Capgemini has released its Smart Factories report, which offers a global snapshot of the adoption of IoT-enabled factories and their impact on the global economy.
According to the report, smart factories will deliver a 27 per cent increase in manufacturing efficiency over the next five years, adding $500 billion to the global economy. This increase in efficiency is seven times the rate of growth when compared to 1990.
The report shows that 76 per cent of manufacturers either have an ongoing smart factory initiative or are working on formulating it, with 56 per cent of manufacturers investing $100 million or more in smart factories.
The biggest uptake is in the US, followed by Germany and France.
However, only 14 per cent of companies are satisfied with their level of smart factory success, and only 6 per cent were classified by Capgemini as ‘digital masters’. Digital masters are defined as being “…at an advanced stage in digitising production processes, and have a strong foundation of vision, governance and employee skills”.
Most smart factories are classed as ‘beginners’, which are those that have “yet to realise compelling benefits” of smart factory implementation.
The industrial manufacturing sector has the highest proportion of digital masters by far, at 14 per cent. However, it also has the highest proportion of ‘conservatives’, whose “low level of process digitsation and lower scale of leveraging digital technologies yield sub-optimal benefits”.