Staggering impact of manufacturing downtime highlights critical need for digital transformation

The staggering financial and operational impact of unplanned manufacturing downtime emphasizes the critical need for digital transformation across the UK and Europe.

New research from IDS-INDATA indicates that UK and European manufacturers will lose more than £80 billion due to downtime in 2025, highlighting the urgent need for industries to adopt predictive maintenance and digital strategies to combat aging infrastructure, cyber vulnerabilities and supply chain disruption.

What’s driving downtime across key sectors?

Unplanned downtime costs industries billions annually, with some sectors facing high losses. The automotive industry alone could see projected losses of up to £12 billion in 2025, while the highly regulated pharmaceutical industry faces between £500 million and £1 billion in losses due to extended shutdowns, according to the study. 

Aging machinery, outdated operational technology (OT) and cyber threats are among the top contributors to downtime, with industry-specific challenges exacerbating manufacturing stoppages.

Sectors such as food processing, textiles and packaging rely on legacy equipment prone to mechanical failures, hygiene risks and inefficiency. Industries like automotive and electronics depend on just-in-time (JIT) manufacturing and interconnected systems, making them prime targets for cyber threats and supply chain crises.

Pharmaceuticals and chemicals face extended shutdowns due to stringent safety and compliance protocols, which often delay restarts, while workforce shortages contribute to slower response times for maintenance and issue resolution across all sectors.

“Manufacturers are grappling with aging infrastructure that not only leads to mechanical failures but also increases vulnerability to cyber attacks,” said Ryan Cooke, chief information security officer (CISO) at IDS-INDATA. “Without a proactive approach to predictive maintenance and digital resilience, these disruptions will continue to escalate.”

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Manufacturing downtime sector analysis

So who’s suffering the most from unplanned manufacturing downtime? While automotive manufacturers see the highest frequency of downtime (20 to 25 incidents per month), electronics firms are extremely vulnerable due to precision-dependent processes, where even minor faults can lead to full production stoppages, IDS-INDATA stated.

Food manufacturers experience multiple minor stoppages weekly, resulting in around 442 hours of downtime annually. In contrast, pharmaceutical companies suffer fewer but longer-lasting outages (225 to 400 hours per year), with each incident significantly costlier.

Continuous processing in the chemicals sector results in high downtime figures (400 to 600 hours annually), whereas aerospace, with its highly controlled production lines, faces fewer major events but significant delays due to compliance bottlenecks and long-lead maintenance windows.

“These figures highlight the critical need for manufacturers to invest in predictive maintenance and digital resilience,” Cooke said. “Downtime is not just an inconvenience – it’s a multi-billion-pound problem impacting supply chains, production efficiency and profitability.”

Sectors that rely on highly integrated systems, such as automotive and pharmaceuticals, must prioritize real-time monitoring and contingency planning to mitigate these costly disruptions, Cooke added. “By embracing digital transformation, manufacturers can anticipate failures before they happen, protect against cyber threats and ensure operational efficiency.”

Digital transformation challenges

True digital transformation focuses on wholescale organizational change to promote collaborative structures, joined up dataflows, agile process, fast decision-making and empowered people.

However, successful digital transformation is a complex endeavor – and one that is fraught with challenges and obstacles. In fact, almost all businesses (98 percent) experience at least some degree of challenge with their digital transformation efforts, according to research from Salesforce.

PEX Network recently highlighted 10 digital transformation pitfalls that organizations need to consider. These are:

1. Lack of direction
2. Unclear business value
3. Insufficient leadership
4. The technology hype
5. Resistance to change
6. Digital and data immaturity
7. Overlooking data security and privacy
8. Talent shortages and staff turnover
9. Legacy systems and processes
10. Neglecting customer experience

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