Sign In
The CEO Views Small logos
  • Home
  • Technology
    Artificial Intelligence
    Big Data
    Block Chain
    BYOD
    Cloud
    Cyber Security
    Data Center
    Digital Transformation
    Enterprise Mobility
    Enterprise Software
    IOT
    IT Services
    Innovation
  • Platforms
    How IBM Maximo Is Revolutionizing Asset Management
    How IBM Maximo Is Revolutionizing Asset Management
    IBM
    7 Min Read
    Optimizing Resources: Oracle DBA Support Services for Efficient Database Management
    Oracle
    Oracle
    9 Min Read
    The New Google Algorithm Update for 2021
    google algorithm update 2021
    Google
    5 Min Read
    Oracle Cloud Platform Now Validated for India Stack
    Service Partner Horizontal
    Oracle
    3 Min Read
    Oracle and AT&T Enter into Strategic Agreement
    oracle
    Oracle
    3 Min Read
    Check out more:
    • Google
    • HP
    • IBM
    • Oracle
  • Industry
    Banking & Insurance
    Biotech
    Construction
    Education
    Financial Services
    Healthcare
    Manufacturing
    Mining
    Public Sector
    Retail
    Telecom
    Utilities
    Gaming
    Legal
  • Functions
    RISMA Systems: A Comprehensive Approach to Governance, Risk and Compliance
    Risma Systems
    ENTREPRENEUR VIEWSGDPR
    9 Min Read
    Happiest Minds: A “Privacy by Design” approach is key to creating GDPR compliant businesses
    Happiest Minds 1
    GDPR
    8 Min Read
    Gemserv: GDPR 2020 and Beyond
    Gemserv 1
    GDPR
    9 Min Read
    ECCENCA:GDPR IS STILL AN UNTAMED ANIMAL
    eccenca 1
    GDPR
    6 Min Read
    Boldon James: HOW ENTERPRISES CAN MITIGATE THE GROWING THREATS OF DATA
    Boldon James 1
    GDPR
    8 Min Read
    Check out more:
    • GDPR
  • Magazines
  • Entrepreneurs Views
  • Editor’s Bucket
  • Press Release
  • Micro Blog
  • Events
Reading: Challenges of digital transformation in the manufacturing industry
Share
The CEO Views
Aa
  • Home
  • Magazines
  • Enterpreneurs Views
  • Editor’s Bucket
  • Press Release
  • Micro Blog
Search
  • World’s Best Magazines
  • Technology
    • Artificial Intelligence
    • Big Data
    • Block Chain
    • BYOD
    • Cloud
    • Cyber Security
    • Data Center
    • Digital Transformation
    • Enterprise Mobility
    • Enterprise Software
    • IOT
    • IT Services
  • Platforms
    • Google
    • HP
    • IBM
    • Oracle
  • Industry
    • Banking & Insurance
    • Biotech
    • Construction
    • Education
    • Financial Services
    • Healthcare
    • Manufacturing
    • Mining
    • Public Sector
    • Retail
    • Telecom
    • Utilities
  • Functions
    • GDPR
  • Magazines
  • Editor’s Bucket
  • Press Release
  • Micro Blog
Follow US
© 2022 Foxiz News Network. Ruby Design Company. All Rights Reserved.
The CEO Views > Blog > Industry > Manufacturing > Challenges of digital transformation in the manufacturing industry
Manufacturing

Challenges of digital transformation in the manufacturing industry

The CEO Views
Last updated: 2024/03/05 at 3:40 AM
The CEO Views
Share
Challenges of digital transformation in the manufacturing industry
Challenges of digital transformation in the manufacturing industry

In the age of advanced digitalization and cut-throat competition, manufacturing industries find themselves struggling to build and strengthen their competitive advantage by digitalizing their operations. Technologies such as the industrial internet of things (IIoT), artificial intelligence, machine learning, cloud and edge computing, and advanced data analytics are some of the indispensable tools that can help manufacturers attain the necessary operational efficiency based on insights that are data-driven and are based on real-time. Digital transformation will not only help the manufacturing industry in improving its productivity and quality but also ensure work safety, minimize energy use, and increase organizational sustainability. Thus, organizational digitalization is not just a trend, it is a strategic imperative. However, most organizations find themselves teetering on the edge of transformation. They do sense an urgency to move ahead but the cloud of doubts makes it difficult for them to make the right choices and decisions. Well, here are a few identified challenges that manufacturing industries face when it comes to digital transformation. Understanding these challenges will help the manufacturing industry to face those challenges a little more smoothly, make the right decisions, and embrace digital transformation for their own organization.

