Accenture 2014 Manufacturing Skills and Training Study

These are, by and large, good times for the United States manufacturing industry, which has shown steady growth in recent years.

According to a new study from Accenture, in collaboration with The Manufacturing Institute, more than 50 percent of companies report plans to increase US-based production by at least five percent in the next five years, with nearly a quarter of respondents planning to grow US-based manufacturing roles by over 10 percent in the next five years.

However, this new report—the Accenture 2014 Manufacturing Skills and Training Study—also points to storm clouds on the horizon that could dampen growth: shortages in the skilled talent required to perform essential tasks today and to innovate for tomorrow.

Survey respondents confirmed that it is not easy to fill skilled manufacturing roles. More than 75 percent of manufacturers report a moderate to severe shortage of skilled resources and over 80 percent of manufacturers report a moderate to severe shortage in highly skilled manufacturing resources. Skilled and highly skilled roles comprise 80 percent of the workforce for the companies we surveyed. Add to the challenge the fact that a large portion of the skilled manufacturing workforce is approaching retirement age.

These shortages have considerable business implications. Increased production costs and revenue losses that result from skills shortages in US manufacturing are costing manufacturers up to 11 percent of earnings annually.