The “Ins and Outs” of Improving Workforce Productivity

Strategies for Improving Workforce Productivity
The demand for additional distribution labor is increasing as companies react to increased activity levels resulting from the recovering economy, which is likely to increase exponentially in the next five years,

The short supply of semi-skilled labor and a steady growth in US labor rates has caused significant concern for senior executives in the logistics industry.

The recent recession forced companies to scale back and now that the economy is improving, the decision to add labor back into the distribution center is a tricky one.

In an effort to control labor costs and react to fluctuating market conditions, many firms are employing staffing agencies or “temporary labor” as a means to increase their workforce. Other companies have followed the advice of management consultant Peter Drucker, “Do what you do best, outsource the rest.”

Assessing Your Workforce Staffing Strategy
So what alternative is best for your company? Should you do your own recruiting, use a staffing firm, or outsource all or part of your distribution business to a third party logistics firm?

Should you invest in workforce optimization programs as a way to improve productivity and utilization?

Is there a way to get a tangible return from that investment and can it be measured?

To answer these questions, you must first assess your own workforce staffing strategy. Over the past 27 years of implementing performance solutions, TZA has observed and worked with hundreds of companies that face this staffing dilemma.

This white paper compares the pros and cons of using a temporary staffing firm, employing a managed services/insouring vendor, or outsourcing to a third party logistics company. Find out the cost, risks and benefit of each approach…and which strategy best fits your current workforce performance level.