The logistics industry relies heavily on skilled manpower to maintain efficiency and effectiveness. Skilled workers are essential for managing supply chains and utilise technology. Various initiatives have been taken to develop a logistics workforce.
Ritika Arora Bhola
In the rapidly evolving logistics industry, a skilled workforce is essential for maintaining efficiency and adapting to new technologies. As supply chains become more complex and demand for faster, more reliable delivery increases, having trained professionals who can manage sophisticated systems and solve intricate problems is crucial.
Investing in skilling is key to building a workforce capable of meeting these challenges and sustaining growth in the logistics sector. To address the issue and to achieve the goal of ‘Viksit Bharat’ 2047, Finance Minister Nirmala Sitharaman in the Union Budget announced a new centrally sponsored scheme as part of the Prime Minister’s package worth Rs 2 trillion. This scheme, with an outlay of Rs 60,000 crore, aims to hone the skills of 2 million youth over the next five years in collaboration with state governments and the industry. The focus is on quality of skilling, with course content and design aligned to the needs of the industry.
Few key reasons highlighting this necessity:
Technological integration: The logistics sector is adopting automation, robotics, and data analytics and skilled professionals are needed to operate them, ensuring seamless integration and optimal
performance.
Supply chains: Modern supply chains are complex, involving industry stakeholders and intricate processes. Highly skilled workforce is essential in order to manage, coordinate, and optimise these processes, ensuring timely and cost-effective delivery of goods.
Regulatory compliance: Navigating regulatory requirements, including safety standards and environmental regulations, demands expertise. Highly skilled personnel are essential to ensure compliance and mitigate risks associated with legal and regulatory issues.
Data-driven decision-making: The industry relies heavily on data for decision-making, from route optimisation to inventory management. Professionals with expertise in data analysis can leverage this information to drive efficiency and reduce costs.
Sustainability initiatives: There is an emphasis on sustainable practices within logistics. Skilled individuals are needed to implement green technologies, optimise resource usage, and develop strategies for reducing the environmental impact.
To summarise, the logistics sector’s expansion and transformation require a workforce with advanced skills and expertise. Investing in training and development is a must to equip professionals with capabilities needed to address industry challenges and drive future growth. CargoTalk spoke to experts to find out their perspectives on the topic.
Ageing workforce leaving gap in face of shortage
Vikram Mansukhani, Chief, Operations, Blue Dart Express
In the Indian market, hiring trained professionals for logistics and supply chain sector presents several challenges. One major issue is the prevailing perception of logistics as a less glamorous career compared to technology or finance, which can deter younger, skilled candidates from considering it as a viable career path. This is compounded by an ageing workforce, where professionals nearing retirement are leaving a gap that is difficult to fill due to a shortage of younger talent proficient in logistics technologies. The competition for skilled logistics professionals is intense, with several companies contending with local companies and competing on a global scale.”
Courses for logistics sector in India scarce
Apeksha Gupta, Head, Skilling, VCJ Foundation Trust
The turnover rate in the logistics sector is relatively high due to the demanding nature of the job, lack of career progression opportunities, and sometimes inadequate compensation packages. In India, there is a shortage of specialised courses tailored to the logistics industry, leading to a gap in the availability of trained professionals. Many individuals are not aware of the diverse career opportunities available in the logistics industry, leading to a limited pool of talent entering the sector. Inadequate infrastructure in transportation networks can hinder the smooth functioning of logistics operations, requiring skilled workforce to navigate these challenges effectively.”
Emphasis on training in AI, blockchain
Kamesh Peri, CEO, Celebi Terminal Management India
The Logistics Sector Skill Council (LSSC) in India offers certification programmes in warehousing and supply chain management, aimed at addressing the skills gap among the 22 million people employed in the sector, of whom only 4.7 per cent are formally skilled. Industry-academia partnerships with universities, and online learning platforms are expanding access to relevant training. On-the-job training, mentorship programmes, and leadership development initiatives are crucial. As technology evolves, there is a emphasis on training in AI, IoT, and blockchain. The sector is likely to grow from US$160 billion to US$215 billion in the next two years.”
