Emerging technologies are quickly becoming mainstream in manufacturing. From digital twins and data analytics to cloud computing and generative artificial intelligence (GenAI), more and more companies are using digital solutions to transform their operations, supply chains and customer experiences. Emerging technologies are no longer just emerging. It appeared. And it's reshaping the future of the industry.
It's affecting everyone too. Manufacturers of all shapes, sizes, and locations, domestic or international, established or new, are seeing their business models turned upside down by this rapid shift in the digital landscape. But as last month's Women in Manufacturing Summit made clear, significant differences remain as to where exactly companies are on that journey.
For example, while many manufacturing companies continue to grapple with field connectivity and data collection, others are much further along in leveraging insights and AI to automate and improve decision-making. For some, the cloud and the Internet of Things have been the limit of their previous digital ambitions. But elsewhere, robotics and nanotechnology are already gaining ground.
In some cases, the level of technological sophistication can even vary from factory to factory within the same organization.
dualistic approach
Therefore, it is important that leaders take the time to clearly and honestly understand how far along they are on the digital transformation path. why? This allows us to identify problems, identify where improvements can be made, and understand how to respond to rapidly expanding technology capabilities.
For Hiral Rao, who leads the EY Digital Manufacturing and Mobility Cloud platform, the best way to do that is by taking a “dualistic approach.”
First and foremost, this means short-term It means focusing on the task.
But it also means looking to the future and how Industry 4.0 will impact your organization in the long term. For example, how will risk management change? Where will they go with automation? How do technologies like AI and machine learning fit in, and what skills are needed to train and hire employees?
Hilal said: “A dual-pronged strategy addresses today's core operational challenges while also preparing manufacturers to answer tomorrow's key strategic challenges.”
lean 4.0
Equally important is companies' willingness to evolve beyond the lean operating principles that have traditionally defined the industry. Efficiency and effectiveness remain the basis of competitiveness, but it is no longer just about achieving highly reproducible processes, minimum costs and minimum time.
Instead, companies must balance cost and process optimization with the need to improve safety, resiliency and quality. This requires investment in better data integration to feed the technology being developed and sharpen decision-making, as well as deep knowledge of people and processes across different production facilities. Even though these differ, leaders looking to scale at the enterprise level should move beyond centrally managed pilot programs and deployments in favor of a more nuanced approach to testing and implementation across individual plants.
All this is also consistent with Hilal's dualistic approach. By recognizing and understanding where they are currently performing and underperforming in their digitalization efforts, companies can move quickly to incorporate technology to bridge current performance and productivity gaps. I can. and Delivering value for the future. Specifically, this means:
- make the most of what you already haveensuring you have the right culture, processes and skills to fully leverage existing technology.
- Experiment and adapt to move forwardtesting new solutions company-wide and factory-by-plant to increase efficiency, increase resiliency, and improve customer experience.
- Collaborate to scaleworking with stakeholders across the organization itself and, as needed, within the broader ecosystem to scale solutions that impact the enterprise.
A woman's world?
There is another intersection here that is worth noting. Although manufacturing remains male-dominated, events like last month's Women in Manufacturing Summit highlight the progress being made in attracting more female workers to the industry. Currently, 30% of manufacturing jobs are held by women, making it a strong and growing platform for companies to build a more gender-balanced future. Still, this number can and should improve to keep pace with other industries. After all, women make up 47% of the entire US workforce.
Emerging technologies can play a key role in this and attract a new generation of women into manufacturing. Rather than projecting a physical, labor-intensive image of the past, companies can now offer women workers a vision of creativity, collaboration, and innovation. All of this is rooted in a digitally enabled future and covers everything from smarter use of data to responsible service implementation. love.
In other words, manufacturing is on the brink of not one, but two revolutions simultaneously. As the digitalization of industries accelerates, the profile of the workforce will also rapidly recalibrate. Fresh skills and perspectives work together with advanced technology to build smarter factories. More actionable insights into products, quality, and risks. More accurate predictions. and realize a more resilient supply chain.
Ultimately, these two forces could mean that manufacturers are better prepared to sense and respond to all the dynamics of an ever-changing market. After a decade of challenges, a new and exciting future is emerging.
The views reflected in this article are those of the authors and do not necessarily represent the views of Ernst & Young LLP or other members of the EY global organization.
