For manufacturers navigating automation, an aging workforce and increasingly specialized technical roles, adding more jobs is only part of the talent equation. Sumitomo Machinery Corporation of America is betting that developing the people already inside the organization can be just as important as recruiting new ones. The Sumitomo Drive Technologies company has been named a 2026 Hampton Roads Top Workplace by Inside Business, ranking No. 20 among large companies in the region.
The recognition is less about a workplace award than a broader issue confronting industrial employers: how to build a workforce capable of operating increasingly sophisticated manufacturing environments.
Sumitomo Machinery Corporation of America (SMA), which operates under the Sumitomo Drive Technologies brand, says it employs 332 people in Virginia’s Hampton Roads region and is continuing to recruit across engineering, manufacturing, research and development, IT, finance, operations, sales and marketing. The company says its workforce strategy increasingly combines recruitment with professional development, employee benefits and retention programs.
That approach reflects a shift occurring across manufacturing. Automation can increase production capacity, but it also changes the skills companies need. Employees increasingly have to work across traditional manufacturing disciplines and digital systems, making training and internal mobility more important to workforce planning.
Deloitte’s research illustrates the scale of the challenge. Nearly 60% of manufacturers surveyed in the National Association of Manufacturers’ third-quarter 2024 outlook identified attracting and retaining employees as a top challenge. A separate Deloitte and Manufacturing Institute study estimated that the U.S. manufacturing sector could need about 3.8 million additional workers between 2024 and 2033, with roughly 1.9 million positions potentially remaining unfilled if the skills and applicant gaps are not addressed.
For HR leaders, that changes the economics of talent acquisition. Recruiting remains essential, but continually replacing skilled workers can be expensive and disruptive. Workforce development, by contrast, can help companies preserve institutional knowledge while preparing employees for new production technologies.
SMA says its program includes a dedicated learning and development manager, professional and leadership courses, presentation training and other educational opportunities. The company also points to medical, dental and vision coverage, a 401(k), paid time off, disability coverage and wellness resources as components of its employee strategy. Engagement surveys and exit interviews are used to identify workplace issues and understand employee expectations.
The model resembles a broader movement toward skills-based workforce management, in which companies focus less exclusively on filling predefined jobs and more on developing capabilities internally. For manufacturers, that can include technical skills, leadership, digital literacy, automation expertise and the ability to work with increasingly connected equipment.
Deloitte’s 2025 smart manufacturing research found that 48% of surveyed manufacturers faced moderate-to-significant difficulty filling production and operations management roles, while 46% reported similar challenges for planning and scheduling positions. More than one-third identified preparing employees to work in the “Factory of the Future” as a major human-capital concern.
That finding is particularly relevant as manufacturers deploy technologies ranging from robotics and industrial automation to artificial intelligence, connected sensors and data analytics. The workforce challenge is no longer simply whether employees can operate machinery. Increasingly, organizations need people who can interpret data, troubleshoot automated systems, collaborate with digital tools and adapt as production processes change.
SMA’s investment is also taking place alongside physical expansion and automation. Earlier this year, the company said it had implemented a Swisslog AutoStore system to improve warehouse efficiency and order fulfillment, while expanding operations in several locations across the Americas.
That combination points to an important HRTech trend: workforce technology and industrial technology are becoming more closely connected. Human resources teams can no longer treat skills development as separate from operational transformation. When a manufacturer introduces automation, the resulting workforce requirements need to be reflected in recruiting, learning management, succession planning and employee experience programs.
The competitive landscape includes large enterprise platforms from companies such as Microsoft, SAP, Workday and Oracle, alongside specialized learning, workforce analytics and talent-management vendors. These systems can help organizations map skills, manage learning programs and identify workforce gaps. But software alone does not create a development culture. Manufacturers still need managers, training budgets and clear career pathways that encourage employees to acquire those skills.
For enterprise HR teams, SMA’s example therefore offers a practical lesson. A manufacturing workforce strategy increasingly needs to connect hiring with retention, learning and technology adoption rather than treating them as separate initiatives.
The timing is notable. SMA is marking its 60th year of U.S. operations in 2026, having established its American business in 1966. Its Chesapeake headquarters now supports manufacturing and assembly operations serving the U.S. market.
The Top Workplace recognition does not prove that SMA has solved the manufacturing talent shortage. It does, however, highlight a direction more manufacturers are likely to pursue: making employee development part of the operating model rather than an HR initiative sitting on the sidelines.
As factories become more automated, the value of skilled employees may not diminish. Instead, the definition of a skilled manufacturing employee is changing.
Market Landscape
Manufacturing HR is moving toward a skills-first workforce model. Companies are combining HR SaaS, learning platforms, workforce analytics and talent-management systems with operational data to understand where skill shortages are emerging.
Deloitte’s 2025 smart manufacturing survey of 600 executives found that 78% of respondents allocated more than 20% of their overall improvement budget to smart manufacturing initiatives, while 88% expected investment to continue or increase. Yet human capital ranked among the least mature areas of smart-manufacturing capability.
That disconnect creates an opportunity for HRTech vendors. Platforms from Workday, SAP, Microsoft and Oracle increasingly compete alongside specialist learning and skills-management providers to help enterprises connect workforce planning with business transformation.
For manufacturers, the priority is not simply buying another HR platform. The more consequential question is whether HR data, skills inventories, learning programs and operational planning can work together well enough to anticipate workforce requirements before production bottlenecks emerge.
Top Insights
- SMA’s Top Workplace recognition highlights a workforce strategy built around learning, retention and employee experience as manufacturing skills requirements become more specialized.
- Manufacturers face persistent talent shortages despite automation, increasing demand for internal upskilling, leadership development and digital skills alongside traditional technical expertise.
- SMA’s 332-person Hampton Roads workforce shows how regional manufacturers are combining recruitment with structured professional development to strengthen long-term talent pipelines.
- Smart manufacturing is raising the value of HR technology as companies connect skills data, learning systems and workforce planning with automation investments.
- Enterprise HR teams increasingly need to treat employee development as operational infrastructure, particularly as AI, robotics and connected factories reshape manufacturing roles.
Join thousands of HR leaders who rely on HRTechEdge for the latest in workforce technology, AI-driven HR solutions, and strategic insights
