In APAC, more than two-thirds (68%) of manufacturers expect AI to drive growth by 2029, increasing from 46% in 2024, according to a new study from leading digital solution provider, Zebra Technologies.

This surge in AI adoption, combined with 92% global and 87% of APAC survey respondents prioritising digital transformation, underscores manufacturers’ intent to improve data management and leverage new technologies that enhance visibility and quality throughout the manufacturing process.  

While digital transformation is a priority for manufacturers, around 30 to 40% of global and APAC respondents recognise achieving it is fraught with obstacles, including the cost and availability of labour, scaling technology solutions, and the convergence of information technology and operational technology (IT/OT). 

Visibility is the first step to transformation – through adopting AI and other new technologies. This enables manufacturers to leverage data more effectively to identify, react and prioritise problems and projects to deliver incremental efficiencies across the manufacturing process.

Zebra Technologies regional sales manager for Australia and New Zealand, Colin Hughes said, “Manufacturers recognise the need to adopt AI and other digital technology solutions to leverage their data effectively and create an agile, efficient manufacturing environment.

“While only 30% of manufacturing leaders use machine vision across the plant floor in APAC, 67% are implementing or planning to deploy this technology within the next five years. Zebra’s solutions help manufacturers work with technology in new ways to automate and augment workflows, achieving a well-connected plant floor where people and technology collaborate at scale.”

Although manufacturers say digital transformation is a strategic priority, achieving a fully connected factory remains elusive. Visibility is key to optimising efficiency, productivity, and quality on the plant floor, yet a large visibility gap exists. Only 16% of manufacturing leaders globally report they have real-time, work-in-progress (WIP) monitoring across the entire manufacturing process, while this is true for most APAC manufacturing leaders, at 25%.

While nearly six in 10 (57% globally, 63% in APAC) manufacturing leaders expect to increase visibility across production and throughout the supply chain by 2029, around one-third of leaders (33% globally, 38% in APAC) say getting IT and OT to agree on where to invest is a key barrier to digital transformation.

Adding to these obstacles, 86% of global manufacturing leaders agree they are struggling to keep up with the pace of technological innovation and to securely integrate devices, sensors, and technologies throughout their facilities and supply chain, with 82% of APAC manufacturing leaders in agreement.

Zebra’s study found manufacturers are shifting their growth strategies by integrating and augmenting workers with AI and other technologies to transform manufacturing and build a skilled workforce over the next five years. Nearly three-quarters (73%) of global manufacturing leaders plan to reskill labour to enhance data and technology usage skills, as seven in 10 expect to augment workers with mobility-enabling technology. These sentiments were shared by 76% and 75% of APAC manufacturing leaders respectively.