The majority of manufacturing companies have moved quickly to the new way of working. However, challenges related to remote working and managing global compliance risks are slowing down the speed of innovation.
ServiceNow is a specialist in digital workflow. The company researched the impact of the pandemic on work now and in the future. To do so, it interviewed 9,000 C-level executives and employees worldwide (in The Work Survey), including 1,074 from the manufacturing industry. Later in this article, only the results of executives and employees in the manufacturing industry are discussed.
Stimulating innovation climate
The research shows that the pandemic boosted the innovation climate in the manufacturing industry. In addition, there is still much work to be done to achieve a sustainable digital transformation in the sector.
Challenges
As many as 61 percent of manufacturing industry executives believe that regulations and their differences between regions led to challenges during the pandemic. Another 54 per cent say that managing employees and departments that cannot work remotely is an additional barrier to innovation.
A climate for change
A majority (85%) of respondents said the pandemic made them rethink the way work is done. Almost nine in 10 workers (87%) believe that their organisation has developed new and better ways of working as a result of the pandemic.
Long-term innovation
Manufacturing companies are innovating rapidly. However, there is still work to be done to secure long-term innovation across the entire sector. Despite the progress made, 61 per cent of executives say their company still does not have a fully integrated system for managing digital workflows.
Offline workflows
Many companies have an even greater digital backlog: 94% say they still have offline workflows, including performance reviews, business contracts and approving other documents.
Growing awareness
Yet people are aware that things need to change. More than half (59%) of executives say that all cost savings made during the pandemic should be invested in digital transformation once the crisis is over.
The future of work
Executives are concerned about a number of issues related to remaining at work remotely. More than half (53%) say they are worried about the effect this will have on service delivery and product delays. Another 52% are concerned that working offsite will lead to less collaboration between different departments. More than half (53%) fear that working remotely will extend deadlines for new releases or innovations.
Advantages of remote working
However, the vast majority (94%) of employees say they have experienced benefits from working remotely. Time saved by not having to travel (54%) and a better work-life balance (48%) were cited as the main benefits.
After COVID-19
Yet workers in the sector also expressed concerns about what will happen next. More than half (54%) say the transition to working life after COVID-19 will be more challenging than dealing with the disruptions to their work at the start of the pandemic.
Divided
Overall, the industry is divided on the desire to retain the changes made. 59% of employees and 53% of managers say it will be better and more productive to maintain these new ways of working when the crisis is over.
Operational resilience crucial
"Digital transformation in the manufacturing industry has accelerated tremendously over the past 12 months. However, more needs to be done," says Uwe Vieth, Senior Director at ServiceNow. "The pandemic has further shaken the already uncertain global market. The rapid shift to remote working and supply chain disruption have made operational resilience more important than ever. Focusing on digitising the work that needs to be done - no matter where - will be crucial. Crucial in meeting challenges, protecting against risk and meeting customer needs."
