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?:westmonroe
RESEARCH
THEFUTUREOFMID-MARKETMANUFACTURING
2026Outlook
WHATSINSIDE
ExecutiveSummary 3
THETRENDS
Supplychainsmovefromdefensiveto
permanentlyflexible 4
TurningAIfromproof-of-concept
intoproof-of-value 7
Dealsthatbuild,notjustbuy:UsingM&A
tomodernizethemid-market 10
Cyberresilienceisthenewuptime 13
Thenextshift:Reinventingwork
forayounger,AI-enabledworkforce 14
YourWatchList&Contributors 17
AboutWestMonroe 18
TheYearofConnectedTransformation
Manufacturingenters2026withurgency—andanewkindofclarity.Theforces
reshapingtheindustryaren’ttheoretical
anymore:Workforceturnover,supplychainvolatility,AIacceleration,andreneweddealactivityarerewritinghowvalueiscreated
andsustained.
We’veseenthisshiftupclose.
ThecompaniesthatleadwillbethosewhostoptreatingAI,workforce,andoperationsasseparateprioritiesandstartconnectingandactivatingthemasonestrategy.Thisisaboutredefininghowworkgetsdone,howdealscreatevalue,andhowresilienceis
builtintoeverylayerofthebusiness.Thenextgenerationofmanufacturersaren’twaitingforclarity.They’rebuildingit.
RandalKenworthy,
SeniorPartner
?2025WestMonroePartners|Reproductionand/ordistributionwithoutWestMonroePartners’priorconsentisprohibited.2
?2025WestMonroePartners|Reproductionand/ordistributionwithoutWestMonroePartners’priorconsentisprohibited.3
EXECUTIVESUMMARY
Throughclosecollaborationwithmid-marketmanufacturersandindustryexperts,we’veidentifiedfourdefiningforcesreshapingthesectorin2026.
Supplychainsmovefromdefensivetopermanentlyflexible
2025wasayearofconstantreactionto
tariffsandpolicychanges.In2026,that
reactivityisgivingwaytoacceptance—andaction—asmanufacturersdesignsupply
networksbuiltforpermanentflexibility,
proactivescenarioplanning,andresilienceatscale.
TurningAIfromproof-of-conceptintoproof-of-value
AIhasmovedfrompromisetoproduction.Successnowdependsonsolvingreal
businessproblems,notchasingtools.
Manufacturersarecleaningandconnectingtheirdata,aligningAItomeasurable
outcomes,andembeddingitinworkflowstomovefrompilotstoperformance.
Dealsthatbuild,notjustbuy:UsingM&Atomodernizethemid-market
M&Aisreboundingasmid-market
manufacturersuseacquisitionsto
acceleratedigitaltransformationandhedgeagainstrisk.TheleadersarepairingsharperduediligencewithAI-driveninsights,
targetingdealsthatexpandcapabilityandresilience—notjustfootprint.
Thenextshift:Reinventingworkforayounger,AI-enabledworkforce
Laborshortages,retirements,and
immigrationpressuresareconverging
justasAIandautomationreshapehowworkgetsdone.Themanufacturers
pullingaheadarecapturinginstitutionalknowledge,redesigningrolesforhuman-machinecollaboration,andbuilding
inclusiveupskillingprogramsthatturnchangeintocapability.
TREND01
?2025WestMonroePartners|Reproductionand/ordistributionwithoutWestMonroePartners’priorconsentisprohibited.4
SUPPLYCHAINSMOVE
FROMDEFENSIVETO
PERMANENTLYFLEXIBLE
Whattoexpect
Globaldisruptions—fromtariffsandshiftingtrade
policytoclimateeventsandregionalconflict—keptsupplychainleadersonconstantalertin2025.WestMonroetracked250manufacturing,distribution,
andretailexecutivesthroughourQuarterlySupplyChainPollandfoundthatmostwerereactinginrealtimetoeverypolicychangeandtariffadjustment
whilesimultaneouslytestingnewAI-driventools.Itwasn’tstrategy—itwassurvival.
