87% of APAC Manufacturers Including Indians Prioritize Digital Transformation; yet 82% Struggle with Innovation Pace
- Additional findings of high expected AI adoption growth suggests data utilization is key to increasing visibility
INDIA – July, 17, 2024 – Zebra
Technologies Corporation (NASDAQ:
ZBRA), a leading
digital solution provider enabling businesses to intelligently connect data,
assets, and people, today announced the findings of its 2024 Manufacturing Vision
Study. The study showed that globally, 61% of manufacturers expect AI
to drive growth by 2029, up from 41% in 2024. In APAC, including India,
68% of manufacturers expect AI to drive growth by 2029, increasing from 46% in
2024. This surge in AI adoption, combined with 92% global and 87% of APAC
survey respondents prioritizing digital transformation, underscores
manufacturers’ intent to improve data management and leverage new technologies
that enhance visibility and quality throughout the manufacturing process.
While
digital transformation is a priority for manufacturers, around 30% to 40% of
global and APAC, including India, respondents recognize achieving it is fraught
with obstacles, including the cost and availability of labor, scaling
technology solutions, and the convergence of information technology and
operational technology (IT/OT).
Visibility
is the first step to transformation – through adopting AI and other new technologies.
This enables manufacturers to leverage data more effectively to identify, react
and prioritize problems and projects to deliver incremental efficiencies across
the manufacturing process, ensuring the greatest impact upfront.
“Manufacturers struggle with using their data effectively
so they recognize they must adopt AI and other digital technology solutions to
create an agile, efficient manufacturing environment”, said Subramaniam
Thiruppathi, Director of Sales for India and Sub-Continent, Zebra Technologies.
“As India and APAC manufacturers gear up for AI-driven growth, our focus on
leveraging advanced technologies and optimizing data utilization will be pivotal.
With India’s manufacturing sector set to hit US$ 1 trillion by
2025-26, our latest innovations, including the FXR90 ultra-rugged fixed RFID readers and ZS300 electronic sensors, will empower ecosystem players to significantly enhance
operational efficiency and data-driven decision-making”.
Zebra
empowers manufacturers with strategic insights and technologies to advance the
connected factory by boosting visibility, optimizing quality, and augmenting
their workforces. To learn more about the top digital and automation
challenges from Herrara and other experts, visit HERE.
Focusing on Closing
Visibility Gaps
Although manufacturers say digital transformation is a
strategic priority, achieving a fully connected factory remains elusive.
Visibility is key to optimizing efficiency, productivity, and quality on the
plant floor, yet a large visibility gap exists. Only 16% of manufacturing leaders
globally report they have real-time, work-in-progress (WIP) monitoring across
the entire manufacturing process, while this is true for more of APAC manufacturing
leaders, at 25%.
While nearly six in 10 (57% globally, 63% in APAC, including India) manufacturing leaders expect
to increase visibility across production and throughout the supply chain by
2029, around one-third of leaders (33% globally, 38% in APAC, including
India) say getting IT and OT to agree on where to invest is a key barrier to
digital transformation. Adding to these obstacles, 86% of global manufacturing
leaders agree they are struggling to keep up with the pace of technological
innovation and to securely integrate devices, sensors, and technologies
throughout their facilities and supply chain, with 82% of APAC manufacturing
leaders in agreement. Enterprises can use Zebra solutions to put their data to work, allowing for higher levels of
security and manageability, as new analytics elevate the performance of their
business.
Augmenting the Workforce,
Elevating Value and Efficiency
Zebra’s study found manufacturers are shifting
their growth strategies by integrating and augmenting workers with AI and other
technologies to transform manufacturing and build a skilled workforce over the
next five years. Nearly three-quarters (73%) of global manufacturing leaders
plan to reskill labor to enhance data and technology usage skills, as seven in
10 expect to augment workers with mobility-enabling technology. These
sentiments were shared by 76% and 75% of APAC manufacturing leaders
respectively.
