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Recruiting 2020:

Redefining Talent Acquisition in the Supply Chain and Manufacturing Industry

Recruiting in the Age of Talent Shortage

Redefining Talent Acquisition in the Supply Chain and Manufacturing Industry

01

The Importance of Supply Chain Skills

There is a clear and present financial cost to unfilled jobs.

02

Finding Leaders in Manufacturing page

Great talent means great leaders. Without it, companies cannot grow.

03

Optimizing the Hiring Process page

Compensation and Benefits Are the Least Common Predictor For a Candidate Choosing You.

04

Positioning Your Company for the Future

Developing your top talent closes the shortage gap.

05

Recruiting in the Age of Talent Shortage

01

Redefining Talent Acquisition in the Supply Chain and Manufacturing Industry

3 min read

Talent looks a lot different than it did 15 years ago.

Manufacturing and Supply Chain continue to transform with the advances of systems and automation. An estimated 47% of human-operated positions in manufacturing are at risk of automation within the next twenty years. In spite of these changes, there is a growing shortage of skills. Companies are struggling to fill necessary jobs with the right talent.

Globalization has forced industries with high labor cost to either outsource their manufacturing or highly automate their processes. Those trends have thrown a wrench into traditional manufacturing and have shifted the skills needed to be successful.

HR, recruiters and hiring managers are suffering under escalating talent shortages. The demand for traditional skills has transitioned to skills for systems, programming, machine technology and continuous improvement.

Skills that deal with automation, big data, and developing and utilizing systems, are needed. It takes a specialized and personal recruitment strategy to identify and attract candidates in this fiercely competitive market.

The Demand for Skills

Many traditional manufacturing jobs have been replaced by the continued advancements of technologies and machines. As these changes progress, new skills are required. Expertise in automation, continuous improvement and analytics are becoming an essential need for manufacturers.

While new technologies can improve efficiency, it requires humans to interpret data and turn it into actionable intelligence. As talent shifts, so does the method we need to recruit candidates.

A Short Supply of Talent

In 2020, the U.S. is expected to have a talent shortage of 23 million qualified employees. The shortage can be felt across all industries. Companies are forced to find innovative methods to highlight their value proposition to attract qualified talent.

Recruiting to fill an unexpected vacancy has become extremely challenging in today’s economic climate. Successful recruiters nurture and develop relationships with top talent before they are needed. This creates an effective solution to filling vacancies with urgency.

In an economy where everything moves quickly, developing a pipeline and a pool of talent to choose from is crucial. When the moment comes where you need to fill a role, your active talent network will be available to you.

The only true solution is through innovation.

The Rising Cost of Expertise

Talent is hard to find, and this raises the stakes for everyone. Companies are competing with one another and the cost for talent is increasing. The only thing more costly than an open role is a role filled with the wrong candidate.

In his book David and Goliath, Malcolm Gladwell says, “Giants are not what we think they are. The same qualities that appear to give them strength are often the sources of great weakness.” The rapidly changing industry presents many new challenges, but it also reveals the key to strength in this new arena: innovation and adaptability

Innovation for talent acquisition means redefining who we are looking for, where to find them, and how to develop them.

Today, candidates don’t look to simply fill an empty role that pays their bills. They pursue the “what” and “why” a brand or organization stands for. When recruited, candidates look to become part of something bigger where their contribution is valued. To reach those candidates you need a personalized recruiting method that can connect with candidates on an individual and emotional level.

The Importance of Supply Chain Skills

02

And Why They Are at Risk

4 min read

There is a clear and present financial cost to unfilled jobs.

The demand for supply chain professionals exceeds the supply by a ratio of at least 6:1, although some experts predict it could be as high as 9:1. As Baby Boomers retire, the supply of talent continues to drop. Learning to retain current employees is as important as recruiting more talent..

Unfilled positions are expensive. A study from Deloitte found that it can take up to 94 days to recruit for high-skill roles, and it can take 70 days to fill openings in unskilled production. A report done by Indeed estimates that 160 billion dollars are lost annually to the potential value of unfilled jobs in the U.S. It can be expensive to fill these vacancies. Companies are often tempted to take their time if they cannot find the “perfect” candidate, but doing so can be an even costlier decision.

Passing on highly qualified candidates to hopefully find an even better candidate is the downfall of many unsuccessful recruiting efforts.

Retainment Drops

When a role goes unfilled, the responsibilities and expectations of that position get spread out among other employees. Most companies often fail to even delegate and communicate those tasks. As a result, employees and operations begin to stretch too thin. An operation designed for a certain amount of people now has a void.

