By 2028, 40% of large warehouse operations and distribution centers will be using gamification tools to engage and motivate workers, according to new research from Gartner. The shift reflects how labor shortages and high turnover continue to push supply chain leaders to rethink how they attract, train, and retain frontline employees.
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Gamification in logistics uses familiar game elements such as points, badges, leaderboards, and rewards to make daily warehouse work more engaging. These tools are gaining attention as warehouses struggle to keep staffing levels steady and bring new workers up to speed faster.
“Employee retention is becoming increasingly crucial in the current climate, where labor shortages are one of the toughest challenges companies face,” said Federica Stufano, Senior Principal Analyst in Gartner’s Supply Chain practice. “Employees—especially those from younger generations—want meaningful work experiences and opportunities to succeed. Gamification helps organizations deliver those experiences by combining engagement, skill-building and recognition in a practical way.”
Gartner’s research shows that gamified training tools, such as simulations and interactive quizzes, can help new and seasonal workers learn faster and retain information better. Progress dashboards also give employees a clearer view of their performance, which can build confidence and encourage steady improvement over time.
Many organizations are now weaving gamification into existing warehouse systems, including warehouse management systems, robotics platforms, and mobile devices used on the floor. This allows companies to create real-time challenges tied to individual or team performance. In some cases, AI-driven tools adjust goals and rewards on the fly to keep workers engaged without overwhelming them.
Still, Gartner cautions that rolling out gamification is not just a technology decision. It often requires bigger cultural changes, especially in highly regulated or unionized environments.
“The most important consideration in introducing gamification is cultural and not technological,” Stufano said. “Gamification works when companies stop viewing labor as a fungible commodity and instead recognize employees as valuable assets. Legal, compliance and change management efforts must also be aligned to ensure a successful gamification strategy that motivates, rather than annoys or harms, workers.”
To increase the odds of success, Gartner recommends that supply chain leaders focus on transparency and start small. That includes clearly showing workers how performance is tracked, targeting early wins like reducing wasted time, and piloting programs at sites where both leaders and frontline staff are open to change.
