Discover the groundbreaking trends set to redefine the industrial landscape in 2025. From technological advancements to sustainability initiatives, learn how these changes will impact industries worldwide and shape the future of business.

Trends That Will Transform the Industrial Landscape in 2025

Even before the pandemic, global industrial production was under constant pressure, navigating a delicate balance between geopolitical instability, economic uncertainty, and slowing growth. This already turbulent environment was further disrupted by the outbreak of COVID-19 that introduced unprecedented challenges. However, as the saying goes, every cloud has a silver lining. The situation in the global market not only underscored the critical importance of digital transformation in enterprises but also accelerated its adoption.

According to research by WNS and Corinium Intelligence, 90% of companies across eight key industries experienced business losses by failing to    proactively adopt digital solutions in response to the crisis.. Conversely, those who adapted and leveraged new technologies significantly mitigated the crisis's impact on their operations.

The expansion of digitalization has served as a tool for overcoming the crisis, unlocking access to innovative, integrated approaches to manage operations and create value. These changes, which emerged amid uncertainty, are gradually evolving into a solid foundation for future growth and setting the stage for long-term transformation.

Against this backdrop, key manufacturing trends emerge that will shape the future of the global manufacturing industry in 2025.

A Few Figures

In 2024, industrial production continued to attract investments despite challenges posed by high interest rates and a complex business environment, which have tempered the sector's short-term growth.

A decline in demand, partly driven by high interest rates and challenging market conditions, eased pressure on the labor market and supply chains. The labor market also stabilized, with reductions in layoffs, hiring, and job openings within the sector. Employment levels held steady at approximately 13 million workers, supported by consistent production volumes.

Supply chains also showed improvements: by October 2024, the average delivery time for raw materials had decreased to 81 days, a 2% reduction compared to the previous year. However, these figures still fall short of pre-pandemic levels.

Top 9 Digital Trends in Manufacturing for 2025

#1 The era of smart factories

Manufacturing enterprises approach a tipping point marked by the shift from adopting fragmented technology to integrating comprehensive systems and fully utilizing data analytics potential.

What Drives This Process?

• Outdated machinery is gradually being phased out and replaced by advanced systems equipped with embedded sensors and monitoring tools.
• Manufacturers are compelled to adopt smart technologies to remain competitive with peers.
• Breakthroughs such as machine learning and real-time data analytics enable predictive maintenance and simplify process optimization.
• The decreasing cost of sensors and other smart factory components makes these technologies more accessible to businesses.

These factors collectively shape a new manufacturing reality where smart factories are becoming the standard.

#2 Focus on sustainability and carbon neutrality

Sustainability and carbon neutrality increasingly shape the agenda for manufacturers and reflect the growing importance of ESG factors — environmental, social, and governance considerations.

Sustainability becomes a key requirement for securing government and institutional contracts, while commercial clients increasingly demand compliance with additional ESG standards. Simultaneously, carbon capture technologies and the integration of renewable energy into production processes are gaining traction.

These shifts set the course for future progress, making sustainability a necessity and a competitive advantage for modern manufacturers.

#3 AI and virtual technologies: the new reality of manufacturing

Digital twins, machine learning, artificial intelligence, and AR and VR unlock new levels of efficiency and productivity for enterprises. These technologies enable equipment monitoring, maintenance, and operation without the presence of a physical operator.

With advancements in real-time communications and powerful computational solutions, virtual operations become safer and more convenient. These innovations support key manufacturing technology trends and offer accessibility, flexibility, and reliability.

A breakthrough example is the rise of "dark factories" — fully automated production facilities that no longer require constant human involvement. In 2025, significant progress is also expected in "cognitive automation," where AI combined with machine learning will enable real-time optimization of automation processes.

Additionally, AR and VR transform manufacturing workflows. Their further integration promises to make fully virtualized and autonomous factories an integral part of the industry's future.

#4 Data that drives profits

Sensors, IoT devices, and remote monitoring technologies have been at the forefront of industrial digital trends for several years, and their importance continues to grow. More manufacturers recognize the value of data for predictive maintenance, which reduces unplanned downtime and enhances operational efficiency.

