With the advent of emerging technologies, industrial sectors face mounting pressure not only to adapt to modern tech but also to lead the way in digital transformation. Even the industrial sectors that are slow to adapt to digital solutions such as Food & Beverage and Manufacturing are not only embracing them but also integrating it into their strategies.
What initially started as separate pilot initiatives or IT enhancements has now transformed into extensive transformation programs, frequently overseen at the board level. The urgency is now fueled not just by the need for efficiency but also by the importance of market relevance, adherence to regulations, and sustainability objectives.
This shift is not only about catching up but rethinking how an entire industry operates and certain technologies are quickly rising to the top of the priority list. One such digital technology is IoT (Internet of Things). IoT has seen a rapid development in the recent past and according to a recent survey of 683 C-Level executives in the DACH region, IoT is a hot topic for the majority of the industries surveyed.
When these executives were asked which digital technologies do they consider important for the success of their organizations in the next five years, there was a strong affinity for IoT by four major industrial sectors out of the eight industries considered for the survey. In the healthcare business and pharma sector (80%), IoT came out as a top priority. Furthermore, IoT was prioritized by the Retail & Consumer goods sector (76.2%), Transportation (90.5%) & Beverages & Food Industrial sector (77.3%) and Production sector (89.1%).
Particularly in industries like retail (90.5%), transportation (90.5%), production (92.4%), and telecommunications (86.5%), artificial intelligence (AI) routinely scores highly. Wireless, cloud, and cybersecurity technologies are also widely used in most industries, suggesting that there is a general demand for infrastructure that is secure, scalable, and connected.
These technologies create the essential digital infrastructure needed to facilitate real-time data transfers, automation, and remote operations — all of which have become more crucial following the pandemic and the continuing global uncertainty.
Certain industries exhibit distinct trends: utilities place a high priority on cybersecurity (93.6%) and green IT (87.2%), while the automotive industry ranks intelligent robots highest (88.9%). Conversely, telecommunications is notable for its early interest in quantum computing (83.8%). These patterns specific to each sector highlight how every industry is tailoring its digital priorities according to operational requirements, customer expectations, and potential for future growth.
A larger trend is reflected in this strong push toward IoT: industries are starting to see digital technologies as essential parts of their long-term business plans rather than as stand-alone tools. IoT is now being used to improve traceability, expedite processes, and facilitate real-time decision-making in industries like production and food and beverage where digital maturity was previously low.
The fact that this change is not limited to early adopters is especially noteworthy. Even industries that have historically been more hesitant to embrace digital technologies are demonstrating a strong desire to make investments. IoT is enabling smarter inventory management, improving customer experiences, and connecting supply chains in the retail and consumer goods industry. It is opening up new possibilities in data-driven diagnostics, equipment maintenance, and patient monitoring in the healthcare and pharmaceutical industries.
According to the overall findings of the survey, IoT is transforming into a strategic necessity rather than merely a passing trend. Its growth indicates a significant shift in how industrial sectors perceive digital tools — not merely as enhancements or add-ons, but as essential components of their operations and competitive strategies.
However, as IoT and other digital technologies become more integrated into strategic planning, the challenges that lie ahead extend beyond technical issues. Organizations are now under increasing pressure to align their internal processes, talent, and culture with their digital goals. Simply investing in technology is insufficient — success increasingly hinges on how effectively businesses can convert those investments into tangible results. This entails upskilling teams, rethinking workflows, and promoting cross-functional collaboration among departments that were previously isolated.
This situation also prompts questions about the speed at which companies can scale their initiatives. While numerous organizations have already initiated pilot projects or adopted specific use cases, the next phase involves progressing beyond experimentation to achieve enterprise-wide transformation. Industries that thrive will be those that act swiftly, yet with strategic insight — focusing on technologies that provide immediate value while establishing a foundation for future innovation.
Crucially, the competitive landscape is evolving. Digital transformation is no longer confined to “tech-driven” sectors. As highlighted in the survey, even traditionally conservative industries such as Food & Beverage and Manufacturing are actively incorporating technologies like IoT, AI, and cloud computing into their fundamental operations. This levels the playing field and intensifies the pressure on organizations that have yet to take action.
Additionally, there are wider ecosystem implications. As companies become increasingly interconnected, their partnerships, supply chains, and customer relationships are being redefined. Businesses will need to consider not only their internal benefits but also how their digital maturity affects their position within the broader industry.
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