There are nine IRC skills forecasts for the Manufacturing and Related Services industry. The key generic workforce skills of the combined Manufacturing IRCs are listed in each skills forecast to enable comparison with those specific to each industry sector. The top five generic skills for the combined Manufacturing IRCs in order of priority are:
- Design mindset/Thinking critically/Systems thinking/Solving problems skills
- Technology use and application skills
- Learning agility/Information literacy/Intellectual autonomy and self-management skills
- Communication/Collaboration including virtual collaboration/Social intelligence skills
- Science, technology, engineering and mathematics (STEM) skills.
A common theme across the nine IRC skills forecasts is changing skill needs due to technological change, particularly regarding automation. A report prepared by PwC for the Swinburne University of Technology, Transforming Australian Manufacturing: Preparing Businesses and Workplaces for Industry 4.0, states Australian manufacturing is progressively becoming focused on priority sectors and on high value, high quality products, which is changing the skills required of the workforce. Businesses require employees with critical thinking and higher-level problem-solving skills, and highly specialised skills in research, software engineering and data science. However, despite these changes within the industry and in employee conditions, manufacturing is not perceived as a stable or secure career path. The report also lists intelligent data analytics skills, digital literacy, advanced cognitive skills as emerging skill needs for new job roles within the industry.
The main findings for manufacturing in A Robotics Roadmap for Australia 2018 highlight the importance of lifelong learning and workforce health and safety for the manufacturing workforce in the context of transitioning to Industry 4.0 technologies. Manufacturing in Australia is increasing in niche, high-value areas and has a specific need to utilise robotics to remain competitive in the global market place, extending skilled human capability while reducing exposure to dirty and dangerous processes. The report also finds that ongoing training of manufacturing workers is required to keep ahead of technological developments, the industry has an ageing workforce and it is struggling to attract young people.
The fourth report produced from Ai Group's 2019 business prospects survey, Australian Manufacturing in 2019: Local and Global Opportunities, states Australian manufacturing employment is projected to increase by over 50,000 in the next five years, and many Australian manufacturers fear their growth plans may be constrained by skill shortages. The report attributes the skills shortages to economic and demographic changes that include school leaving ages, funding of trade training, lack of parity of esteem between university and vocational education and training, and negative perceptions of career prospects. Poor perceptions of manufacturing may be placing the industry at a disadvantage, with some manufacturers finding it difficult to attract skilled trades people due to competition from large infrastructure projects, particularly in Sydney and Melbourne.
The Advanced Manufacturing Roadmap by CSIRO Futures presents a vision of Australian (advanced) Manufacturing being transformed into a highly integrated, collaborative and export-focused ecosystem providing high value customised solutions within global value chains.
The report identifies three opportunity themes for Australian manufacturing in the future:
- Customised high-margin solutions – this includes design services, and the manufacture of superior components and novel products.
- Sustainable manufacturing – both business models and processes to support sustainable manufacturing and also the manufacture of sustainable products.
- Selling services – this includes maintenance and repair services, workflow management services and health and biosecurity services.
Part of the enabling actions for manufacturing success in the future includes skills, training and the workforce. They highlight four main skill areas for development and acquisition:
- Digital literacy – data science and digital literacy skills including expertise in smart data systems, communications and data interpretation.
- Leadership and strategic management – a requirement for more a sophisticated approach to business planning and staff management for small family run manufacturing businesses.
- Customer interface – the integration of product design requires more customer liaison skills.
- STEM – seen as fundamental for advanced manufacturing, particularly in product design and development.
Advanced manufacturing is a priority industry for the Commonwealth and state/territory governments. The Australian Government Department of Industry facilitates the Advanced Manufacturing Growth Centre, and most of the jurisdictions have released strategies or roadmaps to promote growth for the industry (see the Relevant research section below).
For an analysis of skills needs for specific manufacturing sectors, please see the relevant sector pages.
