What are the most essential manufacturing trends of 2024? I hate to burst your bubble, but this industry doesn’t just focus on AI, IoT, data mining or advanced manufacturing software.

We’re talking about the big-picture patterns that are shaping the future of manufacturing as we speak. This guide will tell you how to retain labor, keep a carbon-neutral work environment, maintain a positive reputation and more.

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Table of Contents

• Key Takeaways
• Top Trends
  • Attracting and Retaining Workforce Talent
  • Digital Twin Usage
  • Smart Factories
  • Carbon Neutrality and Company Responsibilities
  • Supply Chain Stability
• Technologies to Consider
• Manufacturing Process Types
• Next Steps

Key Takeaways

• Some ideal technologies for manufacturing include IoT, IIoT, AI and data mining.
• When adopting smart factories, there should be a harmonious balance between machines and humans.
• Top manufacturing process types include repetitive, discrete, process, continuous, job shop, 3D printing and more.
• Ideal ways to attract and retain manufacturing employees are giving them satisfactory work environments, liveable pay and benefits, training opportunities. and more.
• Because of the digital twin market’s resourcefulness across the manufacturing and PLM sectors, this market could hit $155.84 billion in value by 2030.

Top Manufacturing Trends for 2024

1. Attracting and Retaining Workforce Talent

“Good help is hard to find these days” is likely what most companies think when it comes to finding and keeping employees, making employee retention one of many vital manufacturing industry trends.

The U.S. Bureau of Labor Statistics released a report stating manufacturing employment decreased by 32,000 in October 2023 before rising by 30,000 in November 2023, mainly in the motor vehicle sector due to strikes, layoffs and reconciliation.

Chad Meeks, president of VizmaPro, spoke to SelectHub about the manufacturing industry’s lackluster appeal.

Being a manufacturing production worker has been viewed as something other than a glamorous job. My generation was indoctrinated to believe that the only path to success in life was a college degree. Somehow, over the last 50-60 years, manufacturing went from something that could support a family to a last-resort occupation.”

Sam Gupta, principal consultant of ElevatIQ, described the central issue of differing expectations and realities among facilities and workers.

Manufacturers are reluctant to increase wages, and high living costs deter talent from stressful, underpaid work. Many seek better opportunities due to the changing economy, with roles like Uber driving offering more lucrative options than manufacturing. The job demands are high, making it difficult to justify personnel cost.”

C.L. Mike Schmidt, a lawyer at Schmidt & Clark LLP who closely watches the manufacturing sector, gave some resolutions companies could implement to attract and retain employees.

One of the most important is to offer competitive compensation and benefits packages. This can include things like health insurance, retirement plans and paid time off. Additionally, manufacturers can invest in training and development programs that help employees build new skills and advance their careers. Finally, manufacturers can create a positive work environment that fosters collaboration, innovation and a sense of purpose.”

Lisa Anderson, founder and president of LMA Consulting Group Inc., warned that competitors always try to steal the best employees.

Pay alone will not suffice. In our experience, the most important priority to retaining top talent is company culture and leadership. People do not follow companies. They follow leaders. Clients with leaders who appreciate talent, offer training and advancement opportunities, and are willing to address poor performers and tough topics are respected and successful. On the other hand, clients with volatile leaders are losing talent at a quick pace.”

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2. Digital Twin Usage

Digital twins allow you to visualize and simulate your merchandise in a digital atmosphere. This technology is one of many other significant trends in manufacturing and PLM.

Wendy Wang, international trade specialist and owner of outdoor furniture cover store F&J Outdoors, described the other benefits of investing in digital twins and embracing digitization.

Beyond saving costs, digital twins help manufacturers prevent unplanned downtime and extend machinery life since they can predict when maintenance is needed.

“Digital tools can increase productivity, optimize resource usage and enhance the overall efficiency of manufacturing operations. Manufacturers also need to understand that in today’s world, sustainability isn’t optional; it’s a business imperative.”

Anderson described how digital twins can offer what-if analyses to maximize operations and boost client results.

For example, a collaborative review of shop floor plans can generate ideas for improvement before performing the physical layout. Additionally, digital twins enable collaborative review of a product or process design, which can result in improved product performance and superior customer results with less effort, reduced waste and improved operational performance. Digital twins also analyze demand and supply plan scenarios to optimize inventory and performance.”

The digital twin’s resourcefulness is likely why Research and Markets predicts the global digital twin market could reach $155.84 billion in 2030.

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3. Smart Factories

Smart factories, which are more significant trends in manufacturing, are digital facilities that use IoT, connected devices, machines, production systems, and more to gather and share data.

Gupta gave additional insight into the concept of smart factories.

Smart factories are not necessarily meant to replace human workers. Smart means rather than having mechanical machines, you are going to have computerized machines, which can be controlled, regulated and operated through command centers.

“The role of human[s] is still important with smart factories in debugging, optimizing throughput [and] monitoring. The machines can’t be fully autonomous. They will always require human inputs to some degree even if it is only for debugging.”

Schmidt described how manufacturers can balance advanced technology and human workers for improved outputs.

Smart factories can bring a number of benefits, including increased efficiency, reduced costs and improved quality. However, they also require significant investments in technology and infrastructure, and may not be suitable for all types of manufacturing. Ultimately, the best approach will depend on a variety of factors, including the nature of the products being manufactured, the size of the facility and the availability of skilled workers.”

Meeks explained how technology can meet numerous criteria to boost productivity and that companies still need a human presence.

Regarding productivity, there are many variables at play for a manufacturer. Ultimately, it comes down to the production team member having the right components at the right time, the necessary training and the right equipment. Smart factories can help if implemented well in all three of these categories.

“[However,] businesses are people. Without people, there are no businesses. The beauty of automation is that it allows humans to focus on what they are great at versus doing mundane tasks. There will always be a balance between machines and humans. The day that machines do it all for us will be the day we lose what makes us human.”

Advanced technology and diminished human error are some reasons why MarketsandMarkets predict the global smart manufacturing market could reach $241 billion in 2028.

4. Carbon Neutrality and Company Responsibilities

Reaching carbon neutrality and upholding a good company reputation are other significant manufacturing industry trends to adopt.

Carbon neutrality is a status that means you allocate small amounts of carbon dioxide and reduce your carbon footprint. Driving electric cars or installing solar panels on your house are examples of reaching carbon neutrality.

Meeks explained that companies lack heart if they don’t show some commitment to the environment or their customers’ concerns.

The great businesses that will be here in 10, 15 and 50 years are those that are not short-sighted. They proactively look to source materials from sustainable sources, and they recognize and try to minimize their impact on the environment. It is in the best interest of all corporations to be proactive in becoming carbon neutral.

“Major hurdles currently prevent manufacturing organizations from becoming 100% carbon neutral. However, any business can be proactive in minimizing its environmental impact.”

Maintaining a good image for your company by partnering with universities or community colleges, donating to charities, giving back to those in need, and more ensures you maintain a good image and reputation.

Gupta explained that caring about the environment attracts customers and employees.

Sometimes consumers are only willing to buy from companies that are friendly for the environment and with good reputations so the active social role becomes critical. Also, if hiring is an issue for you and if your employees care to work for a company that is environmentally friendly, then you can do good while getting the attention of your employees and customers.”

5. Supply Chain Stability

Lastly, although the COVID-19 pandemic is a distant memory, its aftershock still ripples through people, businesses and the global supply chain.

Anderson suggested utilizing backup sources.

The important priority is to use the backup source of supply on an ongoing basis so that you both are ready to jump into action as obstacles occur. Use 20% of your purchases as a good metric for success. In addition, build flexibility and resiliency into your supply chain so that you are prepared for the unexpected.

“Roll out technology advances so that visibility of the end-to-end supply chain is improved so that your team can jump into action with early warning indicators of bottlenecks. Lastly, reshore, nearshore and expand manufacturing closer to your customers and secure reliable sources of supply.”

Meeks offered a few suggestions for preventing stockouts, although these methods aren’t surefire.

Choose suppliers who effectively communicate with you. Be proactive in communicating with your suppliers and provide them with expectations and projections. Set inventory minimums based on consumption, lead times and safety stock. Regularly review your supply chain and perform a risk assessment. When possible, have multiple suppliers for all critical components.”

Gupta mentioned that the supply chain needs careful thinking and planning and that there’s the risk of no one having control over it.

By the nature of supply chain, you can only plan when things are a little bit predictable and stable. If there are going to be macroeconomic and geopolitical factors driving supply chain, you need to take [a] slightly more tactical approach and plan every day. There is no other way.”

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Technologies to Consider

You didn’t think we’d leave out advanced technology altogether, did you? We’ve compiled a compact list of the top technological trends manufacturers use and will continue operating in 2024.

