Michael Larner

ABI Research has released its 2024 Manufacturers’ Technology Adoption & Attitudes Survey, revealing key insights from 461 decision-makers in the manufacturing sector across the U.S., Malaysia, and Germany. The findings underscore a pressing challenge: 50% of manufacturers' top ten workforce issues are people-related. Michael Larner, distinguished analyst at ABI Research, noted, “An interesting find from the survey is that some of the biggest issues for manufacturers involve people, not technology. Recruiting, retaining, and upskilling staff are among the top challenges manufacturers face today.” The need for skilled workers to operate and maintain equipment while optimizing production lines is becoming critical.

"Improving quality and productivity levels are key objectives for survey respondents. However, an overriding concern is how to deploy the technologies to achieve those objectives. Manufacturers require assurance that they will receive adequate support and training resources to quickly adapt, along with ongoing follow-up from the vendor," explains Michael Larner, Distinguished Analyst at ABI Research.

Global technology intelligence firm ABI Research recently completed its 2024 Manufacturers’ Technology Adoption & Attitudes Survey, a comprehensive survey of 461 manufacturing decision-makers across the United States, Malaysia, and Germany to uncover real-world attitudes, adoption trends, and valuable insights that reflect the current technological landscape within the manufacturing industry. When asked which criteria were most important when evaluating a new solution or vendor, 64% of respondents ranked a robust onboarding process with training, resources, and post-sales follow-up as the most critical. “Improving quality and productivity levels are key objectives for survey respondents. However, an overriding concern is how to deploy the technologies to achieve those objectives. Manufacturers require assurance that they will receive adequate support and training resources to quickly adapt, along with ongoing follow-up from the vendor,” explains Michael Larner, Distinguished Analyst at ABI Research.

According to a recent report from ABI Research, 50% of the top ten workforce challenges are directly related to people. These include difficulties attracting and retaining skilled labor, concerns about employee well-being, and the struggle to train workers to adapt to new digital tools and technologies. In a press release, Michael Larner, Analyst at ABI Research commented on the findings: “An interesting find from the survey is that some of the biggest issues for manufacturers involve people, not technology. Recruiting, retaining, and upskilling staff are among the top challenges manufacturers face today. Skilled individuals are required to operate and maintain equipment while also focusing on optimizing production lines. Simply put, there aren’t enough of these individuals in the workforce today.”

Among the top 10 workforce challenges facing manufacturers today, 50% involve people-related concerns rather than technology, according to a Sept. 24 report from global technology intelligence firm ABI Research. Manufacturing decision-makers highlighted issues such as recruiting quality staff, boosting staff retention and improving workforce skills. Manufacturers reported concerns such as staff being more likely to be trade union members and wage expectations among new recruits. “Recruiting, retaining and upskilling staff are among the top challenges manufacturers face today,” Michael Larner, a distinguished analyst at ABI Research, said in a statement. “Skilled individuals are required to operate and maintain equipment while also focusing on optimizing production lines. Simply put, there aren’t enough of these individuals in the workforce today.”

Among the top 10 workforce challenges facing manufacturers today, 50% involve people-related concerns rather than technology, according to a Sept. 24 report from ABI Research, a global technology intelligence firm. “Recruiting, retaining and upskilling staff are among the top challenges manufacturers face today,” Michael Larner, a distinguished analyst at ABI Research, said in a statement. “Skilled individuals are required to operate and maintain equipment while also focusing on optimizing production lines. Simply put, there aren’t enough of these individuals in the workforce today.”

Global technology intelligence firm ABI Research recently completed its 2024 Manufacturers’ Technology Adoption & Attitudes Survey, a comprehensive survey of 461 manufacturing decision-makers across the United States, Malaysia, and Germany to uncover real-world attitudes, adoption trends, and valuable insights that reflect the current technological landscape within the manufacturing industry. According to the resulting report, The State of Technology in the Manufacturing Industry, one topline takeaway is that 50% of manufacturers’ top ten workforce challenges are people related. “An interesting find from the survey is that some of the biggest issues for manufacturers involve people, not technology. Recruiting, retaining, and upskilling staff are among the top challenges manufacturers face today. Skilled individuals are required to operate and maintain equipment while also focusing on optimizing production lines. Simply put, there aren’t enough of these individuals in the workforce today,” explains Michael Larner, distinguished analyst at ABI Research.

ABI Research, a global technology intelligence firm, has recently completed its 2024 Manufacturers' Technology Adoption & Attitudes Survey.

