Leadership Solutions

Human Capital, the Catalyst Fueling Manufacturing’s Industry 4.0

By Shannon Gabriel

June 27, 2022

How to recruit and retain workers to realize the full benefits of digital transformation.

As the all-in costs of domestic manufacturing suddenly become competitive to offshore alternatives, while mitigating acute supply chain risks in the process, the promise of Industry 4.0 is indeed motivating business leaders to bring manufacturing operations closer to home. Yet many overlook a key element: they still need to recruit and retain workers to oversee these facilities. And against the backdrop of the “great resignation,” recruiting and retaining employees with the technology skillset is harder than most remember.

In her article published in Smart Industry, Shannon Gabriel, TBM’s Managing Director of Leadership Solutions, explains why human capital is the most important catalyst fueling manufacturing’s Industry 4.0 emergence. She also outlines why manufacturers need to update their human-capital playbook to better compete for talent that will position manufacturers to fully capture the tailwinds being driven by technology.

Read the article to discover why business leaders must focus on the needs of their people to ensure digital transformation success.

 

TBM Consulting Group

Frequently Asked Questions

Why is recruiting and retaining workers such a challenge for manufacturers?
Recruiting and retaining workers is challenging because manufacturers are competing in a tight labor market while jobs themselves have become more demanding. The article explains that many roles require problem‑solving, adaptability, and accountability, yet recruiting practices often focus on filling seats rather than matching candidates to the realities of the work. When expectations and capabilities are misaligned, turnover increases and workforce stability suffers.
How do traditional hiring practices limit retention and performance?
Traditional hiring practices limit retention because they rely heavily on resumes, interviews, and past experience as predictors of success. The article highlights that these methods do not reliably assess how candidates will perform in a fast‑paced, execution‑focused manufacturing environment. As a result, companies frequently hire individuals who struggle once on the job, leading to disengagement, performance gaps, and early attrition.
What approaches help manufacturers recruit and retain the right workers?
Manufacturers can improve recruiting and retention by hiring for capability and mindset rather than credentials alone. The article emphasizes evaluating candidates based on how they think, learn, and solve problems, then supporting them with clear expectations, strong onboarding, and disciplined daily management. When hiring practices align with operational reality and leaders actively engage in workforce development, retention improves and performance becomes more sustainable.

Meet the Expert

Shannon Gabriel

Shannon Gabriel

Email Shannon
Shannon Gabriel is Vice President of TBM’s Leadership Solutions practice where she leads the organization’s comprehensive approach to labor strategy, change management and leadership development that impact top-line growth and improve organizational culture.

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