Every other year, the Manufacturing Performance Institute releases the Next Generation Manufacturing (NGM) Study to assist small and medium manufacturers in benchmarking and planning for the future of their organization. What do you need to know about the responses from this survey? How can you plan your organization’s growth? How can you receive this study?
The 2013 study took the insights from many manufacturers across the nation, and here are the 7 of the important findings from this study.
1. Human Capital Acquisition is a top priority
Nearly 85% of manufacturers considered talent acquisition and retention to be a top priority in 2013, compared to 78% in 2011. However, this also showed a decrease in respondents at or near world-class status.
2. Process Improvement is increasing in importance
9 out of 10 manufacturers recognize the need for process improvement and 44% are at or near world-class status.
3. Inventories are growing
Down considerably from 2011 and 2009 (51% and 47%, respectively), fewer and fewer manufacturers (36%) are reporting decreases of 10% or more in their inventories.
4. Employee Turnover is up
In 2013, nearly 40% of manufacturers experienced annual turnover rates of over 5.1%, compared to in 2011.
5. Sustainability decreasing in Future importance
A noticeable and surprising change, manufacturing process sustainability declined in the importance of a manufacturer’s long term goals, from 59% to 55%.
6. Few manufacturers have both talent and workforce development
Due to an aging workforce and gap in skilled labor, more professional training and development is needed to prepare manufacturers for the next generation.
7. Small manufacturers lag in implementing NGM Strategies
Smaller manufacturers are less likely than larger companies to be at or near world-class performance in the six NGM strategies, and are less likely to have best practices in place. Therefore, they seek the assistance of associations and local chapters for assistance in improving response to Regulatory or Compliance issues, Workforce Development, Operations Improvement, or Strategic Planning.
More Information on the NGM Study and Executive Summary
Originally conducted in 2009, the 2013 Next Generation Manufacturing Survey is brought to you by the American Small Manufacturers Coalition and the Manufacturing Performance Institute. The 2013 NGM study compiled insights from 375 participating manufacturers nationwide and can be downloaded here: 2013 NGM Study Report.
