Talent & Leadership Archives - LMA-Consulting Group, a supply chain consulting firm

Skills Gap Challenge for Manufacturing Success

admin — Fri, 08 Mar 2024 16:35:53 +0000

According to a study by Deloitte and The Manufacturing Institute, 2 million jobs could go unfilled in the sector by 2030. The cost in 2030 alone could potentially total $1 Trillion. Worse yet, the manufacturers surveyed said it is 36% harder to find the right talent than it was in 2018, and 77% of manufacturers expect to have ongoing difficulties attracting and retaining manufacturing employees.

As technology, automation, and artificial intelligence (AI) continues to gain steam, lower skilled jobs are automated, but higher-skilled jobs become critical. The gap is significant. Additionally, as reshoring gains momentum and manufacturing expansion becomes a priority with the rise of geopolitical risk and the rollout of government funded programs such as the CHIPS act, manufacturing will increase, and the skills gap will widen. Finally, by 2030, the youngest of the largest generation in history will be older than 65, further decreasing the workforce.

Simply hiring a recruiting firm will no longer be sufficient. There simply are not enough manufacturing resources to fulfill the needs. Proactive executives will put an increased emphasis on training and development. For example, an aerospace manufacturer needed far more machine operators than they could find, and so the company set up a training facility and hired trainers to put new hires through a comprehensive training and development program. They went from constantly struggling to creating a pipeline of qualified candidates. Another client sent employees to a technical training center in the region to gain manufacturing skills.

Relying on your planners, buyers, and analysts’ college education and prior work history is no longer sufficient. At least 80% of clients are struggling to hire resources with the appropriate education and training. For example, two power systems and electrical equipment manufacturers serving different industries went live with an upgraded ERP system. Although they brought on significant support, both struggled due to lack of production planning and inventory concept education and training for their resources. Proactive clients are arranging ERP and MRP (material requirements planning) education for their employees. For example, a significant beverage manufacturer has been coordinating with a local supply chain education partner to provide practical education.

Turn traditional thinking on its head. Supplement your employees with consultants to upgrade processes and improve efficiencies (refer to our guide for hiring consultants), hire temporary employees to fill gaps, and partner with specialist resources such as engineering firms to make quicker progress. Appreciate different pools of talent such as veterans and retired workers and reexamine your qualifications. For example, a building products manufacturer eliminated its requirement for a college degree and replaced it with practical experience and/or approved skills training. Not only did they find additional candidates, but the candidates were a better fit for the role.

Leadership and culture will be vital to closing the skills gap. People do not follow companies; people follow leaders. The best employees expect leaders to have high expectations, to address poor performers, to face reality with tough topics, and to appreciate and recognize progress. For example, an industrial equipment manufacturer was able to find and retain employees in a small town with limited resources and a key competitor because employees knew that the leader would expect high levels of performance, push for excellence, and cared.

Attracting and retaining talent will be key to success in the manufacturing industry in the next decade (refer to our article for strategies). Proactive executives are developing creative alternatives to traditional hiring, retention, training, and development strategies. The best remain committed to leadership and culture to retain top talent and attract scarce talent.

Originally published in Brushware, March – April 2024

If you are interested in reading more on this topic:
Where the Talent Has Gone & Strategies for Success

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Where the Talent Has Gone & Strategies for Success

admin — Fri, 12 Jan 2024 16:08:29 +0000

Where Has the Talent Gone?

The labor participation rate is still under the pre-pandemic rate. According to the Bureau of Labor Statistics, the rate is still running almost 1% below the pre-pandemic rate. This is no surprise to clients as they simply do not have the talent needed for key positions in Manufacturing, Planning, Purchasing, Customer Service, and more. Read more about the Skills Gap in our article.

We believe there are several key reasons for this continuing trend:

Baby boomer retirements: 44% of the Baby Boomer generation are at retirement age. By 2030, the youngest of the largest generation in history will be older than 65.
Pandemic career changes: The pandemic made people realize that they wanted to find what would fulfill them, and several have changed careers. Also, Families changed their view on how to raise children. In some situations, one parent changed and/or reduced focus on his/ her career (unless flexible) while his partner stayed focused on her career.
Current Leadership: The generation following Baby Boomers (Generation X) is not as large. Across clients, whoever is remaining in a leadership role (typically a Baby Boomer, Generation X or Millennial employee) is completely overwhelmed and running around like a chicken with his head cut off.
Newer employees: Generally, they are gaining experience, but do not have the knowledge to “figure out complex issues”.
The advancement of technology: Technology continues to advance as companies realize they must embrace ERP systems, automation and robotics, artificial intelligence, predictive analytics and more. This has reduced the need for low skilled resources, but it has increased the need for high-skilled resources.

Lack of training & mentoring: For many years, companies could hire talent from the competition. Although this is still possible, there are fewer and fewer resources with the practical experience, systems and data knowledge, and process expertise to fill the roles.

