Addressing the skills shortage in logistics industry

There is widespread concern about the skills shortage in logistics. Yet, there are two seemingly conflicting factors at play in this space. One is that there is a definite shortage of such skills, especially in South Africa, and the other is that with the rise of automation, many jobs could potentially be lost to robots. So, will this ultimately amount to a zero-sum game?

Not according to Barry Vorster, a partner at PwC South Africa and speaker at the upcoming FIATA (the International Federation of Freight Forwarders’ Association) World Congress, who says that firstly, the job shortage in the sector is significant and growing globally, as increased volumes of goods are being moved around the world.

Secondly, he holds the opinion that while it is predicted that in the transport, storage and manufacturing industries by 2037, 50% of jobs will be automated, there will simultaneously be an increase in demand for people who can build, programme and maintain robotic workers.

“Consider what’s happening in mining, where more and more of the previously unskilled labour force now needs to work with sophisticated equipment underground, including large excavators and remotely controlled trucks. We’ll see a similar shift happening in transport and logistics,” Vorster points out.  

He says that while it’s clear that existing staff will need to be upskilled, no one knows for sure what those skills are yet.

“The problem is that the CEOs of most organisations are apprehensive with regards to developing future skills. They know different skills are needed, but don’t know exactly what these are. They can’t just easily pinpoint who to upskill and what should be taught,” explains Vorster.

Preparing the workforce of tomorrow for the required skills has to start at school level, and in South Africa, there is a challenge in delivering quality education in STEM (science, technology, engineering and maths) subjects. Adaptability and problem solving, along with digital capabilities, are also crucial skills to try to engender in the youth.

Universities also have a role to play, but Vorster says that it is businesses that will really need to step up to the plate when it comes to upskilling the existing global workforce.

“IBM brought out a report stating that 120 million people need to be trained over the next three years to be ready for automation. Currently our universities will not be able to accommodate this large number of students. Therefore, this will have to rest with organisations to do the largest amount of heavy lifting in ways that we never have before,” says Vorster.

He adds that there will be social and other pressures on organisations to look after people, and part of that is training them to prepare them for the jobs of the future. “Ultimately, it’s beneficial for the industry and business.”

Vorster will be speaking at the annual FIATA World Congress to be held at the Cape Town International Convention Centre from 1-5 October 2019.

The event is organised in conjunction with The South African Association of Freight Forwarders (SAAFF) and will serve as an international platform for industry leaders to discuss sustainable solutions within the freight forwarding and transport sector in Africa.