How to Align Technology Adoption with Your Business Strategy

4/14/2025

BY: STEVE HELMINEN, INDUSTRY 4.0 PROGRAM MANAGER - MMTC

The Technology Strategy Gap in Manufacturing

For the past five years, Michigan Manufacturing Technology Center (MMTC) has had the privilege of performing onsite Technology Opportunity Assessments at the small-to-medium manufacturers (SMMs) across the state. To date, we have sampled over 10% of all manufacturers in Michigan. The first question on the 45-question survey is:

“What is the company strategy for technology adoption?”
and a typical quick follow-up question is:
“Who is in charge of your technology implementation?”

A common finding: Few manufacturers have a Chief Technology Officer (CTO) or equivalent role to lead their tech strategy. It's worth noting that broader research suggests that Industry 4.0 has failed to deliver strong, economy-wide productivity growth in Europe and the United States [1], and that 70% of digital transformations fall short [2], indicating that strategic alignment may be a critical missing piece. The responsibility for sourcing, implementing, and maintaining new technology often falls to whomever is closest to the problem. This approach results in avoidable challenges:

1. The selected technology doesn’t fully address the real problem.
2. Tools and systems go underused or aren’t integrated effectively.
3. Decisions are delayed or sidelined due to uncertainty.
4. Projects lose momentum, stall, or require significant rework.
5. Resources are spent without clear returns, and opportunities are missed.
6. Teams may feel frustrated or overburdened.

Hiring a full-time CTO may be out of reach for many manufacturers, but there are other options. You can bring in a third-party consultant or a fractional (part-time) technology specialist to guide your efforts. Another strong option is partnering with your local Manufacturing Extension Partnership (MEP) Center—MMTC—which can provide education, support, and a roadmap for successful digital transformation.

Planning for Success

The most successful manufacturers don’t simply use technology, they embed it in their culture. It becomes a core value, something they are deeply committed to at every level of the organization. These teams:

• Prioritize enhancing human capabilities VS. replacing them. 
• Use technology to scale what already works VS. trying to patch what doesn’t.

In manufacturing, the lack of technology is rarely the real issue. The true challenges usually come from the voice of the customer or the voice of the business (VOC/VOB). These might include rising material costs, unplanned downtime, or missed production targets.

That’s why the starting point for a strong technology strategy is not a product to be purchased. The starting point is the VOC/VOB-identified problem to be solved. To make technology count, follow this process:

1. Listen to the VOC/VOB: Understand the real, high-priority challenge affecting the organization.
2. Build the Strategy: Establish the outcomes you are working toward.
3. Determine the Tactics: Decide on the methods that will drive your strategy.
4. Select the Tools: Only now should you evaluate and choose technology solutions.

Each technology implementation should be treated as a standalone project with defined scope, timeline, and success criteria. Additionally, it must include an engineering analysis to confirm the solution is designed for the intended application. Deploying products outside their intended use is a common cause of failure.

Technology delivers real value when it is part of a larger system designed with purpose. Many tools are built to solve specific problems. That means success depends not just on what you use, but how well everything works together. When aligned with strategy and scoped properly, technology becomes a powerful way to identify opportunities, measure indicators, and solve problems.

Turn Strategy into Action

If you're exploring new technologies, or struggling to get ROI from those already in place, start by asking these questions:

• What specific challenge are we solving, based on the voice of our customer or business?
• Is our technology approach guided by a clear strategy?
• Do we have the right people in place to lead the implementation, even if part-time or external?

Don’t wait for the perfect moment or perfect product. Start small. Be strategic. At MMTC, we help manufacturers build a technology roadmap that aligns with business goals. Our Technology Opportunity Assessment is a practical first step toward building that alignment.

Contact your Business Solutions Advisor today to schedule a no-cost assessment or to learn more about how we can support your digital transformation efforts.

 

[1] https://www.mckinsey.com/capabilities/operations/our-insights/todays-good-to-great-next-generation-operational-excellence

[2] https://www.bcg.com/publications/2020/increasing-odds-of-success-in-digital-transformation 

 

Categories: Advanced Manufacturing, Industry 4.0, Innovation, Smart Manufacturing, Technology