Capgemini: Smart factories could add $2.2trn to global economy

From artificial intelligence (AI) to the Internet of Things (IoT), the technological developments driving Industry 4.0 have dramatic implications for the future of manufacturing. A new report released today by the Capgemini Research Institute found that smart factories have the potential to add anywhere between $1.5trn and $2.2trn to the global economy in the next five years. Of the companies surveyed, the report found that 68% were currently undergoing smart factory initiatives, compared to 43% in 2017. However, the report makes clear that two-thirds of the gains, which would be realised through increased productivity, improvements in quality and market share, along with customer service refinement, remain unrealised. Before we dive any deeper into the obstacles facing smart factory operators, let's establish exactly what makes a factory smart.