Additionally, data shows skilled labour shortage remains a top concern for manufacturers.
SYSPRO has released consolidated results from several surveys that show manufacturers are eager to adopt new technologies however, almost a third (30%) admit they have difficulty integrating and deploying them.
The results show manufacturers face significant technical hurdles that impede adoption of new technologies with 15% of respondents also saying that outdated systems are creating inefficiencies, with a further 15% suffering from limited scalability to meet future needs.
Complex manufacturing companies are beginning to embrace smart technologies, with the results showing asignificant number of manufacturers overcoming barriers of high upfront costs and internal resistance to change, to adopt technologies such as automation and robotics (37%), AI and machine learning (19%) and industrial internet of things (IIOT) (18%) technologies.
Looking ahead to 2025, AI and automation (40%) lead in their digital transformation priorities, followed by enhancing digital integration and real-time insights (29%) and managing costs while adopting new technologies (24%).
Most manufacturers have plans for AI with 40% of respondents saying that implementing AI and automation was their top priority when it comes to digital transformation – with 80% either devoting resources to AI implementation or are making near-term plans to do so.
Twelve per cent have already deployed AI (differentiated from machine learning) or are actively in the process of doing so, almost six in 10 (57%) are actively researching use cases, and another 11% plan to deploy AI within the next 12 months.
SYSPRO’s findings mirror those of a Manufacturing Leadership Council survey which found that 78% of manufacturers say their AI initiatives within manufacturing operations are part of their company’s larger digital transformation and business strategies.
Another significant challenge manufacturing leaders highlighted was the inability to obtain real-time data to enable them to make quick, data-driven decisions (40%). Despite analytics providing a solution to this problem, only 23% have made implementing analytics a key technology priority for the coming year. Additionally, almost one-quarter (24%) are not using any kind of analytics at all.
When manufacturers were asked about the biggest challenges they expect to face in 2025, the number one response was their ability to attract and retain a skilled workforce (30%), followed by supply chain disruptions (23%) and cybersecurity (12%). These findings concur with a survey from the National Association of Manufacturers which found 71% of manufacturing companies struggled to attract and retain employees.
“Our research shows the appetite for smart technology amongst manufacturers is high, enabling the industry to harness advanced technologies to overcome a plethora of demands, from workforce shortages and supply chain disruptions, to effective, data-driven decision making. However, the research also shows that adoption and deployment remains a challenge,” said Kelly Kucera, Senior Vice President of Global Marketing at SYSPRO Americas.
“We understand the urgent need to address this problematic gap between desire and adoption, which is why we’ve designed our ERP solutions to simplify this transition, and provide the flexibility and integration needed for real-world manufacturing environments of the future.”
- The full Frost & Sullivan Research Report can be downloaded here: Complex Manufacturing Trends and Opportunities | SYSPRO US
