The skills gap in US Manufacturing 2015 and Beyond by Deloitte & Manufacturing Institute
A strong manufacturing industry is fundamental to a nation's economic prosperity. Manufacturing organizations around the world are finding it harder and harder to find the talent they need. The economy has rebounded from the Great Recession of 2008 but without people it is very hard to remain competitive, grow and innovate.
During the economic downturn of 2008-2009, many manufacturing plants closed. This resulted
in jobs being moved out of the country and roles being automated to eliminate or reduce
the need for manpower. The economy has now rebounded but a new kind of manufacturing has emerged, which requires engineering and skilled trades capability. According to a 2015 Deloitte
and The Manufacturing Institute study, “Creating a supply of workers with manufacturing skills—engineering, skilled trades, and production—will be critical to the future competitiveness of companies and the industry as a whole.”
Here are a few of the factors behind the gap:
•Jobs were moved to low-cost destination overseas & factories closed
•Younger generation started looking for better career opportunities
•The baby boomer generation started to retire!
•The perception was created that manufacturing was a dying industry and that jobs were poor with few viable career opportunities
•Few schools are teaching the skills manufacturers need
•Technology advances marched on and workers are deficient in the skills required
To get a good overview of the manufacturing skills gap 'Manufacturing Skills Gap: Fact or Fiction'
may be helpful as an overview.
There are many excellent resources available to help you understand the manufacturing skills gap and provide examples of some of the programs other countries and communities have developed. One such resource is the Upskilling Playbook from the Aspen Institute. The Upskilling Playbook is designed to highlight examples of employers modelling new ways of business that advance workers and support long-term business competitiveness via investments in workers through upskilling strategies. Learn More. Another excellent resource is the report from Deloitte Consulting and the Manufacturing Institute, "Manufacturing Skills Gap 2015 and Beyond".
At LegacyNext Strategies we can help you build a skills gap plan that will reduce your risk and ensure you have the people you need to help your manufacturing organization grow!