RESEARCH REPORT
Rethinking the course to manufacturing’s future
5-MINUTE READ
March 27, 2025
In brief
- By 2040, hyper-automated factories will provide more agility and flexibility while enabling a step change in productivity.
- According to our survey of 552 factory managers, most are still focusing on digitalization measures that should, arguably, already be in place.
- Taking steps now in workforce transformation, automation, AI optimization, and digitalization is key to tomorrow's most competitive factories.
What will define the most competitive factories in 2040?
The answer won’t just be determined by cost efficiency and quality levels; in fact, high marks on both are table stakes. The real differentiators will be flexibility, sustainability and intelligence—qualities that will rest on a factory’s ability to move beyond traditional automation and embrace the seamless convergence of advanced robotics, data, AI and digital tools.
We call that state hyper-automation. It’s a viable goal—in fact, it’s the inevitable competitive path, according to the 552 factory managers who recently participated in Accenture’s in-depth, global survey. However, getting there won’t be easy, as most factories face a battery of challenges, including workforce shortages, complex brownfield environments and slow adoption of AI-driven processes.
Taking the vision of ‘manufacturing 2040’ articulated by our survey respondents as our starting point, we set out to close the gap between what’s in their sights in the next five to ten years, and what’s beyond in terms of planning and actions.
Factories of the future will look stunningly different—what´s needed now?
Workforce transformation to preserve and augment key knowledge
70%
of the factory managers surveyed consider workforce transformation as the most critical factor for success.
Most of the factory workforce of the future will move away from working in production towards working for production, which means they will move from manual labor to process oversight, decision-making and optimization.
No wonder then that factory managers rate knowledge management, embedding data analytics into daily workflows and enabling data-driven decision-making as their top focus areas. These activities are already key to AI-driven change, and they will also be critical to realizing the 2040 vision.
As the jobs of the future and key skills needed in the hyper-automated factory evolve, companies need to identify and communicate future employment opportunities already now, and provide pathways to those opportunities. Moreover, they will need to set up a new model for talent development that supports continuous, real-time training.
Automation to unlock efficiency and precision
Our research data reveals a significant conflict between today’s priorities and 2040’s competitive needs. It’s time to align vision with action, beginning by scoping out in more detail the journey to the factory of the future.
Selecting the right path means first determining whether transforming existing facilities (brownfield approach) or investing in new factories (greenfield approach) will offer the most economically viable approach. Established infrastructure with well-maintained facilities, for example, will likely prove more cost-effective to upgrade and retrofit with AI and humanoid robots, rather than building entirely new production lines from scratch.
63%
of factory managers are prioritizing automation in the mid-term.
59%
However, only 59% of the factory managers are also prioritizing key innovations to build a futuristic factory.
38%
Despite their 2040 vision, just 38% target the hyper-automated factory as their preferred concept when building new units.
AI-driven optimization to advance from assistance to autonomy
AI is no longer just supporting automation; it is becoming the intelligence layer that governs industrial operations. Soon, factory operations will be all about flexibility, agility and speed of adaptability, alongside efficiency.
For that, factory managers need reliable data to drive real-time analytics and AI-driven insights. So, to build the factory of 2040, factory managers need to focus on data now. They need to strengthen the company’s digital core so that it can support better data gathering, integration and use. Moreover, they should also prioritize deploying edge computing and industrial IoT (IIoT) to process data directly on the factory floor, enabling immediate process adjustments to prevent quality defects, optimize workflows and improve cycle times.
Ultimately, it will boil down to ensuring that AI, digital infrastructure and a skilled workforce operate as a unified system—where real-time data flows seamlessly across machines, AI co-pilots and human supervisors.
62%
of factory managers consider AI as a key enabler for all aspects of factory operations.
38%
And yet, 38% of factory managers are still hesitant about applying gen AI in their factories.
53%
of factory managers expect AI-driven simulation models to predict demand fluctuations and risks, allowing production adjustments and supply chain synchronization.
Digitalization to set the foundation for the factory of the future
Digitalization is the foundation for the hyper-automated factory. And yet, our survey found that a majority of factory managers are still focusing on digitalization measures that should, arguably, already be in place.
Factory managers need to focus on developing a strong digital core that supports digital twins, IIoT, edge computing and the like. Only on an improved core can a company successfully dissolve silos and enable advanced Design for Manufacturing (DfM) capabilities that are key to factories in which production lines adapt dynamically to shifts in demand, supply chain disruptions and operational constraints.
The next step: scaling digital twins beyond isolated pilots and integrating them across factory ecosystems—allowing manufacturers to continuously adjust production workflows based on live data.
44%
On average 44% of factory managers do not prioritize critical capabilities of the factory of the future, such as digital twins of machines and products, IIoT or edge computing.
62%
of factory managers representing larger factories believe Design for Manufacturing (DfM) will replace traditional, forecast-based production.
By 2040, the most advanced factories won’t be managed—they will be orchestrated. AI will govern production in real time, digital twins will model every decision before execution and humanoid robots will adapt without human intervention. Manufacturing will shift from forecast-driven to fully autonomous, demand-responsive ecosystems. Factories will self-optimize, self-correct and self-learn, ensuring seamless coordination across supply chains, production networks and customer demands.
The manufacturers of 2040 won’t be debating automation, AI, or digitalization—those will be the baseline. And this future isn’t speculative—it’s already emerging. The only choice left for manufacturers today is whether they will design this future—or be forced to adapt to it. Are you ready?
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