During the first meeting of the LAVAL TECHNOPOLE International Business Centre – Supply Chain Network, Albert Goodhue talked animatedly about his experience in managing logistics staff.  Here are some of the points I retained during this interesting meeting, which shed light on the importance of this often neglected but increasingly critical field for the success of our businesses.

0   Logistics has become increasingly important given today’s new competitive challenges, among others:

- Ever more demanding and better informed customers;
- Greater product variety and shorter lifecycle;
- Frequent and ongoing technology innovations;
- Growing dependence on e-business;
- New distribution networks;
- Greater market segmentation and globalization;
- Constant pressure from order givers and retailers.

0  Logistics typically comes into play at the demand planning stage and includes such physical aspects as order taking, product preparation, delivery and even returns.

0  A country’s culture and structure will dictate whether a logistics project is justified. For example, in a country where labour is cheap, automation projects will appear less relevant.

0  To ensure your staff’s motivation and productivity, you have to:

- Adequately define roles at every level;
- Make sure that each employee works in an environment suited to his or her training;
- Provide a well-defined work structure;
- Make sure that supervisors have the necessary leadership qualities;
- Communicate with and listen to your employees;
- Implement a communication plan that encourages employee input;
- Use the age-old suggestion box as a good communication and motivation tool;
- Promote ‘Kaizen’ improvement approaches;
- Offer growth opportunities within the company;
- Provide an ergonomic and safe work environment;
- Provide working conditions that place the employee at the centre of operations;
- Encourage appropriate coaching by competent supervisors;
- Implement a  quality performance-based incentive program;
- Remember to acknowledge employee contributions.

One of the challenges participants mentioned during the meeting was getting their superiors (especially owner-managers) to agree to make necessary changes to adapt to the current business environment. The speaker suggested that they mention to the people concerned how their inaction could impact the company’s survival or recommend that they conduct a benchmarking exercise and meet with other business leaders who have been through similar situations.

I hope that this overview of the logistics function and suggestions for mobilizing and motivating your staff will give you food for thought and help improve the performance of your business and ensure its survival.

Samir Naoum