The Talent Imperative to Ensure Long-term Reshoring Success

Companies Need to Ensure They Attract the Right People and Keep Them on Board.

While the labour market has stabilised, food logistics companies cannot rely solely on recruitment to achieve successful reshoring. Lasting success will require innovative training, upskilling, and retention strategies that engage employees at every level—from frontline workers to senior leadership.

7 Ways You Can Stabilise Talent and Reshore the Right Way

1. Evaluate labour costs and labour availability when choosing locations.

   High employee turnover carries hidden costs: lower productivity, burnout, and the substantial expense of replacing staff, which can run 50 to 200% of their salary. Retaining employees with competitive pay is more cost-effective than constant replacement.

   Reshoring often falters due to challenges in sourcing and sustaining qualified talent. Evaluate the local labour market independently for every role, including leadership, rather than relying on official claims. Also, recognise that successful recruitment and onboarding methods abroad may not translate to new regions. Leaders must be able to build and optimise teams with strategies tailored to the local context.

2. Adjust incentives as needed to minimise churn.

   HR leaders in food logistics often develop robust onboarding and training programmes out of necessity and keep employees on board through a training period. But as time passes, you may need to adjust incentive time triggers. If the time horizon is too long, employees may not be around long enough to receive the incentive. Keep an eye on employee turnover and retention data.

3. Be flexible during training periods to keep high-potential employees on board.

   High-potential employees are special, so acknowledge their value and give them a reason to stay. Reward them immediately, letting them know you see their potential. It may upset the masses, but if you lose low-performing employees as a result, so be it. The overall quality of your talent pool will rise as a result

4. Remember that talent follows talent, in and out the door.

   When you reward your most talented employees, they will let friends know your company is a great place to work, and referrals from associates are the fastest way to build an effective retention strategy and a positive workplace climate. When talented employees do not feel valued, word gets around, and when you lose key talent, other critical employees may follow. It is crucial to set the bar high and keep it there.

5. Make sure department leaders are not hoarding talent.

   Many HR professionals in food logistics are already focused on upskilling as a way to keep top talent. But be aware that some departmental leaders might allow seasoned high-potential employees to remain under the radar once their training is complete, simply to keep them engaged in daily operations.

6. Do not neglect frontline supervisors.

   Too often, companies focus on senior leaders and lack insight into the pressure on supervisors. Direct supervisors shape the on-the-job experience for employees, so it is important to ensure they have the time, training and tools to support employee success. Regularly reviewing supervisors’ responsibilities and analysing how they spend their time can help.

7. Commit for the long haul.

   Sustained effort over time is required to make sure a reshored operation continues to thrive. Once a reshored operation is established, it is crucial that leaders on site collect feedback and adjust to sustain initial success.

The cost of replacing an employee can be significant, so labour stability must be considered a crucial business objective, not just a siloed HR KPI. Our Shannon Gabriel shares with Food Logistics how implementing these strategies to stop churn and stabilise talent is imperative to achieving reshoring success.

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