Bridging Talent Gap an Urgent Priority

By Mike King

SAME-DAY BREAKBULK EUROPE COVERAGE: Recognizing the current “talent gap” in the breakbulk sector, understanding its implications and finding new ways to recruit and retain personnel will be critical to the future of the project logistics industry, delegates at Breakbulk Europe heard earlier Thursday.

Session moderator Cyril Varghese, global logistics director, Fluor, said bridging the talent gap must be an urgent priority if personnel shortages are to be addressed.

In particular, he urged sectoral stakeholders to do more to attract and retain talent by investing in suitable training programs. For example, he said, when compared to other sectors “we have a general lack of direction” in terms of offering proper training pathways to undergraduates.

Thomas Skellingsted, president, 4D Supply Chain Consulting, said the industry had to compete aggressively for talent and address its image problem. “Our industry isn’t sexy enough,” he said. “We need to get out of our silo.”

Skellingsted believes the sector can more effectively sell its pull points. “We should present to people the wide variety of opportunities in our industry,” he said.

Many younger potential recruits, he added, were less enthusiastic than previous generations at embracing face-to-face environments but were fantastic in digital settings. “The new generation, the first thing they ask is can they work from home?

“The breakbulk industry should accept that in order to attract people. We need to advise them and show them that we are a flexible industry. Then we can talk salary.

“We compete on freight; we need to compete for people.”

Varghese said the challenge was also about retention, as well as understanding the aspirations of the next generation. “People come to the industry for a couple of years and then move on after traveling, but how do we keep these people?” he said. “How do we make this industry more sexy?”

One solution to immediate shortages, said Varghese, was widening the recruitment net:  “Age discrimination is prevalent and a thing of concern.”

Christel Pullens, president, WISTA Netherlands and managing director, Sea Ranger Service, said attracting women in larger numbers to the profession could help address shortages. “We have an image problem for sure,” she said. “We try to highlight success stories so other women can see what is possible.”

According to Ben Liggins, managing director, JBAndrews, salary is not the prime challenge facing recruiters. He said awareness of the industry must be improved. “Many of the graduates we see – logistics doesn’t feature for them,” he said. “They don’t know how parcels have arrived at their door. So awareness is the first thing.”

The second most acute obstacle for recruiters is pay, however. Fifty-six percent of respondents to a global survey online by JBAndrews said entry-level salaries for logistics were “lower” than average across all industries. Only 11 percent voted they were “higher” than average. “We need financial solutions to attract the next generation,” Liggins said.

Offering flexible working conditions would also be a pull factor. “That flexibility, the work from home aspect, is so important now,” Liggins added.

Panelists also identified that logistics and project was such a global industry that its unique selling point should be used in recruitment. “How many other industries offer so much travel potential?” Liggins asked.

The breakbulk sector’s technology transformation was also now helping attract talent. “Technology is on a lot of wish lists of this ‘talent,’ ” he said.

Pullens said the logistics and shipping industry has an opportunity it must grasp.  “I spoke to students at Delft Univeristy a few weeks ago,” she said. “Many chose maritime studies because they get a qualification that allows them to work in other industries. We need to do more to keep them.

“We can offer young people an opportunity to continually learn things. They can see during the pandemic that they haven’t received things they’ve ordered online. We can show them that they can be part of the solution.”

Check out our interview with Cyril Varghese at Breakbulk Europe: