Input Stories

This month and next, we’re looking at the top trends shaping manufacturing in 2025—and giving you the NAM resources you’ll need to stay on top of each one. 
 
Today we examine the effect of smart factories on manufacturers.  
 
What’s going on: This year, manufacturers will continue to improve their use of digital technologies and large quantities of data to develop facilities that better serve customers and respond to changes in the market.  
 
How to prepare: For both short- and long-term success incorporating smart factories into their businesses, manufacturers should: 

• Develop a roadmap to guide transformation and determine the employee skills needed to keep them competitive; 
• Ensure that company leadership stays up-to-date on current data and technology best practices; and
• Build agile organizational structures. 

The effect: Manufacturers are making moves on the smart factory front. According to the 2024 Smart Factories and Digital Production Survey of the Manufacturing Leadership Council, the NAM’s digital transformation arm: 

• Some 40% of manufacturers hope to see cost reductions and increased customer satisfaction by embracing a smart factory; and
• Approximately 50% plan to use new technology, such as AI and machine learning, in their production facilities by 2026. 

Resources for you: Need more information? The NAM has you covered.  

• NAM Incentives Locator, powered by Atlas Insight, can connect you with an expert who can help you identify, apply for and comply with federal, state and local incentives that will reduce the costs associated with smart factories.  
• Learn how manufacturing leaders responded to 13 key questions about AI’s potential, the challenges and opportunities of Manufacturing 4.0 and more.
• Understand the critical trends now unfolding in manufacturing with our Future of Manufacturing Project.