AI is no longer a buzzword—it’s the backbone of survival in today’s distribution and manufacturing world. From warehouse robots to AI-driven inventory forecasting, the game has changed. And if you’re not adapting, you’re falling behind.
With supply chain disruptions, high interest rates, and inflation squeezing the margins, the only way to survive is by doing more with fewer people. AI can help you do that, but it’s also sparking fears about job loss.
As a leader, you’ve got to walk a fine line: addressing those fears without sugarcoating reality, and preparing your team for what’s next.
The good news? You can future-proof your business and take care of your people. And it’s not just the right thing to do, it’s a solid strategy.
Retaining your best employees starts with training and transparency. Here’s what the future looks like, and how you can prepare them for it.
We’ve seen this before. Back in the 1930s, many people thought technology would destroy the job market completely, but others argued that tech would create new jobs. Turns out, the optimists were right.
Tech doesn’t destroy, it transforms them. As companies do more with fewer people, those productivity gains drive growth, and growth creates new opportunities.
But here’s the rub. The changes won’t affect everyone the same. The simple and repetitive jobs will disappear, and the rest will get a serious overhaul, using AI to support the work.
That’s why the World Economic Forum predicts that 39% of our existing job tasks will be transformed, on average, over the next 5 years.
What will that look like in distribution and manufacturing?
Notice the pattern? These roles still need a human touch, but AI will make people faster, smarter, and more effective. The key is helping your team see this as an opportunity, not a threat.
Communicate clearly: yes, things will change. And yes, you can adapt by learning new skills.
AI transformation isn’t an overnight flip of a switch. Start small, with tech like AI-powered ERPs, WMSs, and case management software.
You can even lease a warehouse robot to test the waters without spending a fortune. Read more about your AI rollout options here.
Once you’ve got a roadmap, it’s time to focus on your people. Here are 3 tips to keep in mind.
Tip #1: Assess Skill Levels + Build Role-Specific Training
Don’t guess—assess. Start by figuring out where your team stands. What skills do they already have? What gaps need to be filled? Test both hard skills (like software proficiency) and soft skills (like adaptability).
Keep in mind that your most experienced employees might need extra help. Older folks might feel uneasy about the changes, but they’re a huge asset. Offer extra training and guidance to help them adapt.
Tip #2: Choose Vendors that Care About Your Team’s Success
Pick vendors that stick around to support you. Some will just sell you a platform, set it up, and disappear, and that’s a recipe for failure. People get confused and frustrated, and they fall back on manual processes.
Before signing on the dotted line, make sure your vendor is committed to ongoing training and support. If they’re not, walk away.
Tip #3: Communicate the Big Picture
Transparency is everything. Help your team understand why you’re adopting new tech and how it benefits them. Show them how the skills they’re learning will make them indispensable in the new job market.
By 2030, distributors and manufacturers will be leaner, with AI-driven finance departments, robot-heavy warehouses, and AI-powered customer support. Anyone clinging to manual processes will be outpriced and outpaced, but those who embrace AI will thrive.
Just remember—this isn’t about technology alone, it’s about leadership. It’s about having the vision to see what’s coming and the grit to prepare your team for it.
The future belongs to those who adapt. So, let’s get to work.