Women Mean Business: Gender Diversity in the Supply Chain
by Staff, on Dec 6, 2024 1:53:43 PM
Food companies may be wrestling with the “Great Breakup” (the trend in the past two years of women leaving their job for more fulfilling work or the workforce altogether), yet the urgency for more gender diverse organizations has never been so apparent. A recent Women in Supply Chain Survey, conducted by Gartner, underscores four key findings.
First, there are more women in supply chain than ever. According to Gartner’s report, women account for 41% of the workforce in the supply chain industry, although the gender gap grows in leadership positions. The survey found that women hold only 15% of executive roles in the supply chain sector.
Second, women are noticeably more absent from the front line. For many Chief Supply Chain Officers (CSCOs), frontline teams in manufacturing and logistics form the cultural heart of their supply chain organization. Yet in 2022, more than a third of employers reported attrition rates over 20% for frontline workers, compared to just 13% of employers reporting the same high attrition rates for desk-based workers. If CSCOs can hire and retain more women, this larger labor pool provides a major competitive advantage. In addition, the employee value proposition food companies craft to attract and retain more women will be more attractive to everyone: Gen Z and the caregivers of all genders, to name two key demographics.
Third, mid-career attrition among women in supply chain positions remains a challenge. According to the survey, greater compensation is the top reason women leave the supply chain organization at all levels (particularly mid-career), while lack of career opportunities is the second largest reason. Gartner recommends partnering with HR to uncover pay inequities in your organization, develop a plan for bridging any gaps, and determine what information you are able to share publicly to improve pay transparency.
Lastly, organizations experiencing progress in gender diversity cite leadership inclusion, intentional recruiting and professional development for women. Approximately 70% of supply chain organizations have established gender diversity objectives and 17% rely on enterprise-wide DEI initiatives (a decrease from 29% in 2022).
Ways to Drive More Gender Diversity
There are a number of areas involving specific corporate initiatives that currently drive more gender diversity in the industry, according to the “Top Companies for Women to Work in Transportation recognition program,” which is deployed each year by Redefining the Road, the official magazine for the Women In Trucking Association. These areas range from creating a corporate culture that supports and encourages gender diversity, flexible programs and policies that accommodate family and life balance, competitive compensation, benefits, and continued professional development and training.
According to Jennifer Hedrick, CAE, President and CEO of the Women In Trucking Association, some emerging trends in these areas are:
- Strategic and intentional recruitment of women, which could include reshaping the interview process or removing gendered language from job descriptions
- Professional development programs focused on more inclusive leadership
- More active employee engagement among women and male allies, which could include investments in employee resource groups (ERGs). Advanced learning and professional development programs specifically designed for women.
Understanding the Gender Gap in the Supply Chain Industry
For a long time, supply chain management was viewed as an outgrowth of blue-collar professions. As such, the majority of people in leadership roles were promoted from the shop floor. Men typically held most of the transportation and front-line warehouse positions and\ therefore were most likely to become leaders in the field. What’s more, educational opportunities were limited, making it even more challenging for women to climb the ranks of the supply chain industry — and even enter the field itself.
Companies in the consumer goods and retail supply chain spaces had only 25% of Vice President roles filled by women. Overcoming the significant gender gaps that exist in the supply chain industry will be critical for food business’ success and more agile supply chains.
Related Articles:
- Workforce of the Future: Diversity, Equity, Inclusion
- Navigating the Labor Shortage by Understanding Generational Differences
- Recruiting and Retaining Talent: “Find Your Why”
- PepsiCo: A Closer Look at ESG Supply Chain Priorities
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