Australia’s manufacturing organisations face significant challenges, including skills shortages and an ageing workforce. A diminishing pool of skilled tradespeople and a gap in technical expertise among younger workers entering the industry is being compounded by a significant proportion of experienced employees nearing retirement age. The result of this is the potential loss of critical institutional knowledge and technical know-how. At the same time, rapid technology advances demand a workforce that is both skilled in traditional manufacturing practices and adept at adapting to new technological tools and methodologies, creating a pressing need for upskilling and reskilling initiatives within the sector.
Many manufacturers are investing more heavily in digital transformation and adopting advanced technologies to overcome these hurdles and enhance efficiency and productivity. Crucially, manufacturers are making the change to alleviate the pressure on under resourced teams and improve the work-life balance of their workforce. In fact, nearly half (40 per cent) of Australian manufacturers plan to invest in intelligent automation and robotic process automation (RPA) by 2025. (1) One key area of investment is the adoption of cloud-based enterprise resource planning (ERP) software, which has emerged as a significant step towards reshaping manufacturing operations, as well as the employee experience.
The Australian manufacturing industry is increasingly facing competition both domestically and internationally, and the need for efficiency and agility is paramount. ERP systems that are tailored to the unique needs of the manufacturing sector can significantly shorten the time required for projects that traditionally take weeks or months to complete. By compiling data and generating reports at a fraction of the time, these systems let firms respond more swiftly to market changes, customer demands, and internal needs. However, this responsiveness is not only beneficial for the company’s bottom line; it also instils a sense of dynamism and adaptability in the workforce, traits that are essential in the modern business landscape.
Implementing cloud-based ERP systems addresses a core issue for many manufacturers: the burden of repetitive, time-consuming tasks. Tasks such as inventory management, invoicing, and reporting often rely on inefficient manual processes that are an unnecessary drain on employee time and morale. By automating these activities, ERP software streamlines operations and crucially frees up employees' time in one fell swoop, letting them engage in more meaningful, fulfilling work instead.
Another key component of this transformation is the reduction of redundant data entry. The duplication of effort in entering the same data into multiple systems is a frustrating and time-consuming reality for many manufacturing organisations. However, the centralisation of data within an ERP system provides a single point of truth that eliminates the need for employees to navigate between multiple spreadsheets and disparate systems. This reduces the risk of errors and expedites access to information for more informed decision-making. The time saved here can be redirected towards more strategic tasks, contributing to both personal and organisational growth. This shift from monotonous tasks to engaging activities can have a profound impact on an employee's sense of value and satisfaction, directly influencing their work-life balance.
In an industry grappling with a growing skills gap and an ageing workforce, retaining experienced employees is more crucial than ever. An environment where technology alleviates the daily grind, encourages engagement with more fulfilling activities, and promotes a healthy work-life balance is inherently more attractive to employees. By demonstrating a commitment to leveraging technology for employee wellbeing, manufacturing firms can foster loyalty while simultaneously positioning themselves as attractive destinations for emerging talent.
Integrating industry-specific software solutions also elevates the role of employees from operators to strategists. By automating routine tasks, employees are empowered to focus on areas that require human intelligence and creativity, such as process improvement, innovation, and customer relations. This transition can help to effectively transform the employee's role and value within the organisation.
Encouraging employee retention is more important than ever for manufacturers facing a growing talent shortage, and the role of technology in creating a balanced and dynamic work environment cannot be overstated. Implementing industry-specific integrated business management solutions—including cloud-based ERP systems—can reduce time-consuming projects, compile data into a single point of truth, and provide reports and insights in a fraction of the time it would take to manually generate them. By leveraging industry-specific software solutions, manufacturers can both increase productivity and offer their employees a better work-life balance, which is crucial to ensure the manufacturing sector remains robust, adaptable, and forward-looking.
Liam Merrick, sales engineer, ECI Solutions
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