HOW CAN MANUFACTURERS ADAPT TO INDUSTRY CHALLENGES IN 2024?

The article outlines reflections from the past year in manufacturing, and for the rest of 2024. It specifically focuses on strengthening sustainability, developing digital capabilities to meet demand, and planning for more flexible production processes.

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Despite 2023 being a challenging year for manufacturers, global manufacturing output is set to achieve a compound annual growth rate of three per cent between now and 2027, according to technology insight business Interact Analysis. Here, Helen Blomqvist, President of metal cutting tools and manufacturing solutions expert Sandvik Coromant, explores how manufacturers can embrace current industry trends to tackle challenges and remain resilient in 2024 and beyond.

From digitalisation and demand forecasting to economic uncertainty and emissions targets, 2023 presented several challenges for the manufacturing industry. However, these difficulties also provide opportunities for manufacturers to innovate and increase their competitiveness as the industry transforms.

STRENGTHENED SUSTAINABILITY FOCUS

The focus on reducing environmental impact intensified in 2023, with IBM’s Institute for Business Value data showing that 86 per cent of companies now have a sustainability strategy in place. While this figure is promising, data shows that only around a third of businesses have acted on their strategy since its implementation.

2024 will hopefully see the rise of businesses treating sustainability as a priority. This is especially important within the manufacturing industry, which is responsible for one-fifth of global carbon emissions, according to World Economic Forum data. Currently, the sector is not sustainable enough, and we can do a lot more.