Global technology intelligence firm ABI Research recently completed its 2024 Manufacturers' Technology Adoption & Attitudes Survey, a comprehensive survey of 461 manufacturing decision-makers across the United States, Malaysia, and Germany with the aim to uncover real-world attitudes, adoption trends, and valuable insights that reflect the current technological landscape within the manufacturing industry. According to the resulting report, The State of Technology in the Manufacturing Industry, one topline takeaway is that 50% of manufacturers' top ten workforce challenges are people-related. "An interesting find from the survey is that some of the biggest issues for manufacturers involve people, not technology. Recruiting, retaining, and upskilling staff are among the top challenges manufacturers face today. Skilled individuals are required to operate and maintain equipment while also focusing on optimizing production lines. Simply put, there aren't enough of these individuals in the workforce today," explains Michael Larner, Distinguished Analyst at ABI Research.

“An interesting find from the survey is that some of the biggest issues for manufacturers involve people, not technology. Recruiting, retaining, and upskilling staff are among the top challenges manufacturers face today. Skilled individuals are required to operate and maintain equipment while also focusing on optimizing production lines. Simply put, there aren’t enough of these individuals in the workforce today,” explains Michael Larner, distinguished analyst at ABI Research.

“Safety is a component of companies’ Environmental, Social, and Governance (ESG) reporting. As a board-level requirement, companies need to show improvement in safety and a whole host of other metrics. These metrics can trigger an improved culture around safety and cascade throughout the company. However, paper-based data collection persists in many industrial and manufacturing plants. EHS software enables customers to gather data, analyze it to provide a baseline, and track progress with visualization tools,” explains Michael Larner, Distinguished Analyst at ABI Research.

“Safety is a component of companies’ Environmental, Social, and Governance (ESG) reporting. As a board-level requirement, companies need to show improvement in safety and a whole host of other metrics. These metrics can trigger an improved culture around safety and cascade throughout the company. However, paper-based data collection persists in many industrial and manufacturing plants. EHS software enables customers to gather data, analyze it to provide a baseline, and track progress with visualization tools,” explained Michael Larner, distinguished analyst at ABI Research.

“Safety is a component of companies’ environmental, social, and governance (ESG) reporting. As a board-level requirement, companies need to show improvement in safety and a whole host of other metrics. These metrics can trigger an improved culture around safety and cascade throughout the company. However, paper-based data collection persists in many industrial and manufacturing plants. EHS software enables customers to gather data, analyze it to provide a baseline, and track progress with visualization tools,” says Michael Larner, distinguished analyst at ABI Research.

“The digital twin is exciting, but many are still battling to actually remove paper from data collection,” says Michael Larner, industrial and manufacturing research director at global technology intelligence firm ABI Research. “They haven't been willing to do a lot of incremental steps and a lot of hard work to get to the digital twin stage.” Scaling these efforts isn’t always easy. “It's hard to scale innovation,” such as deploying an energy reduction solution across every site, says Larner. “You have to get buy in from the local, portfolio or local brands, and they'll have their own objectives in their own facilities.”

ABI Research says the electronics industry is characterised by increasingly sophisticated devices for consumer and industrial users. Contract manufacturers must be ready to ramp up production in time for varied product launch dates and gift-giving occasions throughout the year. ABI Research forecasts that electronics manufacturers will spend more than US$70 billion in 2034 on digital technologies to support their operations, up from US$34.5 billion in 2022. Michael Larner “A big challenge for electronics manufacturers is having to assimilate the needs of each client. Often, that means inadequate lead times and shorter production runs of 12 weeks or less,” explains Michael Larner, industrial and manufacturing research director at ABI Research.

By 2034, aerospace manufacturers will spend $53.8 billion on digital technology, up from $30 billion in 2022, according to a new report by market intelligence firm ABI Research.

“Aerospace firms are under pressure from airlines positive about the demand for air travel and are looking to refresh their aircraft roster. Both Boeing and Airbus have a growing order book but cannot take regulation shortcuts to fulfill them,” says Michael Larner, Industrial and Manufacturing Research Director at ABI Research.

“Aerospace firms are under pressure from airlines positive about the demand for air travel and are looking to refresh their aircraft roster. Both Boeing and Airbus have a growing order book but cannot take regulation shortcuts to fulfill them,” said Michael Larner, Industrial and Manufacturing research director at ABI Research. Technology suppliers such as AEGIS Software , Dassault Systèmes, Hexagon and Siemens can help firms across the entire value chain to optimize processes while remaining compliant. According to Larner, “Manufacturers will need to become more data-savvy by using data analytics for early warning signs of problems in the supply chain or with a part of the aircraft.”

