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Key Takeaways

  • Manufacturing agility has declined to five-year lows – Only 45% of industrial leaders describe themselves as highly agile in 2025, yet 80% are investing heavily in smart manufacturing technologies to reverse this trend
  • AI adoption is accelerating rapidly – 94% of manufacturers now use AI for supply chain operations, with 87% reporting medium to high implementation maturity
  • ERP systems deliver measurable ROI – Organizations with properly implemented ERP systems achieve 78% productivity improvements and 91% inventory optimization within the first year
  • Supply chain resilience demands strategic investment – 96% of manufacturers express concern about trade policy impacts, driving 68% to prioritize onshoring strategies for greater operational control

Understanding the Fundamentals of Manufacturing Agility

1. Only 45% of industrial leaders describe themselves as highly agile in 2025

Manufacturing agility has reached its lowest level in five years, creating urgent pressure for operational transformation. This decline reflects mounting challenges from supply chain disruptions, trade uncertainties, and technology integration gaps. Organizations that fail to address these agility deficits risk losing competitive position to more responsive rivals. The path forward requires strategic investment in ERP systems, automation, and workforce development rather than incremental improvements alone. Source: HSO Industrial Agility Assessment

2. Manufacturing leaders identify agility as a top strategic priority

Senior leadership increasingly recognizes that agility determines competitive survival. A survey of 1,000 global leaders reveals that manufacturing's most pressing challenges all connect to operational responsiveness. Whether facing supply chain volatility, talent shortages, or technology integration, agility determines success. This comprehensive connection means organizations cannot address individual challenges in isolation—they require integrated systems that enable coordinated responses across functions through custom workflows and automation. Organizations with NetSuite ERP gain the real-time visibility and workflow flexibility essential for agile operations. Source: Hexagon Advanced Manufacturing Report

3. Every top 5 business challenge identified by manufacturing leaders ties directly to agility

The Hexagon survey reveals that manufacturing's most pressing challenges all connect to operational responsiveness. Whether facing supply chain volatility, talent shortages, technology integration, or customer expectations, agility determines success. This comprehensive connection means organizations cannot address individual challenges in isolation—they require integrated systems that enable coordinated responses across functions. Organizations investing in agility-enabling technologies position themselves to capture opportunities that slower competitors cannot pursue. Source: Hexagon Advanced Manufacturing Report

The ASCM research quantifies agility's importance through rigorous trend analysis. This high criticality score indicates that supply chain professionals view responsiveness as essential rather than optional. Organizations investing in agility-enabling technologies position themselves to capture opportunities that slower competitors cannot pursue. The score also validates executive prioritization of agility initiatives across manufacturing sectors and demonstrates data-driven consensus around operational responsiveness requirements. Source: ASCM Top 10 Trends Report

Key Metrics for Measuring Production Efficiency

5. 78% of organizations improved productivity through ERP implementation

Properly implemented ERP systems deliver substantial productivity gains according to research analysis. These improvements stem from eliminated manual processes, reduced data entry errors, and automated workflows that free employees for higher-value activities. Organizations achieving these gains typically work with experienced implementation partners who understand industry-specific requirements. The productivity transformation encompasses faster cycle times, reduced waste, improved quality, and better resource utilization across manufacturing operations. NetSuite for manufacturers provides the foundation for these productivity transformations. Source: NetSuite ERP Statistics

6. 91% of companies with ERP live for a year or longer optimized inventory levels

Inventory optimization represents one of ERP's most measurable benefits. Research confirms that organizations maintaining ERP systems beyond initial implementation achieve dramatic inventory improvements. These gains come from better demand visibility, automated reorder points, and integrated supply chain coordination. Manufacturers leveraging advanced inventory capabilities reduce carrying costs while improving fill rates. This optimization creates working capital benefits and reduces obsolescence risk across product lines. Source: NetSuite ERP Statistics

7. 66% of organizations report their ERP systems improved operational efficiency

A 2023 report cited by NetSuite found that 66% of organizations report improved operational efficiency beyond raw productivity gains. This efficiency encompasses faster cycle times, reduced waste, improved quality, and better resource utilization. Organizations recognizing these benefits typically invest in ongoing optimization rather than treating implementation as a one-time project. Continuous improvement through NetSuite managed services sustains and extends initial efficiency gains. The cumulative effect builds sustainable competitive advantages in operational performance. Source: NetSuite ERP Statistics

8. 83% of ERP implementations met ROI expectations when organizations performed prior analysis

Organizations that calculate expected ROI before implementation achieve dramatically better outcomes. Industry research shows that upfront analysis disciplines project scope, resource allocation, and success measurement. This preparation separates successful implementations from troubled projects. Working with experienced NetSuite consultants ensures realistic ROI projections and implementation plans aligned to business objectives. The correlation between planning rigor and outcome success demonstrates the value of disciplined implementation approaches. Source: NetSuite ERP Statistics

