
New global research finds manufacturing leaders enthusiastic about GenAI’s potential – but ill-equipped to deploy it responsibly and at scale.
Manufacturers around the world are eyeing Generative AI (GenAI) as a game-changer for their operations — from optimizing supply chains to boosting quality control.
Yet a new global study by NTT DATA, a trusted innovator in digital business and technology services, suggests a growing divide between ambition and readiness.
According to the report, titled “Feet on the Floor, Eyes on AI: Do you have a plan or a problem?”, most manufacturers see GenAI as a powerful tool to improve efficiency, accelerate innovation, and sharpen competitive edge. In fact, 95% of surveyed manufacturing leaders say GenAI is already directly improving their bottom line.
But behind these high expectations lies a sobering reality: most organizations are not yet prepared to deploy GenAI responsibly, sustainably, or at scale.Many lack the basic infrastructure, skills, and governance frameworks required to truly harness the technology’s potential.
Among the report’s most striking findings, 92% of manufacturers say outdated technologies are slowing them down, yet fewer than half have conducted a full infrastructure readiness assessment.

Two-thirds of organizations say their workforce lacks the necessary skills to use GenAI effectively, creating operational blind spots and business risk.
Only 41% strongly agree they have the data storage and processing capacity needed to support GenAI workloads.And while responsible AI is a growing concern, just 47% strongly agree their organizations follow ethical frameworks that balance risk with value creation.
Despite these barriers, the industry’s appetite for GenAI is undeniable.
Manufacturers report their most frequent use cases include supply chain and inventory management, knowledge management, quality control, research and development, and process automation.
There is also strong belief in the power of convergence: 94% say integrating IoT and edge data into GenAI models will drive smarter, more relevant outputs, and 91% believe that pairing digital twins with GenAI will enhance asset performance and supply chain resilience.
“AI is streamlining processes and redefining what’s possible across the entire manufacturing value chain, from supply chain predictions to quality control,” said Prasoon Saxena, Co-Lead,Products Industries, NTT DATA, Inc. “GenAI can help organizations achieve flexibility in fast-changing business environments, especially in the face of uncertain tariff policies worldwide.”
While GenAI offers a clear path to smarter manufacturing, NTT DATA’s research warns that without proper planning, the technology could become more of a risk than a reward.
“The most successful manufacturing organizations have already integrated GenAI into essential operations,” Saxena added. “Companies failing to plan, deploy and govern GenAI strategically will not only have a problem, but they may also be planning to fail.”

As manufacturers explore the next frontier of digital transformation, the message is clear: embracing GenAI is not enough — it must be matched with action, investment, and accountability.