The manufacturing sector faces an unprecedented knowledge crisis. Recent research conducted by APQC in partnership with eGain reveals that organizations estimate an average of 51% of their workforce will retire or leave within the next five years. As baby boomers exit en masse, they take decades of irreplaceable expertise with them—creating what experts call the “Great Retirement.”

Research Spotlight: This article draws on findings from “The Great Retirement: Knowledge Loss, AI and The Workforce Shift,” a survey of 1,000 global organizations conducted by APQC in partnership with eGain in August 2025.

While 85% of C-suite leaders and 81% of business unit leaders recognize knowledge loss as at least a moderate concern, awareness hasn’t translated to action. Only 30% of organizations consistently capture knowledge from departing employees, and 41% rarely or never attempt it at all.

The Hidden Costs of Inaction

When critical information about equipment maintenance, production processes, quality standards, and troubleshooting procedures exists only in employees’ heads or scattered across disconnected systems, manufacturers face severe consequences. Production lines slow when experienced operators retire. Quality varies across shifts when standardized procedures aren’t accessible. Compliance risks escalate when documentation is fragmented. New hires take months to reach competency, reducing workforce agility. Customer satisfaction plummets when service teams can’t access product specifications and troubleshooting guides.

APQC research reveals why knowledge capture fails despite widespread recognition of the problem:

• 52% cite lack of time
• 45% report insufficient resources
• 38% say it’s not a priority
• 35% point to unsupportive culture

The result? Decades of manufacturing expertise simply walks out the door.

The AI Opportunity Gap

Despite these challenges, a massive opportunity exists. While 79% of organizations express interest in AI technology for capturing departing expertise, only 21% actually leverage AI automation to mine conversations and capture knowledge. Most still rely on manual methods: 74% use people-to-people transfer, 62% manually document knowledge, and 48% conduct exit interviews.

This 58-point gap between interest and implementation represents a competitive advantage for manufacturers who act decisively.

What organizations want from AI-powered knowledge management:

• 41% aim to reduce knowledge management cycle-time
• 36% want better decision-making
• 29% seek to streamline processes
• 28% focus on internal customer experience

Current AI deployment shows untapped potential:

• 61% use AI for discovery (finding knowledge)
• 41% for analytics (insights)
• 40% for curation (organizing)
• 33% for creation (generating content)
• Only 24% for delivery (publishing)

Proven Returns: Real Manufacturing Outcomes

Forward-thinking manufacturers implementing eGain’s AI-powered knowledge platform are achieving remarkable results. One manufacturer migrated 5,000+ content articles and 6,000 SharePoint documents into a unified AI-driven knowledge base. A dental equipment manufacturer doubled dealer self-service adoption while boosting sales. A pioneering e-bike company deployed knowledge across 21 languages, improving self-service search success by 85% and increasing conversational AI usage by 18X.

The measurable outcomes are compelling:

• Up to 90% deflection of service requests to digital self-service
• 36% improvement in First Contact Resolution
• 40% reduction in training time
• 33% faster competency for complex queries
• 50% reduction in agent time-to-competency
• 70% of calls deflected to AI-powered virtual assistance
• 25% reduction in case handling time

The eGain Solution: Three Integrated Pillars

Understanding that 46% of organizations worry about AI accuracy, 38% about data privacy, and 36% about compliance, eGain has built a platform specifically designed to address these concerns while delivering transformational value.

1. AI Knowledge Hub^TM: The Unified Foundation

The AI Knowledge Hub eliminates content silos by creating a single source of truth that unifies SharePoint sites, CRM systems, product documentation, and legacy systems. It combines AI reasoning, machine learning, natural language processing, and analytics to deliver knowledge across all touchpoints—from shop floor tablets to customer service portals. Advanced capabilities include federated search, conversation guidance, and role-based access ensuring operators, technicians, and service representatives get precisely the knowledge they need.

2. AI Agent: Expert-Level Performance for Everyone

AI Agent monitors conversations and interactions in real-time, establishing intent and presenting guided knowledge in the flow of work. This transforms variable agent performance, enabling all representatives to assist like experts. Extending beyond customer service to production support and field service, AI Agent has helped organizations deflect 70% of calls to virtual assistance and reduce case handling time by 25%.

3. Composer: Enterprise-Grade Integration

Recently launched, eGain Composer^TM provides a modular platform for developers with robust APIs, Model Context Protocol servers, and SDKs in Python and TypeScript. This composable architecture enables seamless integration into ERP systems, MES platforms, and IoT dashboards—critical for manufacturers with complex technology stacks and custom applications.  Composer allows manufacturers to deploy eGain’s AI Knowledge Hub and AI Agents in the specific workflows they want, configured for their specific tech stack.

The Bottom Line

The data is unambiguous: 51% workforce turnover within five years, 85% C-suite concern, but only 30% consistent knowledge capture. The top barriers—time (52%), resources (45%), and prioritization (38%)—are organizational choices, not technological limitations.

AI-powered platforms provide the solution. Organizations using eGain have achieved 90% self-service deflection, 36% FCR improvement, and 50% faster time-to-competency. These aren’t projections—they’re proven outcomes.

The competitive advantage belongs to manufacturers who act now. With 79% interested but only 21% implementing AI-enabled knowledge capture, the window is open. But with the Great Retirement accelerating, that window is closing rapidly. Organizations that act today will preserve institutional knowledge, accelerate workforce development, and build sustainable competitive advantages—while their competitors watch expertise disappear.

The expertise is walking out. The technology is ready. The ROI is proven. The question isn’t whether to invest in knowledge management—it’s whether you can afford not to.

Explore how eGain can transform your manufacturing operation through the Innovation in 30 Days program—a no-cost production pilot demonstrating real-world value. Download the full APQC research report to learn more about “The Great Retirement” findings.