Leveraging NetSuite for Enhanced Production Visibility

9. 53% of organizations now use cloud-based ERP solutions

Cloud ERP adoption has crossed the majority threshold according to industry data. This shift reflects recognition that cloud platforms deliver faster deployment, reduced IT burden, automatic updates, and anywhere access. Manufacturers selecting cloud-native platforms like NetSuite avoid the complexity and cost of on-premises infrastructure while gaining scalability for growth. The trend toward cloud accelerates as organizations prioritize agility over control and recognize total cost advantages from cloud-native architectures. Source: NetSuite ERP Statistics

10. The global ERP market reached $48 billion in 2022 and projects to $96 billion by 2032

ERP market growth reflects sustained enterprise investment in operational improvement. Market research projects the market will double over the decade, representing 7% compound annual growth. This expansion indicates that organizations increasingly view ERP as essential infrastructure rather than optional technology. Manufacturers selecting platforms with strong growth trajectories benefit from continued innovation and ecosystem development. The market expansion validates ERP as core to digital transformation strategies across industries. Source: NetSuite ERP Statistics

11. 65% of organizations believe AI is critical to their ERP systems

Artificial intelligence integration has become an ERP priority according to recent research. Organizations recognize that AI-enhanced ERP delivers superior forecasting, automated exception handling, and intelligent process optimization. This belief drives platform selection toward solutions with embedded AI capabilities. Manufacturers evaluating NetSuite benefit from Oracle's substantial AI investments across the platform. The integration of AI transforms ERP from transactional systems to predictive platforms that anticipate rather than react. Source: NetSuite ERP Statistics

Agility in Action: Work Orders, Assembly Builds, and BOMs

12. 80% of manufacturers plan to invest 20% or more of improvement budgets in smart manufacturing

Smart manufacturing investment has reached substantial levels according to Deloitte's Manufacturing Outlook. This budget allocation encompasses automation hardware, data analytics, sensors, and cloud computing capabilities. Organizations making these investments position themselves for agility gains that justify the expenditure. NetSuite's capabilities around work orders, BOMs, and production scheduling support these smart manufacturing initiatives. The significant budget commitment reflects recognition that incremental improvements cannot deliver required agility gains. Source: Deloitte Manufacturing Outlook

13. 91% of manufacturing leaders face barriers to product innovation and introduction

Despite substantial investment, most manufacturers struggle with innovation barriers. Fictiv's State of Manufacturing reveals nearly universal challenges around bringing new products to market. These barriers include sourcing constraints, process inflexibility, and data limitations. Organizations overcoming these barriers typically leverage integrated ERP systems that provide visibility across product development, procurement, and production functions. The prevalence of innovation barriers indicates that technology alone cannot solve structural challenges without process redesign. Source: Fictiv State of Manufacturing

14. 49% struggle to source fast, high-quality solutions for low-volume builds

Nearly half of manufacturers cannot efficiently produce small quantities according to Fictiv research. This limitation constrains product innovation, market testing, and customer customization. Organizations addressing this challenge require flexible production systems supported by ERP platforms that manage complex BOMs and variable work orders. NetSuite's work order management enables the production flexibility agile manufacturers require. The sourcing gap creates competitive disadvantages for organizations unable to support low-volume innovation. Source: Fictiv State of Manufacturing

15. 86% report sourcing parts and materials takes time away from new product innovation

Procurement inefficiency creates opportunity costs for innovation according to industry research. When teams spend excessive time on sourcing activities, they cannot focus on product development, customer relationships, or process improvement. Organizations automating procurement through integrated ERP and e-commerce platforms reclaim this time for strategic activities. NetSuite automation capabilities address these procurement efficiency challenges. The time reallocation from tactical to strategic work amplifies innovation capacity without headcount increases. Source: Fictiv State of Manufacturing

Smart Manufacturing Investment and Digital Transformation

16. 86% of manufacturers now use digital manufacturing platforms, up from 82% in 2024

Digital platform adoption continues accelerating according to Fictiv's 2025 analysis. This growth reflects digital capabilities moving from competitive differentiators to baseline requirements. Organizations lacking digital platforms fall behind on efficiency, visibility, and responsiveness metrics. The year-over-year increase demonstrates that late adopters recognize the competitive necessity of digital transformation. Manufacturers selecting integrated platforms gain unified e-commerce and ERP functionality that eliminates data silos and enables real-time operations. Source: Fictiv State of Manufacturing

17. 61% of manufacturers cite supplier diversification as a critical supply chain strategy

