How Is Digital Transformation Advancing The Future of the Manufacturing Industry?

Nisarg Rami
3 min readAug 9, 2023

While digital transformation is shaping the future of every industry, it makes revolutionary changes for the manufacturing industry. In 2020, the global digital transformation market for the manufacturing industry was $263 billion. Predictions say that this number will touch the mark of $767 billion by 2026 if the current growth remains stagnant.

This impressive growth is a direct sign that the manufacturing industry is adopting digital transformation at supersonic speed. But why? Well, here are the reasons behind this surged demand for digital transformation in the manufacturing industry.

#1 — Better team collaboration and constant communication

The biggest challenge for the manufacturing industry is to keep all the teammates in the loop and share key information as teams are dispersed. With digital transformation, it’s easy for manufacturing industries to bring all the teams together. They are chat and video conferencing applications that manufacturing industry players can use to connect distributed teams over a single click.

#2 Improved team productivity

Without digital technology, manual efforts are highly intense in the manufacturing industry. The manual handling of tasks like machinery maintenance, product monitoring, shipment, and many more can reduce the team’s speed. Digital transformation infuses automation at every stage of manufacturing that reduces errors and delays. Teams tend to perform better than ever with digital transformation.

#3 Easy scalability

Digital transformation makes it easy to pivot and scale. With constant version updates and maintenance, the manufacturing industry is never going to stay behind.

#4 Trimmed operational overheads

A majority of tasks are automated, and less manpower is required. With cloud-based resources, industry players don’t have to invest heavily in tool maintenance and updates. All these things, when combined, will certainly reduce operational expenses.

#5 Better data handling

For every industry, data is the real gold, and digital transformation ensures that data is used at its best, processed quickly, and highly secured. Cloud migration is a key part of digital transformation, and moving to the cloud makes data more accessible.

From the cloud, the team can access key data over a single click, use it across the departments, and analyze it for better decisions.

Examples from real-world

Here are a few real-world examples of manufacturing industry players that have reaped huge benefits from digital transformation:

● Bosch has combined big data and IIoT technologies to monitor used machinery and enjoyed a 10% increase in output.

● Whirlpool used Product Lifecycle Management tools and enjoyed better team efficiency.

● With “Volkswagen Automotive Cloud,” Volkswagen is making a step towards connected cars.

Final Say

Like every other industry, the manufacturing industry is also reaping benefits from digital transformation. With the right strategy, this trend is going to make the manufacturing industry more active, collaborative, and error-free.

However, this is not assured for every digital transformation project, as nearly 80% of projects fail due to a lack of expertise. Hence, professional guidance from a digital partner like cMetric is highly recommended. Leverage our expertise and enjoy successful digital transformation implementation with ease.



Nisarg Rami

Nisarg Rami is a Principal Tech Lead and cloud evangelist. Majorly working in enterprise and mobile solutions for the clients from the US, Europe.