Across Indiana, manufacturers are proving that the future of advanced manufacturing isn’t decades away, but happening now. Companies large and small are embracing Industry 4.0 technologies to boost efficiency, improve product quality and meet growing customer demands.
But adopting new technology isn’t just about purchasing equipment. It’s about people, culture and confidence in the organization’s strategic direction. That’s especially true for small- and medium-sized manufacturers, where resource constraints and risk aversion can make transformation more daunting.
A recent Purdue University study, summarized in a Conexus Industry Insights brief, examined the key factors that drive, or inhibit, adoption of advanced technology in manufacturing. The research addressed four core perceptions that shape a company’s willingness and ability to modernize:
- Performance expectancy: Will the new tech actually improve job performance?
- Effort expectancy: Is it too difficult or disruptive to adopt and implement?
- Social influence: Are peers, leaders or industry partners promoting the change?
- Facilitating conditions: Does the company have the training, resources, and support it needs?
These perception-based barriers, particularly limited capital, uncertainty about ROI and lack of internal expertise, are challenges Indiana manufacturers face every day. In fact, they’re the very challenges that led to the creation of the Manufacturing Readiness Grants (MRG) program in 2020, which has now spurred $1.1 billion in project budgets with $80 million in support to help Indiana manufacturers invest in smart technologies and transformative projects.
Earlier this month at Conexus’ Q2 Advanced Industries Council meeting at Boston Scientific in Spencer, Indiana, we asked industry leaders across the state to identify which tech adoption barriers show up most acutely in their own operations. In breakout discussions, manufacturers and stakeholders worked through a tech adoption framework, sharing where they feel stuck and where support is most needed.
What makes this approach unique is that it’s led by industry rather than developed in isolation. The workshop both validated a proposed tech adoption model and provided direct inputs for developing a more comprehensive digital adoption strategy that helps overcome barriers throughout the entire process—from initial problem identification all the way through building a culture of continued innovation. This industry-first approach revealed that technology adoption barriers aren’t just isolated problems—they’re connected challenges that need support throughout the entire innovation process.
Conexus is now analyzing this feedback to identify what’s next. Where are Indiana manufacturers still struggling most? What kinds of programs, partnerships or resources are needed to help them assess, implement and sustain tech adoption beyond just capital investment?
These insights and more will help Conexus shape many of the strategies outlined in its new strategic plan, Conexus 2031, which focuses on accelerating technology-driven growth for Indiana’s advanced manufacturing and logistics industries.
Learn more about Industry 4.0.
https://www.conexusindiana.com/about/industry-4-0/