McKinsey at Manufacturing Institute’s Workforce Summit

Changing The Narrative on Talent Investment

October 21st, 10:00 AM
Tyler Freeman, Hannah Kitzmiller, Alberto Oca

For decades, companies have prioritized investment in capital and infrastructure, and recent trends in investment show no signs of slowing in an digital industrial age. But one thing is clear: Those that prioritize investing in talent outperform their peers by a wide margin across operational and financial metrics. Talent Investment has never been more important across the manufacturing industry, and The Manufacturing Institute, in collaboration with McKinsey and company, are changing the narrative on how organizations invest in their people.

Investing in Talent: The Integrated Operating Model

October 22nd, 9:30 AM
Tyler Freeman, Hannah Kitzmiller, Alberto Oca

Nearly one-third of skilled trades workers are nearing retirement, skill demands are shifting, and challenges in engagement and retention persist. Labor productivity has grown just 0.5% annually from 2015–2020, while outdated perceptions of vocational careers continue to constrain the talent pipeline. To address this, manufacturing leaders must prioritize talent transformation with the same discipline applied to capital investment. A “G-3” model – bringing together Operations, Finance, and HR – can align workforce strategy with business performance. Scalable, tech-enabled workforce solutions, skills-based hiring, and targeted upskilling programs can unlock $17K–$34K in value per FTE. By embracing their workforce as a core competitive advantage, manufacturers can stabilize their current operations while reimagining talent strategies to support long-term growth and resilience.