The global manufacturing industry continues to be buffeted by the shockwaves from the pandemic and other disruptive global events. Supply chains for components such as semiconductors have still not recovered and the war in Ukraine is impacting a range of other value chains, particularly energy prices, which is having a knock-on effect on manufacturers.
These additional pressures are creating a need for manufacturers to “go beyond the traditional means of driving productivity to uncover the next wave of value for businesses, the workforce and the environment.” That’s a key finding from a December 2022 report by the Türkiye Centre for the Fourth Industrial Revolution in partnership with the World Economic Forum’s Network for Global Technology Governance.
The report, Unlocking Value from Artificial Intelligence in Manufacturing, finds that: “In principle, AI could unlock more than $13 trillion in the global economy and boost GDP by 2% per year. However, companies struggle to tap into the value that AI applications can create.”
And that’s not because manufacturers can’t see the value-creation potential of AI. In a global survey of 3,000 companies, 70% understood how AI can generate business value, 59% have an AI strategy in place and 57% of respondents said their organization was already piloting AI. Despite these findings, only 1 in 10 said AI was generating significant financial benefits.
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William Crane, CEO of IndustryStar, an Ann Arbor, Michigan-based on-demand supply chain services and software technology company that partners with mobility leaders to reduce the cost, time and risk of bringing new vehicles, modules and components to market. William is a trusted advisor in supply chain with demonstrated results starting, launching and enhancing procurement, logistics, supplier quality and manufacturing organizations. His work has appeared frequently in the Institute for Supply Management, Sourcing Industry Group, Disruptor.com and Modern Material Handling. William’s passion for bringing technologies to market that have a positive impact on the world can be found via his blog Supply Chain for Tomorrow’s Technology. William is also Host of the Supply Chain Innovation podcast where he interviews top change-makers to uncover strategies, tips, and tools for improving new product launches.
