As technologies like the Internet of Things (IoT), predictive analysis, and predictive maintenance continue to become more widespread in the manufacturing industry, the global market is forecasted to grow to $117.7 billion by 2025, up considerably from $86.7 billion in 2020. Even though digital technologies are bringing more operational efficiency to the manufacturing industry, there are still issues businesses need to consider.
Cybersecurity, in particular, has become crucial in manufacturing risk management due to the increasing number of high-profile cyber attacks over the last two years in the industry. In 2021, manufacturing became the most attacked industry (23%) by cybercriminals, beating the financial services and insurance industries.
Key Issues And How To Eliminate Them
Fortunately, there are many ways manufacturing businesses can eliminate some issues arising in the industry. For example, because cybercriminals can shut down entire operations and supplier networks, manufacturers want to look at their current cyber defenses’ resiliency against potential cyberattacks. One way that manufacturing businesses can improve their cyber defenses is by using a holistic cyber management program. This management program helps identify and protect against cyberattacks such as ransomware.
Likewise, since there is increasing competition in the manufacturing industry, particularly in the United States, manufacturing businesses want to ensure they are doing everything to get their products to reach consumers. They can do this by using business intermediaries, which act as a liaison between manufacturers and customers. Intermediaries can use their business contacts to aid with market coverage, helping promote a company’s products through various marketing channels.
Intermediaries are popular in the business and financial landscape since they help people find what they need and compare prices. For example, mortgage brokers are a type of intermediary that helps home buyers find the correct rate for their situation and inform them how to buy a house and how much they can borrow. Since buying a home is a significant financial decision and many parties are involved, buyers want a simplified, stress-free experience, which is what mortgage brokers like Trussle provide. In the same way, business liaisons provide this to manufacturing companies by ensuring their products reach consumers in as many ways as possible.
The manufacturing industry also has to factor in supply chain instability. When disruptions happen, businesses want to have multi-tiered responses in place, and one way of doing this is by using data analytics such as predictive analysis and predictive maintenance.
The predictive analysis involves identifying the likelihood of future outcomes through data and statistical algorithms. With predictive analysis, outcomes are based on historical data. Predictive maintenance also looks at future events but uses different techniques to estimate when businesses need to perform maintenance on in-service equipment.
The global manufacturing industry is growing, but because of this, there has been an increase in competition, cybersecurity attacks, and supply chain disruptions. In order to compete in such an active market, manufacturing businesses need to put a few precautions in place, such as updating their cyber defenses, working with business intermediaries to reach more consumers, and using more data analysis to predict future outcomes.
