on a diverse workforce to function efficiently. When a large portion of the population lacks access to quality education, health care or equal employment opportunities, it limits the pool of skilled workers available for hire.

A lack of skilled labor can affect a company’s ability to innovate and adapt to changing market conditions. This talent scarcity can lead to higher labor costs, lower productivity and increased recruitment challenges, affecting the supply chain’s performance.

Supplier Diversity

Supply chain sustainability has become a focal point for many organizations. Socially responsible procurement practices include working with diverse suppliers. However, social inequality can hinder the growth and development of minority-owned businesses.

Companies that fail to engage diverse suppliers may face regulatory and reputational risks, potentially disrupting the supply chain.

Regulatory Compliance

Governments and international organizations increasingly scrutinize businesses for their contributions to social inequality. Failure to comply with regulations to reduce inequality can result in fines, legal battles and negative publicity. Compliance with labor laws, environmental regulations and fair trade practices is essential to maintaining a resilient supply chain.

Consumer Expectations

Because of social media and the ability for instant communication, consumers are more aware and vocal about social inequality issues. Companies consumers see as contributing to inequality or exploiting vulnerable populations can face consumer backlash and boycotts.

Engaging in these practices can directly impact the demand for their products and disrupt the supply chain.

Reputation Management

Social inequality can tarnish a company’s reputation if the public perceives it as exploiting disadvantaged communities, engaging in discriminatory practices or neglecting its social responsibilities.

A damaged reputation can erode consumer trust and investor confidence, affecting the business’s long-term viability and supply chain stability.

Resource Scarcity

Inequitable access to resources, such as water, energy and raw materials, can hinder the smooth functioning of the supply chain. Companies may face price volatility, shortages or regulatory constraints related to these resources, resulting in production delays and increased costs.

Political and Regulatory Risks

Social inequality can exacerbate political and regulatory risks. In regions with significant inequality, there may be a higher likelihood of civil unrest, protests, violence and government interventions. These factors can disrupt transportation, trade and compliance, affecting supply chain stability.

Volatility

Social inequality can affect economic volatility, impacting consumer demand and market conditions. Businesses must anticipate these fluctuations and adapt their supply chain strategies to minimize risk.

Security Risks

Areas with high social inequality may experience higher crime levels and security risks. These risks can affect the safety of goods in transit and the security of supply chain facilities, requiring additional security measures and increasing operational costs.

Cultural and Language Barriers

A problem often overlooked is that social inequality can also manifest in cultural and linguistic diversity. These differences can create communication challenges within the supply chain, resulting in misunderstandings, delays and mismanagement of resources.

Health Disparities

Disparities in access to health care and overall health can affect workforce productivity. In areas with high social inequality, there may be a greater prevalence of health issues, leading to increased absenteeism and reduced worker productivity.

Infrastructure Disparities

In some regions, there may be disparities in infrastructure development. These inequalities can result in inconsistent transportation networks, unreliable energy sources and inadequate communication systems. Such inequality can hinder the efficient movement of goods through the supply chain.

Education and Training

Social inequality tends to result in unequal access to educational and vocational training. Between 1970 and 2016, the income gap between the top and bottom of wage earners grew by as much as 27%, demonstrating the severity of the wealth divide.

This lack of access can affect the availability of skilled labor in certain areas, impacting a company’s ability to find qualified employees and potentially leading to skill gaps within the workforce.

How Can Businesses Mitigate Social Inequality Risks in the Supply Chain?

Supplier Diversity Programs

Implement supplier diversity programs that actively seek out and support minority-owned and disadvantaged suppliers. These programs contribute to social equality and enhance supply chain resilience by diversifying the supplier base.

Ethical Sourcing

Prioritize ethical sourcing practices by conducting due diligence on suppliers to ensure they adhere to labor and environmental standards. Regular audits and assessments can help mitigate risks associated with suppliers engaged in exploitative practices.

