Talent seen key to future of manufacturing

Talent is expected to play a significant role in the growth of manufacturing industry, which will be critical for economic expansion and job creation in emerging economies such as Brazil, China and India, the World Economic Forum has said.

The report, titled Future of Manufacturing, prepared in collaboration with Deloitte, highlighted key trends that will define manufacturing competition over the next 20 years and which will require the attention and collaboration of policy-makers, civil society and business leaders. “Manufacturing is a critical driver of economic growth and job creation in emerging economies such as Brazil, China and India,” World Economic Forum (WEF) Senior Director Mobility Industries John Moavenzadeh said.

“Developed countries are increasingly recognising the importance of coordinated policies that enhance the high value-added components of manufacturing supply chains,” he added.
At a time, when an estimated 10 million manufacturing jobs worldwide cannot be filled due to a growing skills gap, the report has identified talent as one of the key differentiators that will define the future of the sector.

Apart from talent other top differentiators to the manufacturing sector include the strategic use of public policy and the ability to innovate.

The report said that emerging nations are pursuing multiple tactics to overcome the talent shortage, including competing fiercely to attract and retain skilled workers, and working to develop advanced capabilities to transform the labour pool.

“Today, and for the foreseeable future, the manufacturing game is going to look like a global talent competition – one in which countries and companies contend to find and develop highly skilled workers who can handle the advanced manufacturing processes needed to make innovative, high-value products,” Deloitte Vice-Chairman, Consumer and Industrial Products Industry Leader Craig Giffi said.

“In this competition, the advantage will go to countries that can combine effective public policies with good private-sector leadership, a move that will attract investment and drive superior talent development and innovation,” Giffi added

According to an estimate, India’s top 500 manufacturing companies have cash reserves amounting to US$96 billion, while the top 100 global manufacturing companies are holding more than US$700 billion in cash and equivalents, up from about US$400 billion in 2005.