Like all machines, the lack of a crucial component will result in deficiencies and can lead to damage. These events cause stressed and frustrated employees. Companies can suffer low morale and an increase in turnover.

Higher turnover means higher acquisition costs. The price also rises with the time it takes to train employees and for each one to pass the learning curve months later. Costs go up when retainment goes down.

To increase retainment, businesses can invest in their team. A program that provides training and up-skilling for a team will provide value and longevity to them. This will ensure positive growth for companies.

Growth Begins to Slow Down

Companies can only grow with the right team. When a team is stretched thin with vacancies it is not growing. It is trying to survive. Chasing talent that doesn’t exist does not equip a business for success.

There is a Future for Supply Chain Skills

About 79% of companies with high-performing supply chain skills experience greater revenue growth than their counterparts. This success has been attributed to effective leaders in management positions. The growth of a company depends on the skills of its leaders.

Supply chain skills determine the future for organizational growth. With talent shifts caused by technology and innovation, there are several skillsets that prove to be essential for talent. Below is a list of the most relevant skillsets:

Data Analyses Skills The right team is able to analyze and interpret data in order to build a more effective process.

Automation Skills As the future moves towards machine learning and seamless operations, the industry needs more specialists to design and manage the systems that make it possible.

Project Organization Skills Critical thinking, organization, delegating tasks, and dividing tasks to the right people to reach deadlines are all vital.

Accounting and Cost Management Skills Knowing which products are at high risk for losses and which are profitable is crucial.

Financial Literacy Finances are all about the future. The right manager can find areas of improvement and make the best strategic decisions.

Online Commerce The need for skills in online business skyrockets every year. As brick and mortar stores close, online stores open by the hundreds. Online operations have eliminated the need for physical spaces and have made the world even more accessible.

Conflict Management and Ethics When a business has unresolved conflict, productivity and innovations become stagnant. The right leader can develop a healthy environment.

Finding Leaders in Manufacturing page

03

Finding Leaders in Manufacturing page

5 min read

Great talent means great leaders. Without it, companies cannot grow.

Traditional jobs continue to be automated. The future for manufacturers is in leaders and decision makers. Quality decision and innovation will grow and improve businesses. Emotional intelligence is also a necessary factor for success.

The Difference Between a Manager and a Leader

Managers facilitate and manage what already exists. Leaders create positive change. When there are bottlenecks in the manufacturing process, it is a leader who must innovate for a solution. A manager can be a leader at the same time, but the two roles, while both necessary, are distinctly different. In a shifting industry, leaders are needed to navigate the changing waters.

Critical Thinking

While automation completes tasks, experienced leaders identify areas of opportunities. They have a set of issues and problems at hand and they can make a decision that benefits the company and its team. Machines are efficient and can lower labor costs. But when faced with a challenge, they can be of little help. Leaders are problem solvers.

Thought Leaders

The right leaders are visionaries. A good leader appreciates the immediate present while at the same time seeing the big picture. Imagine having a company full of leaders on every level. They would improve the business beyond the executives' ability. Leaders consistently look for ways to advance operations.

Integrity in Leaders

Character and integrity, while often not weighed as much as hard skills, are just as significant. In the manufacturing industry, it is important to have leaders who are trustworthy. These team members have a strong work ethic and are committed to excellence.

Assertiveness in Leaders

Have you ever felt as if everything hinged on you? Assertive leaders produce results on their own. When you make vision and leadership part of everything you do at work, your efforts are rewarded in dividends. 9 | Page Recruiting in the Age of Talent

Leaders Add Value to People

Leadership expert, Dr. John C. Maxwell, defines leadership as influence, and to influence, a leader must add value to people. In his book, Intentional Living, he defines seven qualities in adding value.

Availability. A leader chooses to spend time with others.

Listening. A leader listens to common ground.

Questions. A leader is interested enough to ask questions.

Thoughtfulness. A leader thinks of others and how to connect with them.

Openness. A leader lets people into his or her life.

Likeability. A leader cares about people.

Humility. A leader thinks of himself or herself less so that he/she can think of others more.

Adding value to the people in your company lifts it to its fullest potential. Good leaders know that a hard-working, efficient team is the reason for any business success.

Finding the Right Leaders

When hiring and finding talent, recruiting the right leaders means everything. Although AI solutions for recruiting talent may grow, only a human and personal connection can identify leadership qualities and emotional intelligence.

An employee can have the right qualifications, but if he/she lacks these essential leadership qualities, manufacturing companies will not have the top talent needed to excel and accelerate growth.

The best path to future success is innovation through an effective talent acquisition process. The problem with letting computers and systems do our recruiting for us is that they can be manipulated. Today an industry of resume writers already exists that specializes in writing resumes that can pass the AI check. A diligent and effective talent acquisition team uses human emotional intelligence and results-producing processes to find the top talent amid the supply shortage.

