Introduction

The industrial sector has been a dynamic and turbulent year thus far, and 2022 shows no signs of slowing down.

The following difficulties confront companies as they continue to recover from the effects of the coronavirus pandemic:

  • The lack of labour
  • Skills shortage
  • Interruptions to the supply chain
  • Roles of workers as automation increases
  • Retaining current employees and luring new ones

We'll examine the trends that businesses need to be aware of if they want to be better prepared for the future and how manufacturing will change in 2022. 

Trend 1: Increasing Production Despite a Reduction in the Labor Force

Manufacturing employment has generally decreased during the past ten years.

The U.S. Bureau of Labor Statistics predicts that approximately 500,000 jobs would be lost in manufacturing between 2012 and 2022. The 2.4% rate of the preceding decade is still far lower than this 0.5% reduction.

Manufacturing companies will continue to eliminate jobs through 2022. Manufacturing output will also rise at the same time as businesses ramp up their post-pandemic production. However, higher manufacturing production is not a recent development. In actuality, over the previous ten years, a rise in productivity of 2.4% was anticipated.

Trend 2: Ongoing Efforts to Monitor and Solve Supply Chain Problems

Supply chain constraints and inefficiencies are anticipated to continue into 2022 due to the global shortage of commodities and high gas prices.

Postponements in distribution are a problem for manufacturing organizations, especially for global supply chain platforms. Bloomberg claims that since 2020, the price of shipping a container from Asia to Europe has increased tenfold. The CEO of Musical Electronics Ltd. in Hong Kong, Christopher Tse, states it cogently:

"Costs have increased significantly, and we can't get enough parts or containers."

Manufacturers must come up with solutions because, at the very same time, customer expectations are as high as ever.

Trend 3: Developing Resilient Employees

Following the epidemic, manufacturers want to:

  • Create robust operations to withstand supply chain interruptions.
  • Face the labor shortfall head-on
  • Overcoming a skills gap

According to Deloitte, there will be 2.1 million unfilled manufacturing positions in the United States by 2030. The slowing down of operations and growth is partially the fault of the lack of workers.

The workforce is being more diversely emphasized as a means of addressing these problems.

Trend 4: Roles for Manufacturing Workers are Being Redefined by Automation and Robotics

The use of automation in the manufacturing industry is not a recent development. However, manufacturing firms are putting more money than ever before into automating their processes. For the industry that produces food and agriculture, this is especially true. In actuality, by 2032, the global market for robotics technology would be worth $6.7 billion.

Restrictions on travel and border closures led to a workforce shortage in the agricultural industrial sector. To handle chores like weeding, sowing, and harvesting, businesses turn to robotics and automation.

Trend 5: More Attention to the Carbon Neutrality

The manufacturing sector now views climate change as a top priority. About one-third of the world's greenhouse gas emissions come from manufacturing, which is forcing businesses to reconsider their business strategies and switch to low-carbon or carbon-neutral manufacturing technologies.

The government has been investing huge amounts of money in tackling climate change, making significant progress toward sustainability. Due to these regulations, manufacturing will have to adapt all phases of operations, from product design and implementation to factory model development.

It will also result in a change in how businesses approach internal communication as a result of this redesign of manufacturing facilities.

Trend #6: Increased Effective Role of the HR in Manufacturing 

Attracting and keeping younger workers and those who are returning to the job after the epidemic is a part of the solution to the manufacturing sector's labor shortfall and skills imbalance.

Experienced employees departing who have developed expertise and practical experience. The market for new positions and skills in manufacturing is also being driven by automation and robotics.

To close the skill shortage and meet demand, manufacturing organizations must increase employee retention and recruit fresh talent. In 2022, HR departments will reevaluate how they handle employee life spans.

Trend 7: Employees Engaging in Continuous Learning and Developing Their Skills 

The final day of new employee orientation doesn't mark the end of learning and skill improvement. One of the most important components of employee retention, particularly among younger workers, is ongoing learning.

However, there is a disconnect between how the administration sees growth and how frontline employees perceive it. According to a Manufacturing Institute study, although two-thirds of frontline employees were dissatisfied with training and education, more than nine out of ten leaders were.

Conclusion

The manufacturing industry is being challenged with labor shortages, redevelopment of skills in the era of robotics technology, shortages of supply chains, and others. The future of the manufacturing industry is bright. However, the manufacturing industry has to change so as to find stability in the highly technological world.