In the dynamic landscape of business, where technology rapidly evolves, it’s easy to overlook the most critical factor: people. While cutting-edge technology is essential, it’s the individuals within an organization who are at the crux of innovation, adaptability, and ultimately business success.
Human Capital: As Important as Working Capital
There is no doubt that the digitization of supply chains has allowed us to maximize business profits through providing rich, personalized customer experiences. Yet 90% of people still prefer a degree of human connection, and as far as technology is developed, it won’t be replacing humans any time soon1.
While working capital provides liquidity and meets financial obligations, human capital—your employees—bring creativity, critical thinking, and problem-solving skills, making them essential for the day-to-day functioning and long-term growth of a company. Where technology can become obsolete over time in the face of new advancements, the skills, knowledge and expertise of a well-trained workforce will endure.
The Power of Continuous Learning
Continuous learning and development initiatives keep employees updated with industry trends and best practices.
At TMX, the success of our company is a reflection of our skilled and motivated workforce. Our employee’s expertise, dedication and passion cultivate a productive workplace, leading to increased work quality output, customer satisfaction, and higher profits.
Learning and development programs generate 218% higher income per employee than those without formalized training2, seeing an overall 24% higher profit margin for the company3.
Throughout my years within Learning & Organizational Development, I have come to learn that when organizations genuinely focus on People First as a purpose rather than simply a slogan, they generally become more successful and profitable. While technology is crucial, it is the people who are at the cornerstone of a thriving and growing business.
Technology vs. People: Finding the Balance
Establishing a learning organization fosters a culture of improvement, innovation, and adaptability. Effectively training employees on how to use new technology has a greater impact on profitability than the tools themselves, where the integration of “higher intelligence across supply chains requires more skills and staffing to build and deploy AI and analytics solutions." 4
With that, technology needs to be set up correctly and understood by all users. When the technology is not properly implemented and integrated across the workforce, from shift workers through to executives, it can fail to provide the benefits that are expected. Hence, the value of continuous learning with our people where a culture 'on the job' learning is facilitated through peer learning and industry experience - something technology cannot do.
The Supply Chain Connection
When it comes to supply chains, people play a crucial role. If something goes wrong, a person is better equipped to fix it and communicate the issue. However, technology can address human challenges. The optimal approach? Leverage both skills - human intuition and technological precision to create efficient processes.
As technology evolves, our human workforce remains the cornerstone of progress. By focusing on people, we create a sustainable bridge between advanced technology and human understanding, ultimately shaping effective supply chains.