TeamViewer unveiled ‘The AI Opportunity in Manufacturing Report’ at Hannover Messe, emphasising AI’s transformative potential in the sector. As AI adoption accelerates, 71% of manufacturing decision-makers forecast that it will drive the largest productivity boom in a century. Employees are already benefiting from AI’s ability to automate routine tasks, saving an average of 10 hours per month and enabling them to focus on higher-value activities.
AI use in manufacturing has surged, driven by global challenges like labour shortages and supply chain disruptions. With 78% of manufacturing leaders now using AI weekly—up from 46% last year—AI is increasingly integral to daily operations. However, as adoption grows, so do perceptions of maturity and confidence. 72% of respondents consider their organisations’ AI adoption to be mature, yet only 28% of manufacturing leaders identify as AI experts, demonstrating the need for continued education and skill development.
Manufacturers are primarily using AI for customer support automation (28%), data analysis (23%), and supply chain optimisation (19%), while more advanced applications like forecasting and decision-making are gaining traction.
“Young workers, with their digital-native mindset, are leading AI adoption and helping to integrate the technology into manufacturing’s legacy systems,” said Mei Dent, Chief Product and Technology Officer, TeamViewer.
AI is driving notable improvements for both businesses and workers in manufacturing. 77% of decision-makers view AI as crucial for improving efficiency, automating routine tasks to reduce downtime and freeing up employees for more strategic work. 78% report that AI has allowed them to focus on high-level decision-making. Beyond boosting efficiency, AI is improving product quality and reducing defects (33% compared to a 20% average across industries), which is crucial in precision-driven manufacturing.
AI also empowers workers, with 74% reporting that AI enhances their ability to analyse data and make decisions, 72% crediting it for helping them acquire new skills, and 71% viewing it as essential for career growth. Financially, 71% of manufacturers expect AI to boost revenue in the next year, with a projected growth of 188%.
While AI offers transformative potential for manufacturing, several challenges slow its adoption. Security concerns lead the list, with 76% citing AI-related data risks—higher than the cross-industry average. However, other significant barriers include a lack of AI education (42%), high implementation costs (30%), and limited financial support for scaling AI initiatives.
Despite these challenges, manufacturers remain optimistic, with 81% expecting increased AI investment in the next year. Addressing these obstacles through targeted education, strategic financial planning, and clear communication on AI’s long-term value will be necessary for broader adoption.
However, AI investment is essential for manufacturing to realise its potential. Education is a priority, as 96% believe further training is needed to mitigate risks, and 74% confirm plans for additional programmes. Leadership is also crucial, with 68% supporting the appointment of a Chief AI Officer to oversee strategies and ensure responsible adoption.
“AI has already proven its ability to transform businesses, but we’ve only scratched the surface of its potential,” added Dent. “By focusing on collaboration, education, and responsible adoption, manufacturers can harness AI to achieve remarkable results while fostering innovation.”
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