Workforce Development

Invest in workforce development initiatives that promote education and skill-building in disadvantaged communities. These initiatives can help bridge the labor market gap and provide a more qualified and diverse talent pool.

Stakeholder Engagement

Engage with stakeholders, including employees, customers, investors and communities, to understand their expectations regarding social responsibility. Address their concerns and communicate your commitment to reducing social inequality.

Regulatory Compliance

Stay informed about evolving regulations related to social inequality and labor practices. Develop robust compliance mechanisms and work closely with legal and compliance teams to ensure adherence.

Navigating Social Inequality in the Supply Chain

Social inequality isn’t just a societal issue – it poses significant risks to businesses, particularly those with global supply chains. The factors affecting the supply chain in the context of social inequality are multifaceted and interconnected.

To effectively manage these risks, companies must adopt a holistic approach that considers labor practices, resource management, political stability and their reputation within their communities.

By recognizing the impact of social inequality on the supply chain and taking proactive steps to address these challenges, businesses can build more resilient and sustainable supply chain networks. Moreover, by contributing to efforts to reduce social inequality, companies can create a fairer and more stable global business environment.

Global Logistics, Global Trade Daily

How to Amend 5 Factors Driving Younger Workers Away From the Supply Chain

September 8th, 2023 Oscar Collins Leave a comment

There is a severe labor shortage in many essential roles in the sourcing, manufacturing, shipping and logistics sectors. Baby boomers are leaving in droves as they reach retirement age and the younger generations of workers have no desire to work in the supply chain.

Why aren’t Millennials and Gen Z interested in the numerous job openings? What can business leaders do to improve their hiring success among these demographic groups?

Here are some effective strategies for attracting and retaining young workers in supply-chain occupations.

The 5 Factors Driving Young Workers Away

Everyone has a personal reason for avoiding a career path, but these five overarching themes have clearly impacted young people’s career decisions.

Lack of Awareness

The biggest reason for the supply chain’s talent shortage is a general lack of awareness among Millennials and Gen Z. Many people don’t know about the numerous job positions available in this industry and only consider the entry-level roles, such as warehouse workers and truck drivers. They don’t see the advancement opportunities hiding behind the scenes.

Moreover, many people don’t know what a supply-chain job entails or the industry’s challenges. A 2022 survey of economic literacy found 40 percent of Americans can’t give a concrete definition of “supply chain” or explain its current state. Employers must do their part to raise awareness for the industry, for the sake of the company and for the country.

Weak Culture

A strong company culture is one of the main things young workers look for when browsing for new jobs. They want to work with friends, not with acquaintances.

They want the company to make the work environment fun and supportive, not bland and disconnected. Creating this environment can be challenging in the fast-paced world of supply chain management.

Differing Values

Young workers might also have values that differ from supply chain companies. Sustainability and work/life balance are the top two priorities for Millennials and Gen Z.

While there are many initiatives to make supply chains more eco-friendly, it’s impossible to guarantee a balanced work schedule for entry-level positions in this industry.

Limited Hybrid Opportunities

Almost half of all work-eligible people in the 18-29 age range say they prefer the hybrid work model over a 100 percent in-person position. Most supply-chain jobs have to be in person all the time, which presents a major conflict of interest. This problem has become much more prevalent in the last few years, thanks to COVID-19.

Obsolete Technology

The final major factor driving younger workers away from the supply chain is obsolete technology. Millennials and Gen Z grew up in the age of the internet, and are more tech-savvy than baby boomers.

They don’t want to work in an environment with outdated and dysfunctional devices. They want to use state-of-the-art tools to make their jobs easier and accelerate their career advancement.

How Businesses Can Make Amends

Supply chain companies can’t force young people to change their attitudes about the industry, but they can provide new information to sway their opinions. Here’s how businesses can amend their relationships with the next generation of employees and rebuild their workforces for the foreseeable future.

