From smartphones to consoles – playing games is part of everyday life, especially for young (and future) employees. Gamification brings the playful elements of this world into the workplace. The goal? To boost employee motivation and improve training and professional development. How promising is gamification for businesses in general, and for the logistics industry in particular?
Games Are Part of Everyday and Business Culture
Our personal lives are digital, as is the business world. For many people, the personal and professional digital spheres overlap in their daily routines. Gaming and online games, though, are likely viewed as part of the personal sphere. But this dividing line is no longer so clear-cut.
Gamescom, the world’s largest trade fair for computer and video games, is held annually in Cologne, Germany. It impressively demonstrates that video games are also a significant economic factor. Beyond that, some games have artistic value, while others contribute to education. Additionally, games and apps with playful elements are playing an increasingly important role for businesses, whether as serious games or under the buzzword gamification.
What Does Gamification Mean?
Gamification refers to the integration of games or game elements into a non-gaming context. It may sound theoretical, but it’s quite simple to explain.
Computer games are entertaining, of course, but they can also communicate dry educational content and make monotonous tasks more appealing.
- Game elements can be integrated into workflows to turn tasks into challenges.
- Games, such as quizzes and role-playing games, can enliven learning and clarify content in training courses, workshops, and seminars.
What Is the Difference Between Gamification and Serious Games?
Gamification and serious games are often mentioned in the same breath. Gamification involves adding game-like elements to an existing training program or workflow, while serious games are games in their own right.
Their goal is not entertainment. As their name suggests, they are designed to convey serious content. Serious games are not limited in terms of content or subject matter. However, the defining feature that distinguishes them from entertainment-oriented games is their clearly defined educational objective.
What Are Typical Examples of Serious Games and Gamification?
- Flight and driving simulators are classic examples of serious games used for specific training purposes. Popular examples of serious games outside of specialized training and educational contexts include Stop Disasters!, a game developed by the United Nations on how to build safer communities against natural disasters, and CHANGE, which explores the complexities of homelessness.
- A good example of gamification is the language-learning app Duolingo. It motivates and entertains users with points, leaderboards, learning streaks, and virtual rewards – all typical gamification elements.
How Can a Company Benefit from Gamification?
Gamification is an innovative concept. Still, what is technically feasible should not be an end in itself, but rather a means to an end. The goal is to use gamification techniques to boost employee motivation, enabling them to perform their tasks more effectively. Higher motivation increases satisfaction, which results in greater efficiency.
Gamification is not a magic bullet, but it is an effective way to optimize processes when used properly. This is especially true in logistics. According to a study by the US IT market research and advisory firm Gartner, 40 percent of large logistics centers will use gamification tools to motivate employees and boost workforce engagement by 2028.
How Does Gamification Work as a Motivational Tool for Businesses?
Gamification in education and training differs from gamification in everyday work.
How Can Gamification Contribute to Professional Development?
In educational settings, game-based simulations and interactive quizzes can improve the effectiveness of the learning process, helping learners to more easily understand complex content. In logistics, for instance, the flow of goods can be challenging to comprehend. Visualizing data and transport flows in a simulator makes the information easier to understand. One game-based element could involve manipulating certain factors to see the effect it has on the outcome.
Such a visualization model could also be a valuable tool for employees and customers outside the context of training and professional development.
How Does Gamification Impact Everyday Work Life?
When it comes to business processes, the basic idea behind gamification is to make repetitive tasks more engaging. Gamification concepts are based on the same principles as learning apps.
- in-game rewards
- scoring systems
- leaderboards
- leveling up
- challenges
Such game elements provide immediate feedback on performance, which can boost motivation through playful competition.
What Risks Are Associated with Gamification in the Corporate World?
In a sense, the idea of using gamification to motivate employees suggests that they lack intrinsic motivation. However, most employees are intrinsically motivated. The psychological effects intended to boost efficiency can backfire if gamification creates excessive competitive and performance pressure.
Intrinsically motivated employees may also become demotivated by extrinsic motivators, such as rankings, should they perform poorly consistently. Therefore, game elements must be carefully designed to avoid creating negative competitive pressure.