Now,headinginto2026,ashiftistakinghold.
Supplychainleadersaren’texpectingstability—
they’reacceptingpermanentflexibilityasthenewbaseline.Thenexterawon’tbequiet,butitwillbemoredeliberate:networksdesignedtoflexacrossgeographies,supportedbycontinuousAIinsights,strongdatagovernance,andthemindsetthat
adaptabilityisresilience.
TopSupplyChainPriorities
Improvinginventorymanagement
Enhancingcustomerfulfillmentspeed
Costcontainmentamideconomicuncertainty
9%
14%
Addressingtalent shortagesandworkforcegaps
Diversifyingsupplierbase/increasing/
25%
20%
22%
17%
13%
8%
Strengtheningcybersecurityand
9%
4%
10%
15%
20%
6%
resilience
supply
chain
10%
15%
27%
Source:
WestMonroeQuarterlySupplyChain
Poll(Q3)
?2025WestMonroePartners|Reproductionand/ordistributionwithoutWestMonroePartners’priorconsentisprohibited.5
TREND01:SUPPLYCHAINSMOVEFROMDEFENSIVETOPERMANENTLYFLEXIBLE
YOURTO-DOLIST
Buildthedataandplanningbackboneforproactivedecision-making
2025provedthatagilitywithoutalignmentis
chaos.OurSupplyChainPollrevealedthat46%of
companiesrespondedtotradeorpolicychanges
withinonebusinessweek—aspeedthatoften
outpaceddataaccuracy.In2026,manufacturersareshiftingfromreactingfasttoreactingfastandright.
Thisstartswithunifyingdataacrossplantsand
suppliers,enforcingmasterdatagovernance,and
clarifyingsourcesoftruth.Then,useAIscenario
modelingtosimulatetariff,demand,andclimate
disruptionsacrossgeographies.Beginwithsourcingworkflowsandexpandoutward—forecastingcost
implications,stress-testingplans,andidentifyingbottlenecksbeforetheyhappen.
Don’tconfuseautomationfortransformation
TherushtodeployAIleftmanymanufacturers
automatingbadprocesses.Thefoundationstill
matters:cleandata,alignedsupplyanddemand,anddisciplinedS&OPcycles.In2026,leaders
aregroundingAIinvestmentincost-to-serveandcustomerprofitabilitymodels—quantifyingwhereautomationdrivesrealROI.Don’tskipthebasics.
Transformationonlystickswhenautomationisbuiltonoperationaltruth,notspeedalone.
Strengthensuppliercollaborationandvisibility
Thefuturesupplychainisbuiltonshared
forecasts,opendatachannels,andco-investmentinresilience.Thatmeansmanufacturersneedto
beginengagingasmallgroupofcriticalsuppliers
toco-developdata-sharingpracticeslikeshared
forecastsorcapacitysnapshotsthatcaneventuallyscaleacrossthenetwork.
46%
ofcompaniesrespondto
trade/policychangeswithin
onebusinessweek.
Source:
WestMonroeQuarterlySupply
ChainPoll(Q2)
Additionally,focusonhigh-riskorhigh-value
componentsandengagesupplierstohelpmap
theirsupplybases.Upstreamblindspotscanderailentireproductlines.Buildalivingmodelthatevolveswithyoursupplynetwork.Youdon’tneedaperfectsystem—justaflexible,transparentone.
Balancelong-termvisionwithshort-termROI
Permanentflexibilityrequiresinvestment—butalsodiscipline.Leadingmanufacturersin2026areidentifyingquickwinsthat
fundtransformation:laborefficiency,scrap
reduction,productionattainment,andinventoryoptimization.Everygaincompounds.
Tienear-termcashimprovementstoyourlong-
termdigitalroadmap.Themostsuccessful
organizationsareturningoperationalwinsinto
strategicreinvestment—closingtheloopbetweentoday’simprovementsandtomorrow’sresilience.
