Laurie Harbour, Partner at Wipfli LLP, joined Jamie Flinchbaugh on the People Solve Problems podcast to discuss leadership's critical role in integrating the next generation of manufacturing talent. Laurie, author of Tradition Meets Transformation, brings over 35 years of manufacturing experience helping companies improve efficiency and profitability.

Laurie explained that American manufacturing faces a significant generational gap. During the 1990s and early 2000s, parents encouraged their children to pursue four-year degrees rather than manufacturing careers, creating a shortage of workers in the 35-45 age range. This gap widened after the Great Recession further diminished interest in manufacturing careers. The result is an aging manufacturing workforce alongside a gradual influx of younger talent with different skillsets.

This talent gap has created serious consequences. Laurie noted that many companies relocated manufacturing to lower-cost regions worldwide partly due to domestic worker shortages. When COVID increased manufacturing demand in North America, companies struggled to find qualified workers, often hiring undertrained temporary labor that negatively impacted quality, delivery, and safety metrics. Many manufacturers now experience 30-40% turnover rates because they fail to engage and retain younger workers.

The new generation brings valuable technology skills to manufacturing, Laurie emphasized. Young workers excel at using tools like Excel, programming languages, and Power BI to analyze data effectively. Their efficiency with technology often exceeds that of experienced workers, and they naturally identify process inefficiencies that veterans might overlook. However, they lack the manufacturing process knowledge that experienced workers possess.

Laurie advised that successful manufacturers create environments where generations collaborate rather than compete. Some older leaders mistakenly believe younger workers need decades of experience before making meaningful contributions. The best companies instead form cross-generational teams where experienced workers share tribal knowledge while younger staff contribute technological insights. This engagement reduces turnover, as younger workers particularly want to feel their contributions matter.

For senior leaders approaching retirement, Laurie recommended embracing transformation rather than coasting on experience. She shared examples of companies that thrived after promoting younger leaders with proper support structures like advisory boards and mentorship programs.

For younger manufacturing professionals, Laurie stressed the importance of humility. She observed that successful young leaders recognize they don't need to be the smartest person in the room but must facilitate dialogue and ask good questions. The most effective emerging leaders actively seek mentorship and embrace being uncomfortable as they grow.

Laurie remains passionate about revitalizing manufacturing's image, particularly among women who represent 50% of the potential workforce. She's dedicated to educating school counselors and others who might discourage manufacturing careers despite their excellent compensation and technological sophistication.

Learn more about Laurie Harbour's work at www.wipfli.com or connect with her on LinkedIn at https://www.linkedin.com/in/laurie-harbour-264a253/.