Peggy Smedley and Michael Larner, industrial and manufacturing research director, ABI Research, talk about rejuvenating local manufacturing communities—and what is really happening. He says it ultimately means one of two things.

Digital technology will help legacy automakers transition from internal combustion engines to battery-powered vehicles over the next decade. A new report from ABI Research predicts that the auto industry will increase investment in digital twins and other tools at a cumulative annual rate of nearly 9 percent, growing from $83 billion in 2023 to $188 billion by 2033. “The transfer to EVs is driving demand for software, as manufacturers need to design new vehicles and simulate the vehicles’ performance,” says Michael Larner, industrial and manufacturing markets research director at ABI Research. “The new production lines will also need to be simulated before launch.

“With all of the above in mind, cement producers are developing risk frameworks that present opportunities for technology suppliers to help firms assimilate information for presenting credentials and performing scenario planning exercises,” says Michael Larner, industrial and manufacturing markets research director at ABI Research.

According to global technology intelligence firm ABI Research, total spending on digitalization is forecast to reach US$3.54 billion in 2033 (a 5.5% Compound Annual Growth Rate (CAGR)). “With all of the above in mind, cement producers are developing risk frameworks that present opportunities for technology suppliers to help firms assimilate information for presenting credentials and performing scenario planning exercises,” says Michael Larner, Industrial and Manufacturing Markets Research Director at ABI Research.

“With all of the above in mind, cement producers are developing risk frameworks that present opportunities for technology suppliers to help firms assimilate information for presenting credentials and performing scenario planning exercises”, says Michael Larner, Industrial and Manufacturing Markets Research Director at ABI Research.

ABI bases its forecast on the extent the six largest miners BHP, Rio Tinto, Anglo American, Arcelor Mittal, Glencore and Vale are deploying digital technologies in their operations.

“The results revealed that investments made by ArcelorMittal, Glencore, and Vale have not yet significantly grown the bottom line,” commented Michael Larner, Industrial and Manufacturing Research Director at ABI Research.

Michael Larner, ABI Research’s Industrial & Manufacturing Research Director, spoke to Materials World. The firm has published several reports on the advantages of digitalisation within the mining and mineral sectors. When asked whether mining lags behind other sectors in adopting digitalisation technologies, he says, “Yes, somewhat. The industry has longstanding processes that do not necessarily require digital technologies. For example, with open-cast mining...when it comes to dislodging sections with explosives, truck collection, sorting, transportation. When working underground, the processes involve drilling, collection, sorting and transportation. “Compare this to say...car production, which involves incorporating over 20,000 components into one single vehicle.” Larner specified, however, several areas where digitalisation can improve mining productivity. “Digitalisation can assist with scheduling of transportation activities so that firms can meet orders on time. In addition, software can be employed for geological analysis...and to identify the location(s) for extraction activities.” He also turned to financial benefits, singling out on-time delivery, route optimisation for trucks and predictive maintenance to proactively schedule programmes, thereby avoiding the unplanned downtime that puts order delivery at risk. ABI Research is confident for the future, estimating that expenditure on digitalisation by mining companies will grow by 5.2% compound annual growth rate at present to US$9.3bln by 2030. Suppliers will need to be patient and build their credibility in a current climate where mines tend to operate independently, says Larner. More encouragingly, automation is favoured by Rio Tinto, which has recently started to run an autonomous train fleet. Larner’s prediction is for 4G/5G networks to support the mapping of sites and the use of drones to obtain images. “Data analysis software can also help avoid unplanned downtime. Solutions that can optimise mining processes, both in terms of efficiency and increased yield, will be looked upon favourably,” Larner concludes.

The automotive sector is the biggest spender on digital transformation. In its whitepaper, 4 Key Industries Embracing Industry 4.0, ABI Research forecasts that this sector’s spending on Industry 4.0 technologies will approach US$100 billion in 2022 and grow to over US$238 billion in 2030. The main reason for this is that OEMs and their suppliers need to adjust for the move away from the internal combustion engine to electric powertrains. Ryan Martin “The automotive industry is not alone in its digital transformation acceleration,” says Ryan Martin, industrial and manufacturing markets research director at ABI Research.

