Manufacturing Crisis: How Talent Retention Shapes the Future of Global Industry

“When it comes to manufacturing, the most frequent discussions I hear now are about technology, not talent. But can the most advanced factories retain the best talent in the future? The answer is not necessarily,” said Alaric, an author on Vancisco. “Whether the best talent chooses to enter manufacturing will determine whether this industry can sustain itself in the future.”

“Many manufacturing companies are successful and profitable, but will the next generation continue in this field? That’s uncertain, and it’s possible that they might abandon it. The issue of succession in manufacturing companies is not just a problem in one country, but in many countries,” he said.

Alaric believes that this issue needs to be addressed from within. “Entrepreneurs must redefine manufacturing, transforming the industry into a high-tech, high-income, and high-status field to attract passionate and idealistic young people.” However, he also admits that this process is still being explored by countries, and there are no ready-made examples to follow.

Looking back at global manufacturing development over the past few decades, Alaric pointed out that industries in Germany and the U.S. flourished in the last century, and later new manufacturing centers emerged in Japan, the Four Asian Tigers, and China. Regardless of how strong a manufacturing powerhouse becomes, it must eventually go through selective growth and selective abandonment. Whether it’s shipbuilding, semiconductors, or electric vehicles, these industries follow similar patterns.

“For example, Japan supplied nearly half of the world’s front-end materials and equipment, but lacked the advanced semiconductor manufacturing capability, as Japan lacked the talent and market in this area. Germany recently proposed its ‘Industry 4.0’ concept, focusing on the automotive industry, but the world’s leading new energy vehicles are produced in China.”

However, these countries’ manufacturing industries have each developed their own characteristics. He gave the example of Japan, whose manufacturing essence lies in training people, emphasizing “craftsmanship”; Germany focuses on “machinery craftsmanship,” using the best machines in manufacturing; while the U.S. is known for being “technological craftsmen,” continuously revolutionizing through technology to change the foundation of manufacturing.

He also pointed out that U.S. manufacturing is facing a transformation and upgrading, requiring selective development. “Manufacturing itself is a means and path to improving quality of life and the economy. As the local economy improves, challenges such as environmental protection, cost advantages, and talent cultivation will emerge. Entrepreneurs must take on social responsibility and contribute.”

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