RESHAPING THE FUTURE OF WORK

Hybrid Working and AI Among New Workplace Trends

Of all the seismic changes triggered by the pandemic, the shift towards more flexible working arrangements has undeniably had the biggest impact on our professional lives.

Most office-based positions in shipping and logistics now allow for some form of hybrid working whereby employees split their time between home and the physical workplace, a model that offers greater freedom and autonomy for staff and cost savings for companies.

“Since all the disruption, working partly from home has certainly become more common,” said Sarah Charles, cluster HR manager AMEA at Svitzer.

Regions: Global Problem: A sparse pipeline of talent could leave the project cargo industry with a large people hole to fill

Solution: Embracing modern hiring techniques and looking for experts from outside the industry could help fill the gap

“A lot of people now prioritize flexibility over salary. And it is something that companies have had to adjust to on a permanent basis. And if you want to attract talent, having that as an option, at least for certain types of positions, is just critical.”

By Simon West

Like most companies in the sector, Svitzer, part of the Maersk Group, has put into practice a hybrid working model where onshore employees have the opportunity to work partly in the office and partly from home, said Charles, whose regional HR department is responsible for recruiting and training some 1,400 employees.

“It allows you a better work-lifebalance, which usually means you are a better colleague and employee. Some have family commitments and the added flexibility might enable you to spend more time with them and still continue to work – it is a huge benefit,” Charles said. “Of course, not all workers in the shipping and logistics sector have the option to work remotely, it all depends on the specific role.”

At Geodis Freight Forwarding, the move to hybrid working has been “almost painless,” said senior vice president for projects, Luke Mace. “I can safely say that our customers have noticed no difference in the quality of our output,” he told Breakbulk.

Nor has the France-based forwarder had to make allowances to those unable to work remotely: “We have seen more of our employees missing their onsite or outdoor work during the confinement period than employees complaining about not having the opportunity to work from home,” Mace said. “There are elements of concern regarding over-working, and we are working towards ensuring that all our employees are aware that productivity and efficiency does also require an adequate work-life balance,” he added.

Singapore-headquartered AAL Shipping has implemented a “moderate form” of hybrid working whereby the heads of each office worldwide liaise with their own teams and propose rotas and solutions that best fit their regional regulations, cultures, colleague needs and business objectives – an approach that has been well-received by employees, said managing director Christophe Grammare.

But, he added, as more day-to-day communication switches to online, the challenge of “disconnection” remains. “AAL puts a lot of emphasis on creating those personal connections between our teams, either through formal exchanges with other offices, in-office days (a day where the whole department is in the office), visiting crews on board, visiting other global offices or taking part in informal activities and events like celebrations or sports,” Grammare said.

How to Become an ‘Employer of Choice’

Hybrid working is just one way that Covid has turned traditional employment models on their head. A report by research firm Gartner said the pandemic has had a “lasting impact” on the future of work, with organizations facing “historic challenges” including a competitive talent landscape, an exhausted workforce and pressure to control costs.

The report, which covers all sectors and not just shipping and logistics, identifies several trends to watch out for – how an organization responds could determine its status as an “employer of choice.” Among the work-related developments listed in the report is the pursuit of “nontraditional” candidates, a trend that has been catalyzed by the pandemic.

More than ever, employees are charting nonlinear career paths, with some 56 percent of candidates applying for jobs outside their area of expertise, Gartner said, with that figure slated to rise in the coming years. To fill critical roles in the future, organizations will need to become comfortable assessing candidates purely on their ability to perform the role rather than their credentials and prior experience, the report added.

Over the last four years, Charles has seen a number of candidates moving into shipping with no prior experience in the industry: “I personally think that is always a great idea – to get a bit of diversity of thought, bringing people in from different industries. And I think it is happening more and more,” the executive said. “Anything to do with tech, IT, decarbonization or green initiatives – the shipping industry is definitely hiring a lot of people from outside. If you want to bring about change, you have to do things differently.”

David Cohen, a London-based senior global talent alchemist at Alchemy Global Talent Solutions, also believes companies should be putting in the time and effort into pursuing nontraditional candidates, but questioned whether the fast-paced and demanding environment of shipping and logistics lends itself to such a practice.