Increase Brand Visibility

The most important thing businesses can do to attract young workers is increase brand visibility. That means getting active on social media and drumming up interest in supply-chain issues.

It’s not an easy subject to discuss with college-aged people, but company representatives can make it more interesting by highlighting the career benefits and unique success stories.

For example, the Council of Supply Chain Management Professionals conducts a biannual survey of young workers in the industry. The latest poll from 2021 found 99 percent of young professionals believed they made a quality career choice, while 95 percent were excited about training and advancement opportunities.

Interacting with underrepresented groups — namely young women — is especially important for raising awareness and increasing the talent pool. The average driver age in the for-hire over-the-road truckload industry is 46, and although women make up almost half of the entire U.S. labor pool, only 6.6 percent are currently working in this specific sector.

Show Off the Culture

Along with staying active on social media, showing off your culture is the next essential step to attracting young workers. The Forbes Business Council outlines five key steps to developing culture in the workplace:

Accept that culture matters: A strong culture can attract and retain talent, and is even more important than salary for most people.

Define and share the company’s mission, values, and goals: Every company should be able to explain its mission statement, value system and long-term goals to prospective employees.

Encourage healthy communication: A strong culture allows employees to share their ideas, questions and concerns freely. Consider setting communication guidelines to establish a firm hierarchy and avoid confusion.

Prioritize employee well-being: Companies must treat their workforce respectfully and compassionately. Mentorship programs, leadership development, learning opportunities and support groups are foundational pieces of an empathetic culture.

Monitor and nurture the culture: Those pieces are also crucial for monitoring and nurturing the culture in the long run. Establish connections between old and young employees through company traditions and activities.

Building a strong culture also addresses any conflicting values the company might have with young workers. Hiring teams can demonstrate their commitment to work/life balance during the interview process. Talk about the company’s work schedules, PTO policies, sick days, mental health resources and any other factors that might sway a young interviewee’s decision.

Offer Flexible Work Options

Supply chain companies should offer more than one scheduling option for each opening. Providing hybrid or remote opportunities for positions that do most of their work online is a good starting point. The idea is to provide a schedule so employees can complete tasks when they’re most productive rather than fitting everyone into the same box.

For positions that have to work on-site, companies should offer a reasonable break policy to avoid overwhelming employees and maintain their quality of work. HR departments must emphasize these policies during onboarding and encourage employees to take full advantage of them.

Invest in New Technologies

Lastly, investing in new technologies demonstrates a full commitment to the next generation. Artificial intelligence software, project management tools, automated mobile robots, autonomous guided vehicles and wearable devices are just some of the latest technologies making waves in the supply chain.

Millennials and Gen Z have been surrounded by technology for their whole lives. They expect their employers to be up to date on recent developments. If companies want to attract talent from these generations, they must show off their tech resources every chance they get.

Appeal to the Next Generation

Most young workers might not see supply chain operations as a desirable career path, but business leaders can do several things to change that attitude. It starts with increasing brand visibility on social media, showing off the workplace culture, providing flexible work schedules and investing in new technologies.

These four pillars will appeal directly to the next generation and set the company up for future success.

3pls, Global Logistics, Global Trade Daily, Technology

How AMRs Are Fulfilling the Potential of Automation in Modern Supply Chains

September 7th, 2023 Oscar Collins Leave a comment

Supply chains have been slow and disruption-prone in the COVID-19 era, largely because of operational deficiencies and a lack of skilled labor.

Automated mobile robots (AMRs) can address both challenges by replacing outdated technologies and giving the workforce a boost of artificial manpower.

Here are some ways that AMRs are fulfilling the potential of automation and getting modern supply chains back on track.

How Do AMRs Function?

An AMR is a type of robot that can perform tasks without human guidance. It’s the next step in the evolution of autonomous robots, coming after the autonomous guided vehicle (AGV) that could only do certain predetermined tasks under close supervision. While AGVs are still useful for transporting materials and working alongside human employees, AMRs bring more value.

