Top 5 Challenges manufacturers must face and how they solved (Part 1)

After years of sluggish growth, many areas of the country are experiencing a thriving manufacturing sector. While the uptick we’ve experienced the last two years is definitely a positive thing, even those enjoying growth will continue to face challenges in the years ahead.

Labor Shortage

As Baby Boomers exit the workforce and opportunities made possible by technology fuel growth, it’s expected that nearly 4.6 million manufacturing jobs will become available over the next decade – and nearly 2.4 million are expected to go unfilled. Today, 6 out of 10 open skilled production positions are unfilled. While automation and robotics may help fill the labor gap, skilled workers will still be needed to apply problem-solving capabilities, perform analysis and manage production.

One reason manufacturers are finding it difficult to fill positions, is the lack of trade school opportunities for young men and women. Realizing that they need to be investing now to ensure they’re building a workforce for their futures, some manufacturers are taking it a step further, partnering with local community and technical schools to financially support trade programs and offer apprenticeships and internships that lead to full-time employment.

Manufacturers also need to get creative in their efforts to attract workers, not in the newspaper, radio, TV or billboards, but online. The more effective way to connect, especially with millennials, is through social media. Keep in mind that younger generations today aren’t looking just for a career; they’re looking for a positive culture focused on employee and community wellbeing. Use video to highlight the benefits of working for your organization, and promote your workplace culture as a primary asset.

Keeping Up With – and Utilizing – New Technologies

Automation, the Industrial Internet of Things (IIoT), robotics, cloud computing and more…technology is advancing at warp speed, and most manufacturers struggle to keep up.

The Internet of Things (IoT) market is growing rapidly, with 3.6 billion connected devices used for daily tasks this year. In 2019, this growth is expected to continue. Fueled by 5G connectivity and advances in sensor technology, the manufacturing industry will see opportunities to drive growth by adopting IIoT (Industrial Internet of Things) devices to boost productivity, enhance product quality and reduce costs.

As IIoT and intelligent systems are more widely used, there will be an associated surge in the amount of data manufacturers generate. What’s needed is the ability to analyze all this data. Enterprise Resource Planning (ERP) technology can help manufacturers manage volumes of data and formulate insights that lead to better decision-making. The best first step for incorporating useful technologies to help your organization grow profitably is to work with a business consulting firm that has expertise in manufacturing, such as Wipfli. They have the insights to assist in selecting the most practical, cost-effective technologies and equipment, oversee implementation, train your team, and help you get the greatest ROI.

Productivity and Quality Office