IDC Custom Solutions

Kevin Prouty

How Manufacturers Can Unleash the Power of Digital Transformation

The digital revolution is upon us and is creating potentially game-changing opportunities for manufacturing organizations that can harness and embrace digital transformation (DX).

Transformation is now the imperative in the manufacturing industry.  The industry faces digital disruption generated by the adoption of digital business models. The digital business models are founded on transformative technologies such as the Internet of Things (IoT), big data and analytics, and cloud. A key part of the disruption that manufacturers are undergoing is known as Industry 4.0.  Also called the fourth industrial revolution, Industry 4.0 is characterized by new technologies that blur the lines between physical and digital worlds. Big data and advanced analytics provide an opportunity to bring together diverse data sources for enhanced insight.

To achieve a successful transformation of the business requires having the right model for the organization. There are several options: having a separate DX group that manages projects across the company, embedding DX organically in all groups, divisions, and business units, or operating a separate DX business unit to help monetize data and assets.

There are also several key technologies that drive DX but the most important of these is cloud. Cloud isn’t just about saving costs on infrastructure.  It’s also about putting data where it can be easily accessed by others via a secure, high performing network. Cloud plays a true foundational role in any DX strategy.

Part of the accessibility of cloud must be security.  Failing to prioritize security controls early on creates potential infrastructure vulnerabilities, add to costs, and lower business productivity.

As the business transforms into a data-native enterprise, the move toward business process automation and real-time data decision making accentuates the need for an agile and secure enterprise network.

To learn more about how manufacturers are preparing for DX, read the IDC Analyst Connection, “Laying the Foundation for Transformation in Manufacturing,” sponsored by CenturyLink.