In today’s rapidly evolving manufacturing landscape, having the right people with the right skills at the right time isn’t just good practice—it’s essential. Whether you’re facing skills shortages, technology changes, or growth opportunities, effective workforce planning can be your competitive advantage.
Manufacturing Skills Queensland’s Industry Workforce Advisor Karen Knapton said that although vital, the workforce plan was often overlooked.
“Many manufacturers tell me they’re too busy dealing with day-to-day operations to think about workforce planning, but that’s exactly why they need it. The manufacturers who are thriving aren’t just reacting to skills shortages—they’re anticipating them and building strategies to stay ahead, and this is usually a result of pro-active workforce planning”
Workforce planning is the strategic process of analysing your current workforce capabilities, identifying future needs, and determining what actions to take to ensure your business has the talent it needs to succeed. With the right tools (and support) it’s easier than you think.
BUSINESS PLAN
Effective workforce planning begins with a clear understanding of your overall business strategy. Your workforce needs to align with and support your business goals and objectives. Without this alignment, you risk having a team that’s unprepared and no direction to help you achieve your vision.
“I’ve seen businesses invest heavily in training without connecting it to their strategic goals. The result? They develop skills their workforce doesn’t actually need. When your training aligns with your business plan, every dollar spent on development drives you closer to your objectives,” Karen says.
Not including training in business planning leads to higher employee turnover, reduced productivity, and increased hidden costs arising from errors, inefficiencies, and reputational damage. Over time, these impacts result in greater recruitment expenses and lost organisational performance, making the absence of planned training a significant financial and operational risk rather than a cost saving.
Ask yourself: What are your key business priorities for the next 1-3 years? What projects or initiatives will require specialised skills?
BUSINESS DIRECTION: GROW, MAINTAIN, OR REDUCE
Your workforce requirements will differ dramatically based on whether you’re planning to grow, maintain current operations, or reduce your business size. Being honest about your trajectory will help you make realistic workforce decisions.
For growth scenarios: How many new employees will you need? What skills will be required?
For maintenance: How will you retain key talent and address upcoming retirements?
For reduction: How can you preserve critical skills while rightsizing your workforce?
SKILLS ASSESSMENT AND GAP ANALYSIS
Understanding your current workforce capabilities is crucial. A comprehensive skills audit helps identify what expertise exists within your organisation and where gaps might impact your future plans. You will also need to understand any anticipated changes to outputs (such as technology, product composition, industry regulations and licencing) that may impact your business operations and ensure that there is a strategy to support these changes and position your business to pivot accordingly.
Consider both technical skills specific to manufacturing roles and transferable skills like problem-solving, leadership, and digital literacy that are becoming increasingly important in modern manufacturing environments.
“If you’re planning to grow, you need to build skills before you need them, not after. Manufacturers that identify what capabilities they’ll require in 12 to 18 months and start developing their people now are ready to expand when the new contract comes through, or that expansion happens,” Karen notes.
Once you’ve addressed these three foundational elements, you can begin developing targeted strategies for recruitment, training, succession planning, and knowledge transfer. The most successful manufacturers approach workforce planning as an ongoing process rather than a one-time event.
“Your workforce plan is a roadmap, not a document to sit on a shelf. I encourage manufacturers to revisit their plan regularly—check if they’re on track with their hiring targets, training milestones, and succession planning. When you treat it as a living document, it keeps your workforce strategy aligned with where your business is actually heading. It will also allow you to cross check those strategies against implementation and identify any additional needs, changes or improvements” Karen advises.
Manufacturing is changing rapidly with automation, digitisation, and new production methods creating both challenges and opportunities. Proactive workforce planning ensures you’ll have the human capital needed to navigate these changes successfully.
Ready to take the next step in developing your workforce strategy? Manufacturing Skills Queensland has industry experts ready to guide you through the process.
Connect with our Industry Workforce Advisor today to start building your customised workforce plan
DID YOU KNOW: From now until November 2026, small manufacturers with less than 20 employees that have an approved workforce plan are able to access a $2,000 skills and workforce development subsidy. The subsidy can be used on HR services including developing HR guides and more.
The Industry Workforce Advisor program is supported and funded by the Queensland Government.
25 May 2026