Rockwell Automation, Inc., the world’s largest company dedicated to industrial automation and digital transformation, announced the results of the 10th annual “State of Smart Manufacturing Report: Automotive Edition.” The global study encompasses the responses of leaders across automotive and tire manufacturers, original equipment manufacturers, engineering procurement companies and systems integrators across 15 countries, including India, revealing a sector rapidly embracing change to stay competitive.
Workforce pressures have emerged as the most urgent challenge for automotive companies, signaling a significant shift from last year’s findings. At the same time, concerns around cybersecurity have declined, suggesting many manufacturers have made progress in securing their digital environments.
Dilip Sawhney, managing director, Rockwell Automation India said, “The report underscores a critical shift underway in the automotive ecosystem from automation as an enabler to digital transformation as a competitive imperative. We are seeing Indian manufacturers increasingly investing in AI, data, and workforce development to meet evolving global demands.”
Key global findings include:
- Workforce pressures intensify: Automotive and tire manufacturers report that the top workforce-related challenge over the next 12 months is change management (37%), ensuring employees and departments effectively adopt new technology and processes. Other key concerns include employee retention (33%), rising cost of skilled workers (36%), and difficulty finding new employees (31%).
- Tech Investment Remains Strong: Automotive and tire manufacturers continue investing in AI, production monitoring and cybersecurity. Over 62% of respondents cited long-term business impact as the primary driver of technology investment, followed by expansion or increased capacity (58%), aligning with 2025’s overall findings.
- AI builds momentum: The automotive industry sees the rise of AI as less of a risk now, compared to 2023 (14% in 2025 vs. 24% in 2023) with quality control, robotics and process optimization emerging as top use cases. Automotive companies lead in planned investment for generative AI, robotic process automation (RPA) and digital tools.
- Business outcomes drive transformation: The top goals of tech adoption remain consistent – improve quality, reduce costs and lower risks related to safety, cybersecurity and compliance.
- Skills shift underway: To fill the projected 7.9 million worker gap by 2030*, manufacturers are not only investing in automation but also seeking more workers with AI experience and soft skills like communication, adaptability and analytical thinking.
The State of Smart Manufacturing Report is part of Rockwell’s broader global research initiative surveying over 1,500 manufacturing decision makers.
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