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Building the Future of Manufacturing with Smarter, Safer Technologies

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Key Takeaways

  • Just over 94% of mid-market manufacturers agree that their companies are ready to embrace smart manufacturing.
  • Safeguarding sensitive data is critical to enabling innovation and protecting customer trust in modern manufacturing.
  • Cybersecurity investments are essential for ensuring compliance, mitigating risks, and supporting sustainable business growth.

From AI-powered predictive analytics to advanced automation systems, digital transformation is fueling incredible growth across the manufacturing industry.

But without robust cybersecurity, this innovation could expose organizations to breaches, data leaks, and compliance failures. In an interconnected manufacturing environment, innovation and data security are no longer competing priorities — they must work together.

The Impact of AI on Manufacturing Success

Advanced technologies like artificial intelligence (AI) and robotics are revolutionizing the way manufacturers operate. AI-powered systems unlock better decision-making by harnessing real-time data insights, optimizing production processes, and forecasting demand with impressive accuracy.

Research from Bain & Company shows that manufacturers integrating AI and automation into their operations can boost productivity by 30% to 50%. It’s a clear competitive edge, but the benefits don’t stop there.

AI can also improve supply chain visibility, helping manufacturers respond to disruptions faster and keep operations running smoothly. Predictive analytics powered by AI support proactive maintenance, reducing costly downtime and extending equipment life. These capabilities give manufacturers the tools to remain agile and competitive in a constantly shifting global market.

Given these benefits, it’s no surprise that the market for AI in manufacturing is expected to grow at an impressive 32.6% compound annual growth rate (CAGR), reaching $84.5 billion by 2031. The message is clear: Manufacturers are rapidly adopting data-driven decision-making and intelligent automation to tackle challenges head-on.

Turning Cyber Risks into Resilience

While AI and automation create exciting growth opportunities, they also bring new risks. Cyberattacks targeting manufacturers have surged, exploiting weak points in legacy systems and networks that aren’t adequately protected.

According to the World Economic Forum, “heightened connectivity and data transparency has made manufacturing the most targeted sector for cyberattacks for three years in a row.”

This is a wake-up call for manufacturers. Without a robust approach, businesses could face fines, operational disruption, and loss of customer trust — all of which threaten their ability to grow and remain competitive. Protecting sensitive data and complying with regulations means adopting a comprehensive cybersecurity framework. This should include:

  • Continuous monitoring to maintain consistent governance and protocols
  • Employee training programs to boost awareness and strengthen defenses against emerging cyber threats
  • Cyber-resilient technologies with built-in encryption and advanced access controls

Fueling Growth with Smarter Tech Strategies

Manufacturers are rising to the challenge of adopting more advanced technology while keeping their operations secure. According to Eide Bailly’s 2025 Mid-Market Manufacturing Outlook, 94% of mid-market manufacturers believe their companies are ready to embrace smart manufacturing.

The report also reveals:

  • 98% of respondents believe their technology systems are up to date
  • 71% say their organizations are somewhat AI-ready
  • 25% plan to allocate resources specifically to enhancing cybersecurity solutions

For manufacturers implementing new technologies, success depends on having the right resources in place. That means investing in employee training, strong cybersecurity measures, and effective change management strategies to ensure these technologies are integrated safely and seamlessly.

Explore Eide Bailly’s 2025 Mid-Market Manufacturing Outlook survey report to learn more about how smarter technologies are reshaping manufacturing.

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2025 Mid-Market Manufacturing Outlook Report

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