Valuing Potential Not Just Qualifications

The talent pool hasn’t gotten smaller, it’s shifted.Talent acquisition has to be creative.

Traditionally, HR and recruiters have looked at resumes with standards and guidelines on how to find qualified talent. These conventional qualifications include: college degrees, years of experience, certificates, relevant industry experience, and more.

But with the shortage of talent, successful recruiters now evaluate resumes differently with an open yet critical-thinking mind. Does a college degree really predict future success?

It’s Not What They Know, But What They Can Do

Because of the crippling costs of student debt, more high school graduates choose to skip college altogether and join the workforce right away. A college degree means you’ve been educated. While that is important in technical fields, it doesn’t guarantee success. In fact, there can be more qualified candidates who didn’t go to college. These “sleeper candidates” gained the experience necessary to master the knowledge of their craft through hard work.

Choosing Potential

Innovative talent acquisition starts with identifying potential. If you are willing to look at talent pools from nontraditional sources or complimenting industries, your chances of finding top talent will increase. If you find a humble and confident candidate, you can develop him/her into the right talent you need to provide the best value to your business.

The Right Mix of Character

Good Character is Important! Three key factors to consider when evaluating candidates are – 1) Are they humble? 2) Are they motivated? 3) Do they have an open mind that's willing to learn? If a candidate shows these signs, he/she shows true potential. Ask yourself: Is it better to work with someone who doesn’t fulfill all requirements but has the right mix of character or somebody who might check all the boxes but is destructive towards your company culture?

Keys Questions to Identifying Potential

Do they put others before themselves? Servant leaders value people, creating a strong healthy team.

Are they willing to learn? If someone thinks they know everything, run away. Good talent recognizes that we generally know very little and that there is always something new.

Do they show signs of assertiveness? Without that energy, very little can be accomplished. You need someone who is a self-motivated problem solver.

Have they committed to a goal and accomplished something from it? Many like to talk about success. But have they completed something themselves? Accomplishments show someone has an organized, motivated character.

Are they results-focused? If your candidate doesn’t produce results, then maybe you should look elsewhere.

Do they embrace change? Change means innovation. Without change, there is no growth.

Do they have the raw skills needed to grow into top talent? Your candidate needs the foundational skills to be competent.

Do they have a passion to grow? Candidates that are looking to grow will be motivated and try to improve not just themselves but the environment around them.

Do they have a strong sense of who they are? A lack of identity is a sure sign for poor emotional intelligence and a shaky character. It doesn’t mean they aren’t a future-fit, it just means they might need some additional time.

Optimizing the Hiring Process page

04

Compensation and Benefits Are the Least Common Predictor For a Candidate Choosing You.

5 min read

Business operations have to be efficient to produce maximum results. The same is true for hiring. Often, companies lose their potential to recruit top talent because of a bottleneck within the hiring process. Creating an effective hiring process requires key steps to have a successful output.

Partner with a Specialized Recruiting Firm

While it’s common to connect with a recruiting agency, it’s even more vital to find one that understands your business and hiring needs.

Find a firm that takes the time to understand your business and unique requirements and builds a custom recruiting strategy around those needs. Successful specialized recruiters do just that – they find and attract hard-to-acquire passive talent that is the right fit for your organization.

Partnering with the right talent acquisition firm all comes down to the results they can provide for you. A firm with industry experts that truly understand your needs will be able to provide you with the candidates you require. They have a developed, highly efficient process to connect you with top talent.

Become the Company You Need to Be

It’s easy to want the best candidates. It’s much harder to be the company that can attract the best people. Top talent will want to work for top companies. This doesn’t mean a business needs to be the most profitable to get top talent, but it does mean that it needs to have a company culture that is welcoming.

Imagine a culture that offers attractive incentives, has a purpose and gives leaders the creative space to lead and innovate.

Talent agencies provide market feedback and help identify what candidates are looking for in their next career step. A top recruiting agency will be able to highlight and match a company's full value proposition to potential candidates.

When a hiring manager meets a candidate, he/she values the first impression the most. Many decide within the first few minutes based on how the candidate carries him or herself. What many managers forget is that they are also creating a first impression.

Make the Hiring Process Enjoyable

The current economic climate is one where companies are competing for talent, not the other way around. This gives talented prospects the upper hand. They will be paying close attention to how they are treated during the interview process.

Are you making the process clear, simple and enjoyable? Does your staff welcome the guest that’s being interviewed?

