With so much technology, humans are as important as ever before

So the big question is: how do companies harness the power of digital supply chain transformation by effectively managing a mixed workforce of people and machines? And how do supply chain executives create the kind of new “superteams” that are made up of both people and intelligent machines working together to solve problems, gain insights and create value?

Moving towards collaborative intelligence
The human challenge is of course not new, but it has certainly been amplified lately by the explosion-like interest in AI and GenAI. As supply chain organisations have become much more digital over the past years, they have increasingly faced a need to redesign themselves to move faster, adapt more quickly, facilitate rapid learning and embrace dynamic career needs. In many companies, the result has been a “deconstruction” and redesign of the supply chain organisation into a network or ecosystem built for speed, agility and adaptability.

Today, with the exponential rise of intelligent automation, many supply chain organisations are moving even closer to a state of what we could call “collaborative intelligence” through which humans and technology are combined in an effort to enhance each other’s strengths.

In other words, we are seeing a massive movement right now from machines replicating work (with human oversight as needed) to machines sequencing work (humans and machines perform work separately, but check on one another’s work) towards machines suggesting and iterating, i.e. machines making real-time suggestions that humans consider, with a frequent and iterative dialogue and loop between the two.

What this all means is that many companies today are already challenged when it comes to attracting and retaining supply chain tech talents – and new workforce strategies are needed to move forward. Competences, processes, roles & responsibilities, organisational structures and career paths all have to come together to enable this new era of collaboration where technology is increasingly woven into the core collaborative processes.

Three ways to brush up on your “humanities”
How to start? Here are three pieces of advice on how companies can build stronger workforce strategies for the tech era in supply chain:

1. First, I think we can all agree that one of the best ways to get supply chain professionals on board with advanced planning technology is to involve them in the design and implementation effort. Direct and early involvement most often helps reduce the fear of the unknown and create a sense of personal ownership. Intelligent automation then becomes something people are actively involved in doing, rather than something that is being done to them. 
2. Second, in the midst of the excitement that exists around new planning technology, it is equally important to emphasise the skills for which humans are uniquely suited to add value, such as creative analysis, human intuition and judgment, situational awareness, flexibility, emotional sensitivity, personal communication, and the ability to cope with unexpected situations and exceptions. Even the most intelligent systems lack the general knowledge and flexibility to match the creativity and adaptability of an average human. Supply chain experts will therefore continue to play a primary role in critical activities such as research and innovation, complex problem-solving and high-impact customer interactions.
3. Finally, think about whether it is time for your organisation to move toward a talent model that focuses on skills rather than jobs. For instance, Mercedes-Benz now organises some of its IT talent into “capability sets” to improve flexibility for assigning staff to new roles or new products. The results speak for themselves: Skills-based organisations are twice as likely to place talent effectively and also twice as likely to retain high performers ². Also, be open to the fact that more and more employees are looking for lateral progression between different technologies rather than just the conventional vertical pathways. In some instances, an internal talent marketplace where employees can find short-term projects or new teams can promote internal mobility and allow employees to discover purposeful and meaningful work. Again, make sure that flexibility is at the core of your supply chain workforce decisions. 

Over the next five years, many supply chain jobs will most likely shift from a ‘do the work’ mentality to a ‘drive the work’ mentality where people are increasingly responsible for controlling the work process, managing and maintaining their digital counterparts and identifying opportunities for continuous improvement. At the same time, most employees desire more flexibility and more control of their own career. The talent models of the past are surely not the talent models of the future – and companies will continuously have to adapt to new circumstances to reimagine the work, workforce and workplace.

The gist of the story: Nurture your supply chain talents, make them feel valued and empowered, because you cannot afford to lose them! Technology is rapidly changing our profession for the better, but we still need to emphasise what humans do best, prioritise work that celebrates human capabilities – and make it clear how the work of skilled, passionate and innovative supply chain professionals is still deeply connected to the core purpose of the organisation.

1: https://www.gartner.com/en/newsroom/press-releases/2023-06-05-gartner-supply-chain-symposium-xpo-barcelona-day-1-highlights

2: https://www.deloitte.com/global/en/our-thinking/insights/topics/technology-management/tech-trends/2023/tech-talent-retention.html