• Internet of Things (IoT): IoT, a significant Industry 4.0 player, contains sensors and devices connected to the internet to display real-time updates and data on specific machinery and devices, which is handy for manufacturing. Some key benefits include energy management, predictive maintenance and bottleneck detection.
• Industrial Internet of Things (IIoT): A subset of IoT, IIoT leverages internet sensors through multiple industrial businesses and solutions.
• Predictive Maintenance: Another hot one among the manufacturing industry trends is predictive maintenance. It implements IoT and other technology types — such as oil analysis, vibration analysis, acoustic monitoring, infrared thermography and more – to ensure normal operations.
• Artificial Intelligence (AI): AI can automate processes, locate hazards and more. If AI exists in everyday products like Alexa, Siri, Uber and other industries like accounting, why wouldn’t it help manufacturers?
• Machine Learning: Another branch of AI, machine learning, consists of formulas that study and learn from information over time. Netflix and Hulu are some examples of machine learning. As you select and watch various shows and movies, it will recommend similar movies or shows within a particular genre.
• Augmented Reality (AR): AR implements an enhanced version of the real world via visual components, sounds or stimulants for the senses. You can perform life-like training or detect factory floor hazards. Nintendo’s Pokèmon GO app and Microsoft HoloLens are just a few examples of AR.
• Virtual Reality (VR): The virtual reality society (VRS) defines VR as a 3D computer-generated atmosphere in which a person can interact with, investigate and maneuver objects or carry out numerous actions. It’s interesting to know that a tool intended for video gaming could grow into a tool to serve one of the world’s major work industries.
• Data Mining and Big Data: Data mining and big data help you stay on top of KPIs and data associated with productivity, client satisfaction, supply chains, machinery and other factors.

Manufacturing Process Types

There are several processes manufacturers consider when they craft products. Some companies may implement more than one. These strategies include:

• Repetitive: As the name implies, this practice creates the same product repeatedly 24/7 to meet production rates and is altered as necessary to align with customers’ needs.
• Job Shop: Job shops focus on a specific area and build particular products in small amounts. They implement turning, milling, drilling, roughing and other machining techniques to craft products with different details and shapes.
• Discrete: Manufacturers leverage discrete manufacturing techniques for big jobs. They create separate parts in different local or global plants and combine them to make the final product in one location. Computers, cameras and cars are a few examples of discrete manufacturing products. You can take apart products and sell or replace parts easily.
• Process: Process manufacturing, unlike discrete, creates products in one location. They transform raw materials via heating, cooling, chemicals or other forms of conversions to create goods like food, beverages, lotions, and more. You can’t take apart these products, typically following recipes or formulas.
• Continuous: A subset of process manufacturing, this practice resembles repetitive but deals with raw ingredients like gasses, liquids, slurries and more.
• 3D Printing: Produce parts and models much more swiftly than waiting to receive them from other facilities. You also reduce waste.

Other Methodologies

There are other techniques manufacturers leverage to fit their production needs. These supplemental processes include

• Machining
• Casting
• Forming
• Joining
• Make-to-Order
• Engineer-to-Order

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Next Steps

Choose the manufacturing trends that best align with your business needs. It’s also critical to pick the appropriate manufacturing ERP system.
To get the best system, check out our free comparison guide for the latest systems and an unbiased, apples-to-apples stack up of each system’s features, benefits and limitations.

How have these or other manufacturing trends made an impact on your practices? Which trends do you think will take center stage in 2024? Let us know in the comments!

SME Contributors

Lisa Anderson is the founder and president of LMA Consulting Group Inc. This consulting firm specializes in manufacturing strategy and end-to-end supply chain transformation that maximizes the customer experience and enables profitable, scalable, dramatic business growth. She has been named in the Top 46 most influential in Supply Chain by SAP, a Top 15 Supply Chain and Logistics Expert by RateLinx, and a Top 40 B2B Tech Influencer by Arketi Group. She recently published SIOP (Sales Inventory Operations Planning): Creating Predictable Revenue and EIBTDA Growth on successfully navigating the supply chain chaos with superior customer service and profitable growth.

Sam Gupta has been an ERP thought leader in digital transformation for nearly two decades, primarily focusing on financial systems and ERP. Sam is rated as the #1 thought leader in the ERP category and #15 in the digital transformation category on Thinkers 360. He is also among the top 100 thought leaders across all categories. He has been part of large transformation initiatives for Fortune 500 corporations but now consults with SMEs as a Principal Consultant at ElevatIQ. Sam regularly speaks at industry conferences and contributes his experiences through many popular blogs and publications. He also hosts a podcast called WBSRocks, which focuses on business growth through digital transformation and ERP, where he interviews top influencers and executives focused on digital transformation.

Wendy Wang is an international trade specialist and owner of F&J Outdoors, a store specializing in outdoor furniture covers based in Pennsylvania.

Chad Meeks founded a SAAS start-up called VizmaPro to make all aspects of manufacturing visual to help small companies become more efficient. Meeks spent 20+ years working for small manufacturing companies. He spent his early twenties working in production for a small manufacturer while putting himself through college. He has great respect for those who work in manufacturing. In 2013, Meeks joined the Powerblanket team and helped them transition to a lean manufacturing organization. It was this experience that inspired the creation of VizmaPro. Aside from running VizmaPro, Meeks is a new product development manager, lean consultant, and, most importantly, a father.

C.L. Mike Schmidt has been recognized for the last 25 years as one of Dallas’ top defense attorneys. Schmidt holds three Board Certifications: Civil Trial Law Specialist, Personal Injury Trial Law Specialist by the Texas Board of Legal Specialization and Civil Trial Specialist by the National Board of Trial Advocacy.