The Chief Economist for Glassdoor, Ander Chamberlain, wrote in the Harvard Business Review that “… the top predictor of workplace satisfaction is not pay: It is the culture and values of the organization, followed closely by the quality of senior leadership and the career opportunities at the company."10 Not only did he point out the top predictors, but he also stated that the least likely predictor out of the top six analyzed was compensation and benefits.

Many of the predictors will be noticed during the hiring process. A company's process will be the biggest determiner on whether a candidate chooses you over somebody else.

Developing a personalized hiring process give companies the cutting-edge on acquiring new talent. Talent acquisition firms can help you streamline your recruiting process and ensure that candidates get the personalized process they expect.

Positioning Your Company for the Future

05

Positioning Your Company for the Future

2.5 min read

Developing Your Top Talent Closes The Shortage Gap

Talent retention is key! The best way to make sure your company culture stays strong is to ensure your top talent stays with you. Identifying future talent and connecting with them early can help your organization build your talent pool from the ground up.

College Internships

Internships are often not utilized enough. When done with intentionality, companies gain lower-level labor that develops into a pipeline for the future. When an intern has entered a program multiple times through their college career, they will be equipped to join the company. This is much more effective than just hiring a new college graduate.

With the talent shortage, a company's interns will have the confidence to choose you rather than a competitor because of the relationships and experience already established.


Apprenticeships

With rising student debt and more young people skipping the traditional educational routes, apprenticeships are a great way to develop candidates with potential. These canidates enter the program with intentions of joining the company.

Workshops and Community Events

Finding ways to generate interest in the community and finding already-qualified candidates can create another avenue to a potential pool of talent.

These events are focused on adding value to the community and the attendees. It creates a network of interested individuals in the supply chain field, along with experienced professionals. The bigger the community network, the more access companies have to qualified candidates.

Guest Lectures at High Schools or Local Colleges

This is a long-term strategy. But it also reaps rewarding results after only a few years. When a company sends its leaders and employees to invest in students through lectures, classes and learning events, they increase interest in the field. This also increases interest in the company. It’s giving back to the community while also investing in the future. Many students do not know there are high-paying talent demands. All they need is someone to introduce opportunities to them.

By using creative methods to invest and develop in a talent pipeline you ensure that your company will always have the right pool to choose from, no matter the competitive climate.

Partnering with the right talent acquisition firm will ensure you can create an effective program.Your outside recruiting partner can help you formulate a long term strategy that will develop the talent you are looking for..

“Trust Only Movement.”

– Dr. Alfred Adler

While the talent shortage has inflicted various challenges in the manufacturing and supply chain industry, there are still effective ways to recruit the top talent necessary for growth. By understanding the importance of growing and in-demand skills, companies can create ways to fill the need.

Successful businesses need to find ways to increase employee retention, utilizing their resources for longevity. Finding the right leaders that can create a positive company culture and develop the existing talent is vital.

Placing value on candidates with high potential can create an entirely new and promising talent pool for top talent. When a company follows these steps and optimizes their hiring process, they have the potential to become an attractive choice for a candidate when choosing his/her next career step.

When the manager creates a developmental program to invest in future talent, he/she/they can altogether avoid talent shortages in their industry by creating their own pool.

Whether or not all these factors work together to create a promising team of top talent depends on one thing: innovation. Without a proper foundation, process, and recruitment strategy, any company is in great risk of suffering from the lack of available talent. On the other hand, a company can create opportunity for growth by understanding how to recruit new talent and retain the talent that is already present.

While AI recruiting solutions have proven to be a growing choice, their current potential is limited. AI programs are lacking the emotional intelligence required to identify top talent in today’s economy.

Effective recruiting agencies focus on human relationships and can evaluate soft skills such as character, cultural fit, and social skills. This allows them to identify the best candidates in the industry. Through the growing talent shortage, creative means of finding candidates have proven vital to finding quality leaders and employees that can add value to companies.

What We Believe

At SCOPE Recruiting, we believe that employee engagement and retention starts with the hiring process. We have developed strategies to ensure a coherent and effective process that highlights each organization’s virtues and value proposition. Open positions are costly and hamper productivity no matter the role. Filling openings with highly qualified candidates that fit and excel in a company’s culture is our prime priority.

As one of the premier supply chain recruitment agencies, we have worked with a variety of companies from Fortune 500 to start-ups, and we understand the different challenges that each of these businesses faces.

In the face of the talent shortage, we have experienced phenomenal growth and results for our clients. Our specialized process built on years of experience and a wealth of research has provided our partners with the right talent for their unique requirements. Through innovative methods and a high-performance team, we provide custom talent solutions to our partners nationwide. We believe talent is the greatest foundation for business success. At SCOPE Recruiting, we take pride in being a part of it.


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