Foreword The heart of production is found not in machinery or technology, but in the people who lead and operate in the production environment. As we navigate an era of rapid technological advancements and supply chain disruptions, our approach to talent must evolve in tandem. The insights presented in this paper underscore a fundamental truth: the future of manufacturing hinges on keeping people at the centre of strategy. The manufacturing sector is grappling with a talent crisis of high attrition rates and widening skill gaps driven by the integration of AI, automation and other frontier technologies. The World Economic Forum’s “Future of Jobs 2025” report projected that by 2030, nearly 40% of the core skills of advanced manufacturing and supply chain workforce will change. This challenge is compounded by the fact that over 40% of Gen Z employees in manufacturing expressed the intention of leaving their jobs within the next three to six months, driven by factors such as inadequate compensation, lack of career development and a disconnect with leadership. Companies that succeed in making a fundamental shift in how they invest in their workforce will not only enhance their productivity and innovation but also secure long-term competitive advantage. This is the second white paper in the Frontline Talent of the Future series, building on the first publication, “Putting Talent at the Centre: An Evolving Imperative for Manufacturing”. This paper explores innovative approaches to two critical components of the strategic talent planning process: retention and upskilling of the workforce. By highlighting organizations who have successfully deployed talent innovations that have overcome these challenges, we can enable leaders to inform their own talent strategies and roadmaps. The paper showcases how digital upskilling, immersive onboarding and AI-enabled problem- solving are preparing the workforce for the demands of digital transformation. These tools are more than augmentations to workforce capabilities – they are essential for enhancing the overall employee experience. The success of these initiatives hinges on operationalizing talent investment through structured processes and cross-functional collaboration, ensuring that all employees – from new hires to seasoned workers – are empowered to contribute their best. The changing world of production has ushered forth an evolving talent imperative. The organizations that truly invest in their people today will be the ones that lead the industrial future. This paper serves as a testament to the power of placing talent at the core of industry strategy. Kiva Allgood Managing Director; Head, Centre for Advanced Manufacturing and Supply Chains, World Economic ForumFernando Perez Senior Partner; Leader, Frontline Workforce of the Future Service Line, McKinsey & Company Empowering Frontlines: Retaining, Training and Upskilling Industrial WorkforceSeptember 2025 Empowering Frontlines 3

Empowering Frontlines 2025