In the dynamic landscape of the Indian warehousing market, the true catalyst for success lies in the power of people. Corporates, startups, and industry veterans are recognizing this fundamental truth and are innovating their approaches to attract new talent while retaining their existing workforce. Let’s delve into the transformative initiatives shaping the human-centric strategies in the realm of Indian warehousing.
With the logistics and warehousing sector projected to grow at a CAGR of 12% to a sum of INR 2,069.6 billion by 2027-28, creating an estimated 9.8 million new jobs, plus there is a significant emphasis on long-term hiring practices. With the increasing shift towards online shopping, the demand for staff in distribution warehouses is also on the rise.
Patterns in Recruitment for the Warehousing industry
Over the years, the warehousing industry in India has evolved from storage space to highly sophisticated warehousing and logistics systems. This transformation has resulted in the increase in average size of Grade A warehouse by 2x and volume by 3x in India. Post the COVID pandemic years of 2021 onwards, India has seen a 21% year-on-year growth in the Grade A & B warehousing footprint, & this has predictably led to similar growth in hiring for key roles in the warehousing sector and allied specialisations like cold-chain logistics and omni-channel retail fulfillment. Sustainability also drives a specific culture across the companies, going green is no longer just another initiative; it is now everyone’s duty.
Automation, Robotics, and IoT are gaining inroads in most warehousing companies in India, and these cause a delayed follow-on effect on recruitment and upskilling of staff. While delivering efficiency remains vital for all brands, there are certain roles best suited for well trained and motivated staff guided by a capable leadership.
Nurturing Talent for Long-Term Success in Corporates
Recruiting and retaining valuable employees is “all about brand and culture,”. Major corporations in the warehousing sector are redefining their talent strategies to create an environment conducive to sustained success. A key focus is on dynamic work arrangements that prioritize employee well-being and a clear value-add to the company as well as the individual. Flexible schedules, variable pay schedules and remote work options are being implemented, acknowledging the evolving expectations of the workforce. Government initiatives that will help in increasing the employment rate in the logistics industry include the Production Linked Incentive scheme, aimed at improving production in India.
Furthermore, corporates are investing significantly in comprehensive training and development programs. This not only equips employees with the skills needed for efficient warehousing operations but also fosters a culture of continuous learning. Career growth opportunities, mentorship programs, and a supportive work environment are integral elements in retaining skilled professionals.
Embracing technology, corporates are incorporating innovative tools to streamline operations and enhance overall efficiency. This not only makes the work more engaging for the workforce but also positions the companies as industry leaders in embracing modern solutions.
Agility and Innovation, Redefining Work Culture in the Startup scene
Startups in the warehousing sector leverage their inherent agility to attract and retain talent through innovative work culture initiatives. Beyond competitive salaries, startups are offering unique perks, such as creative workspaces and flexible work hours. Collaboration and a flat organizational structure are common in startups, fostering an environment where every team member’s contribution is valued. This approach appeals to individuals looking for a dynamic workplace where their ideas are heard and implemented swiftly. Increasing focus on urban logistics sector as the market is shifting towards on-demand solutions with rapid deliveries to end users, seeing an uptick in local gig-type hires for these brands offering hyperfast & hyperlocal deliveries, thus making the brand a truly local name.
Employee Retention, a Challenge?
Retention is defined as the process by which a company ensures that its employees feel valued at their organization, realise their contributions & thus don’t quit their jobs. It also goes beyond the employee. Do they feel connected to their team? Do they feel connected to the company? When employees feel engaged and connected to their manager, their team and their company, it’s less likely they’ll be looking for another job. Even improving the employee turnover percentage by 1%, it potentially saves the company lakhs in lost revenue and productivity.
HR teams of leading warehousing companies manage this by meaningfully challenging the employees, enabling them through relevant training and certifications, creating an environment of trust and openess and giving a clear succession plan for the future.
Mentorship and Skill Development by Veterans of the Industry
Seasoned professionals in the warehousing industry are taking the lead in nurturing the next generation of talent. Mentorship programs, knowledge-sharing platforms, and specialized skill development initiatives are being actively promoted by industry veterans. Recognizing the value of continuous learning, they aim to create an environment that not only retains experienced professionals but also grooms the workforce for future challenges.
The emphasis on mentorship goes beyond skill development. Industry veterans are sharing insights and experiences, contributing to the overall growth and resilience of the sector. Their approach is not just about retaining talent but also about building a legacy of expertise that transcends generations.
Conclusion: A People-First Approach to Warehousing Success
In conclusion, the power of people is emerging as a defining factor in the success of the Indian warehousing market. Corporates, startups, and industry veterans are embracing a people-first approach by introducing dynamic work arrangements, fostering innovation, and investing in the continuous development of their teams. As the industry evolves, it is the human-centric strategies that will serve as the driving force behind sustained success in the competitive world of warehousing in India.
