U.S. and UK manufacturers are lagging in digital transformation efforts in spite of earlier pandemic-driven investments in new technologies, according to a study released by iBASEt.
“As the volume of manufacturing data continues to explode, it’s critical that manufacturers modernize their systems and technologies to make use of critical data for business intelligence and more informed decision making,” says Naveen Poonian, CEO of iBASEt. “The ability to not just embrace Industry 4.0 at stage one, but to then convert critical data into actionable improvements is pivotal to a true digital transformation.”
From PR Newswire:
- Respondents confirmed that although Industry 4.0 advancements were critical to sustaining operations during shutdowns, most U.S. and UK manufacturers still grapple with a lack of system and process maturity that prevents them from leveraging operational data for business intelligence and smarter decision-making.
- Nearly three-quarters (72%) of respondents invested in new technologies during the pandemic, and 98% saw increased productivity. However, fewer than half of respondents (44%) said that this modernization was providing them with additional actionable data, and 19% are not harnessing any data insights at all.
- Although a majority of manufacturers embrace cloud transformation enthusiastically, few have made the full transition. A full 88% of respondents indicated they are increasing their investment in cloud technologies over the next 12 months, but only 21% are currently completely transitioned to the cloud.
- Two-thirds (66%) of respondents believe this accelerated move to the cloud will unlock benefits that help drive operational efficiency. Only 8% have “no plans” to use cloud infrastructure as part of manufacturing operations.
- According to the survey, 95% of total respondents still use paper-based processes, and more than one-quarter (27%) use paper for more than half of all activities.
- Nearly all survey respondents (98%) indicate they continue to use manual spreadsheets even while taking steps toward digital transformation. In fact, half (50%) of respondents say they use these tools for “the majority” of processes.
- Almost half (47%) of the U.S. respondents strongly agreed that many U.S. discrete manufacturers could cease to exist in the next 10 years unless action is taken.