Client Examples

We wish it was an exception, but clients are scrambling (and frequently in chaos). This situation is no longer the exception. It has become the norm. As key people leave the organization or critical changes occur, the resources simply do not exist to successfully navigate these situations as smoothly as they did previously. Thus, clients are scrambling on a day-to-day basis.

For example, multiple clients pop to mind with a key planning, supply chain or operations resource who is completely overloaded. This team member is “juggling multiple balls in the air while doing jumping jacks”. In essence, they are running around filling gaps, resolving issues, and bringing up topics proactively. However, internally, the resource is seen as the issue because she is always racing to keep up with Sales changes, rescheduling due to production ramp up challenges, uncovering system issues, and bringing up potential problems. There was a ‘brain drain’ of expertise and this resource continues to absorb additional tasks to try to keep the balls in the air.

The process is dependent on the system, and the system is dependent on the resources (design, setup, training), the data and transaction disciplines. In our examples, there are completely different situations (challenges, leadership styles, geographies, ERP system maturity, etc.). Yet the result is the same. If the process is dependent on a person, the process will not succeed. On the other hand, the process, system and resources need to be upgraded (including training and education) in conjunction with one another. Our consulting role is to partner with the client to assess the situation, design an upgraded path forward, and partner with the client to roll out and achieve sustainable results.

What it used to take to deliver bottom line results for clients absorbs around 20-30% more effort on average than it did pre-pandemic due to this skills gap (even with our greater experience and internal process upgrades). In some cases, it requires 50-100%! If this situation was an outlier, we wouldn’t be concerned, but it is no longer an outlier. Thus, we are pivoting and will be aggressively highlighting the key issues, warning signs and plans of attack earlier in the process. It will be less comfortable for clients to absorb this news earlier (with less time to absorb the facts), but we are experienced in seeing the signs and knowing the best route to “right the ship”, and so we will force these uncomfortable corrections early on. Fasten your seat belts!

Strategies for Success

There are a few key recommendations to start to “right the ship”.

Leadership & Culture: There are fewer resources to bring on board to jump in, figure out a situation and “right the ship”. People follow people; not companies. Thus, you must have exceptional leaders. The only way you will have exceptional leaders is to have an excellent company culture. Of course, company culture goes back to leadership. There are no magical solutions. It take a LOT of hard work, excellent people, the willingness to take risks and invest when no one else is investing, and establish a performance management process that weeds out the poor performers and recognizes the star performers. Read more about this topic is our article How to Attract People to Your Company.
Training, education & mentoring: These are NOT the same topic. You can no longer rely on hiring key resources away from the competition. Instead, you must develop them. Provide training (step-by-step processes), education (the why behind what you are doing and how it fits into the big picture), and mentoring (follow me and watch my example as I’ve been there and done that).
Supplement resources: Clients are supplementing with consultants, contractors, interim temporary resources etc. Although we are jumping in as consultants to assist clients with critical priorities, we are jointly prioritizing bringing them up-to-speed so that they can sustain the process upgrades on their own.
Appreciate different pools of talent: Retired workers might be exactly what you need to help you over the hump and/or bring folks up-to-speed. There are other groups such as veterans to pursue as well.
Revisit your job requirements: What do your most successful employees do differently? It might be that they need fundamental skills training but not a college degree. It might be that they need certain characteristics for certain roles but not specific experience. It might be practical ERP knowledge instead of the specific ERP system experience.
Meaning, Flexibility & Opportunities for Advancement/ Learning: The name of the game to attract, engage and sustain employees is to ensure meaning, flexibility and opportunities for advancement and/or learning.

Talent is such a critical topic that we will keep our eyes and ears out for unique strategies and fresh ideas for success. Please keep us in the loop with your ideas and success stories as well. It will be a key differentiator in the next decade.

If you are interested in reading more on this topic:
Where is Your Supply Chain Talent?

The post Where the Talent Has Gone & Strategies for Success appeared first on LMA-Consulting Group, a supply chain consulting firm.

Where Is Your Supply Chain Talent?

admin — Tue, 12 Dec 2023 16:02:17 +0000

No client has enough high-skilled talent. In fact, it is the single largest issue facing executives. The skills gap is severe for high-skilled roles. Yet any company that wants to succeed is automating, digitizing, and utilizing advanced technologies such as robotics, additive manufacturing, and predictive analytics. These advanced programs automate low-skill jobs and increase the need for high-skill resources. Do you have the talent?

Where Has the Talent Gone?

So where has the talent gone?

