Innovation in the form of groundbreaking yet disruptive technologies like digital twins, blockchain, AI-powered solutions, and human-robot collaboration, is rapidly changing the face of manufacturing, but at what cost? Businesses must not only find the budget to accommodate costly cutting-edge technology that may or may not be the answer to their challenges, but they must do so while remaining compliant, secure and competitive.
According to Mordor Intelligence, the digital transformation market in manufacturing is expected to grow from this year’s current value of USD 0.44 trillion to USD 1.07 trillion by 2030, highlighting the fast rate of change that is unsettling and transforming manufacturing businesses in unequal measures. The introduction of the game-changing technologies, as outlined above, are driving the progression of Industry 4.0, allowing them to have greater outputs and outcomes than imagined before. Yet, these great strides come at a cost.
It is increasingly critical to leverage advanced technologies to optimise production processes and supply chains while driving scalable growth and ensuring secure operations. However, organisations must be innovation-ready with a budget in hand to bring these digital solutions to life and make them work for their factories in meaningful ways.
In this hyper-competitive space, manufacturers must also ensure they don’t overlook consumer sustainability. Innovation and embracing emerging technology isn’t just about efficiency and growth – it’s about supporting eco-conscious consumer demands by utilising technology to foster sustainable, net-zero organisations.
Why innovation is at the heart of manufacturing transformation
According to Ernst and Young (EY), an overwhelming number (97 per cent) of industrial manufacturing CEOs agree that prioritising digital and technology transformation will deliver significant growth and operational advantages, designating it as a critical priority, regardless of the current economic uncertainty.
To ensure successful digital transformations, EY indicates that organisations can unlock innovative solutions, such as edge computing, automation for predictive maintenance, additive manufacturing (i.e., 3D printing), and more, to support the key areas that are currently the most challenging for manufacturers. These areas require the most support and can be positively impacted by innovation, such as product and service innovation, customer experience, intelligent and sustainable supply chains, workforce, talent, and skills, as well as business model innovation. There are also massive gains that organisations can uncover by being more digitally savvy.
According to McKinsey and Co., a tailored approach to leveraging Industry 4.0 technologies has the potential to double a new plant’s throughput while cutting costs per unit by 30-40 per cent. Innovation and new approaches like the below will continue to drive success in these core areas, allowing the smart manufacturers to take their place as leaders in their industry and adjusting to consumer demands with ease.
The top 5 innovative trends in manufacturing that are here to stay
1. AI, automation and machine learning driving smarter manufacturing
AI-powered tech can augment success within autonomous and networked supply chains and also sustainable manufacturing through digital technologies set to improve productivity and minimise production downtime. With wirelessly connected factories, real-time monitoring, and advanced analytics using data that can identify inefficiencies in machine settings, energy use and carbon emissions will be reduced.
2. The power of circular economy principles for sustainability
Integrating circular economy principles like recycling and reusing into manufacturing practices is crucial for reducing raw material consumption and waste sent to landfills. Additionally, designing products for longevity, with durable materials and modular components, encourages a longer product lifecycle.
3. Enhancing connectivity through cloud and edge computing
According to INCIT data, while the number one priority for manufacturers is job shop connectivity, and in manufacturing, this is significantly supported by cloud and edge computing. Combined they offer enable global collaboration and support real-time decision-making on the shop floor by processing data closer to its source.
4. Additive manufacturing (3D Printing) reshaping production
A seemingly straightforward technology, additive manufacturing has the power to transform entire industries and is experiencing significant growth. Through Industry 4.0 technologies, additive manufacturing can become more efficient, productive and ecologically friendly. Today, 3D printing is now being leveraged for rapid, on-demand production and complex part manufacturing.
5. Decentralised and agile manufacturing for local responsiveness
Instead of having a single, centralised facility, decentralised manufacturing ensures the distribution of production processes across multiple locations. It not only unlocks more flexibility in responding to market changes, but it allows organisations to pivot quickly, allowing them to adjust production volumes, introduce new products, and more. This agility is key for organisations that experience rapid change of consumer preferences.
What’s next: innovation and consumer sustainability at the forefront of manufacturing progress
The innovative manufacturer is not afraid of change; they embrace it. Through the latest trends that we have explored in this article, smart manufacturers can overcome the never-ending challenges that the industry is experiencing stemming from shifting market demands and consumer expectations, global economic and competitive pressures, regulatory and environmental challenges and even workforce evolution.
The access to new and innovative solutions gives manufacturers a choice; they can decide to take advantage of this new age of information and leverage it to meet the needs of their customers, business and the industry. Or they can decide to put their head in the sand and not move forward. To evolve and grow, manufacturers are seeking the next big thing, but there are no shortcuts; they must prioritise the adoption of innovation and continuous improvement.
In an increasingly complex manufacturing landscape, INCIT has developed uniquely effective solutions, such as Prioritise+ Marketplace, which was designed specifically for manufacturing business owners and empowers them to stay at the forefront of industry advancements.
This clever platform acts as an innovation matchmaker, helping you save time and effort by offering a one-stop shop for hassle-free partner discovery, supporting you at every stage of transformation. From diagnosis to implementation, this dynamic platform can help manufacturers address identified gaps and improve processes, ensuring their business is on a clear path toward efficiency, sustainability, and lasting success. To learn more about Prioritise+ Marketplace, contact us or learn how to kickstart your transformation journey today.