The technology tools being implemented by
manufacturing leaders include tablets (51% globally, 52% in APAC, including
India), mobile computers (55% globally, 53% in APAC, including India), and
workforce management software (56% globally, 62% in APAC, including India). In
addition, six in 10 of manufacturing leaders (61% globally, 65% in APAC,
including India) plan to leverage wearable mobile computers to augment their
evolving workforce.
Manufacturing leaders across the C-Suite, Information
Technology (IT), and Operational Technology (OT) understand how labor
initiatives must extend beyond improving worker efficiency and productivity
with technology. Six in 10 of global and APAC leaders rank ongoing development,
retraining/upskilling, and career path development to attract future talent as
a high priority for their organizations.
Advancing Automation to Optimize Quality
Overall, the quest for quality has intensified as
manufacturers across segments must do more with fewer resources. According to
the survey, manufacturing leaders say today’s most significant quality
management issues are real-time visibility (33% globally, 40% in APAC,
including India), keeping up with new standards and regulations (29% globally,
30% in APAC, including India), integrating data (27% globally, 31% in APAC,
including India), and maintaining traceability (27% globally and in APAC,
including India).
Manufacturing
leaders’ technology implementation plans will address these challenges. Over
the next five years, many plan to implement robotics (65% globally, 72% in APAC, including India), machine vision (66% globally and in APAC),
radio frequency identification (RFID) (66% globally, 72% in APAC, including India), and fixed industrial scanners (57%
globally, 62% in APAC, including India). Most manufacturing
leaders agree these automation solutions are driven by a variety of factors
including the need to provide the workforce with high-value tasks (70%
globally, 75% in APAC, including India), achieve service
level agreements (69% globally, 70% in APAC), and add more flexibility to the
plant floor (64% globally, 66% in APAC, including India).
KEY REGIONAL FINDINGS
ASIA PACIFIC (APAC)
- While only 30% of manufacturing leaders use
machine vision across the plant floor in APAC,
including India, 67%
are implementing or planning to deploy this technology within the next five
years.
EUROPE, MIDDLE EAST,
AFRICA (EMEA)
- In
Europe, reskilling labor to enhance data and technology usage skills is the top
ranked workforce strategy for manufacturing leaders to drive growth today (46%)
and in five years (71%).
LATIN AMERICA (LATAM)
- While only 24% of manufacturing leaders rely on
track and trace technology in LATAM, 74% are implementing or plan to implement
the technology in the next five years.
NORTH AMERICA
- In North America, 68% of manufacturing leaders rank deploying workforce development programs as their most important labor initiative.
SURVEY BACKGROUND AND METHODOLOGY Zebra commissioned Azure Knowledge Corporation to conduct 1,200 online surveys among C-Suite executives and IT and OT leaders within various types of manufacturing sectors, including automotive, electronics, food and beverage, and pharma and medical devices. Respondents were surveyed in Asia, Europe, Latin America, and North America.
ABOUT ZEBRA TECHNOLOGIES
Zebra (NASDAQ: ZBRA) helps organizations
monitor, anticipate, and accelerate workflows by empowering their frontline and
ensuring that everyone and everything is visible, connected and fully
optimized. Our award-winning portfolio spans software to innovations in
robotics, machine vision, automation, and digital decisioning, all backed by a
+50-year legacy in scanning, track-and-trace and mobile computing solutions.
With an ecosystem of 10,000 partners across more than 100 countries, Zebra’s
customers include over 80% of the Fortune 500. Newsweek recently recognized
Zebra as one of America’s Most Loved Workplaces and Greatest Workplaces for
Diversity, and we are on Fast Company’s list of the Best Workplaces for
Innovators. Learn more at www.zebra.com or sign up for news alerts. Follow Zebra’s Your Edge blog, LinkedIn, Twitter, and Facebook, and check out our Story Hub: Zebra Perspectives.