Baby Boomers shrinking: Baby boomers are retired or retiring at a quick pace, and the generation is shrinking. As the largest generation in history (although recently surpassed by the Millennial Generation), the brain drain is extreme. Although many clients do not fully appreciate the issue until it is too late, the experience and dedication that is retiring is extreme.
Gen X Stretched: The generation following the Baby Boomers (Gen X) is no where near as large, and the pandemic seems to have spurred folks into early retirement or a change of career. The remaining leaders are simply swamped and running around like chickens with their head cut off – and extremely frustrated unless appreciated.
Work life balance has shifted: The 24/7 days that were common for decades are no longer common or desired. Although it is no longer common, the expected results and profit growth has not changed. Thus, there is a quandry.
Increased Demand: As advanced technologies are utilized, the demand for high-skilled talent increases.
Shortage of technical talent: Technical colleges and apprenticeships have not kept up with demand.
Lack of training & education: We haven’t invested like we should have in training, education, and mentoring. It was “easy” for many years to simply hire the talent needed. Now we must build it.

Client Examples

Unfortunately, there are countless client examples we could provide on the lack of talent as it is a widespread problem. A widespread and surprising issue that has arisen recently across multiple industries, client sizes, and geographies is the lack of fundamentals. For example, two of our best clients have expressed frustration that such a bedrock topic such as inventory accuracy is requiring consulting support. Although it is certainly not rocket science and shouldn’t require a supply chain consultant to figure out, it continues to create consulting project bottlenecks.

Thus, both clients ended up needing support to roll out transactional process disciplines to improve customer service and meet audit requirements. From our project perspective, we could not build a house on a faulty foundation, and so we had to start by shoring up the base. We supplemented internal talent by collaborating across functions, figuring out how to best utilize the ERP system to support business processes, documenting processes and rolling out process disciplines while integrating with the daily routine, developing metrics, and providing training and education. Once we had a sustainable process in place, we upgraded business processes with advanced processes such as SIOP (Sales Inventory Operations Planning) and ERP and technological improvements such as business intelligence and predictive analytics.

In two other client examples, base process disciplines such as date changes were not occurring. Unfortunately, when fundamentals such as updating sales order dates and work order dates are not occurring, manufacturing, purchasing, shipping, and the rest of the organization can become disjoined and chaotic. In one client, the client incurred 800 hours of changeover time because no one could determine the schedule, and the sales team required that the schedule change back and forth to satisfy customers. Thus, we works hand-in-hand with the production site to roll out a production schedule and brought past due down to close to zero and doubled schedule adherence.

In another client, the planning team received hundreds of emails a day from Sales on orders yet didn’t have clarity on date expectations from the customer or from Purchasing as to when materials would be available. Something had to change! Clearly, the situation caused unnecessary chaos. Thus, we worked with the client to upgrade process disciplines, define the use of date fields and timing of transactions, and roll out training, education and metrics across the board. Email traffic went down and customer service went up rapidly.

The Bottom Line

There is a lack of talent. No matter where in the world we ask, thus far, we’ve received the answer that there simply isn’t enough talent. The leaders that take control and attract, retain, and develop talent will thrive and have more opportunities than ever before. The countries with proactive leaders who find creative solutions to this talent shortage will lead the rest. Where will you stand?

If you are interested in reading more on this topic:
Lost Revenue Due to Lack of Resources: How to Attract People to Your Company

The post Where Is Your Supply Chain Talent? appeared first on LMA-Consulting Group, a supply chain consulting firm.

Integrated Hybrid Work Creates Positive Results for Employers

admin — Mon, 02 Oct 2023 00:05:23 +0000

CLAREMONT, Calif., October 1, 2023/ExpertClick/– Evolving business and employee needs around hybrid work are driving the rapid adoption of flexible working arrangements, according to The Society for the Advancement of Consulting® (SAC). Employers who shift quickly benefit from better talent retention, happier employees, and increased productivity.

Executives and Hybrid Workers: Both Sides Need Balance

“Hybrid is here to stay, as it’s common sense,” points out Lisa Anderson, president of Claremont, CA-based LMA Consulting Group, Inc and manufacturing expert known as the Strongest Link in Your Supply Chain®. “Manufacturers still struggle to find talent across the board. Whether a planner, buyer, or maintenance technician, qualified candidates are sparse.

“People want to contribute to success, yet have flexibility in their daily lives,” Anderson adds. “So hybrid is a commonsense solution. It’s likely to come in many forms, depending on the situation. In manufacturing, hybrid is feasible with the use of advanced technologies. But other solutions will be required. Four-day workweeks are more attractive, so that employees can achieve work-life balance. Leaders will have to step up to figure out how to position their companies for the future instead of dictating the past.”

Talent Scarcity is Pushing Employers Toward Flexibility

“Flexible working arrangements are a fact of life these days,” says Kathleen McEntee, president of Kathleen McEntee and Associates Ltd, who provides a full range of marketing services to privately held organizations. Their messages are straightforward, targeted and cut through the clutter to distinguish their clients from the competition.

“For the most part, they can be practical for both the worker and the employer. Put aside the customer-facing jobs—like in a store and some office jobs—and many employers are realizing the benefits of remote work. Life is complex and busy. A flexible employer retains and attracts the best of the best —especially when good talent is at a premium,” McEntee notes.

