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Manufacturing is going digital – how you can make the most of data, AI and automation to boost profit
- THOMAS BRAND, PA ADVANCED MANUFACTURING EXPERT
Driverless cars we use but don’t own. Autonomous robots that do our bidding. Hyperloop transport moving us from A to B through frictionless tubes. 3D printed parts we slot in to aircraft engines. These things seemed like fantasies only a short time ago. Yet now they’re very real possibilities. In fact, those aero engine parts are already flying.
They’re developing (and fast) because manufacturing is going digital. Data is where the value is now. Manufacturing is as much about services as it is about products. Data sits behind both. And manufacturers who thrive will be the ones who harness it to produce new value for themselves and their customers.
Sizing up the opportunity
The prize is huge. Manufacturers we’re talking to expect this data-derived added value to help them grow by 10-30% in the next five years. In other words, an extra $1,200-3,600 billion a year in global manufacturing revenue. We see profitability growing by 50% as manufacturers gravitate towards new profit pools in industry.
But it won’t happen by itself. Manufacturers have to decide where they sit in this world of new business models, digital value chains and enhanced connectivity – and where they see themselves in five and ten years. But what are the options? How can businesses place bets with any certainty when their world is so fluid?
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