NEW DELHI/MUMBAI: The National Association of Software and Services Companies (NASSCOM), in collaboration with Capgemini, announced the findings of a research study on the adoption of Industry 4.0 in India’s manufacturing sector.
The report, India Industry 4.0 Adoption: A Case to Mature Manufacturing Digitalization by 2025, sheds light on the maturity of digitalized manufacturing in India, and recommends a focus on increasing investments, scaling up foundational technology readiness, and enhancing capabilities.
These recommendations, cites the report, will help facilitate globally connected smart factories that will enable India’s manufacturing sector to become an intelligent industry and achieve the national growth target of $1.1tn by FY26.
Global Industry 4.0 evolution drivers
From comprising 5% of manufacturing IT spend in 2011, to 20% by 2021, Industry 4.0 has witnessed over a decade of transition since 2011. It has also grown by 9.6 times during the same period, from $10.5 billion in 2011 to $103 billion in 2021, driven by business growth, resilience and sustainability needs.
According to the report, investments in Industry 4.0 have grown by approximately 10X in the last decade and are expected to grow to $200 billion by 2025. Countries such as US, UK, China, India and Brazil are expected to supplement this with new investments, amounting to a total of $100 billion. This investment will predominantly be in digital technologies like IoT, AI/ML, IT-OT integration, robotics, and human-machine interfaces. These will account for almost 40% of all manufacturing technology spend. Servitization, integrated customer and employee experience, and an urgent need for flexible operations and business agility are set to be the biggest drivers of Industry 4.0 in the next decade.
Read more at: https://economictimes.indiatimes.com/small-biz/sme-sector/industry-4-0-adoption-can-help-manufacturing-sector-contribute-25-to-gdp-by-fy26/articleshow/89917853.cms
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