AMRs use a variety of sensory technologies including cameras, magnetic tapes and lasers to process their environments, which isn’t a new concept. AMRs are so special because of their artificial intelligence and machine learning software. When a sensor identifies an unexpected obstacle, the built-in software can immediately reroute the robot and continue its assigned task.

What Are the Different Types of AMRs?

AMRs fall into three broad categories based on their functions — transportation, order picking and sortation. The main AMRs for transportation are self-driving versions of traditional vehicles — namely self-driving trucks that can reduce congestion and fuel consumption on busy supply routes. Self-driving forklifts and pallet jacks are other common examples.

The main AMR devices for picking orders are industrial robotic arms, which fill the positions of assembly line workers in warehouses or manufacturing plants. There are numerous types of robotic arms that play key roles in supply chain automation, including multipurpose six-axis robots and collaborative robots that are designed to work alongside humans.

High-speed tilt tray robots are the primary AMRs that warehouses use for sortation. They include a simple reclining tray and barcode reader to classify products into their appropriate incoming or outgoing lines, but the AI software works at a much faster and more efficient rate than human sorters.

Benefits of Using AMRs

AMRs are admittedly challenging to adopt because of their deployment and reconfiguration costs compared to AGVs. Feeding an autonomous robot new information and keeping it in good condition is hard work. However, the long-term benefits far outweigh the costs. Here are the biggest reasons why supply chain professionals should invest in AMRs.

Compensates for Lost Labor

The most immediate benefit of using AMRs is the compensation for lost labor. Wholesale trade and manufacturing were among the hardest hit industries by the Great Resignation that took place from 2020 to 2022. These sectors have more than one million combined job openings in the U.S. as of March 2023.

Rather than attempting to hire more employees, companies can fill those empty roles with AMRs instead. AMRs are the ideal devices for the mundane and repetitive tasks that make up a majority of supply chain processes. Robots can move, pick and sort the entire inventory while humans continue to occupy more people-oriented departments.

Greater Supply Chain Efficiency

Outsourcing monotonous tasks to AMRs leads to greater efficiency at every step in the supply chain. They remove human limitations from the equation, leading to fewer errors and allowing operations to run 24/7. Managers no longer need to account for independent variables such as an employee’s health or mood on any given day.

Fleets of self-driving trucks can transport goods with better driving techniques and thus fewer delays. Self-driving forklifts, pallet jacks and other warehouse devices can move items to their assigned destinations with pinpoint accuracy and cause no damage. Industrial robotic arms also operate with surgical precision when assembling and packaging products, minimizing waste.

Safer Work Environment

Implementing autonomous robots also creates a safer work environment. AMRs use safety-rated LiDAR systems, one example being the OTTO Lifter. It has a 360-degree view of its surroundings, allowing it to avoid accidents that may lead to injuries.

Instead of having a bunch of employees driving forklifts around a warehouse with innumerable obstacles, managers can switch to AMRs that navigate around obstacles without error or hesitation. Similarly, performing dangerous tasks like incisions, welds or handling hazardous materials is much safer in the hands of a robot rather than a human.

Higher Product Quality and Quantity

When a company maximizes its safety and efficiency, the inevitable result is higher product quality and quantity. Every item that an AMR handles will look and function the same. On the rare chance that a defect occurs, managers can add that information to the AMR’s software to ensure it never happens again.

Manufacturing products with this level of accuracy also leads to a higher overall output. AMRs can’t directly solve the shortages of raw materials in various industries, but they can get the most out of the limited resources a company has. Moreover, AMRs can absorb new data, make objective decisions and adapt to external variables in ways that humans can’t.

Significant Savings

The final benefit of using AMRs in supply chain operations is significant savings — both from operational costs and scaling. Safe and efficient operations yield great savings because companies don’t have to pay for equipment damage, defective products, employee accidents and other disruptions. Labor costs are also much lower with AMRs included in the workforce.

