In the world of distribution, efficiency, timing, and accuracy are everything. Yet one of the most overlooked threats to all three is something you won’t find on a balance sheet: the quiet departure of tribal knowledge.

As seasoned employees retire or transition, decades of experience, workarounds, customer nuances, and system insights often leave with them. This valuable information remains undocumented, unstructured, and irreplaceable.

And it’s happening everywhere.

Why Tribal Knowledge Matters More Than Ever

Tribal knowledge is the unwritten know-how passed down through experience and it’s what helps operations run smoothly when systems falter, or when a unique customer request comes in. It’s the reason Jim in inventory knows exactly how to handle that one special order every month, or why Susan in AR remembers a long-time client always needs follow-up on Fridays.

This insight can’t always be found in training manuals or workflows. It’s often informal, and more importantly, fragile.

When that knowledge walks out the door, it doesn’t just affect morale, it can cause costly disruptions:

· Orders delayed or misrouted

· Vendor relationships strained

· Productivity drops as new hires scramble to “figure it out”

· Increased reliance on already overworked staff

In short: tribal knowledge is operational stability and its loss creates chaos.

Why This is a Growing Concern

Today’s distribution sector is under enormous pressure:

· A retiring workforce

· Difficulty recruiting and retaining new talent

· Lean staffing models trying to do more with less

· Rapid shifts in technology and system upgrades

Without intentional processes to capture and share institutional knowledge, companies are one transition away from gaps that hurt efficiency, customer experience, and profitability.

3 Ways to Start Safeguarding Tribal Knowledge

The good news? This challenge is solvable with the right mix of culture, process, and technology.

1. Document Core Processes (Even the Informal Ones)

Encourage long-standing employees to walk through their daily workflows, noting unique steps or exceptions they regularly handle. Video screen recordings, internal wikis, or simple walkthroughs can go a long way in preserving critical know-how.

2. Create Mentorship and Shadowing Opportunities

Pair experienced team members with newer employees to transfer knowledge naturally. Encourage “why” conversations, not just “how.” This builds confidence while reinforcing company-specific ways of doing business.

3. Use Technology to Capture and Standardize

Modern ERP systems and digital tools can house process documentation, automate repetitive tasks, and flag exceptions that were previously handled through memory. The right setup can consistently replicate much of what tribal knowledge used to.

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How NSA Professional Services Can Help

At NSA, we work with distributors every day who are facing this exact challenge. Our team helps identify areas where tribal knowledge is at risk and where processes can be standardized, automated, or captured using technology.

We’ve engineered and deployed business-automation workflows and customer-specific process flows, embedding robust documentation and training directly in the Infor ERP environment while partnering with operations teams to capture and preserve institutional knowledge. Your people are invaluable, but your business shouldn’t be dependent on a single person knowing “the secret way.”

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Looking to safeguard your company’s knowledge before it’s too late? Let’s start a conversation about how NSA can help you future-proof your operations.