Need to expand training programmes in rural areas
Mahima Agarwal, President-HR, CJ Darcl Logistics
It is essential to reposition the industry as dynamic and rewarding. Highlighting the diversity of roles—from supply chain management to technological innovation—can attract young talent eager to engage in forward-thinking fields. Expanding training infrastructure, especially in rural areas, presents a opportunity to access new talent pools. Emphasising the adoption of cutting-edge technologies, such as automation, AI, and blockchain, can appeal to tech-savvy youth. Logistics offers global opportunities, including the chance to travel and collaborate with diverse teams, which resonate with those seeking global experiences. Improving working conditions, clear career progression, and stressing on work-life balance.”
Main concern: Training not up to industry standards
Ajit Jangle, Managing Director, FM Logistic India
The logistics industry relies on skilled manpower to maintain efficiency. Recruiting talented workers in the sector is difficult because training frequently doesn’t match industry needs as well as high turnover rates caused by restricted career options and harsh working conditions. There are also geographic differences, with many rural regions missing access to quality training. The sector’s fragmented character, with many small, unorganised enterprises, lead to variable skill levels and insufficient investment in staff development. Delayed technological uptake, and hefty training expenses exacerbate the challenges. To recruit people, these concerns must be addressed immediately.”
Need to hone skills of industry-ready workforce
Uday Sharma, Chief Commercial Officer (CCO), Allcargo Gati
Being a key growth enabler of the economy, the logistics industry depends on skilled manpower and a steady talent pipeline to efficiently serve the growing demand across sectors. So, apart from deploying technology and automation to achieve operational efficiency, we also have continued to focus on skill development to build an industry-ready workforce. Our Allcargo Multi-Skill Development Centre is facility with a standalone G+2 structure comprising 40 rooms. Built on 45,000 sq. ft. area and located along the 40 ft. Panvel-Uran road, the centre boasts infrastructure for classrooms and training laboratories. We have rolled out many programmes to support employee well-being to develop talent attractiveness.”
Workshops organised in colleges to spread awareness
Alpana Chaturvedi, CEO, My Logistics Gurukul
One of the main challenges of hiring trained professionals is the lack of awareness about plethora in the logistics industry. Or even an understanding of the modern-day logistics industry, which is becoming specialised and can offer a rewarding career opportunity in its various verticals. Logistics is still not an aspirational career choice. We offer these workshops in colleges to create this awareness. Institutes/varsities offering courses in Supply Chain and Logistics to upgrade their training curriculum or collaborate with the industry. There is an effort to bridging this gap already, but still more work needs to be done in this regard.”
Training modules created for employees, clients
JB Singh, Director, MOVIN Express
To bridge the skills gap, we offer a comprehensive range of initiatives, including training and certification programs, on-the-job training (OJT), apprenticeships, and continuing education opportunities. These efforts help our partners, employees, and customers gain practical experience and ensure they stay up to date with industry trends. We have developed a series of specialised training modules for our partners, customer service teams, and employees, all available on our LMS platforms. Our focus on tech enablement, combined with OJTs and soft skills enhancement, allows us to build a complete ecosystem that simplifies operations.”
Academic institutions changing into training hubs
Sandeep Chadha, Founder & CEO, Warehouster Group
The logistics industry has evolved into a complex operation requiring a highly skilled workforce to manage intricate processes and optimise operations. Relevant initiatives such as Recognition of Prior Learning (RPL), which certifies the skills of experienced logistics workers, and the Skill Hubs Initiative, transforming educational institutions into vocational training centers for logistics. The NSDC has partnered with private organisations to develop customised training in logistics technologies, and the ASEEM Portal facilitates the mapping of skilled logistics workers to job opportunities nationwide.”
Logistics facing 20% deficit of truck drivers
Mahesh Fogla, Executive Director, Patel Integrated Logistics
As the demand for timely and precise delivery continues to rise, that the workforce is equipped with the necessary expertise becomes increasingly important. The logistics sector is currently facing a 20 per cent deficit of truck drivers in the country. This shortfall has resulted in only 80,000 drivers being available, compared to the required 100,000. The shortage is influenced by factors such as limited training infrastructure, perceptions of the profession due to long hours, infrastructure challenges, and economic fluctuations. Regional differences play a role, highlighting the need for enhanced training, improved working conditions, among others.”
