Industries

Manufacturing

Embrace digital transformation at speed and scale for better resiliency, agility, adaptability and spend/value.

TopBar Manufacturing BottomBar
Top Story

Top 5 Priorities for Manufacturers in the Age of AI

From smart factories and AI-powered maintenance to cobots, 3D printing and zero-downtime operations, the shop floor of 2026 looks nothing like it did a decade ago.

Read more

Smart Manufacturing Solutions

Concepts such as Internet of Things (IoT), democratized engineering and manufacturing, open-source development models, adaptive manufacturing and 3-D printing together form the current manufacturing renaissance.

Do you know how to leverage new technologies and the captured data to become more efficient? Are you building a new operating model to gain the visibility, flexibility and agility that you need to succeed in the digital age? Do you know how to address organizational adoption of new initiatives?  Do you know how to build a reliable business case model?

For ISG, the smart manufacturing landscape spans the value chain from smart products, smart production and smart services, and from shopfloor up to ERP and cloud. ISG’s deep expertise in smart manufacturing solutions can help you succeed to ace your “must win” battles:

  • Rapidly attract customers with innovative features, services and data-driven experiences
  • Adopt a secure, connected and software-driven factory for improved efficiency
  • Ensure your business is focused on the right metrics  
  • Identify the technology architecture to optimize “cloud to edge” continuum and handle real time and unstructured IoT data
  • Establish independent software platforms sourcing strategies
  • Foster agile processes, enterprise working models, governance
  • Establish an agile contracting model to enable flexible and collaborative sourcing
  • Have a robust organizational change capability to ensure adoption of new capabilities.
2023-Smart-Manufacturing-Study

ISG Smart Manufacturing Study

ISG's recent study shows manufacturers are reporting significantly higher levels of success year-over-year.

Download the Summary    Contact Us for Full Access

Managing Your Global Mobile and IoT Network

In the coming years, millions of devices globally will lose the ability to communicate as Mobile providers sunset legacy technology. This means software updates, product monitoring data and customer experience will just stop. ISG monitors over 800 carrier technologies across 200 countries so you can plan accordingly.

The market has moved from ambition to accountability.

AI investment is accelerating, but results remain uneven. Only one in four initiatives is meeting revenue impact expectations, at an average spend of $1.3M per use case. Enterprises are no longer asking whether AI works. They are being asked to prove that it pays.

What We Deliver

AI strategy, governance and intelligence, built for execution.

Autonomous Enterprise

Operations built for autonomous execution, not retrofitted for it.

We help you identify where AI agents deliver the most value, restructure workflows around them and build the accountability models that keep autonomous execution auditable. The enterprises that win won't be the ones that reacted. They'll be the ones that designed for it first.

Contact Us
Autonomy-Level Pricing

Pricing that reflects how AI-enabled services are actually delivered.

We give enterprises transparent, benchmarkable pricing models that tag each resource unit with the autonomy level used to deliver it. As AI capability advances, your pricing keeps pace. Both buyers and providers can quantify what that progress is worth.

Contact Us
AI & Software Intelligence

Build-versus-buy decisions grounded in what AI is actually delivering.

We bring analysis of more than $2.6 billion in tracked AI spend to every sourcing decision. Procurement, technology and finance leaders get the independent intelligence to rationalize vendor portfolios and hold providers accountable to measurable outcomes.

Contact Us
AI Governance

Governance that accelerates AI adoption rather than constraining it.

We embed controls at the point of data creation, define accountability for autonomous actions and build adaptive frameworks that keep pace with AI without impeding it. Enterprises that get this right don't just manage risk. They build the trust that lets them scale faster.

Contact Us
AI Strategy

AI investment aligned to where impact is most achievable.

We ground strategy in research across 2,400 enterprise use cases, aligning investment to where impact is proven and designing the data, talent and governance foundations that move AI from pilots into the workflows that drive commercial results.

Contact Us
AI Maturity Index

A clear view of where you stand and a roadmap to where AI starts delivering.

We benchmark your AI readiness against peers across 75 countries, identify the dimensions holding you back and give you a personalized roadmap to close the gap.

Learn More
The market today

Enterprise AI has moved out of IT and into the revenue line.

AI investment is shifting decisively toward revenue-generating functions. CRM automation, sales enablement and forecasting have replaced chatbots and IT productivity tools as the leading use case priorities, reflecting enterprise recognition that productivity gains alone do not satisfy board-level scrutiny. At the same time, use cases in production have doubled since 2024, and the portfolio is diversifying rapidly, with over 300 distinct function and industry-specific use cases now in active deployment.

ISG research across 2,400 enterprise use cases shows that the strongest AI returns are currently concentrated in compliance, risk management and quality control, not in the growth and cost outcomes most enterprises originally set out to achieve

The gap between where enterprises are investing and where AI is actually delivering is the defining commercial tension of 2025. Organizations that close it by targeting functions with structured, revenue-attributable data and clear ROI measures will establish performance benchmarks that compress the window for competitors still cycling through pilots. The standard is being set now.

Where enterprises are feeling the pressure
  • Business outcomes are lagging AI ambition
    Enterprises are scaling Al faster than they are realizing value from it. The number of use cases in production doubled between 2024 and 2025, yet only one in four initiatives is meeting revenue impact expectations, and broad cost savings remain elusive. At an average spend of $1.3M per use case, the ROI gap is sharpening board-level scrutiny and forcing a harder question: are we building Al for impact, or for activity?
  • Data infrastructure exposing deferred investment
    Al does fail in isolation. It fails on the foundations beneath it. Most enterprises are running modern Al on architectures built for reporting and compliance. Generative and agentic Al demand real-time contextually rich, governed data at the point of use. Without it, pilots stall and value dissipate before it reaches the business.
  • The barrier to scale is organizational, not technical
    Organizational readiness as the bigger constraint on Al adoption, not talent or tooling. Workflows haven't been redesigned. Decision rights haven't shifted. Enterprises that treat Al as a pure technology deployment, without investing in the human side of adoption, consistently report underwhelming ROI.
  • Agentic AI is outpacing governance
    As Al moves from generating outputs to executing tasks autonomously, the governance gap widens. Agentic Systems introduce a new class of risk that static compliance frameworks were never designed to catch. Governing what Al does, not just what it produces, is now a business-critical requirement.
Featured Event

Future Workplace Summit

Work is Being Redesigned: Trust, talent and leadership are the hard parts.

Register now

Meet our team