Supplier diversification has emerged as a dominant resilience strategy according to Deloitte research. This strategic focus reflects recognition that single-source dependencies create unacceptable risk in volatile environments. Organizations pursuing diversification require sophisticated ERP systems capable of managing complex multi-supplier relationships and evaluating total cost across alternatives. The emphasis on diversification complements onshoring trends as manufacturers pursue multiple paths to supply chain resilience and operational flexibility. Source: Deloitte Manufacturing Outlook

18. 84% of manufacturers report cost management as a significant operational challenge

Cost pressures dominate operational priorities according to Fictiv's analysis. This widespread challenge reflects margin compression from input cost inflation, competitive pricing pressure, and efficiency demands. Organizations addressing cost challenges through technology automation, process optimization, and supply chain improvements outperform those relying on workforce reductions alone. Integrated ERP systems provide the visibility into cost drivers that enables targeted improvement initiatives rather than across-the-board cuts that harm capabilities. Source: Fictiv State of Manufacturing

19. 72% of manufacturers leverage data analytics for operational efficiency improvements

Data analytics adoption has become standard practice for efficiency initiatives according to Deloitte's research. This widespread use reflects recognition that intuition-based decisions cannot optimize complex manufacturing operations. Organizations with advanced analytics capabilities identify improvement opportunities that manual analysis misses entirely. The analytics foundation requires integrated data platforms that eliminate silos and provide consistent metrics across operations. NetSuite's SuiteAnalytics capabilities transform raw data into manufacturing intelligence. Source: Deloitte Manufacturing Outlook

20. 58% of manufacturers are investing in workforce development and training programs

Workforce investment has become a strategic priority according to Deloitte analysis. This focus reflects recognition that technology alone cannot deliver agility without capable people to leverage it. Organizations investing in training see improved system adoption, faster innovation cycles, and better problem-solving capabilities. The workforce development emphasis complements technology investment as manufacturers build organizational capabilities for sustained competitive advantage. Training programs focused on digital tools and agile methodologies maximize technology ROI. Source: Deloitte Manufacturing Outlook

The Role of Supply Chain Resilience in Manufacturing Agility

21. 56% of organizations report high AI readiness as part of supply chain agility initiatives

AI readiness has become central to supply chain agility strategies. The Nucleus Research Index reveals that more than half of organizations rate themselves highly prepared for AI adoption. This readiness encompasses data infrastructure, talent development, and technology partnerships. Organizations with high AI readiness demonstrate superior ability to predict disruptions, optimize inventory, and automate routine decisions. The readiness gap between leaders and laggards will widen as AI capabilities become embedded in competitive operations. Source: Nucleus Research Agility Index

22. Over 90% of organizations with high AI readiness actively invest in AI-specific roles

AI capability requires dedicated talent investment according to Nucleus Research. Organizations achieving high AI readiness commit resources to specialized positions rather than relying solely on existing staff. This talent investment accelerates capability development and improves implementation success rates. Manufacturers building AI capabilities should consider both internal hiring and partnerships with experienced consultants. The correlation between talent investment and AI readiness demonstrates that technology adoption requires organizational capability building beyond software implementation. Source: Nucleus Research Agility Index

23. 78% of manufacturers cite trade uncertainty as their top concern

Trade policy volatility dominates manufacturing leadership concerns according to industry survey data. This uncertainty complicates sourcing decisions, pricing strategies, and capacity planning. Organizations building supply chain resilience reduce vulnerability to policy changes through diversified sourcing, flexible manufacturing, and scenario planning capabilities enabled by sophisticated ERP systems. The pervasive concern reflects real operational impacts from tariff changes, trade restrictions, and regulatory shifts across global markets. Source: Deloitte Manufacturing Outlook

24. 96% express concern about U.S. trade policy impacts on supply chain

Nearly universal concern about trade policy reflects supply chain vulnerability. Fictiv's research reveals that manufacturers recognize exposure to tariffs, quotas, and regulatory changes. This concern drives strategic responses including reshoring, supplier diversification, and inventory positioning. Organizations with agile supply chains adapt more effectively to policy changes than those locked into rigid sourcing arrangements. The concern level indicates that trade policy ranks among the highest strategic risks facing manufacturing operations. Source: Fictiv State of Manufacturing

25. 93% believe trade wars will likely escalate in the next few years

Manufacturing leaders expect continued trade tensions according to industry surveys. This expectation influences long-term strategic planning, capital allocation, and supply chain architecture decisions. Organizations building resilience now position themselves advantageously for anticipated disruptions. Landed cost management in NetSuite helps manufacturers understand true costs under various trade scenarios. The pessimistic outlook drives proactive mitigation strategies rather than reactive crisis management when disruptions occur. Source: Fictiv State of Manufacturing

