Wanted: More Women in Supply Chain Roles

One way that companies are addressing this workforce challenge is to explore new demographic groups from which to recruit, including women.

N Felix Peopleimages com Adobe Stock 535821661
N Felix peopleimages.com AdobeStock_535821661

One of the biggest pain points for companies with significant supply chains is talent recruiting, retention, and engagement. It’s also one of the biggest expenses for a company these days – but at what cost? A common budget allocation for talent development is 3-6% of salary or 2-4% of revenue. The average cost to hire a new employee is on average $5,000, but many employers estimate the total cost to be three to four times the salary of the position.

What are some of the biggest challenges? There’s a talent shortage, and the demand for skilled workers is often higher than the supply, which can lead to a talent gap. Keeping employees engaged and motivated can be difficult, especially in large and diverse organizations. High turnover rates can be costly and disruptive, so effective retention strategies are important.

Recruiting more women makes good business sense

One way that companies are addressing this workforce challenge is to explore new demographic groups from which to recruit, including women. There can be significant advantages to intentionally recruiting more women into your workforce. Some of these advantages include:

Increased productivity. A diverse workforce brings a range of skills, experiences, and perspectives, which can lead to more ideas and processes, and increased productivity.

Increased profitability. Diversity can help companies hire top talent, understand their consumers, and build a solid reputation.

Faster problem-solving. Employees with different experiences and views can contribute different solutions to problems, which can help resolve them faster.

Improved decision-making. A diverse workforce can help control biases and encourage people to question their assumptions, which can lead to better decision-making.

Improved customer understanding. A diverse workforce can help a company better understand and serve its customer base.

Reduced employee turnover. Diversity can reduce employee turnover, which can save on employment and training costs.

Enhanced innovation. A diverse workforce can drive innovation and differentiate a company from its competitors.

Improved employer brand. Diversity can be positive for a company's employer brand.

More women in key supply chain roles

Are more women playing important roles in the transportation and logistics industry? The simple answer is yes.

The Women In Trucking Association (WIT) regularly conducts the WIT Index, which is the industry barometer to benchmark and measure the percentage of women who make up the following roles in the transportation and logistics industries: corporate management (C-suite); boards of directors; functional Roles in such areas as operations, technicians, HR/talent management, safety, sales and marketing; and professional truck drivers.

Approximately 350 respondents identified as authorized to report their organizations’ gender diversity statistics in the most recent WIT Index (2024-25) survey. A majority of them (51.5%) represent for-hire motor carriers or companies with private fleets as part of the organization’s operations. Of those respondents representing organizations with fleet assets, 38% are for-hire motor carriers of various types; 13.5% are manufacturers, retailers, distributors, and other company types with private fleets; and another 13.5% are intermediary companies such as third-party logistics (3PL) providers, truck brokers and freight forwarders.

The 2024-25 WIT Index highlights the following critical data points that demonstrate that women are playing a much more dominant role in this industry:

·       A significant percentage of women are involved in leadership roles. For example, an average of 28% of executives in the C-suite are women and an average of 34.5% are company leaders with supervisory responsibilities.

·        An average of 29.5% of board members are women. Approximately 40% of participating companies report that between 20% and 49% of their boards of directors are females.

·        An average of 9.5% of all professional truck drivers who hold CDLs are women.

·        Approximately 38.5% of dispatchers are women.

·        An average of 38.5% of safety professionals are women.

More women to fix the talent gap

Many companies in the supply chain industry are taking strategic, proactive steps to recruit and retain more qualified women into their overall workforce strategy. Here are four ways through which companies are accomplishing this.

First, companies are rethinking talent acquisition and promotion strategies in their overall business strategy. If the transportation and logistics industry is going to attract women, companies need to look not only beyond their four walls but also outside of the industry itself. When it comes to talent acquisition, smart companies focus on the qualities of the individual and what they can bring to the table.

Second, move from “talk to action.” Companies in this industry without a proactive diversity-building strategy will fall victim to common-pitfalls and will fall flat. When it comes to gender diversity, organizations need to prioritize, collaborate, and think long term.

Lastly, women need to feel more empowered. Women tend only to apply for jobs that they feel they are perfectly matched, while men do so even when they meet no more than 60% of the requirements. Similarly, men tend to be promoted more often than women simply because they speak up and more aggressively ask for a promotion. Companies can more actively seek out talent and promotions from talented women inside their organizations.

 

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