Demographic studies show that almost 10,000 baby boomers reach retirement age each day. These seasoned employees take valuable company know-how with them and leave behind a potentially troublesome outcome for the organization as less-experienced employees struggle to fill their shoes.
What’s the Impact?
It is particularly worrisome how important the nation’s manufacturing and distribution industry should be aware of this impending knowledge gap, as the hit to the Australian manufacturing sector.
Recent manufacturing research reveals nearly 2 million manufacturing jobs will need to be filled in the next decade, and a half a million of those jobs are likely to go unfilled.
The Critical Role
As part of Integral management systems futuristic-thinking independent ERP consultant team, we guide manufacturing and distribution organizations to prepare for this challenge through the strategic use of enterprise technology in WA,
Integral Management Systems combines Microsoft Software solutions with an approach that includes:
Tech transformation: Effective business process transformation will help teams streamline manual-based tasks such as quality management, traceability reporting, shop floor control, dealing with external suppliers or functions of procurement departments, and much more. This will help existing employees work more effectively, and weather the storm of the skilled labor shortage. Along with the carefully developed and tested Warehouse Management System Android application and scanning devices solutions, we make the data driven work possible.
Attract today’s workforce: Careful evaluation and selection of modern technology, once implemented, will help organizations appeal to a younger, qualified workforce and retain existing younger employees. Attracting and retaining the best workforce is key. Skilled workers will gravitate to those companies utilizing the latest technology platforms.
Process improvement: Integral’s 30-year experience shows that a strategic approach to business process improvement supported by modernization of enterprise technology for efficiencies will help teams prepare for growing labor demand and the “silver tsunami” of a retiring workforce.
Just a story
One of our customers are disproportionately affected by the ramifications of an aging workforce. As skilled baby boomers retire, they take their knowledge with them. Including the new attractions to their team with software supported reality.
Integral teamed with a Food distributor facing this harsh reality.
As they explained, the food industry saw its proprietary knowledge slipping away because of retiring expertise and lack of knowledge transfer to millennial workers. Managers told us that the company might lose its ability to innovate and drive distribution competitiveness.
They found it difficult to attract and engage young workers when its ERP system and WMS was outdated. In fact, a new hire quit on his very first day after struggling with a legacy, user-unfriendly ERP solution that demanded programming expertise.
Through a careful approach to setting ERP selection criteria, Integral helped the organization select and leverage modern technology that automates and streamlines its quality processes, inventory management, process planning, warehouse management, ecommerce solutions and many more.
As a result, they were essentially “preserving tribal knowledge” by standardizing on a modern solution. The system’s modern interface was customized by user or role, and offered a Windows-like graphical user interface, touchscreen functionality, anywhere/anytime access via the Cloud, and other modern features to make everybody’s job more efficient.
This is just one of the dozens of examples Integral has encountered of companies considering enterprise technology and a retiring workforce.