“Hybrid arrangements can provide a good balance with benefits to both sides,” she explains. “Yet, managing remote workers requires a different mindset and different skills. Set expectations and guidelines. Maintain accountability. And be flexible. The idea behind hybrid is flexibility and balance. The peace and quiet of working remotely can result in higher productivity, enabling employers to meet tight timelines while having happier employees.”

A Win-Win Situation

The move to hybrid work environments is an opportunity for organizations to explore more productive work models while building employee loyalty, which in turn builds greater customer satisfaction and loyalty, says Linda Popky, president of Redwood Shores, CA-based strategic firm marketing firmLeverage2Market Associates, and author of the bookMarketing Above the Noise: Achieve Strategic Advantage with Marketing That Matters.

“We know that it’s impossible to have happy customers when you have unhappy and frustrated employees. How employees are treated is reflected in their interactions with customers. Those employees who feel an organization values them and is flexible enough to consider their needs will pass that goodwill to customers,” she says.

“There’s no one solution to every work situation. However, the pandemic exposed us to productive ways of working that weren’t even considered possible before. The world is not going back to 2019. Organizations have the ability to build a new working environment that combines the best elements of technology and human interaction. It’s a win-win for everyone,” Popky adds.

The Math Behind Hybrid: 3 Needs over 1 Label

“We need to stop thinking ‘hybrid,’ which is an arbitrary label, and simply thinking about ‘people,’ ” notes SAC Founder Alan Weiss, PhD. “Where they work will be determined by company need, personal need, and customer interactions. That shouldn’t be complicated math. If you can’t manage that, you shouldn’t be running a business.”

The post Integrated Hybrid Work Creates Positive Results for Employers appeared first on LMA-Consulting Group, a supply chain consulting firm.

Lisa Anderson, Manufacturing & Supply Chain Expert Issues Supply Chain Special Report

admin — Tue, 09 May 2023 08:01:33 +0000

As originally published in Cision PR Newswire on May 9, 2023

CLAREMONT, Calif., May 9, 2023 /PRNewswire/ — Manufacturing and Supply Chain Expert Lisa Anderson, MBA, CSCP, CLTD, known as the Strongest Link in Your Supply Chain® and President of LMA Consulting Group Inc., has published a Special Report – The Road Ahead: Business, Supply Chain & The World Order. LMA Consulting Group works with manufacturers and distributors on strategy and end-to-end supply chain transformation to maximize the customer experience and enable profitable, scalable, dramatic business growth.

“While the visible signs of supply chain chaos have dissipated, business volatility and disruptions remain high. With the world order in a state of flux, risk is high. Yet because everything is interconnected, companies have an opportunity to stay ahead of their ideal customers’ needs. They can do this by reconfiguring their supply chains, leveraging technology and attracting and continually developing talent to leapfrog their competitors to secure a lead position in their marketplace,” commented Lisa Anderson.

The Road Ahead: Business, Supply Chain & The World Order is a special report that captures comments from trusted advisors and experts from various disciplines about what their most successful clients are doing and what companies should do to take advantage of opportunities in 2023 and beyond. “In talking with my colleagues, it became apparent that the same challenges, issues and opportunities resonate among business disciplines. Each discipline requires attention. Making required changes is not for the faint of heart. The opportunity in front of companies today is the greatest since the Great Depression,” she said.

From cybersecurity, logistics, insurance and talent acquisition to nearshoring, reshoring and friendshoring, the tasks are many, but the opportunity is significant. “The only question will be whether your company is ready to take advantage of the opportunities to grow profitably or if you’ll struggle for survival. I hope that our Special Report sheds light on these opportunities,” she concluded.

Ms. Anderson also recently released: SIOP (Sales Inventory Operations Planning): Creating Predictable Revenue and EBITDA Growth to help organizations understand the value of a proven process. The book is complimentary on the LMA Website. It can also be found on Amazon digitally and on-demand print at: SIOP at amazon.com and on iTunes: Apple. Ms. Anderson also provides supply chain updates through Supply Chain Chats, a series of short videos that address current topics, issues and challenges related to supply chains.