?2025WestMonroePartners|Reproductionand/ordistributionwithoutWestMonroePartners’priorconsentisprohibited.6
TREND01:SUPPLYCHAINSMOVEFROMDEFENSIVETOPERMANENTLYFLEXIBLE
LET’SGETTHERE
TOGETHER
“
BrianPacula,
Partner,SupplyChain
MostcompaniesonlyseetheirTier1suppliers.Everythingbeyondthatisablackbox,andthat’swhererealriskhides.
“
JeremyTancredi,
Partner,SupplyChain
Theshiftawayfromjust-in-timeisn’ttheoretical
anymore.Manufacturersarelivingtheimpact,
whetherit’sRedSeadisruption,inflation,orraw
materialdelays.It’saboutbuildingsmarter,faster,moreflexiblesystems,notjustchasinglowestcost.
EXPLOREMORE
Q2Poll:WhyMostCompaniesAren’tRethinkingTheirSupplyChains—Yet
LEARNMORE
LayingtheGroundworkforAIinSupplyChainManagement
LEARNMORE
Whymanufacturersareprioritizingsustainablesupplychains
LEARNMORE
TREND02
?2025WestMonroePartners|Reproductionand/ordistributionwithoutWestMonroePartners’priorconsentisprohibited.7
TURNINGAIFROM
PROOF-OF-CONCEPT
INTOPROOF-OF-VALUE
WhattoExpect
AIhasofficiallygonefromconcepttocapabilityinmid-marketmanufacturing—butthematuritygapiswidening.While91%ofmiddle-marketfirms
arenowusinggenerativeAIinsomefashion,moststillstruggletomovefromisolatedusecases
tomeasurableenterprisevalue.Acrossfactory
floorsandfrontoffices,manufacturershavebeenexperimentingwithpredictivemaintenance,
productionscheduling,andgenerativedesign,
butnotenougharefiguringouthowtoturnitintorepeatableandscalableperformancegains.
Headinginto2026,leadersarefocusedonscalingAIresponsibly—buildingthedatafoundations,
workforceskills,andgovernancetoturn
experimentationintoadvantage.Theonesthat
treatAIasastrategicleverforresilienceand
growth,notjustefficiencyandcost-trimming,willdefinethenexteraofindustrialcompetitiveness.
TopproductivitygainsfromAIinyoursupplychain
Improvedworkforce
efficiency(e.g.,
fewermanualtasks)
Fastercycletimes(e.g,sourcing,shipping)
Costsavings
Higherservicelevels
Wearen’tseeingproductivitygainsyet
64%
56%
49%
40%
1%
Source:
WestMonroeQuarterlySupplyChain
Poll,Q32025
TREND02:TURNINGAIFROMPROOF-OF-CONCEPTINTOPROOF-OF-VALUE
?2025WestMonroePartners|Reproductionand/ordistributionwithoutWestMonroePartners’priorconsentisprohibited.8
YOURTO-DOLIST
TreatAIasacorecapability
Thechallengeisn’twhetherAIworks,buthow
tomakeitworkinyourenvironmentwiththe
resourcesyouhave.Thefirmsmakingthemost
progressdon’t“adoptAI”—theyrewirehowwork
getsdonesopeopleandmachinesmakedecisionstogether.Predictiveschedulingtoolsarefeeding
intoERPsystems.Qualityinspectionalgorithmsareflaggingdefectsbeforeproductsleavetheline.
ManufacturersaretyingAItobusinessobjectives,
buildingstrongerdataecosystems,andtrainingtheirworkforcetotreatAIasapartner—notaproject.Formid-marketteams,timeandcapitalarelimited.A
smarterupfrontstrategyminimizeswaste,focuseseffort,andlaysthegroundworkforscale.
Avoidtool-firstdecisions—instead,redesignprocessesforanAI+humanapproach
Everyonesaystheystartwiththebusinessproblem.ButweoftenseeteamsgetseducedbyAItoolsthatpromisetosolveeverything.Beforelong,they’re
spendingmonthsdebatingplatformsinsteadoffixingthroughput,quality,orothercoremetrics.
