3 Hiring Risks That Slow Down Operational Change in UK Manufacturing

UK manufacturers are under pressure from multiple directions.

Make UK’s 2025 Executive Survey found that 92% of manufacturers see employment costs as a risk to growth, while many are also dealing with rising material and energy costs. At the same time, manufacturers are being pushed to improve productivity, modernise operations and adopt new technology to remain competitive.

That tension is creating a difficult position for Operations Directors and IT leaders.

Most organisations recognise the need to improve efficiency through better systems, automation or data visibility. However, many are also being cautious about hiring and investment while costs remain high. Recent industry surveys show that half of manufacturers have frozen recruitment activity, while around a third have delayed investment plans in response to market pressure.

In practice, this means the need for operational improvement has not gone away. The challenge is having the internal capability to deliver it.

Across the manufacturing businesses we speak with, this pressure usually shows up in three common areas.

Disconnected systems make operational improvement harder than it should be

Many manufacturers are working with a mix of ERP platforms, shop-floor systems, reporting tools and manual processes that do not always integrate well.

When production data, planning systems and reporting tools are disconnected, it becomes much harder to get clear visibility of where inefficiencies actually sit.

The UK Government’s Technology Adoption Review highlighted integration challenges with legacy technologies in factories as a key barrier to productivity improvements in advanced manufacturing. Businesses often understand the changes they want to make, but struggle to connect systems and processes in a way that supports those improvements.

Without that visibility, operational leaders are often left making decisions based on incomplete data.

The capability needed to deliver change safely is often stretched

Manufacturing leaders are being asked to deliver operational improvement while maintaining output, quality and customer commitments.

The reality is that many transformation initiatives cannot be separated from day-to-day operations. Introducing new systems, improving data flows or modernising infrastructure must happen without disrupting production.

When hiring freezes or investment delays reduce internal capacity, those projects do not disappear. Instead, they stack up or are pushed onto already stretched teams.

Over time this can slow progress and increase risk around transformation work that is needed to improve efficiency.

Hiring technical people who understand manufacturing is difficult

Many organisations underestimate how specific technical hiring requirements can become in manufacturing environments.

On paper, the requirement might look like an ERP specialist, a systems integration engineer or a software developer. In practice, the hire needs to combine strong technical capability with an understanding of how manufacturing operations actually work. That combination is not always easy to find.

Industry data shows that tens of thousands of manufacturing roles remain unfilled across the UK, with skills shortages estimated to cost the sector billions in lost productivity each year. At the same time, advanced manufacturing businesses report ongoing shortages of specialist digital and engineering skills.

As a result, hiring can become slower and riskier than expected. The challenge is not filling a vacancy. It is finding someone capable of delivering meaningful operational impact.

What stronger businesses do differently

Manufacturers that navigate these challenges successfully tend to approach hiring differently.

Rather than recruiting purely for technical capability, they start by defining the operational outcome they want to achieve. That might involve improving production visibility, integrating systems, increasing automation or enabling better decision-making across the business.

They then align the stakeholders involved, typically operations, IT and leadership, before defining what capability is required. This approach often leads to clearer hiring decisions and a greater chance of delivering the operational improvements the business is aiming for.

The simple process before hiring

Is the business clear on the outcome the role needs to deliver?

Define success before starting to hire:

1. What operational improvement needs to happen
2. What success looks like in the first 6 to 12 months
3. Which business KPI the hire will influence

 That might include metrics such as:

• OEE improvement
• Reduction in downtime
• Improved production visibility
• Increased throughput

This ensures the role is built around the outcome, not just the technology.

Has the role been aligned across operations, IT and leadership?

Operational improvement roles often involve multiple stakeholders. Ensure early alignment on:

1. Priorities
2. Decision makers
3. Must-have vs nice-to-have skills
4. Interview and assessment criteria

A lack of clarity here can make hiring processes slow down or stall as different stakeholders pull in different directions.

Is the search reaching the right talent, rather than relying purely on inbound applicants?

Many of the people capable of delivering manufacturing transformation are not actively looking for jobs. Businesses that succeed in hiring these people usually combine:

• Proactive search
• Targeted outreach
• Market mapping of where relevant expertise sits

Is the business set up to land the hire successfully?

Successful businesses ensure:

• The role is positioned clearly to candidates
• Expectations are aligned before offer stage
• The hire has a clear mandate internally

This significantly increases attractiveness, as well as reducing failed hires and early attrition.

If your organisation is currently exploring ways to improve productivity or operational efficiency through technology, it’s essential to understand capability to know if a new hire is needed, or if the current team can absorb the additional work.

Final thoughts

For many manufacturers, improving productivity and operational efficiency is a priority over the coming years.

Technology will play a major role in that progress. However, the capability needed to deliver those improvements is just as important.

In an environment where costs are rising and disruption carries real risk, getting the hiring strategy right can make the difference between transformation that delivers measurable value, and change that struggles to gain traction.

If you are exploring technical hires to support operational improvement in your manufacturing business, it is worth ensuring the hiring strategy is aligned with the outcome you want to achieve. We are always happy to share market insight on the skills available and help you make an informed decision about the capability you need. Get in touch if a conversation would be helpful.