Women represent 40 percent of the supply chain workforce, which is a one-point decrease from 2023, according to new research from Gartner and AWESOME.
Gartner’s ninth annual Women in Supply Chain survey revealed that gains were achieved in frontline roles, but there is a need for chief supply chain officers (CSCOs) to recommit to goals, inclusive leadership and accountability – otherwise the progress of previous years may be erased.
Dana Stiffler, Distinguished VP Analyst at Gartner said it was anticipated that momentum would continue and women’s representation in supply chain would increase in 2024.
“We expected more ambitious commitments, stronger supply chain leadership and greater accountability,” she said.
“Instead, the percentage of women in the supply chain workforce and across all levels has remained roughly the same.”
Dana provided three primary factors behind the one-percent decrease in progress:
Lack of formal goals: the survey revealed that 70 percent of supply chain organisations have an objective or goal to increase the number of women leaders in supply chain organisations, but only 29 percent have direct accountability for this goal on their management scorecards. This represents a decrease of four percent from last year.
CSCOs aren’t leading their own initiatives: according to the 2024 study results, there is a distinct shrinking of direct supply chain leadership engagement and action, with CSCOs relying more on HR to run DEI for their organisation.
Less focus on pay equity: it was discovered that a lower percentage of supply chain organisations have a plan to close pay gaps, while a higher percentage of respondents said they have no plans to close their gaps.
Warning that if decreased commitment continues, flat or diminished progress will likely result in 2025, Dana suggested that CSCOs must recommit to inclusion, equity and representation in order to move the needle.
“To improve outcomes across levels, leaders should prioritise inclusive leader development, followed by development of women at middle and lower levels, and reduce bias in recruitment processes,” she said.
Compensation is also important, with Gartner’s 2Q24 Supply Chain Talent Monitor research revealing that compensation continues to be the number one attraction for supply chain professionals.
In fact, just 34 percent of people in supply chain said they are satisfied with their current compensation.
“Failure to demonstrate pay equity, combined with reduced flexibility in work policy, is degrading many companies’ employer brands, with women among the most affected. This hurts pipelines and puts supply chain performance at risk,” said Dana.
On a positive note, of the organisations surveyed that have frontline workforces, respondents indicated that more than one in three (36 percent) frontline employees are women, which is up five points from 2023.
This is attributed to general employee engagement and work flexibility effectiveness (38 percent and 37 percent, respectively), followed by investments in pay equity (32 percent), recruitment (31 percent) and developing inclusive leaders (30 percent).
“Since frontline work experience is often a determining factor in promotion to senior roles, the improvements we’ve seen this year should mean that there will be more women leading manufacturing and logistics organisations in the future,” concluded Dana.
“Subsequently, women will rise to more CSCO and COO roles. When you see more women at every level in an organisation, it indicates that the employee value proposition (EVP) is more attractive to a broader pool. It’s a litmus test for EVP competitiveness overall.”
