Digital transformation confusion risks paralysing SME manufacturers, warns Made Smarter

Posted on 21 Aug 2024 by The Manufacturer

Confusion around digital transformation is risking paralysis among SME manufacturers, says Made Smarter.

Donna Edwards, director of the North West adoption programme, says businesses are hesitant to commit to change because they lack the confidence with technology and digital skills among leaders and employees.

But, delaying digital transformation risks being left further behind, or wasting time, effort and money, Edwards cautioned.

The stark warning features in the foreword of Made Smarter’s new white paper – Digital Transformation: A Made Smarter Roadmap for SME Manufacturers.

The free-to-download guide aims to help makers looking for a place to start, explaining the concepts and steps to a successful digital transformation.

Crucially, it explains the Made Smarter process, the services available, and showcases some of the hundreds of businesses who have benefited in the North West, the North East, Yorkshire and Humber, and the Midlands.

The white paper also spotlights some of the partner organisations who are also working with Made Smarter to help manufacturers digitalise and decarbonise including Make UK, Innovate UK, the Centre for People-Led Digitalisation (PLD), InterAct and the Smart Manufacturing Data Hub (SMDH).

Donna Edwards said: “Ask a hundred SME manufacturing leaders what digital transformation means to them, and you’ll likely get a hundred different answers. But the common view is that it is daunting and confusing. SMEs, while aware of the benefits technology brings, lack the resources and skills to approach digital transformation in the right way. Many hesitate or become paralysed, risking being left behind, or wasting time, effort and money.

“The Made Smarter Adoption Programme is a tried and tested approach that offers businesses access to fully funded support so they can improve their understanding of what steps they need to take, to arm them with the tools and strategy to take those steps, and accelerate them towards the multitude of benefits and growth opportunities.”

Since launching in the North West five years ago, thousands of manufacturers have engaged with Made Smarter’s specialised support, from expert, impartial technology advice and digital transformation workshops, to digital leadership programmes, internships and other training opportunities, and match funded technology projects.

The impacts of the programme are starting to emerge. North West GVA is forecast to grow £242m in the coming years and 1,300 new jobs have been created, while 2,500 existing roles have been upskilled.

One success story featured in the white paper is AV Metals, a sheet metal manufacturer based in Radcliffe.

Co-managing director Scott Brooks learnt new digital leadership skills with the support of Made Smarter.

“We are undergoing sweeping changes to a data-led organisation and a new digital culture,” he said. “The biggest takeaway from our partnership with Made Smarter is the benefit of embracing the possible. Once you take that first step, admit your flaws and grasp the opportunities to fix things, you won’t look back.”

Adoption programmes in the North East, Yorkshire and the Humber, and Midlands are now also starting to have an impact on regional productivity, job creation and growth.

Following a Government commitment to a national rollout, by 2027 – the 10th anniversary of the seminal Made Smarter Review – every SME manufacturer in the UK will have regional access to an adoption programme to accelerate their digital transformation.

Edwards added: “As we approach the first decade of Made Smarter, the pace of change has quickened. The conversation has already shifted from Industry 4.0 and the smart factory to an emerging phase of industrialisation where humans work alongside advanced technology and AI-powered robots to enhance workplace processes.

“It means we at Made Smarter need to redouble our efforts to reach more SME manufacturers and showcase the opportunities afforded by technology.”

Download the white paper here: Digital Transformation: A Made Smarter Roadmap for SME Manufacturers

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