The automotive sector is the biggest spender on digital transformation. In its latest whitepaper, 4 Key Industries Embracing Industry 4.0, global technology intelligence firm ABI Research forecasts that this sector’s spend on Industry 4.0 technologies will approach US$100 billion in 2022 and grow to over US$238 billion in 2030. The main reason for this is that OEMs and their suppliers need to adjust for the move away from the internal combustion engine to electric powertrains.

ABI Research’s new whitepaper explores the four key markets being transformed by Industry 4.0 The automotive sector is the biggest spender on digital transformation. In its latest whitepaper, 4 Key Industries Embracing Industry 4.0, global technology intelligence firm ABI Research forecasts that this sector’s spend on Industry 4.0 technologies will approach US$100 billion in 2022 and grow to over US$238 billion in 2030. The main reason for this is that OEMs and their suppliers need to adjust for the move away from the internal combustion engine to electric powertrains.

The automotive sector is the biggest spender on digital transformation of its products and production, says the latest whitepaper, 4 Key Industries Embracing Industry 4.0, produced by global technology intelligence firm ABI Research. The paper forecasts that “this sector’s spend on Industry 4.0 technologies will approach US$100 billion in 2022 and grow to over US$238 billion in 2030.” The study posits that the main reason for this is that OEMs and their suppliers need to adjust for the move away from the internal combustion engine to electric powertrains. “The automotive industry is not alone in its digital transformation acceleration,” said Ryan Martin, Industrial and Manufacturing Markets Research Director at ABI Research. “Industry 4.0—also known as smart manufacturing, connected manufacturing, the Industrial Internet of Things, and other monikers—has revolutionized the way companies manufacture, enhance, and distribute products using new technologies.” Industrial and Manufacturing Markets Research Director at ABI Research, Michael Larner said, “This transformation is not just limited to the manufacturing sector, it has begun shaping other industries and markets throughout the globe.” 4 Key Industries Embracing Industry 4.0 whitepaper explores the state of Industry 4.0 in four key markets: Automotive, Electronics & High Technology, Oil & Gas, and Fast-Moving Consumer Goods.

Michael Larner, a research director at ABI Research, says technology innovation will remain instrumental for manufacturers’ success as they confront myriad challenges, such as escalating energy costs, supply chain disruptions, staffing shortages, and the need to optimize resources. “We’re seeing a move away from basic automation to integrating IT and OT teams, optimizing using analytics to make sure things are as efficient as possible, and to do things like predictive maintenance and proactive monitoring,” Larner says.

We added a question this year about the primary purpose for which manufacturers employ vision systems, and a full 51% of respondents said that they do not employ vision systems at all. According to Michael Larner, Industrial & Manufacturing principal analyst at ABI Research, this potentially indicates companies not investing in the connectivity infrastructure to stream images. “In addition, the respondents haven’t dedicated the time and resources to train machine learning algorithms to analyze the images coming from a vision system on the production line to, for example, identify defects,” Larner says.

In a recent study, global technology market research firm ABI Research predicted that natural gas and oil companies would spend $15.6 billion on “digital transformation technologies” by 2030. “The role of technology is evolving from helping oil and gas firms monitor their large, complex and dangerous operations, to helping them optimize their facilities to handle the volatility in their operating environments,” said ABI’s Michael Larner, industrial and manufacturing principal analyst. Larner ticked off for NGI a list of ways in which E&P and OFS companies use AI.

he report, Digital Transformation in the Oil and Gas Markets, states that companies will through 2030 increase investments in digital transformation to address commercial, operational, and existential threats, as well as align business models with changing climate action regulation. With digital tools, oil and gas companies can analyse the condition of transmission and distribution pipes, prepare for changes in oil and gas prices, plan sustainability strategies and ensure an increasing amount of renewables capacity is integrated into grids and provided to consumers. Michael Larner, industrial and manufacturing principal analyst at ABI Research said: “Safety and Security are top priorities for Oil & Gas operators. Data analytics allied with IoT platforms have become essential to identifying issues ahead of time such as pipeline degradation, wellhead performance, and pollution from gas flares. Increasingly, however, network security is rapidly becoming a concern for both the C-suite and Governments.”

The oil and gas industry is set to spend $15.6 billion on digital transformation by the end of this decade to enhance cybersecurity, maintain safe operations, and create sustainable performance, technology intelligence firm ABI Research said in a new report on Wednesday.

