How companies are staying safe, sustainable, and strong in a complex marketplace.
We know that the manufacturing industry is expanding rapidly in the US, but how are manufacturing managers addressing challenges around the world?
We recently surveyed 1000 manufacturing leaders for our second annual “Voice of the Manufacturing Manager 2024” report to learn more about today's manufacturing successes and challenges. Here are some of the insights we gained from manufacturing managers globally, along with a closer look at what managers in the UK and Ireland specifically are prioritising in their daily operations.
To foster continuous growth, manufacturing leaders are focused on making improvements in a variety of areas in their company—specifically regarding supply chain resilience, technology adoption, and sustainability. Our survey revealed a variety of findings in a few areas:
Technology and Modernisation: Manufacturing companies need to invest in new technologies to keep their organisations modern, allowing them to stay competitive and meet customer demands. However, only half (53%) say their company is “very modern” compared to others in their industry—which means the other 47% believe that they're lagging. Those who have modernised their organisation say it has improved their efficiency, increased their productivity, and improved their quality control. The good news is that tech investments are on the rise, as 66% say they are investing in new technology more than ever; sixty-six percent also say the integration of innovative technology is a higher priority than ever. In addition, 75% say their company embraces a data-first strategy.
Supply Chain Initiatives: One way manufacturers can hit targets and increase efficiency is through gaining control over supply chains. Seventy-five percent of manufacturing leaders worldwide say supply chain resilience and sustainability are very important. To improve their supply chain strategy, manufacturing companies are implementing digital tracking tools for better visibility, adopting sustainable materials and practices, and diversifying suppliers. However, the top barriers they face are costs, regulatory challenges, and a lack of technology.
Sustainability: Building a manufacturing company that can grow into the future requires investments in sustainability, and 63% of managers worldwide say sustainability is a higher priority than ever. Additionally, 57% anticipate their budget for sustainability will increase over the next year.
With 200 respondents in the segment size, adding responses from manufacturing managers in the UK and Ireland helps provide insights into how these locations’ manufacturing challenges and opportunities align with or differ from the global population.
Technology and Modernisation: 60% of manufacturing managers in the UK and Ireland say their organisation is "very modern," which is comparable to the global population. Additionally, 60% say they are investing in new technology more than ever and 67% also say the integration of innovative technology is a higher priority than ever, also on par with global manufacturing managers. Seventy-one percent say their company embraces a data-first strategy. The emerging technologies these manufacturers say they are using most frequently in their daily operations include AI (60%), data analytics (63%), and automation and robotics (41%).
Supply Chain Initiatives: Seventy-five percent of manufacturing managers in the UK and Ireland report that supply chain resilience and sustainability are very important to their organisations. This is on par with responses we received from manufacturing managers worldwide. Similar to their global counterparts, UK-and Ireland-based manufacturers are also improving their supply chain strategy by implementing digital tracking tools for better visibility, as well as adopting sustainable materials and practices. The technology they say they’re choosing most frequently to better manage their supply chains include sustainable energy sources for operations (49%), AI for predictive analytics (48%), and IoT for real-time tracking (36%).
Sustainability: 62% of managers in the UK and Ireland say sustainability is a higher priority than ever, which is comparable with other global manufacturing managers. Additionally, 61% anticipate that their budget for sustainability will increase over the next year.
Challenges: Manufacturing managers in the UK and Ireland say their biggest challenge is helping ensure safety and compliance—which is also first worldwide, but ranks 7% higher than their global counterparts rank it—followed by managing a diverse team, currently ranked fourth worldwide. Having a high focus on safety and compliance may be why manufacturers in the UK and Ireland are using technologies like AI and blockchain at higher rates than those in other countries.
Like their global counterparts, manufacturing managers in the UK and Ireland are positioning their organisations for success by integrating new technologies, taking action to strengthen their supply chains, and making investments in sustainable policies and practices. By addressing challenges in these areas, they can increase their competitiveness on the global stage for years to come.
Read the “Voice of the Manufacturing Manager 2024” report today.
