Here’s so much going on with Manufacturing IT that are hot, so here are the top trends:

  • Outsourcing of engineering services and manufacturing to low-cost countries is adding significant cost and complexity to the IT environment.
  • IT organizations are being asked to rapidly extend in-house engineering/product data management systems and supporting infrastructure to outsource providers, having to jury-rig network architectures and application configurations to systems that weren’t designed to extend halfway around the world. 
  • Moving from legacy region-specific applications to single global instances of common applications is driving changes to IT delivery models.
  • Support for central systems and infrastructure is driving consolidation of region-based IT groups into a single global IT organization.
  • IT is often caught between the new global application’s need for common processes and regional business units’ needs for flexibility to address region-specific market requirements.
  • Companies are struggling to replace the informal relationship/location-based governance processes that linked IT and business units with more formal portfolio planning and funding processes.
  • SMB Companies are finding that they don’t have the IT leadership (either at the CIO or at the VP level) with the skills necessary to address these new challenges.
  •  Changes and increased complexity are stretching IT organizations to their limits in terms of both capacity and competency
  • Companies also don’t have the internal skills/experience — stable/shrinking budgets and little external hiring — to develop adequate solutions.
  • IT departments are becoming more virtual — outsourcing more higher-value activities (e.g., design, architecture) to get access to new skills is the fastest growing segment. Cost savings is still the main driver behind IT outsourcing, but access to new/hot technical skills is growing in importance.
  • This increasing virtualization requires a new set of skills for IT employees — a shift from managing people and activities to managing processes and outcomes. In many IT departments, these new skills are not core strengths of the remaining IT staff. Leading companies are attempting to re-skill their employees, though many companies are not this proactive.

Let Network Elites show you how we solve these and many other IT challenges, and how IT outsourcing in the manufacturing environment can help with efficiency and profitability to the Industrial business.

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