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Training: The Key to Logistics Success 
Employee Training
Byadmin-hubtek |
22 June, 2023 |

It is well known that one of the pillars of success is training your team. When you provide training and knowledge to your employees, they are able to develop and improve their performance. According to the website Indeed, “As technology advances and workplace strategies evolve, there comes a need for professionals to align with these changes in terms of knowledge and skills. One of the best ways to enhance knowledge and skills is through training. Providing employees with relevant and consistent training can help improve performance and efficiency in the workplace.” 

We spoke with experts in our company, and this is what they had to say: 

Joel McGinley, Hubtek’s Managing Director, stated that training is such an important aspect of running a logistics company. “We do, as an industry, a very poor job of training our employees. Most training is shadowing, where we place an employee with another employee and mimic the habits and attitudes and behaviors of that employee, without any regard to what my training objective is. But when you do train your people, you get so many benefits.” 

“First, you reduce risk. There’s a lot of risk in placing a revenue-producing employee in front of customers, because if they’re not skilled and confident to get the maximum amount out of that deal, they’re going to always leave money on the table. One time I tried to do an estimate of how much money was left on the table from a typical $10 million brokerage, and we calculated that it was about $200,000 to $250,000 a year, and it was because the employees just weren’t trained and skilled enough to be able to get that money off the table. So, you can really enhance your overall productivity by just employing some simple and basic training, but also following up. Training isn’t an event. Training is part of the job experience, and you can’t look at training as just an event that happened, or that you’ve got, you know, this week of training. You have to incorporate it, you have to talk about it, you have to show them how to employ that training to make their jobs more effective.” 

“Another big benefit of training is just as it relates to executional risk. You can reduce your executional risk in terms of the relationships that you have with your customers, with your carriers, but also just in the legal aspect. Poorly trained employees create a lot of potential legal risk for you. So training can be an incredibly effective tool for improving your efficiency and effectiveness in your logistics company, and if you don’t have a training program that is ongoing and comprehensive, then you’re probably missing out on some of the major benefits that you could realize if your people were better trained. I would highly recommend that you consider looking at your training program and asking, ‘How can I make it ongoing? How can I really look at it as a personal development program and not just a training program that happens in some sort of an event situation?’ You really must incorporate training as almost like a business process and an employee lifestyle.” 

Paola Muñoz, Hubtek’s ProfitQuest Product Manager, affirms that providing training to your company’s employees is a very important activity that requires perseverance. “We cannot overlook the fact that many times, during our day-to-day tasks, we leave time for learning as a last option. If you are looking to improve the efficiency and productivity of your employees, continuous training is an excellent way to keep them up to date with the latest developments in the industry. You will begin to see results in the performance of your team. They will have more knowledge and understanding about using different tools that can help them improve their performance, and they will possess valuable skills that will make them stand out from the competition. All this will ultimately be reflected in two major areas, customer service and profitability for your company, the main differentiators for standing out in the industry.” 

Finally, we heard from Yanina Beleño, Training & Development Manager here at Hubtek, and she believes that training plays a vital role in helping logistics companies enhance their efficiency and productivity. She shared some ways training can contribute to these improvements: 

  • Skill development: Training programs can provide logistics employees with the necessary skills and knowledge to perform their jobs effectively. This includes training on specific tools, technologies, and software used in the industry, as well as training on best practices for various logistical tasks such as inventory management, transportation planning and warehouse operations. By improving employees’ skills, companies can optimize their processes and reduce errors and inefficiencies. 
  • Process optimization: Training can help logistics companies streamline their processes and adopt industry-leading practices. By providing training on lean management principles, Six Sigma methodologies, or other process improvement frameworks, companies can empower their employees to identify bottlenecks, eliminate waste, and implement more efficient workflows. This can result in reduced lead times, improved resource allocation, and enhanced overall productivity. 
  • Safety and compliance: The logistics industry has various safety regulations and compliance requirements such as proper handling of hazardous materials or adherence to transportation regulations. Training programs can educate employees about these regulations, ensuring they understand and follow the necessary protocols. Enhanced safety awareness reduces the risk of accidents, minimizes disruptions, and avoids costly penalties, thereby improving operational efficiency. 
  • Technology adoption: Logistics companies can leverage training to facilitate the adoption and optimal utilization of new technologies. Whether it’s implementing warehouse management systems, transportation management systems, or other digital tools, providing comprehensive training ensures that employees can leverage these technologies effectively. Familiarity with technology enables faster and more accurate data processing, real-time tracking, and efficient communication, leading to improved decision-making and operational efficiency. 
  • Continuous improvement culture: Training can cultivate a culture of continuous improvement within logistics organizations. By promoting ongoing learning and development opportunities, companies encourage their employees to seek better ways of doing things. This mindset fosters innovation, encourages the implementation of new ideas, and promotes a proactive approach to problem-solving. Regular training sessions, workshops, and knowledge-sharing platforms facilitate the exchange of insights and best practices, resulting in improved efficiency and productivity. 
     
  • Employee engagement and retention: Investing in training and development demonstrates a commitment to employees’ professional growth. This contributes to higher levels of employee engagement and satisfaction, leading to improved retention rates. When employees feel supported and equipped with the necessary skills, they are more likely to be motivated, productive, and invested in the success of the company. 

Overall, training is an essential tool for logistics companies seeking to improve their efficiency and productivity. By enhancing skills, optimizing processes, promoting safety and compliance, facilitating technology adoption, fostering a culture of continuous improvement, and boosting employee engagement, training can have a transformative impact on the logistics industry. 

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