Manufacturing Monday 01.27.2025: Navigating AI Adoption in Manufacturing

Digital transformation initiatives, particularly those that include AI programs, can face significant hurdles, often stalling due to insufficient buy-in. As highlighted in APQC’s 2025 Supply Chain Priorities and Challenges: Cross-Industry Report, the primary challenge is not technological, but rather a lack of cross-functional collaboration.

In other words, transformation isn’t just about technology — it’s about people. 

Digital Transformation Depends on People

Change is hard for most people, and concerns rooted in perception can create resistance. Many employees haven’t participated in digital transformation efforts, but they’ve likely heard about them — often in the context of job loss. This is a legitimate concern that must be addressed head-on.

Proactively mitigating concerns is essential, but it's equally important to remain open to feedback and address issues as they arise. When people express concerns about new initiatives, it's important to pause, listen without interruption, and genuinely understand their perspectives before responding. This approach not only helps in addressing immediate concerns but also provides valuable insights for improving future initiatives.

So, how can you build trust, foster engagement, and reduce friction while implementing a new initiative? Here are some best practices that can help you drive buy-in for AI and digital transformation before, during, and after the transition period:

Front-End Change

Establishing a strategic plan before embarking on digital transformation is essential to align objectives and engage employees in a way that drives both organizational success and workforce confidence.

• Establish a clear vision. “Without a vision, the people perish.” What is the transformation trying to accomplish? Goals should align with corporate objectives and individual KPIs to ensure everyone has skin in the game.
• Leverage all communication channels. Newsletters, town halls, bulletin boards, intranet pages, Teams, Slack — use every available medium to keep employees informed.
• Use confident messaging. AI-driven transformation should be framed as an opportunity, not a threat. Many organizations modernize not just for efficiency, but to attract and retain talent — a key selling point for workforce engagement.

Middle Change

Keeping stakeholders actively involved ensures alignment and trust are maintained throughout the transition.

• Communicate, communicate, communicate. Share the results of ideation sessions, project updates, and internal feedback. Transparent communication, early and often, is always the right approach.
• Prioritize speed in execution. Sprint cycles aren’t just a cost factor — they’re an engagement factor. If necessary, break projects into milestones to maintain momentum and interest.
• Track all value metrics. Beyond the initial approval criteria, track both hard and soft value metrics. Measurement doesn’t need to be complex at first, start somewhere and iterate over time.

Back-End Change

The work doesn’t end when the transition is “complete.” Digital transformation should be an ongoing process in which you evaluate outcomes, share learnings, and build on the progress made.

• Celebrate successes. After implementation, pull the team together and retell the journey from problem statement to solution.
• Create success-story videos. These can be used for future launches, town halls, and one-on-one engagements to reinforce momentum.
• Rinse and repeat for scale. Every success, no matter how small, should be documented and leveraged to bring more employees on board.

Transforming Together

Digital transformation is not a one-time project but a continuous journey where collaboration, open communication, and celebrating progress are essential. By prioritizing people and fostering trust, you can turn adoption challenges into lasting opportunities for growth and innovation.

Embed change management into your digital transformation strategy from day one. Schedule a consultation to get started.

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