In2026,manufacturersareanchoringevery
AIinvestmenttoaclearpurpose—andstaying
disciplinedwithit.Pickoneprocess,redesignit
withAIandhumansworkingtogether,measuretheresults,thenscaleandrepeat.Atool-firstapproachisalmostalwaysarecipeforlacklusterROI.
FixyourdataasyouadoptAI
Clean,structured,andcontextualizeddataisthe
foundationforreliableAIperformance.Butformanymanufacturers,thatfoundationisstillshaky.Ifyoursystemsaredisjointed,yourinputsmanual,oryourgovernancemissing,addressthosegapsasyour
organizationadoptsAI.Moreleadersaretreatingdataasanassetinsteadofabyproduct.
ThatmindsetshiftiswhatturnsAIintoa
performancedriverinsteadofanexperiment.
Buildingovernanceandfeedbackloopstobuildcriticaltrust
AIdoesn’tfailquietly—itfailsintheopen.That’s
whyscalingAIrequiresstronggovernance.Establishroles,feedbackchannels,andaccountability
structuresthatextendbeyondtheITteam.Themanufacturerswhopullaheadin2026willnotbemeasuringcostsavingsalone.Trackuptime,throughput,employeeengagement,anduser
adoptiontogetafullviewofimpact.
Themanufacturerspullingaheadarecreating
realfeedbackloops.Operatorscanflagwhen
recommendationsdon’tmatchreality.Maintenanceteamscanseewhyamodelmadeacall.That’showyoubuildanAI-forwardculturethatscales—whenemployeesseeAIgettingbetterbecausethey
helpedmakeitsmarter.
Createaplaybooktoscalewhatworks
AIsuccessstoriesstilldieinthepilotstagebecausenoonedocumentshowithappened.OneWest
Monroeclient,amid-marketpet-foodmanufacturer,connected31machinesacrossfourdepartmentsto
collectreal-timeperformancedata.Within16weeks,theteamidentifiedprocessbottlenecksandunlockedroughly$13millioninincrementalcapacity.Becausetheapproachwasdocumentedandstandardized,theclientscaledthesamemethodologyacrossadditionallineswithoutstartingover.
Treateverypilotasaprototypeforscale.Atrue
playbookcapturesnotonlywhatworkedbuthowitworked—thedataarchitecture,governance,andchangemanagementbehindit.That’showmid-marketleadersmovefromAIproof-of-concepttoperformanceadvantage.
TREND02:TURNINGAIFROMPROOF-OF-CONCEPTINTOPROOF-OF-VALUE
?2025WestMonroePartners|Reproductionand/ordistributionwithoutWestMonroePartners’priorconsentisprohibited.9
LET’SGETTHERE
TOGETHER
“
JeffPehler,
Partner,Consumer&IndustrialProducts
AIdoesn’tcreatevalueonitsown.The
valuecomesfromhowyoubuildaroundit—yourdata,yourpeople,andyourabilityto
repeatwhatworks.
“
SanketDave,
Partner,Technology&Experience
Therealchallengeisn’ttheAI.It’sthebusiness
processbehindit.Ifyoudon’trethinkhowtheworkgetsdone,AIwon’tdeliverwhatyouexpect.
EXPLOREMORE
RethinkingITOperatingModels:ACIO’sGuidetoScalinganAI-PoweredOrganization
LEARNMORE
WestMonroe’sQuarterlySupplyChainPoll–2025
LEARNMORE
LayingthegroundworkforAIinsupplychainmanagement
LEARNMORE
TREND03
?2025WestMonroePartners|Reproductionand/ordistributionwithoutWestMonroePartners’priorconsentisprohibited.10
DEALSTHATBUILD,
NOTJUSTBUY:USING
M&ATOMODERNIZETHEMID-MARKET
WhattoExpect
Afteracautious2025,mid-marketmanufacturersarere-enteringtheM&Amarketwithsharper
intent.Overalldealvolumesfellyear-over-year,
butthevalueoftransactionsroseasinvestors
chasedhigh-qualityassets.Private-equityinterestinindustrialmanufacturingclimbedmorethan
20%,whilestrategicslargelypausedamidtariffuncertainty.Theresult:fewerbutbigger,morestrategicdeals.