AMRs are also highly flexible, so businesses can add them to their growing operations as needed. This unmatched scalability allows managers to free up capital for other expenditures and add more AMR units over time. Investing in a new technology in the long run is more affordable than modifying or replacing a fixed system in the short term.

Keeps Up With Supply Chain Trends

Lastly, businesses that invest in AMRs have made a critical step in following the latest supply chain trends. With the rise of lightning-fast e-commerce and changing customer expectations, the demand for speed and efficiency has never been higher. Human employees in a depleted workforce can’t keep up with this demand, but AMRs can.

Armed with scalable robotic solutions, companies can adapt to the changing attitudes of their customers without missing a beat. They can easily change an AMR’s functionality by adding new data to the software instead of causing downtime to upgrade the facility. AMRs operate independently and can shift to a new task or location without hiccups.

AMRs Are the Present, Not the Future

New technologies like AMRs often get discussed in terms of future benefits, which is a mistake. AMRs are the present, not the future. They are playing critical roles in supply chain optimization right now, and they will only become more indispensable as time goes on. Business leaders need to invest in AMRs now if they want to overcome today’s economic challenges.

Supply Chain Professionals Are at Risk of Spear Phishing: Here’s How to Address It

How Spear Phishing Happens

The Impact of Spear Phishing

Addressing Spear Phishing

1. Provide Employee Training

2. Verify Organizations

3. Secure Vehicles

4. Conduct Inventory Reviews

5. Improve Order Monitoring

6. Update Company Security

7. Create a Contingency Plan

Shield Supply Chains From Spear Phishing

A Customized, Optimized Layout

Storage System Solutions

Warehouse Management Technology

Material Handling Equipment

A Safety-First Mindset

Lighting

Climate Control and Comfort

Data Analysis for Continued Improvements

Crucial Design Choices for Warehouse Efficiency

1. Consolidate Various Supplier Lists

2. Conduct Frequent Educational Courses

3. Work on Supplier Relationships

4. Review Expectations With Suppliers

5. Remain Open to Solutions of All Sizes

6. Use AI to Review Processes

7. Try New Inventory Software

8. Formalize the Procurement Process

9. Strategize Market Analysis

10. Reassess Cost Evaluation

Enhance Procurement Efficiency Year-Round

Introduce Food Stations

Ensure Comfortable Seating

Bring in Natural Light

Plant Greenery

Choose Relaxing Colors

Place a Community Bulletin Board

Hang Artwork

Set Up Games

Renovating the Break Room in 2024

1. Make Hours More Flexible

2. Provide Career Growth Plans

3. Update Teams Regularly on Automation

4. Provide a Scholarship Program

5. Demonstrate How Their Teams Help the Environment

6. Implement Recurring Raise Schedules

7. Schedule Individual Growth Meetings

8. Celebrate Everyone’s Successes

Empower Talent in the Supply Chain Industry

Implementing Automation

Improving Navigation

Collecting Data

Changing the Workforce

Lowering Environmental Impact

What Are the Advantages of Advanced Forklifts?

1. Productivity

2. Safety

3. Operating Costs

What Are the Challenges of Advanced Forklifts?

1. Upfront Costs

2. Learning Curve

3.Cybersecurity

Moving Warehouse Environments Forward With Advanced Forklifts

How Has Warehouse Robotics Changed Over Time?

Starting the Evolution

Adding Sensor Technology

Improved Durability

How Will Warehouse Robotics Grow in the Future?

Interconnecting the Warehouse

Expanding Autonomous Mobile Robots

Wielding Robots for Last-Mile Delivery

Employing More Drones

Taking Modern Warehousing to a New Level

The Link Between Social Inequality and the Supply Chain

Labor Market Disparities

Supplier Diversity

Regulatory Compliance

Consumer Expectations

Reputation Management