In a 2021 supply chain survey, 71 global companies revealed that the pandemic has pushed them to rapidly invest in digital technologies. With 99% of respondents highlighting a critical need for in-house digital talent—ten times more than the previous year—the focus has shifted dramatically towards reskilling and redeploying the current workforce to meet these new demands. But how behind are we on digital supply chain capability? For leaders, grasping these changes is critical to driving their companies forward in this evolving landscape.
The Current State of Digital Supply Chain Capability
In 2017, research underscored the necessity for well-rounded supply chain professionals. Despite this, recent analyses show slow progress in improving capabilities, with average scores stagnating around 46%. While some sectors like pharmaceuticals have made strides, others have seen declines. For leaders, staying ahead means recognizing the gaps in current skills and pushing for more comprehensive development strategies.
Changes in Skill Profiles and Digital Competency
The shift towards digital and advanced analytics is reshaping skill profiles in the supply chain workforce. Recent capability building themes introduced in 2020 highlight the growing importance of digital skills, though scores in these areas lag behind traditional competencies. Senior executives, who excel in these digital and analytical skills, underscore the need for leaders to not only understand but also champion the integration of digital strategies.
Knowing Where to Start
To lead effectively in the digital age, leaders must focus on capability-building programs that combine foundational knowledge with advanced, strategically aligned training. Many organizations still lack a clear perspective on the skills needed, often relying on external talent. Effective leaders understand that building internal capabilities is crucial for long-term success and organizational resilience, and they must be the ambassadors of this initiative within their companies.
An Effective Capability-Building Formula
Successful capability-building involves targeting essential skills, using varied learning methods, and ensuring scalability. Companies that invest in their employees during transformation efforts experience higher success rates. Leaders should take note of how structured, multi-stage training programs can drive significant improvements and develop a pool of internal experts.
Building a Capability Accelerator
Continuous development and alignment with strategic goals are essential. Companies should foster a learning culture through communities of practice and in-house academies, encouraging ongoing personal development and involvement from senior leaders. This approach ensures that their companies stay at the forefront of industry best practices and evolving needs.
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