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Report shows ‘clear shift’ in how UK manufacturers are approaching digital transformation

Rockwell report

ROCKWELL Automation has announced the UK findings of its annual State of Smart Manufacturing Report, which claim to highlight a ‘more disciplined’ phase of digital transformation.

The study, based on feedback from more than 1,500 manufacturing leaders globally, highlights a ‘clear shift’ in how UK manufacturers are approaching digital transformation. With 87% of organisations now recognizing it as essential and allocating an average of 27% of operating budgets to industrial technology, Rockwell said the UK has moved beyond early-stage adoption and into a phase where digital investment must translate into operational performance.

“UK manufacturers are moving beyond experimentation into a phase where digital technologies must deliver consistent operational outcomes,” said Phil Hadfield, UK MD, Rockwell Automation. “The challenge is no longer access to technology, but the ability to embed it into production environments in a way that improves performance, resilience and competitiveness.”

Nearly half of manufacturers have already invested in AI, and adoption of generative AI is now widespread. Rockwell added that the focus, however, is shifting away from experimentation toward practical use cases that deliver measurable value. Cybersecurity has emerged as the leading AI application, followed by quality control and process optimisation.

Workforce dynamics are also becoming a defining factor in how quickly digital transformation can progress. The study shows that rising labour costs affect 40% of manufacturers, while change management challenges have increased significantly. More than a third of employees are now engaged in training programmes designed to support digital roles.

More broadly, Rockwell explained that UK manufacturing is showing ‘clear signs of maturity’. Smart manufacturing technologies are widely deployed, and adoption is accelerating as organisations focus on scaling what works rather than piloting new tools.