According to the latest Gartner estimates, by 2023, 40% of organizations will combine virtual experiences with physical experiences to increase staff productivity and customer reach.
In addition, by 2024 industrial companies will reduce operating costs by 30%, by combining self-management technologies with redesigned operational processes and by 2025, more than 50% of companies will use a cloud option distributed in the location of their choice, which that will allow innovative and transformative business models.
The fifth revolution or Industry 5.0, in addition to enhancing competitiveness through digitization and technology, as Industry 4.0 has allowed, emphasizes promoting sustainability and foregrounds the need for both social and individual well-being.
These data show a reality and that is that evolution is increasingly present in the industry.
For this reason, we want to dedicate this article to publicizing the 8 most important trends in digital transformation for the imminent future of the industry:
1. Investment in industrial digital transformation will continue to grow
Global investment in digital transformation will grow significantly. Financial services (which include banking, insurance, security and investment) will be the sector that invests the most in digital transformation. Even so, huge investments will be made in robotic manufacturing for industry and all kinds of sectors such as energy or manufacturing.
2. Significant opportunities in the Internet of Things (IoT)
The number of IoT-connected devices will rise to 43 billion by 2023, according to McKinsey (an almost triple increase from 2018). This boom in growth, fueled in large part by the lower costs of sensor technology, represents a massive opportunity for the industry, boosting production flows through increased visibility into operations in the shop and in the field, as well as the manufacturing supply chain and remote and outsourced operations.
The Internet of Things has new capabilities. Networks and systems are being built, exchanging data, becoming smarter and more autonomous, helping us solve the challenges of modern society, paving the way for smart cities, smart homes, smart logistics, and smart energy supply.
3. It will not only be about technology, but also about people
The most important factor in digital transformation will not be technology, it will be people. And therein lies the problem: there aren’t enough people with the skills (and mindset) to take advantage of digital capabilities.
According to Gartner, 64% of managers believe their employees will be unable to keep up with future skill needs. Skills shortages will prove to be one of the main barriers to digital transformation within large organizations. To overcome this, many companies already encourage the use of training systems so that the entire organization is prepared to take on any digital challenge.
4. AI and machine learning will revolutionize manufacturing
The statistics paint a clear picture of how important AI will become in the industry. According to a recent Accenture report, AI-powered technologies will increase productivity in manufacturing by 40% by 2035. However, there is a significant gap between ambition and execution: 92% of senior manufacturing executives believe that “smart factory” digital technologies will allow them to increase productivity levels and empower staff to work smarter, but only 12% of manufacturers are making significant use of AI today. Therefore, those who already embrace the change to digital transformation will have a competitive advantage in their market.
5. XaaS (everything as a service) will dominate internal solutions
Businesses will increasingly turn to third-party cloud applications and services to do the work for them, rather than upskilling existing employees or recruiting from a dwindling labor pool. The XaaS approach promises financial efficiency, improved productivity, stronger cybersecurity, increased agility, and flexibility without the burden of building and managing on-prem solutions.
6. The acceleration of 5G
We’ve been talking about 5G (the fifth-generation wireless network) for years, but the full capability of this new cellular standard is still a couple of years away. However, once 5G is fully deployed, the impact on the industry of digital transformation will be immense, driving rapid advances in smart cities, smart vehicles, smart manufacturing and IoT-intensive technologies hungry for 5G and its capabilities. Unprecedented data transfer.
7. Artificial intelligence (AI) will fill the IT skills gap
40% of employers believe AI will help fill the next skills gap, according to a recent survey of 600 HR leaders.
Currently, AI assumes responsibilities typical of technology-savvy humans. Such advances will allow companies to employ fewer developers, who can focus on future and strategic challenges rather than plunge into endless coding.
8. Cybersecurity and data privacy
Privacy becomes vital for all companies hoping to capitalize on digital transformation. IoT and 5G devices will only serve to fuel data vulnerability.
Large and small companies must try not to fall into regulatory non-compliance in this regard. For this reason, cybersecurity is set to become a key competitive advantage for those who plan to invest in digitization and are able to communicate their security and privacy policies to customers.
Start your digital transformation with Nexus Integra
Nexus Integra is the integrated operations platform that will allow you to optimize all your industrial processes through IoT and Big Data technologies, reducing costs and efforts.
Control, monitor and manage your assets, obtaining a 360 vision of your business.
Our specialized team will study your needs and provide you with a tailor-made solution to increase your performance.