Simulation is increasingly relevant in the manufacturing industry. Simulation software is an insurance policy for manufacturers, ABI Research principal analyst Michael Larner told VentureBeat. There is an arms race in the supplier community regarding the algorithms that can be deployed, he said. This “insurance” allows them to respond to rapid changes in consumer demands and supply chain disruptions, such as the chip shortage currently hobbling the auto industry. ABI forecasts that simulation technologies for manufacturing could grow at a rate of 7.1% to $2.6 billion by 2030.

As ABI Research analyst Michael Larner puts it, “How robust is the source of information that the solution can obtain information from, in order to provide a single version of truth.” This is particularly important as companies struggle with supply chain issues and need to have real-time insight into end-to-end systems that can encompass multiple functions such as ecommerce sites, sales, billing, manufacturing, inventory management, delivery, support, or customer service.

How involved should professional developers get with citizen developer applications? Developers have known for a long time that many operating systems and applications -- particularly from the open-source space -- are 80% complete, with all the necessary supporting pieces in place. It was up to them to fill in the missing 20% with customization. The same principle needs to be applied to low-code and no-code platforms, some industry advocates urge. building-new-york-javits-center-cropped-photo-by-joe-mckendrick.jpg Photo: Joe McKendrick This tasks IT teams with the design of rudimentary applications on which end-users can embellish. This will help reduce the time business users may spend attempting to build apps and not enough time on their businesses. Business users "may not consider all the different factors required in order to map the software to their requirements," says Michael Larner, principal analyst at ABI Research. "And you don't want staff duplicating effort when they should be focusing on their core tasks." One way of achieving this, Larner recommends, would be "a centralized marketplace with templates for low code apps that have already been developed and approved by IT. End-users would not be permitted to create their own without first referring to the marketplace. Furthermore, users should be incentivized and recognized for providing tailored apps to the marketplace." A critical piece of the 80% that professional developers and IT managers employ are guardrails that need to be put in place. "Clearly defined guardrails and automation are allowing low and no-code applications to run with enterprise-grade scalability, performance, and resilience so that they can adhere to privacy, security, and compliance mandates," says Josh Kahn, senior vice president at ServiceNow. "This allows IT to take a step back and not have to oversee every step of the app development process."

Simulation software acts as an insurance policy against costly mistakes because it enables manufacturers to understand how a product or component will behave before it’s put into use or how it will affect the production line, according to a report from ABI Research, which forecasts the manufacturer spend on simulation software will surpass $2.6 billion in 2030. Spending will accelerate over the forecast period, growing by a compound annual growth rate (CAGR) of 7.1% between 2022 and 2030, as the user base of simulation software expands in aerospace, automotive, heavy machinery and the consumer-packaged goods sectors. “In the past, manufacturers would create prototypes and test under certain conditions. Simulation software provides more flexibility by enabling manufacturers to examine how, for example, components in aircrafts and automobiles respond to heat and vibration, or how to optimize the layout of a printed circuit board in an electronic device. Also, manufacturers’ production lines are moving from batch to continuous manufacturing, so they need the ability to anticipate and alleviate bottlenecks relating to switchovers,” explains Michael Larner, principal analyst, industrial & manufacturing, at ABI Research.

s consumer-packaged goods (CPG) manufacturers strive to anticipate customer demand and optimise their processes, the latest forecasts from ABI Research indicates that overall digital factory revenue will reach US$24bn by 2030, with CPG forecasted to spend US$4bn on data and analytics services. "Plant managers walk a tight rope every day. Too little production leads to shortages and lost revenue opportunities; too much production means that perishable products go to waste. Digital Threads across the supply chain are essential,” said Michael Larner, Industrial and Manufacturing Principal Analyst at ABI Research. CPG manufacturers will need to work with retailers, distributors and supply chain partners in order to gain visibility across the supply chain. "While creating digital threads across the supply chain will take time, in the short-term CPG manufacturers need to ensure that their production plans are informed by as much relevant data as possible," Larner added.

