Study: Digital Skills Gap Slows Manufacturers’ Push To Build Digital Factories

Although the majority of manufacturers have implemented digital platforms, more than half lack the skills to operate digital factories, according to a new study from Accenture.

Mnet 172329 Tech Trends

NEW YORK — Although the majority of manufacturers have implemented digital platforms, more than half (51 percent) lack the skills to operate digital factories, according to a new study from Accenture. The Accenture Strategy report revealed that the more successful manufacturers have advanced talent strategies in place to digitally enable the workforce of the future.

Cracking the Code on the Digital Factory, a report based on a global study of 450 manufacturers, found that a growing skills gap is one of their biggest concerns — a situation that has worsened in recent years as manufacturers have transformed their operations using new technology, analytics and mobility capabilities.

Fifty-five percent of manufacturers, up from 38 percent in 2013, reported a skills gap among skilled trades laborers, who need to operate increasingly advanced digital machinery and equipment, such as 3D printers or modeling and simulation tools on the plant floor. Likewise, 60 percent of manufacturers, up from 31 percent in 2013, cited a shortage of maintenance workers skilled in the use of predictive maintenance analytics that leverage data from embedded sensors in a machine-to-machine environment.

“For manufacturers to realize the full potential value of digital factories, they need to redesign their workforce to include new manufacturing skills, such as analytical reasoning and data-driven decision support,” said Russ Rasmus, managing director, Accenture Strategy. “Developing a comprehensive talent strategy inclusive of new digital skills is an imperative for today’s manufacturers.”

Digital Factory Leaders

The research identified a small group of manufacturers (8 percent) that outperformed their peers by increasing production and profitability by more than 10 percent since 2013. These “leaders” are more likely than their peers to understand which new skills they need for future growth and success, and have a more effective strategy to attract, develop and retain this new breed of manufacturing talent.

A majority of these leaders (73 percent) more frequently reported already having the requisite digital skills, as compared to 49 percent of other manufacturers, and they were nearly 50 percent more likely to report a higher degree of visibility into what skills they needed. That has allowed most of the leaders (81 percent) to achieve greater internal workforce mobility in roles involving digital, enabling them to match employees with managers who need those skills.

Mnet 172930 Digital Factory Percentages

Barriers to Success

While these digital factories are enabled with rapidly developing technology innovations, the technological aspect of their implementation is not the top barrier to success. Seventy-five percent of the deployment challenges cited by survey respondents are related to skills, organizational change or structure, and the talent within the organization.

Chief obstacles that hinder manufacturers’ digital adoption

“Manufacturers must aggressively manage these non-technical barriers as they deploy their digital factory capabilities. These include the ability to create new processes, lead teams made up of workers and machines, and constantly update training programs,” said Rasmus.

For more information on the report, please visit www.accenture.com/digitalfactory. Join the conversation on Twitter at @AccentureStrat.

Methodology

The report is based on a global Accenture Strategy study, which included an online survey of 450 manufacturers with headquarters in 13 countries. It focused on 10 industries, including automotive, communications, consumer products, electronics & high technology, industrial products, life sciences, oil & gas, chemicals, natural resources and utilities. More than half of the respondents (57 percent) were c-level executives at organizations with annual revenues between $500 million and $50 billion. Accenture last completed this study in 2013.

More in Home