About LMA Consulting Group – Lisa Anderson, MBA, CSCP, CLTD
Lisa Anderson is the founder and president of LMA Consulting Group, Inc., specializing in manufacturing strategy and end-to-end supply chain transformation. She focuses on maximizing the customer experience and enabling profitable, scalable, dramatic business growth. Ms. Anderson is a recognized Supply Chain thought leader by SelectHub, named a Top 40 B2B Tech Influencer by arketi group, a Top 16 ERP Expert to Follow by Washington-Frank, in the Top 10 Women in Supply Chain by Warner PR, in the top 55 Supply Chain & Logistics Experts by flexport, and a woman leader in Supply Chain by RateLinx. She has been interviewed by Fox News, published the special report: Thriving in 2022: Learning from Supply Chain Chaos – Insights from 22 Trusted Advisors and the eBook, Future-Proofing Manufacturing & the Supply Chain Post COVID-19, Her primer, I’ve Been Thinking, provides strategies for creating bold customer promises and profits. An expert on the SIOP process (Sales, Inventory Operations Planning), advancing innovation, and making the supply chain resilient, Ms. Anderson is regularly interviewed and quoted by publications such as Industry Week, Bloomberg, and The Wall Street Journal. For information, sign up for her Profit Through People® Newsletter or for a copy of her book, visit LMA-ConsultingGroup.com.

Media Contact
Kathleen McEntee
Kathleen McEntee & Associates, Ltd.
760-262-4080
358715@email4pr.com

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Hot Topics in 2023 – Sustainability, Skills, and Automation

admin — Fri, 03 Mar 2023 19:01:35 +0000

In this episode of Interlinks, I’m joined again by my colleagues from the supply chain special interest group of the Society for the Advancement of Consulting (SAC) to discuss some of the big issues facing businesses in 2023, namely sustainability, talent, and automation.

These are three topics that when you think it through are actually very much interrelated and which figured prominently in the recently published PwC 26th Annual Global CEO Survey as hot topics for 2023.

Given that almost 40% of the CEOs surveyed globally believe that if their businesses continue on the path they are on now, then they will become economically inviable within 10 years, these are strategic issues that really require some deep consideration very soon indeed.

To discuss these issues on Interlinks I am joined by:

David Ogilvie, founder and principal at David Ogilvie Associates in Brisbane, Australia.
Diane Garcia, founder and president of Lorraine Consulting in Phoenix, Arizona
Lisa Anderson, president of LMA Consulting Group in Los Angeles, California

Download audio.

Originally posted on Patrick Daly Interlinks Podcast on 3/3/2023

The post Hot Topics in 2023 – Sustainability, Skills, and Automation appeared first on LMA-Consulting Group, a supply chain consulting firm.

Hiring Talent in Uncertain Times Requires Innovative Thinking

admin — Fri, 03 Feb 2023 06:33:06 +0000

CLAREMONT, Calif., February 1, 2023/ExpertClick/—Uncertain times and tight labor markets pushing companies to use innovative hiring approaches, according to The Society for the Advancement of Consulting® (SAC). The standard ways of hiring talent are no longer viable, so winning companies are getting creative about how they find the talent they need.

Star Talents Need Pathways to Progress

“There is a high-skilled resource shortage across the board,” points out Lisa Anderson, president of Claremont, CA-based LMA Consulting Group, Inc. and manufacturing expert known as the Strongest Link in Your Supply Chain. “Although there are many ways to address this shortage, my most successful clients are focused on finding, retaining, and developing the best leaders to navigate these turbulent and uncertain times.

“Progressive leaders not only retain high-skilled talent, they also engage your stars and address poor performers,” she adds. “These steps put your organization ahead of the pack. In addition, it’s important to support your leaders with resources—by providing training opportunities, creating mentor programs, developing pathways for employees to gain experiences, and hiring consultants and trusted advisors to supplement resources, fill gaps, and accelerate progress.”

Uncertain Times Call for Innovative Talent Management

“Our uncertain times have impacted the future of work, including remote work and AI. In many cases, the workplace is becoming more virtual. In this new workplace, organizations need to be innovative in attracting talent,” says Dr. Maynard Brusman, a San Francisco Bay Area consulting psychologist and executive coach.

“Create a strong value proposition,” he noted. “People want to work for purpose-inspired organizations, where work is meaningful and aligned with core values. A value-proposition is a memorable statement about what you do and why you do it. It should describe the functional and emotional benefits of your company and brand. Functional benefits link to specific product features. Emotional benefits refer to positive feelings that customers experience when using your products and services.”

Dr. Brusman advises his executive coaching clients, “Above all, create a workplace culture where leaders lead with love.”

Manage Inside and Out to Win with Talent

“Clearly identify your goals and objectives,” notes Kathleen McEntee, President of Kathleen McEntee and Associates Ltd, a full-service marketing firm focused on distinguishing businesses by creating light bulb moments with marketing messages that deliver results. “Determine what skills you need for the outcomes you want. Many times, your staff possess additional skill sets that they’re not using. Or they may want to grow and learn. It may take additional training. But imagine the win-win!

“If you need to reach outside your firm, consider finding a professional who wants to work part-time,” she explains. “There are many baby boomers who now realize that retirement was not the dream they thought it would be. They have great skills. They can be effective mentors. They can be invaluable.”

Building a Strong Employer Brand is a Long-Term Investment

Employers need to change the way they think about the image they portray to potential employees, according to Linda Popky, president of Redwood Shores, CA-based strategic firm marketing firm Leverage2Market Associates, and author of the book Marketing Above the Noise: Achieve Strategic Advantage with Marketing That Matters.