Headinginto2026,M&Ahasbecomeacritical
leverformodernizationandriskdiversification
intheindustry.PitchBookdatarevealsthatmid-marketmanufacturersarebecomingincreasinglyselective,withdealcountdecliningfrom354inQ1to327inQ3.However,capitalinvestedin
manufacturing-relateddealssurgedto$51.75billioninQ3—thehighestquarterlytotalin
2025.Manufacturersareusingacquisitionsto
accelerateAIadoption,offsettalentshortages,
andbuildregionalbalanceagainstshiftingtradedynamics.Consolidationisalsoreshapingentirevaluechains—pairinglegacyoperatorswith
digital-nativecapabilitiestoboostefficiency
andresilience.Formid-marketleaders,deals
arenolongerjustgrowthplays,they’resurvivalstrategiesinanindustrywheretechnology,labor,andvolatilitynowmoveinsync.
ManufacturingM&A:PrivateEquityStepsInasStrategicsStepBack
400
$60.00B
354
350
335327$50.00B
300
$40.00B
$51.75B
250
$30.00B
200
$20.00B
150
88
$10.00B
100
$41.94B
2025Q4
50
$0.00M
0
2025
Q2
2025
Q3
2025Q1
CapitalInvestedDealCount
Source:PMCFQ22025M&AReport;ModernDistributionManagement,July2025
TREND03:DEALSTHATBUILD,NOTJUSTBUY
?2025WestMonroePartners|Reproductionand/ordistributionwithoutWestMonroePartners’priorconsentisprohibited.11
YOURTO-DOLIST
Planforscalabletransformation,notjustshort-termwins
Formid-marketmanufacturers,everydealneedstopulldoubleduty:deliveringgrowthtodayandpositioningthebusinessforlong-termagilityin
avolatilelandscape.Ensurethetargetfitsintoabroaderoperationalanddigitalvision,notjustnear-termrevenuegains,regardlessofwhetheracquiringfortechorgeographicfootprint.
Itwillbeevenmoreimportantin2026totieeachacquisitionbacktoaclearvalue-creationthesis
groundedinefficiency,automation,andsupply
chainagility—notjustconsolidationorcost-cutting.Makesureinternalteamsunderstandhowthe
acquisitionconnectstobroadertransformationgoals.Withoutthisclarity,executionsuffers.
Buildtariffandtradevolatilityintoeverydealmodel
Preparingfortraderisksrequiresmorethan
awareness.Formodernmanufacturers,it
demandsmodelingthemlikecorefinancial
drivers.AIcansimulatetariffexposure,forecast
compliancecosts,andmaptheoperationalimpactofcross-borderdisruption.
Diligenceteamsshouldbeasking,“Whatwould
happenifatradepolicyflippedovernight?”Thesescenariosarenolongertheoretical.Building
suchvariablesintodealmodelsearlyhelpsavoidpost-closesurprisesandcreatesamoreresilientinvestmentthesis.
Pressure-testintegrationplanstoensuretheydrivevaluecreation
Manufacturersneedtogobeyondtraditionaldiligencechecklistsin2026.UseAIandadvancedanalyticstoidentifyoperationalinefficiencies,ITredundancies,
andculturalmismatchesbeforethedealcloses.
Formid-marketbuyers,integrationisoftenwheredealsfalter—notbecauseofstrategybutbecauseofexecution.Withoutsmartintegration,eventhemostpromisingdealsriskstallingorfailingto
delivertheirexpectedROI.
LeverageAIthroughoutthedeallifecycle
Leaningonautomatedprocessesiskeytohelpingsmallteamsprioritizetimeandfocusonthemostpromisingtargetsduringadeal.Manufacturing
leadersshoulddeployAItoolsearlyontoscanmarketdata,identifyemergingplayers,andflagunusualgrowthpatterns.
