Skills…A recent survey performed by Deloitte Consulting LLP and the Manufacturing Institute finds that lack of skills and overall talent gap is a significant threat and challenge to U.S. Manufacturing.
Eighty percent of the survey respondents related that 5% of their jobs remained vacant because they could not find workers with the required skill set. (Figure 1) This 5% translates into an astonishing 600,000 jobs unfilled which is unfortunate during a time of a 9% national unemployment rate. The findings report the hardest jobs to fill have the largest impact on performance and nearly 75% report that the lack of skilled production workers impact the ability to expand operations. (Figure 2&3) The findings also revealed that 69% of manufacturers expected the availability of skilled production workers to worsen. (Figure 4)
The changing face of manufacturing and its heavy reliance on technology makes it harder for talent to keep up. Given this critical challenge, the survey reports that efforts made in order to develop the skills of current employees fall short and hiring practices are outdated. (Figure 5)
Some manufacturers have begun joining with high schools, trade schools, community colleges and universities to train men and women with the right skill sets.
The National Association of Manufacturers (NAM) has endorsed a national Manufacturing Skills Certification System with the Manufacturing Institute. Seventeen states have national philanthropic funding for it’s deployment and 18 states have efforts and partnerships fueling it’s adoption. http://www.nist.gov/mep/mscs2.cfm
One more recent response to this critical condition facing U.S. manufacturers is an initiative; Right Skills Now. The Manufacturing Institute has collaborated with the President’s Job Council to tailor the national manufacturing certification system into a nationally replicable fast-track solution to administer talent to small manufacturers. It allows individuals to earn college credit and national industry certifications at an accelerated rate, preparing them for immediate employment in high quality manufacturing jobs. You can learn more about this initiative at http://rightskillsnow.org/about/ or http://www.themanufacturinginstitute.org/Education-Workforce/Right-Skills-Now/Right-Skills-Now.aspx
Manufacturers are having trouble filling skilled production jobs that encourage innovation and expansion. Output for the manufacturing sector increased by 4% in 2011 which is more than double the overall growth rate of the U.S. economy. In order for manufacturers to maintain this exceptional prosperity it is essential that attention be given to factors like skill deficiency that has the power to capsize it. (Figure 6)
Do you face the same or similar challenges? Do you share the views of the manufacturers that took part in the survey? Tell us what you think below. What steps will you take in order to maintain and develop the talent of your current and/or future employees? (Check out our $1000 challenge)
About the author:
Therese Yacenda is the Social Media Manager at Accelerated Buy Sell, Inc. and Manufacturing Web Solutions as well as a contributing author to the blog. She orchestrates the social media landscape for the “Accelerated Group of Companies” that provides tools and services to help manufacturers grow and exit strategies to maximize dollars when they are ready to retire or sell their manufacturing business. Accelerated’s group of companies that provide services to the manufacturing industry includes:
www.AcceleratedBuySell.com – Provides Online Industrial Auction Services, Used Equipment Auctions, Capital Equipment Auctions, Plant Liquidations, Industrial Plant Cleanout Services, Used Machinery Location Services, Certified Machine Tool and Equipment Appraisals, and more.
www.AcceleratedMfgBrokers.com – Specializes in Manufacturing Business Brokerage and Mergers and Acquisitions. We help manufacturers develop exit strategies to maximize retirement dollars, and successful manufacturers expand through acquisition of other manufacturing companies, product lines and customer lists. Manufacturing Companies for sale throughout the United States are listed on this site.
www.AcceleratedRE.com – Provides Industrial Real Estate Brokerage Services, Online Real Estate Auctions, Sealed Bid Real Estate Auctions and complete industrial facility cleanout services.
www.IgniteMfg.com – Provides funding for products made in the USA, and engineering/manufacturing educational needs through Crowd Funding.
www.MfgWebSolutions.com – Provides web development and social media services for manufacturers at under-market rates.
Therese Yacenda is a contributing author to:
blog.AcceleratedBuySell.com - A site that provides the latest manufacturing news, statistics and opinion. It also provides information on how to grow a manufacturing business, and what to do if you are a manufacturing company that needs to close.
MFGWebSolutions.com/blog - Provides the latest information on social media and web development for manufacturers. It gives manufacturers tips and tricks for boosting their web presence.