A Surprising Disconnect in Manufacturing

Manufacturers around the world continue to invest in automation, data analytics, and AI to sharpen performance. Most are achieving measurable progress: according to recent research by Lifecycle Insights, companies report hitting their key production and efficiency metrics roughly three-quarters of the time. Yet when executives were asked about satisfaction with those results, only 51 percent said they were highly satisfied—and nearly one-third of organizations weren’t sure how satisfied leadership actually was.

That finding—known as the executive satisfaction gap—captures a growing divide between operational progress and executive perception. Factories are delivering output, uptime, and cost improvements, but leadership teams remain unconvinced that those results reflect true business success. Understanding this gap is essential for manufacturers hoping to align technology investments with strategic outcomes.

Understanding the Satisfaction Gap in Manufacturing

75% of manufacturers say their investments in automation, analytics, and AI are succeeding. So why is only half of leadership satisfied with that performance?

Get the Scoop

Why Performance Doesn’t Always Equal Satisfaction

Lifecycle Insights found that no single metric defines manufacturing success. Most companies rely on a mix of measures such as overall equipment effectiveness, on-time delivery, downtime, production cost, and cycle time. These indicators capture operational health but often miss broader outcomes such as profitability, agility, and customer responsiveness. For executives, those larger outcomes determine whether operational progress translates into sustainable advantage.

Survey feedback shows how this disconnect plays out. One participant noted that even strong on-time delivery rates can mask concerns about equipment reliability. Another observed that high productivity numbers lose meaning when cost overruns or material delays erase margin gains. A few respondents even questioned whether consistent goal attainment indicated that targets were set too low in the first place.

Communication gaps compound the issue. Nearly 29 percent of manufacturers said they were unsure about their executives’ satisfaction levels. That uncertainty points to a breakdown in how performance data is shared and interpreted. When metrics remain buried at the plant level or presented without context, leaders struggle to connect them to financial or strategic outcomes. As a result, confidence fades, even when numbers look strong on paper.

Turning Technology into Clarity

Many manufacturers are addressing this disconnect by modernizing how they collect and interpret production data. Respondents cited several key efforts: building machine learning models for predictive analytics, adopting advanced data visualization tools, and moving production data to cloud platforms that make insights available in real time.

One manufacturer described working with partners to develop models that use production data for predictive maintenance and efficiency optimization. Another said that moving to a cloud-based system improved flexibility and enabled leadership to access real-time plant information from anywhere. These examples illustrate a shift from simple performance tracking to deeper performance understanding. Instead of measuring throughput or downtime in isolation, manufacturers are beginning to analyze relationships among machines, production lines, and facilities to uncover what truly drives cost savings, margin improvement, and delivery reliability.

When automation, analytics, and connected equipment work together, executives gain a clearer picture of both cause and effect. They can see not only whether goals were achieved, but why they were met and what can be improved next. That context transforms data into decisions and skepticism into confidence.

Bridging the Gap: Aligning Technology and Business Impact

Lifecycle Insights’ findings suggest that closing the satisfaction gap requires more than installing new systems. It demands a tighter link between operational metrics and business outcomes.

  1. Reframe metrics around value creation.
    Traditional key performance indicators were designed to track efficiency, not necessarily business impact. By pairing operational metrics with financial indicators such as cost per unit, contribution margin, or customer order variability, executives gain visibility into how production performance supports profitability and competitiveness.
  2. Strengthen transparency and communication.
    Performance data should be accessible and meaningful beyond the engineering team. When dashboards connect operational data such as OEE or downtime directly to financial or customer metrics, leadership discussions shift from data validation to action planning.
  3. Measure and reassess value regularly.
    Organizations need ongoing evaluation to determine whether digital initiatives are delivering real returns. Periodic reviews of both technology adoption and business outcomes help maintain alignment as market pressures and executive priorities evolve.
  4. Invest in internal capability.
    Many manufacturers still lack sufficient in-house expertise in analytics, AI, and cloud management. Upskilling programs, targeted hiring, and closer collaboration between IT and operations teams help ensure that new systems deliver on their promise.
  5. Treat solution providers as strategic partners.
    Manufacturers increasingly seek relationships with technology providers who emphasize integration, continuous improvement, and shared accountability. When partners evolve with the business, systems remain relevant and productive over time.

Through these practices, companies can transform technology projects into measurable business achievements. The satisfaction gap begins to narrow when executives can clearly see how operational improvements influence margins, agility, and resilience.

Using Technology to Achieve Business Goals

Improve performance with strategies from the “Smart Manufacturing: Unlocking Value Through Cloud Data, AI, and Automation” report from Lifecycle Insights.

Get the Report

From Metrics to Meaning

The research underscores a fundamental truth: achieving performance goals is not the same as achieving transformation. Metrics confirm progress, but meaning comes from visibility, alignment, and adaptability.

Manufacturers that combine precise measurement with connected systems, modern analytics, and transparent communication are redefining what success looks like. When accurate data flows seamlessly from the shop floor to the boardroom, leaders can make confident decisions that reflect both operational performance and strategic intent. As digital tools mature, the connection between execution and executive confidence will continue to strengthen.

The satisfaction gap, then, is less a flaw than a signal that manufacturing performance management is evolving. Automation, cloud platforms, and AI are not just enhancing efficiency; they are creating the context leaders need to see value clearly and act decisively.

Build a Connected Factory that Works Smarter, Not Harder

Learn how connecting your machines, systems, and people can create more efficient, informed, and resilient manufacturing operations.

Get the Report
Jacob Thompson
Prod Mktg Manager, Sr

Jacob Thompson is a Sr Product Marketing Manager at Epicor, where he leads the go-to-market strategy for ERP solutions. He holds a master's degree from the University of California, Santa Cruz, and lives between California and Hawaii. He enjoys mountain biking, sailing in the San Francisco Bay, and traveling.

Read More by Jacob Thompson