Duringdiligence,AIisaforcemultiplier.Itcan
speedupdocumentreviewandsurfacecontractriskstohighlightcompliancegapsburiedindatarooms.Transparent,data-backedstrategies
don’tjustleadtosmarterdeals;theyearnfasterinternalalignmentandsmootherexecution.
DEALSPOTLIGHT:AMERICANAXLE&
MANUFACTURING×DOWLAISGROUP|
VALUE:£1.2B
AmericanAxle’sacquisitionofDowlaisGroupsignalshowmanufacturersareusingM&Ato
modernizeandbuildresilienceinavolatile
market.Thetransactioncombinestwoindustrialsupplierswithcomplementarycapabilities
acrosstraditionalandelectricpowertrains—reflectingabroaderpushtowardscale,globaldiversification,andtechnologyflexibility.
Thetakeawayformid-marketmanufacturers:Dealsarebecomingtoolstofuture-proof
operations,strengthensupplychains,and
acceleratedigitaltransformation.In2026,M&Awon’tjustbeaboutbuyinggrowth—itwillbe
aboutbuyingadaptability.
TREND03:DEALSTHATBUILD,NOTJUSTBUY
?2025WestMonroePartners|Reproductionand/ordistributionwithoutWestMonroePartners’priorconsentisprohibited.12
LET’SGETTHERE
TOGETHER
“
EmilieButler-Olimb,
Director,Mergers&Acquisitions
AIenablesustoanalyzecomplexdatafasterandmoreeffectively,allowingustoreachconclusionsandformperspectiveswithgreaterspeedandconfidencethaneverbefore.
EXPLOREMORE
NavigatingTariffUncertainty–WestMonroe
LEARNMORE
TheAIEdgeinPrivateEquity:WhyProprietaryDataMattersMost
LEARNMORE
Howadata-fueledapproachdrivessuccessfulmergers
LEARNMORE
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SPOTLIGHT
CYBER
RESILIENCEIS
THENEWUPTIME
Cybersecurityinmanufacturinghascomealongway—butsohavethethreats.
In2026,mid-marketmanufacturersneedtocontinueevolvingtheircybersecurity
measuresatthepaceofbadactors.Buildresilientarchitecturesfromthegroundup:embeddingsecurity-by-design,unifying
IT/OTresponse,anddeployingAI-driventhreatdetectionasstandard.Proactive
monitoring,real-timedetection,and
cross-vendorcollaborationarenolongeroptionalifdowntime—andsupply-chainrippleeffects—areonthetable.
fromQ42024toQ12025,with
Thetakeawayformid-market
manufacturers:Dealsarebecomingtoolstofuture-proofoperations,strengthen
supplychains,andacceleratedigital
transformation.In2026,M&Awon’tjustaboutbuyinggrowth—itwillbeabout
buyingadaptability.
Ransomwareattacksagainstindustrialoperatorsjumped
46%
operational-technologyenvironmentsincreasinglytargeted.
TREND04
?2025WestMonroePartners|Reproductionand/ordistributionwithoutWestMonroePartners’priorconsentisprohibited.14
THENEXTSHIFT:
REINVENTINGWORK
FORAYOUNGER,AI-
ENABLEDWORKFORCE
WhattoExpect
2M+
U.S.manufacturingrolesare
projectedtogounfilledby2033
Source:
TheManufacturingInstitute
Attractingandretainingtalenthastopped
manufacturers’prioritylistsforyears—with2
million+U.S.manufacturingrolesprojectedtogo
unfilledby2033.Butin2025,thechallengegrew
morecomplex:Olderworkersexitedindroveswhileyoungertalententeredwithdigitalfluencybut
limitedoperationalexperience.Forward-looking
manufacturersaremappingknowledgebeforeit
disappears,investinginAR/VRandlow-codetools,andrethinkinghowworkgetsdone.
