5 Predictions That Will Impact Consumer Goods CIOs Over Next 5 Years

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The IDC FutureScape highlights key predictions that will impact CIOs and IT professionals in the manufacturing industry over the next one to five years and offers guidance for managing the implications these predictions harbor for their IT investment priorities and implementation strategies. 

"Although the specter of disruption has been front and center in 2020, we do not believe that invalidates the manufacturing transformation journey that so many companies are pursuing — in fact, we think it justifies and accelerates it,” notes Reid Paquin, research director for IDC Manufacturing Insights' IT Priorities and Strategies Practice. "Manufacturing companies have a renewed focus on transforming from efficiency-oriented operations to resilient organizations driven by a tighter connection to their markets and customers. The key component to this shift will be maximizing the value of ever-increasing data, which is reflected in many of the predictions we have made."

Here, we highlight five of the 2021 predictions including:

  1. By 2026, 70% of G2000 [Global 2000: The World’s Largest Public Companies according to Forbes] companies will use AI to develop guidance and insights for risk-based operational decision making, compared with less than 5% of the G2000 today.
  2. By 2022, to support autonomous operations, organizations will increase their investments in data governance, digital engineering organizations, and digital operations technologies by 40%.
  3. By 2024, 50% of G2000 organizations will develop industry ecosystem digital operation centers to monitor capacity, expertise, market, and environmental conditions, for 50% faster time to market.
  4. By the end of 2021, 90% of all manufacturing supply chains will have invested in the technology and business processes necessary for true resiliency, resulting in productivity improvements of 5%.
  5. By 2023, manufacturers will reduce onsite personnel by 30%, utilizing machine vision and AR/VR to scale offsite expertise to onsite, delivering engineering and maintenance support from anywhere.
One noticeable change this year versus years in the past … the rapid pace of change has really led the industry to start defining their future success by how well they can react to market disruptions.

Other predictions listed to round out the 10 involve consolidating enterprise applications, distributed supply chain networks and leveraging new direct-to-consumer channels, among others. In recent webinar that covered the findings more in-depth, Paquin added that, “One noticeable change this year versus years in the past … the rapid pace of change has really led the industry to start defining their future success by how well they can react to market disruptions.”

What’s more? Paquin explained that as a result of this, resiliency and strategies related to it, are another big area of focus for many manufacturing companies, also stemming from the COVID-19 impacts of 2020.

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