New opportunities are unlocked with the growing adoption of sensors, advancements in data processing methods, and reliable connectivity, such as high-speed 5G networks. Manufacturers can now analyze real-time information to prevent costly failures and optimize equipment usage.

Predictive analytics tools not only extend the lifespan of machinery but also lower operational costs — an essential advantage in times of financial uncertainty. This positions maintenance as a strategic asset capable of boosting both resilience and profitability in manufacturing.

#5 Rethinking the supply chain

The global supply chain disruptions that began in 2020 remain a stark reminder of the fragility of traditional business processes. In 2025, supply chain management continues to be a critical area for improvement, with a focus on reliability, flexibility, and resilience.

Data plays a central role in these efforts. Data-driven inventory management uncovers hidden opportunities to boost efficiency, while real-time analytics enables faster responses to uncertainties. Blockchain technology enhances supply chain transparency and traceability, reducing risks at every stage.

Manufacturers also prioritize strategies for supply chain diversification and process automation. Complemented by modern real-time supply chain monitoring tools, these approaches help minimize disruptions, which remain inevitable in a complex global landscape.

#6 Reshoring becomes the norm

Symbolizing a commitment to quality, speed, and reliability in manufacturing, reshoring has evolved from a strategic initiative into a vital tool for ensuring stability. By 2025, reshoring will transition from a temporary response to crises to a foundational approach to supply chain management.

Geopolitical instability and the drive to minimize risks have amplified the importance of conducting business closer to home. Reshoring provides more reliable access to resources and partners and enhances resilience in the face of global changes.

This shift from trend to standard underscores that reshoring is not just a means of adaptation, but a strategic decision that shapes the future of manufacturing.

#7 New standards for employee care

Ensuring employee safety has always been a priority, but today, this initiative has evolved into a comprehensive approach far beyond traditional protocols.

Modern technologies transform monitoring practices. Businesses that adopt equipment to track employee location, movements, and even body temperature, reduce the risks of injuries and illnesses. In the coming years, AI-powered wearable devices will become essential tools for accessing detailed insights into employees' health and working conditions.

These innovations enhance safety, building trust and loyalty among employees by embedding health and well-being as integral components of manufacturing processes.

#8 3D printing and additive manufacturing

Over recent years, 3D printing and additive manufacturing technologies have achieved new levels of precision, flexibility, and cost-efficiency. These advancements transform innovative concepts into tools that fundamentally reshape the manufacturing industry.

3D printing accelerates prototyping, enables product customization to meet individual requirements, and simplifies maintenance and repair processes. On-demand, on-site production of spare parts becomes a reality, reducing downtime and cutting costs.

By 2025, additive manufacturing is poised to become a major driver of change, making production processes faster, more personalized, and highly efficient.

#9 Cybersecurity in manufacturing

With the rise of the Industrial Internet of Things (IIoT), cybersecurity has become a top priority for the manufacturing sector. In the coming years, manufacturers will increasingly adopt advanced technologies such as zero-trust architecture that prevents data access without verification, AI-driven solutions for real-time threat detection and mitigation, and state-of-the-art encryption methods to safeguard sensitive information.

These measures will enhance the resilience of cyber systems and ensure robust data protection, making manufacturing operations secure and sustainable in the era of digital transformation.

The Future of Manufacturing Begins with SAP

For over 50 years, SAP has been a leading software provider for manufacturing enterprises, empowering companies to ensure operational resilience and maintain competitiveness even in times of crisis. SAP offers solutions that optimize and automate processes across all areas of business, including:

