Tennessee supply chain industry is booming, but what's missing is enough workers

The pandemic highlighted and exacerbated faults across a large portion of our global economy, but none more so than the faults it exposed in our global supply chain. In many ways, the pandemic broke the supply chain.

Every business relies on a supply chain to some degree. Supply chain, logistics, and distribution organizations have a reach that extends far beyond manufacturing or trade industries. Supply chain operations are becoming increasingly complex, as businesses seek to meet the demands of customers for speed, efficiency, and sustainability.

Tennessee is a nationally recognized hub for the supply chain and logistics industry. Home to the busiest cargo airport in North America, the state has more than 15,000 distribution and logistics establishments employing more than 249,000 Tennesseans, making our home the top-ranked state in the country for employment concentration and job growth in the industry. The friendly atmosphere has led to major companies like FedEx, Under Armour, Nike, Lowe's, Amazon, and AutoZone calling the Volunteer State home.

A Fedex plane is parked next to a deicing truck on Nov. 29, 2022 at Memphis International Airport in Memphis.
A Fedex plane is parked next to a deicing truck on Nov. 29, 2022 at Memphis International Airport in Memphis.

But despite the investment and growth in Tennessee, labor gaps continue to grow across the industry. In a 2022 report, McKinsey found that the U.S. logistics and supply chain sector is facing a shortage of 1.8 million workers, and that this shortage is expected to grow to 2.4 million by 2030.

COVID highlighted global supply chain network shortcomings

According to the U.S. Bureau of Labor Statistics, several positions in the supply chain industry will grow at a faster-than-average pace through 2031.

Logistician jobs are expected to grow by 28%, while supply chain operations and supply chain management jobs are estimated to grow by 11% over the next eight years.

The pandemic highlighted the shortcomings of our global supply chain network.

As a major industry in the Volunteer State, it's vital we continue to train, educate, and prepare the next generation of supply chain and logistics professionals for the challenges that lie ahead.

Higher education institutions teach supply chain management

The higher-education community has stepped up to the challenge with community colleges, four-year institutions, and online universities offering degrees in supply chain management.

Employers can do their part by offering training and tuition reimbursement.

Kimberly Estep
Kimberly Estep

If you are interested in a career in supply chain and logistics, there are many great opportunities available in Tennessee.

With the right education and training, you can be part of a growing and dynamic industry right here at home.

Rodolfo Santamaria, lead academic program manager, Western Governors University, Southeast Region
Rodolfo Santamaria, lead academic program manager, Western Governors University, Southeast Region

Kimberly K. Estep, Ph.D. is regional vice president of accredited online nonprofit Western Governors University’s Southeast Region. Rodolfo Santamaria, Ph.D., MBA, CMBB is lead academic program manager for WGU’s College of Business

This article originally appeared on Nashville Tennessean: Supply chain industry: Tennessee needs more logistics workers