Despite anticipated challenges like supply headwinds, labor shortages, and an uncertain economic environment, the Deloitte believes that manufacturing is poised for growth in 2023!

According to the annual Manufacturing Outlook produced by Deloitte, “The acceleration gained in 2022 is expected to continue into 2023, though headwinds of supply challenges, labor shortages, and an uncertain economic environment will persist. Energy price volatility, higher labor costs, and inflation worries could also affect the industry. In addition, the impact of legislation passed in 2022 will likely become more evident in the coming year. Amid these uncertainties, innovations and solutions pioneered in 2022 are expected to gain momentum in 2023, potentially altering tried-and-true business practices in the pursuit of growth and productivity.

In the year ahead, manufacturing companies should consider the following:

• Increasing the utilization of digital technology to increase supply chain visibility, productivity,
and connectivity with suppliers, partners, and consumers
• Growing focus on attracting and retaining talent through upskilling; reskilling; providing
flexibility where possible; and promoting diversity, equity, and inclusion in the workplace
• Mitigating supply chain risk through building local capacity and moving from just-in-time
sourcing to create redundancy in the supply chain
• Implementing smart factory initiatives to achieve targeted business goals
• Adapting strategies for the future of work.”