This trend is accelerating, according to ABI Research analyst Michael Larner, who authored a report on the CDMO sector’s digital transformation. He says CDMOs are investing in digital technologies because to work with multiple customers more effectively. “Like in the electronics markets, contract drug manufacturers have a key role when it comes to bringing products to market,” he explains. One of the biggest challenges for these types of manufacturers is re-configuring the production line from one client to another. And also introducing continuous manufacturing rather than spending time switching from one batch to another.”

harma 4.0 concepts are taking hold in pharmaceutical manufacturing. The industry's unique characteristics are driving investments in digital transformation by pharmaceutical manufacturers. Global tech market advisory firm ABI Research forecasts that overall, digital factory revenue will top US$4.5 billion in 2030 with spending by pharmaceutical manufacturers on data analytics forecast to grow by a 27% CAGR and be worth US$1.2 billion in 2030, as manufacturers look to track, optimize their operations, and boost productivity. While regulators encourage, rather than stifle, innovation, the industry's competitive dynamics require pharmaceutical firms to optimize production lines to maximize yield for the time a drug is subject to patent protection. Contract manufacturers look to digital technologies to enable them to support clients simultaneously. The utilization of data analytics will support each type of manufacturer's efforts to increase yield. Moving from manufacturing drugs and vaccines in batches to optimizing the manufacturing process with continuous manufacturing will be critical to increasing yields. "But the active pharmaceutical ingredients are susceptible to changes in their immediate environment. The batch must be scrapped if the condition of the ingredients or formulation fall outside accepted parameters. Manufacturers will need to invest in analytics to help develop digital twins of their operations so that they can prepare their production lines for continuous manufacturing," says Michael Larner, Industrial and Manufacturing Principal Analyst at ABI Research.

Global tech market advisory firm ABI Research forecasts that overall, digital factory revenue will top $4.5 billion in 2030 with spending by pharmaceutical manufacturers on data analytics forecast to grow by a 27 per cent CAGR and be worth $1.2 billion in 2030, as manufacturers look to track, optimise their operations, and boost productivity. While regulators encourage, rather than stifle, innovation, the industry’s competitive dynamics require pharmaceutical firms to optimise production lines to maximise yield for the time a drug is subject to patent protection. Contract manufacturers look to digital technologies to enable them to support clients simultaneously. After patents expire, generics manufacturers need to produce as many products as possible. The utilisation of data analytics will support each type of manufacturer’s efforts to increase yield. Moving from manufacturing drugs and vaccines in batches to optimising the manufacturing process with continuous manufacturing will be critical to increasing yields. “But the active pharmaceutical ingredients are susceptible to changes in their immediate environment. The batch must be scrapped if the condition of the ingredients or formulation fall outside accepted parameters. Manufacturers will need to invest in analytics to help develop digital twins of their operations so that they can prepare their production lines for continuous manufacturing,” said Michael Larner, Industrial and Manufacturing Principal Analyst at ABI Research.

While the creation, manufacture, and supply of COVID vaccines are grabbing attention, behind the scenes, pharma manufacturers are digitizing at pace Pharma 4.0 concepts are taking hold in pharmaceutical manufacturing. The industry’s unique characteristics are driving investments in digital transformation by pharmaceutical manufacturers. Global tech market advisory firm ABI Research forecasts that overall, digital factory revenue will top US$4.5 billion in 2030 with spending by pharmaceutical manufacturers on data analytics forecast to grow by a 27% CAGR and be worth US$1.2 billion in 2030, as manufacturers look to track, optimize their operations, and boost productivity. While regulators encourage, rather than stifle, innovation, the industry’s competitive dynamics require pharmaceutical firms to optimize production lines to maximize yield for the time a drug is subject to patent protection. Contract manufacturers look to digital technologies to enable them to support clients simultaneously. After patents expire, generics manufacturers need to produce as many products as possible. The utiliza

A new report, “Industry 4.0 in the Pharmaceutical Industry” from ABI Research, reports that the pharma industry is expected to invest $4.5 million in digital factories by 2030—a 27% year-over-year growth rate. “Contract manufacturers look to digital technologies to enable them to support clients simultaneously,” ABI officials note in a press release. “After patents expire, generics manufacturers need to produce as many products as possible. The utilization of data analytics will support each type of manufacturer’s efforts to increase yield.” And Michael Larner, industrial and manufacturing principal analyst at ABI Research, notes the need for flexibility and precision in planning is a paramount concern. “Manufacturers will need to invest in analytics to help develop digital twins of their operations so that they can prepare their production lines for continuous manufacturing,” Lerner said.

ABI Research forecasts that manufacturers around the world will increase their spending on PLM software by a CAGR of 6.2% from 2020 to 2026, reaching US$5.8 billion in 2026. “Historically, engineering teams used PLM software to collaborate on new product designs. Today’s PLM software can do this and so much more. In many cases, the software provides designers with the ability not only to tweak designs but also to simulate the impact on product and production line performance,” explained Michael Larner, principal analyst at ABI Research.

