This IDC Manufacturing Insights blog shares the predictions developed by our global manufacturing team and presented by myself and my colleague Simon Ellis. Key themes woven into our worldwide manufacturing top 10 predictions for 2017 include the need for digital transformation, new ways of innovating, more integrated IT and operations, business security, and rethinking the future of work. While the predictions largely focus on 2017–2020, the impact of many of these will be felt for years to come. Most predictions refer to a continuum of change within the wider ecosystem of the manufacturing industry and global economy.
Our predictions create a framework for IT and line-of-business executives to plan and execute technology-related initiatives in the year ahead. Technology leaders and their counterparts in the line-of-business (LOB) operations can use this document to guide their IT strategic planning efforts.
The following IDC FutureScape: Worldwide Manufacturing 2017 Predictions provides manufacturers with the top 10 predictions and underlying drivers that we expect to impact manufacturers' IT investments in 2017 and beyond.
- Prediction 1: By 2018, Only 30% of Manufacturers Investing in Digital Transformation Will Be Able to Maximize the Outcome; the Rest Are Held Back by Outdated Business Models and Technology
- Prediction 2: By 2019, 75% of Large Manufacturers Will Update Their Operations and Operating Models with IoT and Analytics-Based Situational Awareness to Mitigate Risk and Speed Time to Market
- Prediction 3: By 2018, 60% of Large Manufacturers Will Bring in New Revenue from Information-Based Products and Services, While Embedded Intelligence Will Drive the Highest Profitability Levels
- Prediction 4: By 2020, Manufacturers Will Capture 20% More Aftermarket Revenue by Using Product and Service Quality Measures to Enhance Customer Experiences
- Prediction 5: In 2019, 40% of G2000 Manufacturers Will Use Design Democratization and Collaborative Innovation to Meet Corporate Targets for Revenue from Newly Developed Products and Services
- Prediction 6: By the End of 2020, 50% of Manufacturers Will Derive Business Value from the Integration of Supply Chain, Plant Operations, and Product and Service Life-Cycle Management
- Prediction 7: By 2020, 60% of Plant Floor Workers at G2000 Manufacturers Will Work Alongside Automated Assistance Technologies Such as Robotics, 3D Printing, AI, and AR/VR
- Prediction 8: By 2018, a Proliferation of Connected Information, Instrumentation, and Decision Cloud Ecosystem Networks Will Drive Manufacturers to Redesign Their Security Architectures
- Prediction 9: By 2019, 35% of Large Global Manufacturers with Smart Manufacturing Initiatives Will Integrate IT and OT Systems to Achieve Advantages in Efficiency and Response Time
- Prediction 10: By the End of 2020, 50% of All Manufacturing Supply Chains Will Have the Capability, Either In-House or Outsourced, to Enable Direct-to-Consumption Shipments and Home Delivery
It's important to note that technology continues to reshape the relationship between business and IT for innovation and digital transformation. Manufacturers want to work smarter using digital technologies in their products and processes and throughout the value chain.
Guidance for IT and Business Leaders
To learn how you can apply these predictions to your business, please refer to the guidance outlined for each prediction found in the IDC FutureScape: Worldwide Manufacturing 2017 Predictions (Documenton IDC.com).
Click here to learn more about what IDC can do for senior business leaders and IT executives as they move through their digital transformation journey.
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