• SAP S/4HANA Cloud: A unified platform for managing all business processes that offers flexibility and integration.
• SAP Digital Supply Chain: Tools for monitoring and managing every aspect of the supply chain.
• SAP Business Network: A platform for collaboration with partners within a unified ecosystem.
• SAP Product Lifecycle Management: Comprehensive lifecycle management, covering design, production, and disposal.
• SAP Build Process Automation: Automating design and testing processes.
• SAP 3D Visual Enterprise: 3D product visualization to accelerate design.
• SAP Product Footprint Management: Carbon footprint assessment across all product lifecycle stages.
• SAP Sustainability Control Tower: Tools for monitoring and managing environmental sustainability.
• SAP Integrated Business Planning: Supply chain optimization with a focus on environmental factors.
• SAP SuccessFactors: Solutions for hiring, training, and talent management.
• SAP IoT: Connecting devices and collecting data from production equipment.
• SAP Digital Manufacturing Cloud: Real-time management and optimization of manufacturing operations.
• SAP Analytics Cloud: Data analysis and forecasting tools.
• SAP Cybersecurity and Data Protection: Comprehensive data and system security.
• SAP Enterprise Threat Detection: Real-time threat analysis and prevention.
• SAP Security Access Control: Access management that reduces the risk of unauthorized entry.

From Ideas to Results with LeverX

LeverX is your trusted partner in digital transformation. We specialize in integrating and implementing SAP solutions that empower businesses to adapt and lead in their industries.

With LeverX, you gain:

• Over 20 years of experience working with SAP on hundreds of successful projects.
• Solutions fully tailored to meet your business needs.
• Cutting-edge technologies, including IoT, machine learning, and real-time analytics.
• Support at every stage of your journey toward digital excellence.

Our team knows how to make your business efficient, sustainable, and future-ready. We help our clients to:

• Boost productivity through process automation.
• Ensure business resilience with innovative solutions.
• Enhance data management for informed decision-making.

Case Studies

Here are a few examples of how we've helped manufacturing companies refine their processes:

Implementing SAP for Enable Injections

Enable Injections chose to invest in tools and systems that would allow them to rapidly scale their business with best practices in the biotech and life sciences sector. LeverX facilitated the implementation of SAP solutions such as PLM, ECTR, IPS, and DC, providing comprehensive recommendations for system improvement and optimization.

Customer review:

A great partner that goes the extra mile to accommodate the customer/company. They can accomplish what is needed to move your business forward. No question is too much for LeverX. They’ve been a great resource for any area of SAP. What I like about LeverX is that I don’t think there is any question that is too much for them. We bounced a lot of things off them that might not appear in their wheelhouse, but often they have answers just because of their experience and knowledge. We found them to be a great resource of ideas, even if they might not be specific to PLM. When you are out of time and have limited resources, LeverX has your solution. LeverX is a big bang for your buck that will bring in a lot of knowledge at one time to check off all the boxes.

— Tim Flaherty, Executive Vice President and Chief Financial Officer

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Implementing SAP EHS for sustainable development in a chemical manufacturing enterprise

The LeverX team implemented the SAP EHS (Environment, Health, and Safety) solution for a chemical company seeking to manage and ensure safety across multiple levels of its global facilities.

The SAP EHS solution enabled the client to more effectively monitor employee and environmental safety, while reducing the risks of emergency incidents.

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Integrating SAP ACM and SAP TSW with SAP TM on SAP S/4HANA for a manufacturing enterprise

Our team managed all integration and custom development stages based on standard SAP TM objects. After integrating these three SAP modules, the agricultural company achieved a significantly higher level of automation in transportation planning processes, which reduced transportation costs. Transportation-related procedures, including planning, collaboration, execution, and payment, became more transparent.

Additionally, the timely settlement of freight costs based on planning documents and their allocation to corresponding trade contracts improved the client's profitability.

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Turn Challenges into Opportunities

The manufacturing world is undergoing an intense transformation. Smart factories, additive manufacturing, predictive maintenance, and sustainable supply chains are becoming essential components of successful businesses. These manufacturing trends not only address current challenges but also shape the outlook for the years ahead.

In an environment of constant change and emerging challenges, the manufacturing industry requires reliable solutions to ensure efficiency, flexibility, and resilience. SAP provides the tools to achieve these goals, and LeverX turns them into reality.

Whether you're looking to implement smart factories, optimize supply chains, or strengthen cybersecurity, our experts are here to help you realize your most ambitious initiatives. With LeverX, you gain more than just technology — you gain a partner who shares your vision and helps transform it into a competitive advantage.