Technology has the power to transform the way we think. It has the power to change the way in which we create, and the way that we interact with our world. It has completely altered our products, our workplaces, and our methods of communication. And it has molded entire generations, defined cultures, and reimagined industries.
Today, technology is the power behind change in the manufacturing industry. We see it in everywhere we look. Paper has been replaced by touch screens. Conferences are conducted via Skype in the place of face to face. Production facilities are more measured, more data driven, more intelligent, and more nimble than ever before. Artificial intelligence and robots are now a part of our daily lives.
There is no question that these improvements have brought disruption, and cost to manufacturing. But the rise of technology in our industry has been important in keeping us competitive and essential for sustaining the industry in the future.
Manufacturing is more effective, productive, and adaptable today than it was twenty years ago. There’s a greater understanding of what occurs on the plant floor, with more real-time data to assist decision making. With new software and technology, we're seeing our industry reach new levels of performance that we cannot have imagined even a decade ago.
Today, lots of factories are boosting their performance by operating like video games. Gamification is taking the industry by storm, with systems designed to coordinate with the natural motivations that people need certainly to make a difference, and be recognized in how they drive plant floor performance. Increasing transparency and tracking achievements by individual user or teams has resulted in huge results in efficiency for some companies. When contributions are seen by associates and managers, this motivates those people to remain to problem solve and innovate. When well designed, gamification is making employees more engaged, productive, and happier.
But most significantly, gamification and technology are opening the door to connect with a younger generation, who quite frankly, haven't shown much attention in the manufacturing industry to date.
When we glimpse at the data on available jobs in the manufacturing industry, it really is sobering to say the least. According to The Manufacturing Institute, 3.5 million manufacturing jobs will need to be filled over the next ten years. Two million of those jobs will go unfilled. Not thousands but two million. This is a warning for our industry.
At my company, we read the statistic from The Manufacturing Institute and wanted to find out why more Americans are not pursuing careers in manufacturing. We were also keen to see if there were any differences in views by generation. We commissioned Engine, a research provider, to poll 1,002 Americans demographically representative of the United States at a 95 percent confidence level. Feedbacks were then grouped by generation, Baby Boomers (born between 1946-1964), Generation X (born between 1965-1980), and Millennials (born between 1981-1998).
We were shocked by how considerably the responses diverse by generation. When questioned whether respondents agreed or disagreed that manufacturing jobs are important to the U.S. economy, 86 percent of both Baby Boomers and Generation X agreed. In comparison, only 68 percent of Millennials agreed that manufacturing is important to our economy.
We then questioned respondents about the supply of experienced workers in the U.S., and again observed differences by generation. Sixty percent of Baby Boomers and 63 percent of Generation X agreed that there is a absence of experienced workers in the U.S. In contrast, only 51 percent of Millennials agreed that there is a shortage.
And lastly, we asked respondents if they agreed that the manufacturing industry provides fulfilling careers. Fifty nine percent of both Baby Boomers and Generation X agreed. To our surprise, only 49 percent Millennials agreed. That’s less than half of the younger generation who think our industry offers desirable or satisfying opportunities. This is a test for our industry, because our future manpower depends on what we do today to reach the younger generation.
The fact remains, our industry has never done a great job at connecting with younger audiences about what makes manufacturing engaging or enjoyable. Other industries have, such as the tech sector. According to the Bureau of Labor Statistics, computer and information jobs are expected to expand by 12 percent during the period of 2014-2024. This is the speediest growth rate of all other occupations for that time period.
It may surprise Millennials that besides manufacturing offer opportunities to work with cutting-edge technology, but it also offers competitive pay to the tech sector. According to Glassdoor, the ordinary base pay of a Manufacturing Supervisor is $64,118, and for a Manufacturing Engineer, the average is $71,679. For a Director of Manufacturing, the average base pay is $146,412. For a generation known for its record-setting student debt, this is a compelling message to convey.
As an industry, we should be more vocal in sharing the exciting technology opportunities in manufacturing. Ongoing developments in artificial intelligence, robotics, automation, integration, gamification, and real-time data are what interest Millennials and what will connect our industry to younger generations. We must share the facts and data at the conferences we attend, on our internet sites, in our presentations at schools and universities, and in all of our recruitment efforts. Two million empty jobs is no small matter. It is now time to shout from the rooftops.
Technology is leading the manufacturing industry to brand new frontiers. If we do it properly, we can bring the younger generation together with us in being a part of expanding manufacturing in the U.S. And if our technology can join forces with Millennial interests and skillsets, our industry might thrive.