“Hiring has traditionally been a beauty contest of sorts—with candidates vying to outcompete other contestants for one or two open positions. When labor markets get tight, it is the firms who are then competing to win the favor of a scarce number of attractive candidates.

“Successful organizations build a strong culture that embodies the organization’s values and brand. Employees are rewarded for embracing brand values, and it’s clear to all that the organization is dedicated to providing not just outstanding customer experience, but treating employees as integral to the equation as well,” Popky says.

“High quality employees are drawn to organizations with strong, positive employee brands in any market, but building a reputation as the go-to employer doesn’t happen overnight—it takes time, effort and persistence,” she adds.

Winning Companies Define Tomorrow’s Talent Today

“What we have today are hiring opportunities if you have a positive mindset,” says SAC Founder Alan Weiss, PhD. “Don’t hire people just to fill positions. If people have left, you have the opportunity to cleanse the operation. Do not replace bodies. Ask yourself who you’ll need in the future—if anyone—considering technology, demographic, and economic shifts.”

Originally posted on SAC website: February 1, 2023

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Why People Matter

admin — Thu, 15 Dec 2022 15:19:54 +0000

I participate in a group of CEOs, a group of the top consultants throughout the world, a group of supply chain professionals, a regional economic partnership, industry groups, and with clients in the Americas, EMEA and APAC, and the only thing in common is the critical importance of people.

Most clients do not have as much talent as they need (at least in key roles or sites). Similar to inventory, many clients might have talent but do not have the type of talent in the right place (or available) at the right time. Classic challenges!

Others are concerned about employee engagement, talent retention, and development. Many are concerned about how to provide flexibility yet ensure results and how that relates to virtual vs in-person. Many are starting to think about how they can use consultants to fill a gap (supplementing their team) while developing a better path forward as it kills 3 birds with 1 stone (fills gap, builds the future, short-term so they don’t have to hire long-term support with pending recessions). Others are experiencing issues because their suppliers or customers have talent shortages. Thus, orders are delayed, meetings postponed, etc. There are countless issues, but the bottom line is talent is top of mind.

Pertinent Examples

In a building products manufacturer, although they tried many different approaches to finding manufacturing talent, they simply couldn’t find enough people to run the full schedule during peak season. This is a compelling example as the leaders were solid and it wasn’t in the middle of nowhere (as most of our clients’ facilities are located in Timbuktu), yet it was still impossible to fill the entire schedule. Thus, they prioritized customers and extended lead times to make it through peak season and decided to build ahead for the next peak season if conditions didn’t change.

In a life sciences manufacturer, growth was limited by lack of talent. In this situation, there were concerns about spending money until the specific product mix was known (thereby dictating the specific skills required). Unfortunately, it was a catch 22. By the time the product mix was known, there wasn’t enough time. In working together, we developed a demand plan and SIOP (Sales, Inventory & Operations Plan) process that enabled us to gain executive alignment to transfer, cross-train, and hire the appropriate people to address near-term concerns while ramping up a new facility so that the aggressive growth targets were fulfilled.

In a food manufacturer, they didn’t have the supply chain talent to work with customers and Sales to develop a demand plan, translate the volume into a master production schedule, get enough materials on order to supply the production schedule with extended lead times, and address changing conditions on a daily basis with the production schedule. Thus, they asked us to jump into the planning process, working in conjunction with their overloaded resources to navigate current conditions and stabilize while upgrading the process and use of systems to create a sustainable process going forward. This solution bridged the gap.

And, in an industrial equipment manufacturer, their growth was limited by engineering talent. They worked with the schools in the area to hire new grads and provide internships. They even jumped on manufacturing day with high school students to introduce them to the profession. They also looked at process and system upgrades to increase efficiencies, supplemented talent from other facilities to fill gaps, and put extensive efforts into HR and recruiting efforts. Although still challenged, they were able to meet the increased volume.

Fast Forward to the Future

Clients are starting to worry about the likely recession (while still dealing with inflation) and what that will mean to their growth plans. Of course, it makes sense to reevaluate customer conditions and reorganize, reallocate, and reshape to meet the new forecasts. On the other hand, our most successful clients are NOT jumping to layoffs. Most likely, there are temporary employees that will provide some ability to ramp up or down rapidly. Clearly, overtime can be reduced. But, be cautious about cutting back and limiting growth potential.

