Input Stories

As we continue our tour of the top trends shaping manufacturing this year, today we’re taking a look at digital transformation, and how manufacturers are creating strategies for a fast-changing landscape.

A leadership imperative: Understanding the digital landscape and its tools has to start at the top. That means managers and executives will need to level-up their digital leadership skills. By educating themselves about the opportunities and pitfalls ahead, leaders can design a strategy that works for them and their business.

A focus on cybersecurity: As technologies evolve, so do the threats targeting them— and as digital infrastructure becomes more valuable, protecting it will become more important and more difficult. Manufacturers will need to understand how to safeguard their operations and ensure their business can defend against—and recover from—a digital attack. 

What you can do: Manufacturers can take steps to strengthen their digital operations and protect against attacks. Among other actions, manufacturers should do the following:

• Break down the silos between information technology and operational technology and recognize that cybersecurity strategies need to encompass OT.
• Conduct a comprehensive OT risk assessment to get a clear picture of the weak points and challenges facing their operations.
• Analyze the potential business impact and mitigation strategies of a cybersecurity attack. These events can be highly damaging, and manufacturers should be prepared with a gameplan if they occur.
• Prepare for OT cybersecurity regulations. As these priorities become more essential, we may see additional regulations around their implementation. Manufacturers should assess the likely landscape and make sure they are prepared to take action.

Expert opinion: “According to the Federal Emergency Management Agency, 40% of companies fail to reopen after a disaster, with another 25% closing within one year,” warned Jeremy Price, managing director, CBIZ Risk Advisory Services and Mark Phander, senior risk advisor, CBIZ Insurance Services, Inc.

• “These events disrupt operations and inflict severe financial and reputational harm, highlighting the importance of being prepared. Operational efficiency is paramount in manufacturing and distribution, as large-scale disasters can threaten production and profitability,” they added.
• “Business interruption insurance can offer financial protection when manufacturing processes are halted by a covered loss.”

Resources for you: Want to dive deeper? Check out some NAM resources.

• Explore NAM Cyber Cover, a product designed to protect manufacturing businesses and reputations with risk mitigation, including automated alerts about vulnerabilities and cyber insurance designed specifically for manufacturers.
• Learn how to create a cybersecurity vision with clear and strategic goals to mitigate the new challenges posed by IT and OT integrations. 
• Gain insights from industry experts on the transformative role of AI in workplace productivity, data management and innovation.​​​​​​