Technology and Innovation for the Future of Production: Accelerating Value Creation

The report identifies the internet of things, artificial intelligence, advanced robotics, wearables, and 3D printing as the primary drivers of a shift toward a 'hyperefficient and flexible factory of the future.' It argues that while these technologies can increase operational efficiency by up to 30% and significantly reduce CO2 emissions, they risk exacerbating inequalities between frontier firms and laggards, and between high-wage and low-wage economies. The document emphasizes the need for a 'T-shaped' interdisciplinary workforce and a shift in government roles from picking winners to orchestrating comprehensive production ecosystems.

• Five core technologies are fundamentally altering global production: the internet of things (IoT), artificial intelligence (AI), advanced robotics, wearables, and 3D printing. These technologies impact the entire 'source-make-deliver-consume-reintegrate' chain.
• Technological adoption is currently concentrated in North America, Europe, and parts of Asia (China, Japan, and South Korea). In 2015, North America and Europe accounted for 80% of the wearables market and nearly 70% of industrial 3D printing units.
• The convergence of these technologies can significantly improve factory performance, potentially increasing efficiency and reducing costs by up to 30%. Specific gains include a 20–30% reduction in energy consumption and a 40% reduction in water usage.
• Technological transformation has a substantial potential for environmental benefit, with an estimate that it could avoid 26.3 billion metric tons of net CO2 emissions between 2016 and 2025, representing 8.5% of global emissions.
• The 'Operator 4.0' represents a new workforce paradigm where humans are augmented by technology—such as exoskeletons and AR—to perform cooperative work with robots, requiring a 'T-shaped' interdisciplinary skill set.
• There is a significant risk that these technologies will widen the gap between 'frontier firms' and 'laggards,' and erode the economic growth of countries that rely solely on labour arbitrage.
• The report identifies five 'tipping points' for widespread adoption: technologies reaching readiness levels 6-9, a one-third reduction in device costs, 40% of assets becoming connected, 25% of orders requiring customization, and 25% of capex being replaced by services-based spending.
• Governments must transition from traditional industrial policies to becoming 'orchestrators of comprehensive production ecosystems,' focusing on research, education, and public-private partnerships.

APA

World Economic Forum (2017). Technology and Innovation for the Future of Production: Accelerating Value Creation. http://www3.weforum.org/docs/WEF_White_Paper_Technology_Innovation_Future_of_Production_2017.pdf

Chicago

World Economic Forum. Technology and Innovation for the Future of Production: Accelerating Value Creation. 2017. http://www3.weforum.org/docs/WEF_White_Paper_Technology_Innovation_Future_of_Production_2017.pdf.

Wikipedia

{{cite report |author=World Economic Forum |title=Technology and Innovation for the Future of Production: Accelerating Value Creation |date=March 2017 |url=http://www3.weforum.org/docs/WEF_White_Paper_Technology_Innovation_Future_of_Production_2017.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{worldeconomicforum2017technology, author = {{World Economic Forum}}, title = {{Technology and Innovation for the Future of Production: Accelerating Value Creation}}, institution = {World Economic Forum}, year = {2017}, month = mar, url = {http://www3.weforum.org/docs/WEF_White_Paper_Technology_Innovation_Future_of_Production_2017.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }