CGI Voice of Our Clients 2025: Key Manufacturing Insights
CGI's latest Voice of Our Clients research has revealed a stark reality facing the manufacturing sector: a rapidly widening digital divide that could trigger an impending market consolidation – years ahead of previous predictions.
The global IT and business consulting services firm’s comprehensive research, which surveyed 177 manufacturing executives across discrete manufacturing sectors, including automotive, aerospace and electronics (80%) – as well as process industries such as metals, mining and chemicals (20%) – provides a critical snapshot of an industry at a transformative crossroads. Nearly 40% of respondents were C-suite executives, with a roughly 80:20 split between IT and business leaders, respectively.
Helena Jochberger, Global VP and Industry Lead for Manufacturing at CGI, explains that the research analyses two distinct cohorts: digital leaders, who began transformational journeys years ago and are achieving expected results from their digital strategies; and other manufacturers at varying stages of digital maturity.
"We have clients that are super digitised and talking about omniverse, digital triplets and advanced data-driven technologies,” she says. “And then we have others that are at the beginning of their journey and are yet to even reach Industry 3.5.”
Three critical challenges reshaping manufacturing
CGI’s research identifies three fundamental challenges that manufacturers must address.
First, they must design for disruption, as unpredictable global events continue to impact operations on a daily basis.
Helena explains: "We cannot extrapolate and we cannot predict most of the disruptive events we’re experiencing. Every day, something new happens; every day, we have to deal with something different.
“Resilience in our shifting world is an imperative that’s not going away.”
This reality is driving manufacturers to rethink their operations through nearshoring initiatives, bringing production closer to home markets whilst digitising supply chains to eliminate blind spots. While sustainability remains important, Helena notes it has moved "one place down in urgency – not in importance" due to other pressing global challenges.
The second critical challenge centres on an impending talent crisis.
"We are about to witness a retirement tsunami," Helena warns. "This tipping point will happen now or, at the latest, in the next one or two years.”
The demographic shift is forcing manufacturers to address talent shortages through stronger employer branding, workforce upskilling and increased AI adoption, while fostering better collaboration between IT and business functions.
The third challenge – and perhaps the most concerning – is the accelerating digital divide between industry leaders and others.
Helena says previous predictions of market consolidation around 2030 have been dramatically accelerated: "My feeling right now is that it will happen much sooner. That whole timeframe has moved into the near future.”
Economic pressures impact investment priorities
Economic uncertainty is fundamentally impacting how manufacturers approach technology investments.
Business priorities remain focused on enhancing operational efficiency for cost management and performance, with executives demanding proof of ROI within 10-12 months.
"The exploratory times we saw between 2010 and 2020 are over," Helena observes. "Now it's more like, ‘we played around in the first wave of transformation, but now we are very clear about what we want’.”
Meanwhile, IT priorities continue to centre on modernising and optimising infrastructure, from harmonising manufacturing execution systems across global operations to cloud migrations and ERP transformations.
In addition, the cybersecurity focus is shifting from traditional IT systems to encompass operational technology as manufacturers extend connectivity to shop floors.
The AI revolution: From traditional to agentic
AI adoption is creating the most significant differentiation between digital leaders and other manufacturers.
CGI’s research reveals that traditional AI implementation has matured, with substantial growth in generative AI adoption – up 21% year-on-year – while advanced AI applications, including agentic systems, are beginning to emerge.
The gap between digital leaders and others is stark: traditional AI adoption shows a 38% gap, while Gen AI reveals a 26% gap.
Helena explains: "Some businesses are beginning to recognise the benefits of AI, but others are still cautious about investing in AI initiatives, with the result that the gap is widening even more.”
Nearly 100% of digital leaders have enterprise-wide AI strategies compared to significantly lower percentages among other manufacturers. They also maintain comprehensive data strategies spanning entire enterprises and ecosystems, recognising that, "without proper data management, AI cannot be successful," says Helena.
Data integration remains a critical gap
Despite progress in AI adoption, data convergence challenges persist. Only 37% of executives report high data convergence between IT and operational technology systems, while just 30% achieve high process convergence.
Helena stresses that this represents a critical barrier: "If we are talking about an enterprise-wide data-driven organisation, this is something to really focus on and make a priority in the future."
The alignment between IT and business functions also requires attention, with 44% of manufacturers lacking high alignment – a situation that amplifies shadow IT risks and reduces organisational efficiency.
As manufacturers navigate these unprecedented challenges, CGI’s research suggests success will depend on their ability to design for disruption, address workforce transformation proactively and bridge the digital divide before it becomes insurmountable.
For many, the window for transformation is narrowing rapidly, making decisive action more critical than ever. For more insights from CGI’s Voice of Our Clients or to find out more about how CGI can support your transformation efforts, visit cgi.com/manufacturing.
