30.01.2024 12:45:06 - dpa-AFX: GNW-Adhoc: Descartes' Study Reveals 76% of Supply Chain and Logistics Operations are Experiencing Notable Workforce Shortages
Transportation & Warehouse Operations Most Challenged by Resource Shortages
ATLANTA, Georgia and LONDON, U.K., Jan. 30, 2024 (GLOBE NEWSWIRE) -- Descartes
Systems Group (Nasdaq:DSGX) (TSX:DSG), the global leader in uniting logistics-
intensive businesses in commerce, released findings from its study How Bad Is
the Supply Chain and Logistics Workforce Challenge?
(https://engage.descartes.com/descartes-insights/items/how-bad-is-the-supply-
chain-and-logistics-workforce-challenge), which indicates that 76% of the supply
chain and logistics leaders surveyed are experiencing notable workforce
shortages in their operations. What's more, 37% of respondents would
characterize the resource shortage they face as high to extreme. While the issue
is affecting companies' financial, peak season and logistics partner
performance, the survey also showed it's taking a toll on customer service
performance, with 58% specifying that workforce shortages have negatively
impacted service levels.
While the competition for supply chain and logistics resources is widespread,
the acuteness of the workforce challenge varies by organizational function.
According to survey results, the areas suffering the most from resource
shortages were transportation operations (61%) and warehouse operations (56%).
While these areas are admittedly highly labor-intensive, findings also revealed
that 55% of supply chain and logistics leaders said knowledge workers are the
hardest to hire-and they are becoming increasingly important as supply chain and
logistics operations become more technology-enabled and data-driven.
"With economies cooling and COVID more manageable, the general thinking has been
that companies would see the workforce shortages of the past few years subside;
however, this does not appear to be the case," said Chris Jones, EVP, Industry
at Descartes. "The study shows that, post-pandemic, supply chain and logistics
organizations continue to struggle getting the labor, knowledge workers and
leaders they need to thrive. With business performance driven by both the
quantity and quality of the workforce, supply chain and logistics leaders need
to rethink not just their hiring and retention strategies but also how
technology can help to mitigate current and future workforce challenges."
Results also showed that the impact of workforce shortages varies by financial
performance, growth, management's perceived importance of supply chain and
logistics operations, and the success of employee retention programs. There's
evidence that business performance is interrelated-and that the impact of
workforce shortages can be mitigated by business leaders understanding the full
potential of their supply and logistics operations and the importance of
employee retention to supply chain and logistics performance.
Descartes and SAPIO Research surveyed 1,000 supply chain and logistics decision-
makers in late 2023 across three sectors: a) manufacturing, distribution and
retail; b) carriers; and c) logistics services providers. The goal was to
understand the nature of any workforce shortages they were facing and the impact
of resource constraints on their operations and business success. Respondents
were based across nine European countries, Canada and the United States, and
held Owner, C-Suite, Director and Manager-level positions in their respective
organizations. For the full report, read How Bad Is the Supply Chain and
Logistics Workforce Challenge? (https://engage.descartes.com/descartes-
insights/items/how-bad-is-the-supply-chain-and-logistics-workforce-challenge)
About Descartes
Descartes (Nasdaq:DSGX) (TSX:DSG) is the global leader in providing on-demand,
software-as-a-service solutions focused on improving the productivity, security
and sustainability of logistics-intensive businesses. Customers use our modular,
software-as-a-service solutions to route, track and help improve the safety,
performance and compliance of delivery resources; plan, allocate and execute
shipments; rate, audit and pay transportation invoices; access global trade
data; file customs and security documents for imports and exports; and complete
numerous other logistics processes by participating in the world's largest,
collaborative multimodal logistics community. Our headquarters are in Waterloo,
Ontario, Canada and we have offices and partners around the world. Learn more
at www.descartes.com (http://www.descartes.com/), and connect with us
on LinkedIn (https://www.linkedin.com/company/descartes-systems-
group) and Twitter (https://twitter.com/descartessg).
Global Media Contact
Cara Strohack
Tel: +1(800) 419-8495 ext. 202025
cstrohack@descartes.com (mailto:cstrohack@descartes.com)
Cautionary Statement Regarding Forward-Looking Statements
This release contains forward-looking information within the meaning of
applicable securities laws ("forward-looking statements") that relate to
Descartes' solution offerings and potential benefits derived therefrom; and
other matters. Such forward-looking statements involve known and unknown risks,
uncertainties, assumptions and other factors that may cause the actual results,
performance or achievements to differ materially from the anticipated results,
performance or achievements or developments expressed or implied by such
forward-looking statements. Such factors include, but are not limited to, the
factors and assumptions discussed in the section entitled, "Certain Factors That
May Affect Future Results" in documents filed with the Securities and Exchange
Commission, the Ontario Securities Commission and other securities commissions
across Canada including Descartes' most recently filed management's discussion
and analysis. If any such risks actually occur, they could materially adversely
affect our business, financial condition or results of operations. In that case,
the trading price of our common shares could decline, perhaps materially.
Readers are cautioned not to place undue reliance upon any such forward-looking
statements, which speak only as of the date made. Forward-looking statements are
provided for the purposes of providing information about management's current
expectations and plans relating to the future. Readers are cautioned that such
information may not be appropriate for other purposes. We do not undertake or
accept any obligation or undertaking to release publicly any updates or
revisions to any forward-looking statements to reflect any change in our
expectations or any change in events, conditions or circumstances on which any
such statement is based, except as required by law.
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