- Rockwell Automation’s latest report highlights a significant shift towards AI and technology in the automotive industry.
- Workforce challenges, including change management and employee retention, remain critical concerns.
- Automotive firms lead in planned investments for AI and automation, focusing on quality control and robotics.
Rockwell Automation, Inc. (ROK, Financial), a global leader in industrial automation and digital transformation, has released its 10th annual “State of Smart Manufacturing Report: Automotive Edition.” The report, based on responses from 130 automotive industry leaders across 15 countries, underscores the sector’s ongoing commitment to leveraging AI and technological innovation to address workforce and operational challenges.
The report reveals that workforce pressures are the most pressing issues for automotive companies. Notable concerns include change management (37%), ensuring the effective adoption of new technologies, employee retention (33%), rising costs of skilled workers (36%), and difficulties in recruiting (31%).
Investment in AI and technology remains robust, with over 62% of respondents citing long-term business impact as the primary reason for tech investments. Other factors include expansion or increased capacity, aligning with broader industry trends for 2025. The adoption of AI is seen to reduce risks, particularly in quality control, robotics, and process optimization.
The report highlights that the automotive industry is less apprehensive about AI, with fewer participants viewing it as a risk compared to 2023 (14% in 2025 versus 24% in 2023). Automotive firms are at the forefront of investment in generative AI, robotic process automation (RPA), and digital tools, aiming to improve quality and reduce safety and compliance risks.
To address a projected 7.9 million worker gap by 2030, manufacturers are focusing on upskilling employees, seeking those with expertise in AI and soft skills such as communication and analytical thinking. These developments are pivotal as the sector navigates evolving workforce and technological landscapes.