White Paper on Labor explores generational skill gaps.
Press Release Summary:
"Developing and Engaging the Manufacturing Workforce," released by Manufacturing Excellence Share Group (MESG) of Alliance for Innovation and Operational Excellence (AIOE), claims consumer packaged goods (CPGs) manufacturers contend with hiring challenges ranging from mechanical knowledge to generational differences. Citing educational system focus on critical thinking, report notes that problem-solving skills, critical to CPGs, are in short supply alongside mechanical/electrical skills.
Original Press Release:
Generational Shift Brings Hiring Headaches Today, New Models Tomorrow
AIOE white paper discusses how today's hiring challenges can benefit CPGs in the long run
Reston, Va. - Baby Boomers are aging out of the workforce. Generation Y is coming up behind them. And in between, there's a gap - in attitudes, skills and work styles.
According to "Developing & Engaging the Manufacturing Workforce," a white paper released this month by the Manufacturing Excellence Share Group (MESG) of the Alliance for Innovation & Operational Excellence (AIOE), consumer packaged goods manufacturers (CPGs) contend with hiring challenges that stretch from mechanical knowledge to generational differences.
AIOE was founded in 2011 by PMMI, working with charter partner the Grocery Manufacturers Association (GMA), and enables production executives from CPG companies and suppliers to meet and identify best practices for the production operations of CPG businesses.
MESG developed the paper in conjunction with a Booz & Co. study and panel discussion in which more than a dozen manufacturing executives spoke about hiring, training, skill requirements and development, operational styles and new ways to uncover talent.
"Consumer goods companies deal with twin challenges," says Charles D. Yuska, president & CEO, PMMI. "There's the business side of things, including cost controls, and adapting to new regulations and trends, and managing the supply chain. There's also an incoming workforce that seems to be resisting jobs in manufacturing and missing critical problem-solving skills."
The report cites a 2011 Booz & Company survey that found 50 percent of engineering students consider manufacturing an "attractive" career option, and just 8 percent of them calling it "very attractive." In comparison, the same study said, more than 75 percent regarded R&D or product development "attractive," and 44 percent as "very attractive."
Problem-solving skills are critical to CPGs. They're also in short supply, as are mechanical and electrical skills, the report notes.
"Not long ago, many factory workers came from farming backgrounds, environments where problem-solving skills were required on a daily basis," says Patricia Riedl, Principal, Booz & Co. "Today's workers come from a wide variety of different backgrounds, and have been brought up in an educational system that is challenged to emphasize critical thinking. And that shortcoming is hurting us."
"The 20th Century manufacturing model kept career paths separate and distinct. With very few exceptions, career advancement would be linear, that is, 'up the ladder.' The 21st Century talent model, which better engages Generation Y, looks at companies as groups of capabilities that can be deployed where and when appropriate. Further, technical and leadership skills are both necessary and valued, whereas the old system primarily focused on deep functional expertise," says Greg Flickinger, VP Manufacturing, Snyder's-Lance.
The report also speaks of looking outside grocery manufacturing for workers - to the military or the auto industry, for example.
"Some organizations are backing up their workforce development goals with comprehensive training - either on their own or by collaborating with other organizations, especially in continuous improvement tools and problem solving methodologies. The bottom line is in today's environment developing skill sets is a strategic imperative that must be pursued with intent, it will not spontaneously happen," Flickinger adds.
To download a copy of "Developing & Engaging the Manufacturing Workforce," visit the Alliance online: alliance.pmmi.org.
About The Alliance
PMMI and Charter Partner GMA launched The Alliance for Innovation & Operational Excellence in 2011. The Alliance is a PMMI initiative that brings together representatives from consumer product companies and manufacturers to address key industry issues and establish best practices.
About PMMI
PMMI is a trade association of about 600 member companies that manufacture packaging, processing and related converting machinery in the United States or Canada; machinery components and packaging containers and materials. PMMI's vision is to be the leading global resource for the packaging and processing supply chain, and its mission is to improve and promote members' abilities to meet the needs of their customers.
PMMI organizes the PACK EXPO trade shows: PACK EXPO International, PACK EXPO Las Vegas and EXPO PACK México, connecting participants in the packaging and processing supply chain with their customers around the world. Coming Up: EXPO PACK México, June 26-29 in Mexico City, Mexico; PACK EXPO International at McCormick Place in Chicago, Oct. 28-31, 2012.
Learn more about PMMI and the PACK EXPO trade shows at PMMI.org and Packexpo.com.
About GMA
Based in Washington, D.C., the Grocery Manufacturers Association is the voice of more than 300 leading food, beverage and consumer product companies that sustain and enhance the quality of life for hundreds of millions of people in the United States and around the globe.
Founded in 1908, GMA is an active, vocal advocate for its member companies and a trusted source of information about the industry and the products consumers rely on and enjoy every day. The association and its member companies are committed to meeting the needs of consumers through product innovation, responsible business practices and effective public policy solutions developed through a genuine partnership with policymakers and other stakeholders.
In keeping with its founding principles, GMA helps its members produce safe products through a strong and ongoing commitment to scientific research, testing and evaluation and to providing consumers with the products, tools and information they need to achieve a healthy diet and an active lifestyle. The food, beverage and consumer packaged goods industry in the United States generates sales of $2.1 trillion annually, employs 14 million workers and contributes $1 trillion in added value to the economy every year.
PMMI.org is a service of the Packaging Machinery Manufacturers Institute. All content and functions are owned or used with permission by PMMI and all rights are reserved. For help or further information, you can reach PMMI in the following ways:
11911 Freedom Drive, Suite 600 // Reston, VA 20190
703-243-8555 | 1-888-ASK PMMI (275-7664) | Fax: 703-243-8556 | pmmiwebhelp@PMMI.org