The Cost of Initial Investments

Digital transformation can cost a fortune and organizations may not always have the financial capabilities to invest in new technologies. This is the reason most organizations are struggling to cope with the competition and move ahead in the era of digitalization. However, considering the big picture, not having the digital advantage can be more devastating. What manufacturers need is to have an investment plan and a few effective strategies to focus on the ROI. They must know where to invest, when to invest, and how much to invest. With a planned investment, the digital transformation can lead to ROI such as improved operational efficiency and agility, reduction in downtime, increase in profitability and revenue, and the ability to predict and adjust to the facility and supply changes better. One of the most effective solutions that manufacturers can implement is using cloud-based software and cost-effective hardware or Internet of Things sensors that can predict the maintenance required and measure the ROI. An unplanned investment in digital transformation will only surge the cost without any ROI. Therefore, it is better to plan the investment rather than squander money struggling to compete with the competitors.

Cybersecurity Challenges​

The challenges of cybersecurity are one of the most consequential problems that the manufacturing industry can face which can hinder organizational growth in terms of digital transformation. This is why having a plan that includes cybersecurity is crucial for the organizational safety of the manufacturing industry. Cybersecurity not only allows manufacturers to identify the current problems and solve them but also the ability to manage future risks. Research identifies that more than 60% of manufacturers face cybersecurity issues at least once, out of which 43% of manufacturers face system outages that last for more than 4 days. To mitigate the issue of cybersecurity, manufacturers must set foundations or a roadmap on how the company would identify and address the risks of cybersecurity. This will allow the manufacturers to protect the critical information by mapping out how the information flows through the organization and determining the severity of the risk if the information gets lost or compromised.

Lack of Digital Expertise

Being a digitally advanced organization in the face of stringent competition is a challenge most manufacturing industries face. This is due to the lack of knowledge and understanding of the right technologies that the industry requires. Investing in digital transformation alone would not make any difference until manufacturers understand how to leverage those technologies. Artificial Intelligence, Machine Learning, Automation, and cloud computing are some of the tools that can transform the manufacturing industry provided they are used in the most proper way or else they can hold back the progress of the organization. There are various consultancies that can help and guide the manufacturing industries in their journey of digital transformation.

Inflexible Legacy Infrastructure/Employee Pushback and Resistance​

Organizational infrastructure is closely related to the implementation of digital technology and the ROI. Along with investing in digital transformation, manufacturers will also have to make certain changes to the infrastructure of their organization starting with employee training. Organizations that are rigid to change management reflect a workforce that is not ready to accept new changes. Resistance from the employees can be a major pullback from being a digitally advanced organization. Therefore, manufacturers must focus on investing in digital technologies along with modifying their infrastructure to maximize their ROI.

The CEO Views August 2, 2022
Share this Article
Facebook Twitter LinkedIn Email Copy Link
Previous Article Sustainability Assessment in the manufacturing industry Sustainability Assessment in the manufacturing industry
Next Article Quality management principles in the manufacturing industry 1 Quality management principles in the manufacturing industry
6 Important Things You Need To Know About Crypto 2

6 Important Things You Need To Know About Crypto

March 6, 2024
img 1
IBM

Alpine Consulting Launches New eCommerce Website for Dana Rebecca

The CEO Views By The CEO Views March 4, 2024
Why 66% of Leaders Are Quietly Burning Out—and How AI Companions Help
Artificial Intelligence

Why 66% of Leaders Are Quietly Burning Out—and How AI Companions Help

The CEO Views By The CEO Views June 24, 2025
asy To Start Freelance Jobs in 2021 2022 7
Micro Blog

Easy To Start Freelance Jobs in 2021-2022

The CEO Views By The CEO Views February 14, 2024
Cavissons
ENTREPRENEUR VIEWS

CAVISSON: Revolutionizing Customer Experience Management

The CEO Views By The CEO Views February 23, 2024

How Data-Driven Insights Can Help Australian Farmers Thrive in a Changing Climate

August 26, 2025

The Ethics of AI-Powered Betting Assistants: Helpful Tool or Unfair Advantage?

August 26, 2025

Reputation is Everything: How Online Casinos Build Player Trust

August 26, 2025

Top 10 Smart Home Trends of 2025 for Improved Smart Home Security

August 26, 2025

You Might Also Like

Tailoring Visual AI for Niche Manufacturing Processes
Manufacturing

Tailoring Visual AI for Niche Manufacturing Processes

6 Min Read
The Role of Packaging in Automotive Manufacturing
Manufacturing

The Role of Packaging in Automotive Manufacturing

6 Min Read
From Frustration to Fulfillment My Experience with Tiroflx Sourcing and Manufacturing
Manufacturing

From Frustration to Fulfillment: My Experience with Tiroflx Sourcing and Manufacturing

5 Min Read
Is Your Business Ready for the Next Wave of Digital Manufacturing
Manufacturing

Is Your Business Ready for the Next Wave of Digital Manufacturing?

5 Min Read
Small logos Small logos

© 2025 All rights reserved. The CEO Views

  • About Us
  • Privacy Policy
  • Advertise with us
  • Reprints and Permissions
  • Business Magazines
  • Contact
Reading: Challenges of digital transformation in the manufacturing industry
Share

Removed from reading list

Undo
Welcome Back!

Sign in to your account

Lost your password?