Workforce in Focus

Building the Workforce of the Future

Manufacturing Institute team members in safety gear at industrial site.
The Manufacturing Institute team members in safety vests and helmets at a manufacturing facility, smiling and posing for the photo.

As these numbers show, manufacturing job openings have softened, and the pressure to hire has waned compared to the pandemic years. Yet, this shift doesn’t diminish the urgency to build a workforce that can adapt to long-term changes in the industry. In fact, amid economic headwinds, the biggest risk manufacturers now face is a growing “capability gap” — a shortage of the right skills, competencies, and talent needed for the future.

More and more manufacturers recognize that tackling this challenge is no longer a “nice-to-have” but a strategic priority. According to recent research by EY and the Manufacturing Institute, traditional training and workforce practices must evolve to focus not only on adaptive skills, but also on digital, technical, and process-oriented competencies. Together, these four skill areas form the foundation of next-generation manufacturing talent:

  • Adaptive: skills that enable the workforce to transform their abilities as their demands and environment change

  • Digital: core skills that enable the workforce to interact with, analyze, and program digital technologies and applications

  • Technical: specialized knowledge and/or expertise that enables the workforce to perform tasks on the shop floor

  • Process: base manufacturing process understanding that fosters continuous improvement

The report discovered that the most meaningful skills across the four categories comprise a ‘T’ of capability. The top of the ‘T’ represents the broad, transferrable competencies every team member needs to enable cross-functional collaboration and drive digital transformation. The bottom of the ‘T’ captures deep, role-specific expertise — the evolving technical, process, and digital knowledge required for a production workforce that can shift between tasks, operate multi-generational equipment, and contribute to continuous improvement.

While it may not be feasible for every manufacturer to invest equally across the ‘T’, the key takeaway is this: by aligning workforce investments with an organization’s purpose, strategy, and long-term needs, manufacturers can position themselves to thrive in an environment defined by change and disruption.