“Most companies (in the sector) simply do not have the time or infrastructure to hire non-experienced candidates and provide them with adequate training,” the executive said.

A quick LinkedIn analysis of appointments at a major European forwarder over the last year appears to back Cohen’s thesis: besides internal promotions, the vast majority of its new hires came from direct competitors.

Importance of Soft Skills, AI

According to the Gartner report, while the pandemic has upended traditional models of work, it has also resulted in isolation and workforcewide erosion of “soft skills”, such as negotiating, networking, speaking confidently in front of crowds and developing the social stamina and attentiveness required to work long hours in an in-person environment.

Charles, though, believed such skills were actually put to the test during Covid. “Suddenly trying to put your point across or presenting virtually is a lot harder than doing it face to face. Negotiating, speaking with confidence, trying to articulate your point – you really need those skills to deliver on your role.”

The pandemic, meanwhile, has also driven innovation and the switch to digital: one of the trends featured in the Gartner report centers on the use of artificial intelligence and machine learning to help streamline the recruitment process.

AI-based software is increasingly being deployed by HR professionals to sift through large quantities of documents such as online resumes and social profiles and to quickly identify the best applicants for a job. The technology can rank and shortlist candidates, conduct video interviews and even scrutinize a potential employee’s demeanor, facial expressions and tone of voice to determine their suitability for a role.

Sven Hermann, founder and managing director of logistics consulting firm ProLog Innovation, believes many of the larger shipping and logistics companies are already using AI techniques as part of their selection processes.

“AI helps HR and recruiters discover talent, reducing the time it takes to get new employees onboard, and will extensively automate their workflow for more accurate, fair and efficient hires within the next years,” Hermann told Breakbulk

“By using AI-based recruitment platforms, companies can benefit from a more diverse talent pool and better uncover relevant soft skills as well as develop more successful matching processes. There are already a growing number of AIbased options and those will have a huge impact on how organizations plan their workforce, develop their employees and create the future working environment.”

Problems with AI

But some HR professionals speaking to Breakbulk questioned whether the AI-powered techniques currently on offer are suited to the sector. Charles said it was a “surprise” to hear that shipping companies were using the technology in their hiring processes.

“It is very handy for large organizations doing bulk recruitment – if you are setting up a call centre and you have got to hire 500 people, that is when AI would be really beneficial. For us, we still mostly hire in the traditional ways – through targeted adverts on LinkedIn for example, or we reach out through CVs. Our colleagues globally are beginning to experiment with AI to introduce in the future.”

According to Gartner, organizations that choose to use these emerging technologies could face pressure to get out ahead of government regulations on privacy. The research firm’s report urges companies to be more transparent by publicizing their data audit while giving candidates the choice to opt out of AI-led processes.

Gartner also pointed to how organizations are using AI to gather data on their employees’ physical and mental health, family situations, living conditions and even sleep patterns in a bid to respond more effectively to their needs. Such practices, which have the potential to violate boundaries around personal and private information, are creating a “looming privacy crisis,” Gartner says.

Laura Voda, a partner at Fichte & Co., a Dubai-based law firm specializing in maritime and shipping, said transparency in HR was “paramount,” and that job applicants must be informed from the get-go that details of their personal life could be revealed to a potential employer. Organizations should have mechanisms in place allowing applicants to consent to this disclosure.

“If we look into the personal data regulation, we see that most jurisdictions that have enacted such regulation follow a model: informed consent, doubled by safeguards on usage, controlling and processing personal data,” Voda said.

“Nevertheless, I must admit that such usages of technology could lead to a privacy crisis, because AI may deliver information that is not qualified as “personal data” in the sense of the existing regulation, such as taste in clothing, preferred places to spend the weekend, expenditure habits and web surfing preferences. This is what actually creates an ethical dilemma.”

She added: “The solution is indeed enacting appropriate regulation, however this will not by itself create a hedge. Further education on digital literacy in the employment market – especially for job applicants – will make a significant difference too.”