Wearable devices help assemblers navigate complex work instructions.

DUBLIN, Ireland—Eaton Corp. has modernized its manufacturing footprint with smart factories in Juarez, Mexico, and Changzhou, China. 

SAN FRANCISCO—Pico MES, a software company that is enabling digital transformation for small to medium-sized American factories, has received $12.35 million in investment from multiple venture capital firms, including Bosch Ventures, Counterpart Ventures and Momenta. 

WEST LAFAYETTE, IN—Accenture and Purdue University have formed an initiative that will focus on developing a smart manufacturing workforce.

Rotor blades, guide vanes and other components for jet engines are made from costly materials and machined to precise tolerances. Such components are typically made in batches, due to the time involved in setting up machine centers. The process also requires a fair number of people to tend the machines and assist in changeover.

As assembly plants become more digitally connected to both suppliers and customers, the potential threat posed by cyberattacks will only get worse. Cyberthreats to manufacturers are real, and the consequences can be devastating.

In today’s smart factories, cyber physical systems monitor physical processes, create a virtual representation of the physical world, and even make decisions. The traditional structure of the automation pyramid and the distinction between information and operations technologies are blurring.

To get an idea of the importance of sensors to the factory of the future, head to upstate New York to General Electric’s sprawling assembly plant in Schenectady, NY, where the company makes sodium-nickel batteries for cell-phone towers and other applications.

You can’t accuse Volkswagen’s Dirk Voigt of having his head in the clouds—he’ll take it as a compliment. The head of digital production at VW, Voigt and a team of manufacturing and IT pros are developing an industrial cloud computing system to amalgamate production data from more than 120 factories. The objective: greater efficiency and lower costs.

Most manufacturers agree that digital transformation is necessary to remain competitive today and thrive tomorrow. Many large companies have already begun initiatives. But, when asked to quantify the impact of those initiatives on the bottom line, they often come up short.