Digital Transformation and Data Privacy Key for Durable Goods Manufacturers to Remain Competitive, says Info-Tech Research Group

Given the escalating risk of data breaches, Info-Tech Research Group emphasizes the importance for manufacturers of durable goods to monitor and protect high-risk personal data.

TORONTO, July 12, 2023 /PRNewswire/ - The durable goods manufacturing industry is facing major changes due to several factors. These factors include the adoption of Industry 4.0 technologies, a rising consumer class, changing demographics, and heightened regulations. To maintain competitiveness, manufacturers must embrace digital transformation. However, the expansion of the Internet of Things and data collection practices increase the challenges faced in protecting data privacy. To address these concerns, Info-Tech Research Group, a global IT research and advisory firm, has released research titled Operationalize Data Privacy for Durable Goods Manufacturing to assist industry leaders in integrating privacy measures and safeguarding personal data.

"Using emerging technologies like machine learning and artificial intelligence in the manufacturing industry requires vast amounts of data, which raises the risk of data privacy compliance missteps," says Alan Tang, principal research director at Info-Tech Research Group. "Many manufacturers lack the expertise to manage data privacy risks effectively. Durable goods manufacturing firms must adapt to the changing landscape of their industry and embrace digital transformation while also managing the associated risks, particularly data privacy-related risks. By doing so, they can remain competitive and deliver value to their clients and stakeholders."

Info-Tech's research highlights that with the evolution of manufacturing technologies and processes, the issue of data privacy has surfaced as a prominent risk demanding immediate attention. Despite their crucial role, IT departments often face uncertainty about their effectiveness in risk management due to their historical exclusion from risk discussions in this sector. Complicating this issue further are the constraints of strained budgets and challenges in recruiting and retaining high-level skills. The combination of these factors reveals a substantial expertise deficit among manufacturers in effectively managing data privacy risks.

The blueprint also shows the significant need for durable goods manufacturing firms to secure and monitor their personal data processing mechanisms. This includes examining the types of data they collect, their purpose, and where they are ultimately stored. In the new industry resource, Info-Tech outlines why privacy is necessary for these organizations. The reasons are highlighted below:

Legal Obligations: Failure to comply with privacy laws and regulations can result in serious legal penalties, liability, fines, and other unpleasant consequences.

Customer Trust: Durable goods manufacturing organizations may collect personal information from customers, such as names, addresses, and payment details. It is important to ensure that this information is collected and stored in a way that protects the customer's privacy.

Finances: Data breaches and privacy violations can lead to costly lawsuits, large damages payments, and onerous legal requirements.

Reputation: If a durable goods manufacturing organization experiences a privacy breach, it can lead to negative publicity, loss of customer trust, and reputational damage. This can ultimately lead to a loss of revenue and market share.

Securing Supply Chains: Durable goods manufacturing organizations may need to protect the privacy of their suppliers or partners to prevent supply chain disruptions or breaches.

Info-Tech also highlights the need for readily implementable tools like data privacy policies, procedures, and workflows. The firm explains in the resource that the ultimate goal is to cultivate a business environment within the durable goods manufacturing sector that prioritizes both security and privacy. By doing so, the industry can become more competitive, robust, and resilient.

To learn more about developing manufacturing industry privacy policies, download the complete Operationalize Data Privacy for Durable Goods Manufacturing blueprint.

For media inquiries on the topic or to get exclusive, timely commentary from Alan Tang, an expert on the manufacturing industry, please contact [email protected]

Info-Tech Research Group is one of the world's leading information technology research and advisory firms, proudly serving over 30,000 IT professionals. The company produces unbiased and highly relevant research to help CIOs and IT leaders make strategic, timely, and well-informed decisions. For 25 years, Info-Tech has partnered closely with IT teams to provide them with everything they need, from actionable tools to analyst guidance, ensuring they deliver measurable results for their organizations.

Media professionals can register for unrestricted access to research across IT, HR, and software and over 200 IT and industry analysts through the firm's Media Insiders program. To gain access, contact [email protected].

SOURCE Info-Tech Research Group