OREANDA-NEWS. May 23, 2012. A new report out today has warned that the global transportation and logistics industry (T&L) is in need of a radical transformation by 2030 if it is to stay competitive.

In Winning the Talent Race, Volume 5 of PwC’s Transportation & Logistics 2030 series, experts said the brand perception of the industry needs re-invigorating and it is also seen among poorly paid and least diverse to work in. At the same time, they have identified a degree of potential in the sector, related to the opportunities for long-term career growth, and also to the sector’s stability and the significance that the transport and logistics industries hold for the world economy.

Ruxandra Stoian, PwC Russia Partner in Human Resources Consulting, sees the following ways to meet the challenges facing the industry:

“Transportation and logistics executives need to make improving the sector’s image a top priority – and the commitment should come straight from the top. It’s a question with strategic implications for every aspect of the business. That’s why the first step needs to be making sure that human resource (HR) management is a strategic partner of the C-suite, rather than a supporting function".

PwC created 15 theses which were presented to a panel of 94 senior executives from 24 countries working in business, government and the scientific arena. Over the course of eight weeks they studied the hypothesis and were asked to assess the probability of each one on a scale of 0-100%.

Panellists also predicted that pay will probably continue to be low in the majority of jobs in comparison to other industries.

Of those surveyed there is a 68.3% probability that firms will need to seriously change the image or brand to stay competitive and gave a low 35.6% probability of it being seen as a ‘hip’ and attractive sector to work in by 2030.

Simon Ferres-Dunn, Partner and Transportation & Logistics Leader, PwC in Russia, noticed:

“There is no doubt that investment is needed in all of these areas. Logistics companies in emerging countries need to invest heavily in training, development and education to prepare for a younger workforce. Those in developed countries will also need to incorporate these factors into their business strategies as well as working to improve their recruitment and retention methods and adapting the workplace to support an older workforce.  The plans afoot for upgrading of Russia’s infrastructure to the further growth and development of the economy, present additional challenges given a tight labour market.”

The likelihood of the workplace changing to adapt the older workforce will also be key and panellists gave that a 55.5% probability rating. Probability ratings were less than 50% when the group considered if females would play a more active, and senior, part in T&L firms and also if the T&L industry would be more diverse in comparison to other sectors, by 2030.

Diversity will continue to be a big issue, the report states. Research shows there are still real issues in recruiting women in traditionally male roles, such as truck drivers or seafarers, but by 2030 it’s estimated 40% of women worldwide will have completed secondary education and T&L firms should embrace this and promote talented females through the ranks.  A stronger brand and more diverse workforce will ultimately attract the brightest and best, the report says, and that could lead to improved results.

Ruxandra Stoian added:

“By making sure current workers are satisfied, companies can improve their employer brand. While staff perceptions aren’t the only factor in building an employer brand, they are an important element. Corporate responsibility helps too, especially in reaching out to younger workers. The strength of the company brand can also go a long way towards helping an individual organisation overcome the sector’s negative image.

“Satisfied employees, a well-respected company brand and a robust corporate responsibility programme are key building blocks for a strong employer brand.”