Conclusions from the Data
Manufacturers remain confident about their own companies, but they are not as bullish as they were last year. Projected increases in gross revenues, profitability, and capital expenditures are down this year. While most manufacturing executives say the state’s business climate is heading in the right direction, there is a noticeable uptick in the percentage saying the economy is slowing down. There is also a surge in concern about inflation and energy costs.
Manufacturers remain confident about their own companies, but they are not as bullish.
Workforce remains the most important issue impacting manufacturers’ future success. Companies continue to struggle to hire qualified workers. Increasing salaries and wages is seen as the top way to meet this challenge, though manufacturers are employing multiple strategies to attract prospective employees.
Workforce is the most important issue impacting manufacturers’ future success.
Manufacturers are investing more in systems, technology, and automation, with many larger manufacturers looking to automation as a potential solution to their workforce difficulties. Increased integration of technology and automation into operations also increases the importance of cybersecurity. Manufacturers understand they cannot afford to lose production time, resources, or reputation to a cyberattack and are taking this issue more seriously.
One-in-three manufacturers are still struggling to get past the pandemic.
COVID-19 is still impacting some manufacturers. Seven out of ten manufacturers say COVID-19 has had a major or modest impact on their business. Most say they have recovered, but one-in-three manufacturers are still struggling to get past the pandemic.