Manufacturers worldwide will increase their spending on PLM software by a compound annual growth rate of 6.2% from 2020 to 2026, reaching US$5.8 billion in 2026, forecasts global tech market advisory firm ABI Research. “Historically, engineering teams used PLM software to collaborate on new product designs. Today’s PLM software can do this and so much more. In many cases, the software provides designers with the ability not only to tweak designs but also to simulate the impact on product and production line performance,” explains Michael Larner, principal analyst at ABI Research.

Michael Larner, a principal analyst at ABI Research, says: 'To mitigate supply chain risks, manufacturers should not only not source components from a single supplier but also, as COVID-19 has highlighted, shouldn't source from suppliers in a single location.' That complexity, and the need to orchestrate more suppliers feeding into a more unpredictable demand scenario, leads ABI Research to predict that manufacturers' spending on ERP will increase to $14bn by 2024.

ABI Research has published its latest whitepaper, "The 36 Transformative Technology Stats You Need to Know for 2021." According to the global tech market advisory firm, as manufacturers integrate IT and OT, they rely on Industrial IoT (IIoT) platforms dedicated to smart manufacturing to manage their devices, connectivity, infrastructure, and data. These IIoT platforms also help manufacturers implement applications, derive insights, and deliver those insights to the correct stakeholders. IIoT platforms come in a variety of flavors to meet a range of needs. The most suitable definition, however, is that of an Application Enablement Platform (AEP). More than $32 billion will be spent on these solutions annually by 2025, forecasts ABI. AEPs provide a solution for importing data, but they often require partners to provide gateways. Some AEPs, such as Siemens MindSphere, Emerson Plantweb and PTC ThingWorx, provide a “one-stop shop” that can take data from devices and work like an Operating System (OS) with an app store. “Some one-stop shops focus more on extracting data and getting data to the cloud, while others focus more on delivering the data to other manufacturing and enterprise systems," said Ryan Martin, industrial and manufacturing research director at ABI. "If app development remains open, applications can be built by the AEP provider, from partners (which may also be called platforms), end users, or independent developers, much like smartphone app stores."

As manufacturers integrate IT and OT, they rely on Industrial IoT (IIoT) platforms dedicated to smart manufacturing to manage their devices, connectivity, infrastructure, and data. These IIoT platforms also help manufacturers implement applications, derive insights, and deliver those insights to the correct stakeholders. Consequently, IIoT platforms come in a variety of flavours to meet a range of needs. The most suitable definition, however, is that of an Application Enablement Platform (AEP). More than US$32bn will be spent on these solutions annually by 2025, forecasts global tech market advisory firm, ABI Research in its new whitepaper, The 36 Transformative Technology Stats You Need to Know for 2021.

Consequently, IIoT platforms come in a variety of flavours to meet a range of needs. The most suitable definition, however, is that of an Application Enablement Platform (AEP). More than US$32 billion will be spent on these solutions annually by 2025, according to the ABI Research whitepaper, The 36 Transformative Technology Stats You Need to Know for 2021.

In its new whitepaper, The 36 Transformative Technology Stats You Need to Know for 2021, global tech market advisory firm ABI Research highlights the lesser-known stats that illuminate the direction in which digital transformation is truly heading.

These and other benefits are expected to spur annual spending by global manufacturers on data management, analytics and other advanced capabilities to nearly $20 billion by 2026, up from roughly $5 billion this year, according to a report by information-technology research company ABI Research. “It’s a case of going from reactive analytics, reporting on what happened, to proactively analyzing what might happen and the suggested actions to take,” Mr. Larner said.

“For many manufacturers, there is an appreciation that operational decisions need to be based on empirical evidence rather than guesswork. The challenges are not necessarily capturing and analyzing data, rather what to analyze in the first place,” explains Michael Larner, Principal Analyst at ABI Research. “The findings need to have a meaningful impact on operations and so manufacturers need to take a step back and devise precise objectives.”

China has the labor and manufacturing expertise in this area, meaning that the manufacturing of high value specialized goods such as semiconductors will remain for the time being. “A lift and shift approach won’t work because moving just one part of the value chain to say southeast Asia won’t help much when you still need supply of components from firms in China/Taiwan,” Larner said. “Also, nobody knows how this virus will evolve and where another version might occur. The next hotspot could be where the manufacturer has moved their assembly lines.” Manufacturers of lower value goods such as textiles, basic car parts and lower value consumer white goods will likely not spread across multiple locations to ensure supply, but firms will likely need to invest in technologies such as supply chain software, ERB systems and blockchain to ensure that everyone can see what is happening in the supply chain, Larner said.

