Industrial Know-How Loss: A Critical Risk
26 January, 2026
Reading time : 6 min.
At a glance
- The loss of industrial know-how in manufacturing is no longer an HR issue. It has become a direct operational risk to plant continuity.
- Retirements, employee turnover, and increasing equipment complexity are accelerating the erosion of shop-floor and operational knowledge.
- Most industrial knowledge is tacit, undocumented, and held by a small number of key experts.
- This loss leads to recurring breakdowns, longer troubleshooting times, declining product quality, and critical dependency on individuals.
- Implementing an industrial Knowledge Management System, or KMS, helps secure operational continuity, reduce downtime, and turn field experience into a durable manufacturing asset.
Introduction: When Knowledge Leaves the Factory
Tuesday morning, 3 a.m. On production line number 4 of a food-processing plant, a high-speed bagging machine comes to an abrupt stop.
The on-call technician checks the digital procedure. The error code is unknown. He calls his supervisor, who finds no trace of a similar incident in the CMMS.
Everyone knows that six months earlier, Jean-Pierre, a maintenance expert with thirty years of experience, would have solved the issue in two minutes with a simple tension adjustment he could feel.
But Jean-Pierre retired, taking three decades of intuitive diagnostics and shop-floor expertise with him.
The result is eight hours of production downtime, tons of raw materials wasted, and a delayed customer delivery.
This scenario highlights a now critical reality in manufacturing. The loss of industrial know-how is no longer just a skills management concern. It has become an operational failure that directly threatens plant performance, reliability, and long-term viability.
What Is Industrial Know-How Loss?
Industrial know-how loss can be defined as the progressive disappearance of operational, experience-based knowledge that is critical to manufacturing performance, equipment reliability, and product quality.
This knowledge is most often tacit. It lives in gestures, intuition, diagnostics, and informal decision-making rather than in procedures or documentation.
The Three Main Accelerators of Industrial Know-How Loss
1. Mass retirements in manufacturing
The first accelerator is demographic. A large share of industrial experts are nearing retirement age, taking with them decades of accumulated knowledge about equipment behavior, production processes, and local operating conditions.
Nearly 90 percent of industrial professionals believe retirements lead to significant experience loss when knowledge transfer is not structured. In France, around one million retirements are expected in the manufacturing sector by 2030. Globally, more than 60 million baby boomers will exit the workforce over the same period.
2. Employee turnover as a fragility amplifier
Beyond retirements, employee turnover further accelerates knowledge erosion. Each departure, whether voluntary or not, takes with it a portion of tacit operational knowledge.
Constant mobility prevents skills from stabilizing, lengthens learning curves, and forces teams to rediscover what was already mastered. The impact is immediate on operational reliability, product quality, and the ability to maintain production rates.
3. The inherent vulnerability of tacit knowledge
At the core of the problem lies the nature of industrial knowledge itself. Up to 80 percent of an organization’s knowledge is tacit, undocumented, and derived from experience, hands-on skills, diagnostic reasoning, and on-the-ground decision-making.
In increasingly complex industrial environments, this informal and fragmented knowledge is extremely fragile. Without mechanisms to capture, structure, and connect it to existing manufacturing systems, it disappears rapidly.
When Industrial Know-How Loss Becomes a Tangible Operational Risk
Weakened operational continuity
The first impact concerns operational stability. Without access to incident history, empirical settings, and past technical decisions, teams struggle to diagnose failures quickly.
Troubleshooting times increase, restarts become uncertain, and reliance on the few remaining experts intensifies, particularly during unplanned downtime, complex failures on critical equipment, and configuration changes or production ramp-ups.
A failing industrial memory
Loss of know-how leads to organizations with no operational memory. Root causes are not capitalized, technical trade-offs are not tracked, and solutions remain informal.
As a result, the same incidents recur, the same mistakes are repeated, and troubleshooting relies more on individual intuition than on collective learning.
Quality becomes harder to control
Manufacturing quality depends heavily on experience-based knowledge. Interpretation of weak signals, implicit tolerances, and trade-offs between throughput and compliance are rarely made explicit in procedures.
When this knowledge disappears, plants experience rising non-quality, increased variability in outcomes, and growing difficulty justifying decisions during audits.
Hidden costs and degraded performance
Beyond visible impacts, industrial know-how loss generates indirect but structural costs. These include longer time to competence, increased cognitive load on remaining teams, greater reliance on external experts, and difficulty standardizing and industrializing best practices.
These costs are rarely visible in financial indicators, yet they steadily erode overall manufacturing performance.
Critical dependency on individuals
When knowledge is not structured, organizations become dependent on a handful of key experts. Every absence, departure, or unavailability becomes a major operational risk, limiting the plant’s ability to adapt and absorb disruptions.
Building a Resilient Industrial Knowledge Infrastructure
From individual memory to industrial memory
Preserving industrial know-how requires a paradigm shift. It is no longer just about documenting processes. It is about building an infrastructure where knowledge is captured, shared, and actionable in real time.
Knowledge must become an operational asset, embedded directly into manufacturing workflows and accessible on the shop floor at the exact moment decisions need to be made.
The role of an industrial Knowledge Management System
An industrial Knowledge Management System acts as a single source of operational truth. It connects people, processes, and systems across the plant and supports consistent, data-informed decision-making.
Unlike traditional documentation tools, a manufacturing-focused KMS transforms fragmented information into usable operational knowledge.
Recreating digital continuity across manufacturing roles
By connecting maintenance interventions, quality incidents, audits, technical documentation, and field feedback, a KMS restores a continuous digital knowledge thread between maintenance, production, methods, and quality teams.
Capturing and transmitting tacit knowledge
The core value of a KMS lies in its ability to transform informal expertise into exploitable knowledge. Contextual notes, photos, troubleshooting videos, and experience feedback convert expert intuition into operational guidance accessible to less experienced operators and technicians.
Accelerating skill development and onboarding
In high-turnover manufacturing environments, time to competence becomes a critical performance indicator. A KMS allows new hires immediate access to complex incident histories and validated solutions, reducing errors, stress, and dependency on senior experts.
Conclusion
In a context of accelerating industrial know-how loss and increasing manufacturing complexity, the challenge is no longer to store information. It is to make knowledge reliable, accessible, and actionable.
By acting as a trusted knowledge layer on top of existing industrial systems, Sinequa helps unify fragmented manufacturing know-how, deliver contextualized and explainable answers, and secure operational decision-making. This approach strengthens the digital thread and lays the foundation for governed, scalable industrial AI.
FAQ
Industrial know-how loss is the progressive disappearance of critical operational knowledge required for manufacturing performance, equipment reliability, and product quality. This knowledge is largely tacit and acquired through hands-on experience on the shop floor.
Industrial know-how loss leads to more frequent production stoppages, longer troubleshooting times, and declining quality. It also creates dependency on a small number of experts, which weakens operational continuity.
The main causes are retirements, employee turnover, and the absence of structured mechanisms to capture and transfer tacit knowledge. Increasing equipment and process complexity further amplifies the risk.
An industrial Knowledge Management System captures, structures, and makes operational knowledge accessible by linking it to real maintenance, production, and quality situations. It creates a shared industrial memory.
Industrial AI relies on reliable and contextualized knowledge to deliver explainable and actionable results. Knowledge management provides the foundation required to deploy governed and scalable industrial AI.