We see a reshaping of the future of supply chains in the horizon. Companies are reshoring, expanding capacity, finding new partners, rethinking market and growth strategies, and much more. I think there will be more opportunity for the forward-thinking, nimble companies than at any other time in history other than during the Great Depression. As family-owned businesses retire, get absorbed into larger companies, and/or decide to close up shop or not serve certain markets due to changing conditions, supply chains will change. As companies reshore, nearshore, friendly-shore and build duplicate capacity to ensure customer success, supply chains will change. As employees retire and decades of experience walk out the door, supply chains will change. As technology gains, supply chains will change. RETAIN your key talent, do not retain your problem employees dragging your best talent down (it is surprising how many companies keep these known challenges), keep your eye out for talent (as you think about needs 2 years out) as weaker companies suffer, and find opportunities to develop and utilize your talent and set your company up for success for decades to come.

Please keep us in the loop of your situation and how we can help your organization get in a position to thrive for years to come. Several of these types of topics will be included in our forthcoming book, SIOP (Sales Inventory Operations Planning): Creating Predictable Revenue and EBITDA Growth.

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SAC: Start at the Top to Retain Millennial and Gen Z Talent

admin — Thu, 01 Dec 2022 22:01:56 +0000

Lisa Anderson was quoted in the Society for the Advancement of Society’s press release on retaining top talent and what that means for the millennial and Gen-Z generations. As Baby Boomers continue to retire, this has become a continuing hot topic.

CLAREMONT, CA—Leaders play a critical role in attracting and retaining skilled talent, which is especially true during periods of talent shortages, according to The Society for the Advancement of Consulting® (SAC). Many managers waste time complaining about Millennial and Gen Z behaviors, instead of looking at how their own actions impact their teams, and focusing on developing a healthy company culture to keep the best young talent.

The Talent Pivot that Businesses Need to Thrive

“People leave people, not companies,” points out Lisa Anderson, president of Claremont, CA-based LMA Consulting Group, Inc. and manufacturing expert known as the Strongest Link in Your Supply Chain. “Instead of recruiting, figure out how to attract your stars and the rest will follow.

“Stars expect leaders to deal with poor performers, provide interesting work and opportunities, care, and have high expectations. Companies with superior leaders retain their stars and are better at attracting key employees. In addition, younger generations expect significantly more flexibility and short text communications. Businesses will have to pivot to thrive,” she adds.

Younger Talent Responds Positively to Character and Competence

“Millennials and Gen Z are the same as any other generation. Skilled workers in every generation want the same thing—honest and forward-looking senior managers,” points out Steven Hunt, founder of Steven Hunt & Associates, and an expert advisor to top management on how to close the gap between strategy formulation and implementation in global companies.

“The big change is that younger talent doesn’t stick around if senior managers fail to deliver,” he adds. “Loyalty wavers when the company culture is toxic.

“To win over and keep talent,” Hunt says, “top managers need character more than charisma. That’s leadership with backbone, principles, and substance. Forget the charm offensives. Drop the addiction to flash-in-the-pan ideas. Companies need to prioritize having competent managers at the top, not confidence-tricksters or, worse, narcissists and damaged egos. Get the culture right and talent retention follows.”

Listen More and Hold off on Making False Judgements

“In order to attract the best Millennial and Gen Z talent, promote your employer brand with a strong social media presence and careers page. Make sure you clearly communicate the values, purpose, and culture of your company.” says Dr. Maynard Brusman, a San Francisco Bay Area consulting psychologist and executive coach.

“Listen closely to what they say, and refrain from making judgments about their ideas, values, and behaviors,” explains Dr. Brusman, “They often do things differently, and may have different values and perspectives on their future.

“To win the hearts of younger workers, companies and employers must highlight their efforts to be good global citizens,” Dr. Brusman. “Actions speak louder than as sustainability, climate change, and diversity.”

The More Things Change, The More They Stay the Same

Generational suspicion and distrust has been with us since at least the days of Socrates, according to Linda Popky, president of Redwood Shores, CA-based strategic firm marketing firm Leverage2Market Associates, and author of the book Marketing Above the Noise: Achieve Strategic Advantage with Marketing That Matters.

“Today’s more seasoned managers need to remember they, too, were once in the position of not fitting in with their older leaders,” Popky says. “The crucial difference today is the technology that not only offers many more ways to communicate, but provides a platform for anyone with a mobile device to tell the world exactly what they think at that moment.

“The key to success is to not focus on what’s different, but to identify where the commonalities are,” she adds. “People of all generations want to feel part of the team and appreciated for their contribution. The question is how to do that effectively with team members of diverse backgrounds and talents.

The Right Question for Today’s Talent

“You have to ask the right question first: Does the talent have to be replaced?” said SAC Founder Alan Weiss, PhD. “Don’t mindlessly replace people who were doing yesterday’s work for tomorrow’s needs.”

Originally posted on SAC website: December 1, 2022

The post SAC: Start at the Top to Retain Millennial and Gen Z Talent appeared first on LMA-Consulting Group, a supply chain consulting firm.