While office workers can shift to home and remote locations, “it’s a different situation for manufacturers because, despite investments in automation, reducing the need for staff on assembly lines, they still need to receive raw materials,” ABI Research said in a report on the economic effects of the pandemic. Manufacturing companies, among the biggest truck users, will need to audit their operations to understand risk exposure better. “To mitigate supply chain risks, manufacturers should not only not source components from a single supplier but also, as COVID-19 has highlighted, shouldn’t source from suppliers in a single location,” said Michael Larner, principal analyst at ABI Research.

he virus will have both short- and long-term ramifications for manufacturers. “Initially, plant managers and factory owners will be looking to secure supplies and be getting an appreciation of constraints further up the supply chain plus how much influence they have on their suppliers,” explains Michael Larner, Principal Analyst at ABI Research. In the longer term, manufacturers will need to conduct an extensive due diligence process as they need to understand their risk exposure, including the operations of their supplier’s suppliers too. “To mitigate supply chain risks, manufacturers should not only not source components from a single supplier but also, as COVID-19 has highlighted, shouldn’t source from suppliers in a single location,” Larner advises.

“Initially, plant managers and factory owners will be looking to secure supplies and getting an appreciation of constraints further up the supply chain, plus how much influence they have on their suppliers,” says Michael Larner, principal analyst at ABI Research. In the longer term, manufacturers will need to conduct an extensive due diligence process to better understand their risk exposure, including the operations of their supplier’s suppliers too. “To mitigate supply chain risks, manufacturers should not only not source components from a single supplier, but also, as COVID-19 has highlighted, shouldn’t source from suppliers in a single location,” Larner says.

Within the next five years, an estimated 110,000 companies world-wide are expected to use some form of simulation software, up from 60,000 in 2018, information-technology market-research company ABI Research said in a report. Together, these manufacturers are on pace to spend more than $2.5 billion annually on simulation software by 2025, the report said. Simulation software is used by machinery and appliance factories, auto makers and other manufacturers to determine how planned changes to a production line are likely to affect production, said Michael Larner, a principal analyst ABI.

The spend in the industrial and manufacturing sector on software applications is set to grow from $18 billion in 2019 to more than $27 billion in 2024, finds global tech market advisory firm, ABI Research.

Spending on factory data applications will grow from $18 billion in 2019 to just over $27 billion in 2024, a rise of 50 per cent in the period, according to analyst house ABI Research. The industrial and manufacturing sector is seeking to upgrade software systems as new sensing and analytics technologies emerge. Investment will go variously on new electronic resource planning (ERP), manufacturing execution systems (MES), manufacturing operations management (MOM), product lifecycle management (PLM), inventory management, and customer relationship management (CRM) and demand planning. ERP systems, providing a single solution to monitor the production line, understand fulfillment and automate back-office functions, will account for over 50 per cent of the spend, said ABI. MES software will be the highest growing segment as manufacturers optimize the performance of individual machines. The compound annual growth in spend on MES will grow by 13.5 per cent, to $2.3 billion in 2024. Industrial software applications are increasingly using analytics (artificial intelligence) to go beyond straight condition monitoring, to also run predictive and preventative maintenance algorithms, noted ABI Research. A new report from the company presents the principle vendors in the space, including giants from the IT sector, including Oracle, Salesforce and SAP, and established OT players in industrial manufacturing, such as ABB, GE and Honeywell. Industry focused software firms, including Dassault Systèmes and Siemens, and start-ups like Katana and Archdesk, are also included. Michael Larner, principal analyst at ABI Research, commented: “Data underpins activities such as onboarding raw materials, optimizing the production line, organizing the facility, and even to understand clients and the final customer.” He said: “Supplier propositions are evolving. For example, ERP suppliers continue to add modules such as MES and MOM while inventory management providers are adding demand planning capabilities. Both are blurring segment definitions. “Data now flows from the production line to the boardroom and, thanks to APIs, between the software applications. Manufacturers should partner with system integrators to design and assemble their data jigsaw,” Larner concludes. ABI Research has said there will be greater adoption of ‘continuous intelligence’ (CI) technologies in the industrial IoT space, to elevate data analytics “way beyond” traditional maintenance and control operational levels. This is down to the rise in streaming analytics and streaming technologies. Kateryna Dubrova, IoT analyst at ABI Research, said: “The concept of CI will be consolidating in the IoT analytics market, enabling more advanced analytics in near-real time.