Headinginto2026,Immigrationpolicyisaddingpressure.InJuly2025,morethan530,000
immigrantworkerslostworkauthorization,
includingan
estimated90,000inmanufacturing
,reducingacriticallaborpool.Leadingmid-marketmanufacturerswillbuildworkflowsthatoperatewithfewerpeople,moreautomationandhuman-plus-machinemodelsasthenewnorm.
?2025WestMonroePartners|Reproductionand/ordistributionwithoutWestMonroePartners’priorconsentisprohibited.15
TREND04:THENEXTSHIFT
YOURTO-DOLIST
Preparefortheretirementcliffbeforeithitsyourbottomline
BabyBoomerretirementsareaccelerating,takingdecadesofshopfloorexperiencewiththem.
IncomingtalentbringsmoreAIfluencybutlackstheoperationalintuition.
Manufacturersshouldrunaretirement-risk
assessment—identifyingroleswhereexpertiseis
agingout—andbuild“overlapprograms”thatpair
experiencedoperatorswithdigitalapprenticeships.Don’tjustbackfill:Continuallyredesignroles,teams,andprocessesastheworkforceagesout,ensuring
human-in-the-loopdecisionsupportandautomationcomplement—notreplace—coreexpertise.
Secureandscaleinstitutionalknowledge
2026shouldbetheyearmanufacturersfinallycodifytribalknowledge—theunrecorded,experience-
basedstepsthatkeepproductionrunning.
ThegoodnewsisAIcandrasticallyspeedupthisprocessbycapturingandstructuringfrontline
expertiseinrealtime—transcribingoperator
walkthroughs,taggingmaintenancelogs,and
organizingdecadesofscatteredknowledgeintosearchable,retrainabledatasets.Whatoncetookmonthsofdocumentationcannowbeautomatedinweeks,creatingalivingknowledgebasethat
powersAIcopilots,predictivemaintenance,andAR/VRtrainingprograms.
Redesignrolesandprocessesforhuman–machinecollaboration
MaphoweachprocesscouldrunwithagenticAIandautomation,thendecidewherehumanjudgmenttrulyaddsvalue.Future-readyrolesblendmechanicalskillwithdataanalysis—thinkmaintenancetechnician+AImonitor+problemsolver.
Startwithpilotcellswhereautomationadoptionishighest,testnewworkflows,andevolvejobdesigninparallelwithtechnologyrollouts—notafter.
Designupskillingprogramswithinclusivity,notjustspeed
BuildinganAI-readyworkforceisn’tjustabout
teachingpromptengineeringordashboards.It’s
moreabouttrust,relevance,andhands-onlearningthatfitsrealroles.
Blendtechnicalliteracywithrole-specific
application.EnsureworkersseeAIasatooltoenhance—notreplace—theirvalue.
Expandworkforcepipelinesandrethinkhowyouengagetalent
Traditionaltrade-schoolpipelineswon’tmeet
2026demand.Partnerearlier—withhighschools,communitycolleges,andevenworkforcere-entryprograms.Highlightmanufacturing’stechnology-drivenevolution—automationlabs,robotics
apprenticeships,digitaltwins—toattractyounger,tech-curioustalent.
Shiftrecruitingfrom“shiftwork”to“smartwork.”
Thatlanguagematterstoagenerationraisedonpurposeandproblem-solving.
UselearningasaleverforfasterAIvalue
Continuouslearningsystemsaren’tjustHR
infrastructure,they’rekeytoAIenablementin
2026.Thefasteryourteamslearn,thefastertheycanadoptandadaptAI.
Tielearningtomeasurableoutcomes–uptime,
quality,scrapreduction–anduseearlyknowledgecaptureeffortstoaccelerateskilldevelopment
acrossroles.
TREND04:THENEXTSHIFT
?2025WestMonroePartners|Reproductionand/ordistributionwithoutWestMonroePartners’priorconsentisprohibited.16
LET’SGETTHERE
TOGETHER
“
GlennPfenninger,
Partner,Organization,People&Change
Thisisn’tjus
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