What Are Use Cases Involving Serious Games and Gamification in Logistics?
Both warehouse and transportation logistics have applications for gamification.
- Supply chain monitoring through visualization and simulation of goods flow
- Employee training with interactive games, quizzes, and simulations
- Driving behavior: Playful data analysis of fuel consumption and energy-efficient driving promotes environmentally friendly and safe habits. For instance, a leaderboard could track who saves the most fuel.
- Order picking: Gaming elements can be an integral part of the picking process without altering existing workflows. With gaming apps, employees can earn rewards, advance through levels, and take part in team challenges.
- Walking routes in the warehouse: Warehouse processes modeled after motorsports – where walking routes resemble race tracks and pickup points become pit stops – provide an extra incentive. This concept of gamification combines virtual elements with real-world walking routes.
How Can Gamification Improve Efficiency in Logistics?
The example of driving behavior is most illustrative here: The driver challenge rewards eco-friendly and safe driving. This helps prevent accidents, preserve equipment, reduce fuel consumption, and improve cost efficiency directly.
Other gamification concepts promote a deeper understanding of work dynamics and higher motivation by appealing to employees’ innate desire to play. This means putting the focus on both the homo economicus and the homo ludens.
For many Generation Z members, games of all kinds are part of daily life. They are familiar with the reward systems typical of this medium. The majority of this group would likely find a gamified workday completely natural. This could even increase employer attractiveness of a company.
How Can a Company Develop Its Own Serious Game?
Every company has its own unique processes and requirements. As a result, there is no such thing as a one-size-fits-all serious game for businesses. These games often need to be developed in great detail for a specific company and thus can only be used for that specific company’s internal training and/or processes.
Gamification concepts are best implemented in collaboration with a software developer. The first step is to address technical questions. Which platforms should host the gamification? Which interfaces to company data need to be created? Gamification can be combined with various technologies:
- apps for smartphones, tablets, or desktop computers
- virtual reality or augmented reality applications via VR/AR glasses
Once the initial technical issues have been resolved, the attention turns to game design and, not least, to issues of data security and employees’ privacy rights.
Is Gamification Becoming Part of Everyday Logistics?
The Gartner study suggests that gamification will play a significant role in many logistics companies before the end of this decade. However, it remains to be seen how things will actually unfold.
There are technical hurdles that, for the time being, only larger market players are likely to attempt to overcome. At the same time, companies face numerous other IT-related challenges, including automation, comprehensive digitization, and optimizing AI’s potential. In this context, gamification could easily become a niche topic.
Developing a viable strategy that is clear and focused, without overloading employees with rewards or subjecting them to excessive competition, requires careful analysis of needs, costs, and potential.
Many companies are still in the early stages of this process, gaining their first experiences. At DHL Freight, we are closely monitoring these developments. If you have any questions about the digital future of logistics, please contact us!
FAQs on the Potential of Gamification in Logistics
1. What are serious games?
Serious games are games whose primary purpose is to present serious content rather than to entertain. They are not limited by subject matter. The key feature that distinguishes them from entertainment-oriented games is their clearly defined educational objective.
2. What does gamification mean?
Gamification is the integration of games or game elements into a non-game context. It is intended to convey learning content (e.g., through quizzes or simulations) or make professional activities more engaging (e.g., through leaderboards and level systems).
3. How can gamification benefit companies?
The basic idea is to boost motivation by applying playful techniques and game elements with which many employees are already familiar from their free time. This allows them to perform their tasks more effectively, thereby improving operational efficiency.
4. What are the use cases for gamification in logistics?
Gamification can be implemented in warehouse and transportation logistics. For example, it can be used for supply chain monitoring, employee and driver training, or to make order picking more appealing.
5. What are the potential disadvantages of gamification?
Developing and implementing gamification concepts for individual companies can present significant technical challenges. Additionally, leaderboards and other game rankings may expose employees to excessive competitive pressure, which could negatively impact motivation.