26. 68% of leaders prioritize onshoring as a key supply chain strategy

Onshoring has emerged as a dominant strategy for supply chain resilience. Research indicates that more than two-thirds of manufacturing leaders now prioritize domestic sourcing. This shift reflects recognition that proximity reduces lead times, improves responsiveness, and minimizes trade policy exposure. Organizations pursuing onshoring require ERP systems capable of managing complex multi-location operations. The onshoring trend represents one of the most significant supply chain transformations in decades, reversing globalization patterns. Source: Fictiv State of Manufacturing

Achieving Peak Performance with Lean Supply Chain Principles

27. 90% of leaders report digital manufacturing platforms are essential for production

Digital platform adoption has become standard according to Fictiv's 2025 analysis, up from 86% in 2024. This near-universal recognition reflects digital capabilities becoming table stakes rather than competitive differentiators. Organizations lacking digital platforms fall behind on efficiency, visibility, and responsiveness metrics. Manufacturers selecting SuiteCommerce gain integrated e-commerce and ERP functionality on unified platforms. The consensus around digital necessity eliminates debates about whether to invest, focusing discussion on how to maximize returns. Source: Fictiv State of Manufacturing

28. 99% of those using on-demand manufacturing report experiencing benefits

On-demand manufacturing delivers nearly universal value according to industry research. This remarkable satisfaction rate reflects benefits including reduced inventory costs, faster time-to-market, and improved product quality. Organizations integrating on-demand capabilities into broader manufacturing strategies maximize these benefits. ERP systems supporting variable demand and flexible production scheduling enable on-demand manufacturing adoption. The high satisfaction rate suggests that on-demand approaches deliver value across diverse manufacturing contexts. Source: Fictiv State of Manufacturing

From Data to Decisions: Custom Workflows and Automation

Manufacturing agility ultimately depends on transforming data into effective decisions and actions. Organizations achieving this transformation leverage integrated ERP platforms that connect operational data with automated workflows. This connection enables responses at machine speed rather than human reaction time, creating competitive advantages in volatile markets.

For manufacturers seeking to enhance agility through NetSuite, Anchor Group brings deep expertise in manufacturing-specific configurations. Our team specializes in work orders, assembly builds, BOMs, WIP, routing, labor costing, and scheduling—the operational foundations of agile manufacturing. We've helped manufacturers across wholesale distribution, discrete manufacturing, and process industries transform their operations through properly configured ERP systems.

Organizations requiring e-commerce integration alongside manufacturing operations benefit from SuiteCommerce implementations that unify customer-facing systems with backend operations. This integration eliminates data synchronization challenges while providing real-time inventory visibility across channels. For businesses preferring separate e-commerce platforms, our BigCommerce expertise enables powerful ERP integration through the NetSuite Connector.

Frequently Asked Questions

What are the top 3 agility metrics every manufacturer should track?

The three essential agility metrics are response time to demand changes, production flexibility ratio, and supply chain recovery time. These metrics directly measure organizational ability to adapt to market conditions, adjust production schedules, and recover from disruptions. Organizations tracking these metrics identify improvement opportunities before competitors and make data-driven investments in agility-enabling capabilities.

How does production efficiency contribute to overall manufacturing agility?

Production efficiency creates capacity headroom essential for agile response. Organizations operating at maximum capacity cannot accelerate production when opportunities arise or absorb demand spikes. Efficient operations generate resources for investment in flexibility initiatives. The 78% productivity improvement achieved through ERP demonstrates how efficiency gains enable agility improvements through freed capacity and resources.

Can NetSuite help track and improve manufacturing agility metrics?

NetSuite provides comprehensive capabilities for manufacturing agility measurement and improvement. The platform tracks production performance, inventory levels, supplier delivery, and customer demand in real-time. Custom dashboards surface agility-relevant metrics while automated workflows accelerate responses to changing conditions. Organizations working with experienced consultants configure systems optimized for agility measurement and response.

What's the difference between supply chain resilience and a lean supply chain?

Supply chain resilience emphasizes ability to absorb disruptions and recover quickly, while lean principles focus on eliminating waste and minimizing inventory. These concepts can conflict when lean initiatives reduce buffer inventory providing resilience. Successful organizations balance both objectives through strategic inventory positioning, supplier diversification, and flexible production capabilities enabled by sophisticated ERP planning tools.

How can workflow automation impact manufacturing agility?

Workflow automation accelerates routine decisions from hours to seconds, enabling real-time response to changing conditions. Automated systems trigger reorders, escalate exceptions, adjust schedules, and notify stakeholders without manual intervention. Organizations leveraging automation eliminate decision latency that competitors cannot match through manual processes, creating measurable agility advantages in dynamic markets.

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