SAC: Mentoring Keeps Smart Companies Competitive in Today’s Market

admin — Mon, 01 Aug 2022 14:22:25 +0000

CLAREMONT, CA—Gone are the days of old-timers spouting wisdom to the young guns. Mentoring today has a key role in the development and retention of top talent, according to The Society for the Advancement of Consulting® (SAC). Successful companies are setting up highly flexible mentoring systems to meet specific business objectives and using well-trained mentors to help retain talent.

Top Talent Scarcity is Less in Companies with Mentors

“Our most successful clients are no longer relying on hiring talent. Instead, they are focused on developing talent,” points out Lisa Anderson, president of Claremont, CA-based LMA Consulting Group, Inc. and manufacturing expert known as the Strongest Link in Your Supply Chain. “Top talent is scarce. The successful clients focus on what will yield results and engage people. They are willing to dedicate the time and resources to mentoring, backed with focused training programs.

“Throwing money at the topic does not fill the talent gap,” Anderson claims. “Unfortunately, even high-quality training programs provide little value if not
accompanied with guidance and mentoring. The best clients are engaging internal mentors and hiring consultants who have ‘been there and done that’.

“Successful mentors provide immediate and constructive feedback, offer insights and suggestions, and create the environment for the employee to try new behaviors. When accompanied with targeted training sessions and opportunities to test ideas, success follows,” she adds.

Three Steps to Mentoring Heaven

“Decide what’s best for your company – a mentoring system or a mentoring program,” says Steven Hunt, founder of Steven Hunt & Associates, and expert advisor to top management on how to get workers motivated and focused on growth across global business units. “A system connects mentoring to a company-wide goal, like succession planning or cross-border collaboration. On the other hand, with a mentoring program, the mentor and mentee are free to set their own objectives.”

“Make sure your mentors know how to mentor,” Hunt advises. “Your mentor should know how to use the six key mentoring tools as a minimum.

“Give each mentor a supervisor,” he adds. “Even experienced mentors come up
against entrenched personality and behavioral issues. Like all good advisors, the mentors need a supervisor on hand to work these issues through. Without one, mentors will do more harm than good. One goal of mentoring is always to give high-quality advice to the mentee.”

Mentoring is Going Mobile

“Mentoring programs are failing in the remote and hybrid workplace,” says Sten Vesterli, advisor to business and IT leaders worldwide on how to maximize success with technology and avoid the pitfalls that kill technology projects. “They are failing because they were based on an implicit assumption of people being in the office. When mentor and mentee are in the same building, it is easy for either to initiate a conversation, and they might even meet serendipitously.”

“With increased remote and hybrid work, it takes discipline to ensure that mentoring conversations still happen regularly,” explains Versterli. “Left on their own, many mentors and mentees fail to set up appropriate systems, making it imperative that the company offers a non-intrusive way to encourage and track mentor-mentee interactions.”

Ways to Build Mentoring Relationships that Last for Years

“There was no formal mentoring program when I entered the workforce,” notes Kathleen McEntee of Kathleen McEntee and Associates Ltd, a full-service marketing firm focused on distinguishing businesses with practical marketing strategies and tactics that deliver results. “Mentoring typically took place on the golf course. Today, the good news is that mentoring is more prevalent. Yet many ‘programs’ tend to be formal and rigid.

“While new employees may have technical skills, they can use help in understanding the culture and how to interact with co-workers,” according to McEntee. “Mentors provide perspective and explain informal networks and hierarchies.

“First step, identify good prospects—those interested in sharing knowledge and helping others succeed,” she explains. “Provide a loose structure for meetings and check-ins, open doors and developing networks. Try to pair people from different departments and disciplines. Allow for relationships to develop and switch out if it isn’t working. Once in place, those relationships can last years. Mentoring is as valuable for the mentor as it is for the mentee—and, of course, for the company. It should be a win-win-win for everyone.”

Grow the People You Already Have OnBoard

While many organizations are struggling to find workers, others are wisely offering mentoring support to provide employees with a growth path within the organization, according to Linda Popky, president of Redwood Shores, CA-based strategic firm marketing firm Leverage2Market Associates, and author of the book Marketing Above the Noise: Achieve Strategic Advantage with Marketing That Matters.

“Mentoring should be a two-way street,” she said. “In an ideal situation, both the mentor and the mentee learn and grow, and the organization prospers at the same time.”

“The key is to provide the right environment for the mentoring relationship to
blossom. The best mentors in the world can’t help their partners if they don’t have the opportunity to build relationships and work through issues and concerns in real time.”

Your Mentors are Your Productivity Builders

“Mentors who are outside of the hierarchical chain of command are great productivity builders for the company,” said SAC Founder Alan Weiss, PhD. “Every employee occasionally needs a wise word from a respected source. I’ve been coaching top executives for decades, and even they need it—but they have to run to the outside for honesty and candor.”

Originally posted on SAC website: August 1, 2022

The post SAC: Mentoring Keeps Smart Companies Competitive in Today’s Market appeared first on LMA-Consulting Group, a supply chain consulting firm.