3PL Survey: What keeps you up at night?
Here's a hint. For CEOs at some of the world's largest 3PLs, it isn't the economy
in the NewsOther Voices: Keeping propane forklift safety top of mind TOTE announces plans for new U.S. Mainland to Hawai’i service Technavio research outlines top trends impacting materials handling battery market Voice of the Driver 2: Best Practices for Recruiting and Retention Incedo partners with IBM to develop enterprise-scale IoT solutions More News
Fuel prices are going through the roof. Customers that once valued long-term relationships are now low-cost shoppers. And an economic recovery long stuck in neutral might be shifting into reverse.
So what keeps the CEOs at some of the world’s largest 3PLs up at night? What do they think are their most significant problems?
That was one of the questions posed to 3PL CEOs in North America, Europe and Asia as part of the 18th 3PL Provider CEO Perspective, a survey conducted by Robert Lieb, a professor of supply chain management at Northeastern University, Kristin Lieb, assistant professor of marketing at Emerson College and Joseph Gallick, senior VP of sales for Penske Logistics.
The answer was the shortage of talent and it was consistent across all three regions. In fact, in North America, economic uncertainty was a distant fourth, behind pricing pressures and fuel price volatility.
In Europe, talent shortage was higher on the list than lowered volumes and profitability, 3PL stability, pricing pressures and the requirement to provide consistent excellence.
And, in Asia finding and retaining talent was a considered a bigger problem than rising labor costs, a rapidly changing marketplace, infrastructure challenges, compliance with government regulations, competition from other 3PLs and customers focusing on their unit handling costs.
Interestingly, hiring and retaining talent, especially competent engineers, was at the top of the list of issues facing the materials handling industry at both of the product section meetings I attended during the spring meeting of the Material Handling Industry of America (http://www.mhia.org) last month.
What that says to me is that CEOs in our industry, more so than politicians, are focusing on the big picture. Rising costs, competition and compliance are important issues in the short-term, but experienced and educated talent has more to do with the long term success.
There’s a lesson in there somewhere.
About the AuthorBob Trebilcock Bob Trebilcock, editorial director, has covered materials handling, technology, logistics and supply chain topics for nearly 30 years. In addition to Supply Chain Management Review, he is also Executive Editor of Modern Materials Handling. A graduate of Bowling Green State University, Trebilcock lives in Keene, NH. He can be reached at 603-357-0484.
Subscribe to Modern Materials Handling Magazine!Subscribe today. It's FREE!
Find out what the world’s most innovative companies are doing to improve productivity in their plants and distribution centers.
Start your FREE subscription today!
Reader survey: Lift trucks keep on truckin’ Top 20 industrial lift truck suppliers, 2017 View More From this Issue