If you’re leading HR or Operations in supply chain and distribution, you know the daily grind—limited resources, constant fires, and a workforce that’s just trying to stay afloat. In this episode of Shift Talk, I sat down with Tracie Sponenberg, Chief People Officer and co-founder of DisruptHR, to chat about how outdated HR practices are failing these industries and what it really takes to empower frontline managers and hourly workers.
Tracie’s 25 years of HR leadership in supply chain, manufacturing, and distribution have taught her one thing: sticking to the old ways isn’t working. From lean teams trying to innovate with no resources to hourly workers left out of the conversation, the status quo isn’t cutting it. But as Tracie shares, there’s a way forward—one that includes innovating outdated methods.
The Problem: Outdated HR Practices Aren’t Cutting It
Traditional HR practices like annual reviews and rigid policies don’t work anymore. In supply chain and distribution, where most teams are stretched thin and constantly reacting, these practices do more harm than good. Tracie explains that small to mid-sized companies, especially in distribution, are often stuck in a cycle of outdated processes that don’t address the real needs of their workforce.
“HR departments have been the complaint department for too long,” Tracie said. “We need to be coaches, consultants, and guides for our people.” And that means being proactive, not reactive. For HR leaders, it’s about creating a structure that allows workers to succeed without being buried under policies and red tape.
Empowering Frontline Managers and Hourly Workers
One of the biggest takeaways from this episode is how essential it is to invest in frontline managers and hourly workers. In distribution, these are the people keeping everything running. Yet, they’re often the most neglected when it comes to professional development and empowerment.
Tracie’s approach? Shift from traditional HR to a modern, people-first model. This includes eliminating rigid performance reviews and turning them into regular conversations. It also means giving managers the tools they need to handle day-to-day challenges—without dumping every issue on HR. “When frontline managers feel supported and empowered, the whole company benefits,” Tracie explained.
This shift not only boosts morale but also increases retention—a key pain point for distribution companies dealing with high turnover rates.
Driving Innovation with Lean Teams
In supply chain and distribution, you don’t always have the luxury of large teams or big budgets. But that doesn’t mean you can’t innovate. Tracie shared how even small, resource-limited teams can drive meaningful change by focusing on what really matters.
“We don’t need a policy for everything,” Tracie said. “It’s about setting priorities, using technology smartly, and thinking outside the box.” This includes empowering workers with flexible tools and processes that allow them to feel valued and trusted. When workers see that their input matters and that they have a stake in the company’s success, engagement skyrockets.
Practical Steps for HR Leaders
Tracie doesn’t just talk theory—she offers practical advice for HR leaders looking to drive real change:
- Re-imagine Annual Reviews: Turn performance reviews into regular, meaningful conversations that help workers grow and feel supported.
- Empower Frontline Managers: Equip managers with the tools and training they need to handle day-to-day challenges without constantly relying on HR.
- Prioritize Flexibility: Let go of rigid policies and empower workers to have more control over their schedules and work processes.
- Shift from Reactive to Proactive: Stop being the “complaint department” and start being the coach and consultant your workers need.
The Future of HR in Distribution
As industries like distribution and supply chain continue to evolve, HR must evolve with them. Tracie’s conversation reminds us that the old ways of doing things are no longer enough. Flexibility, empowerment, and innovation aren’t just buzzwords—they’re the keys to building a workforce that’s engaged, loyal, and ready to drive your company forward.
Connect with Tracie Sponenberg
About the Shift Talk Podcast
Shift Talk, is a podcast by MyWorkChoice where we talk about the real shift happening and hard conversations because we know the stakes are high in manufacturing and distribution. Your workforce is your most valuable asset, and without retention, you’re stuck in a cycle of hiring and losing people. It doesn’t have to be that way.
