The Next Industrial Revolution: AI Agents At The Heart Of Transformation
The manufacturing sector has always been at the forefront of innovation. From the steam engine to the assembly line, each leap has redefined what's possible on the shop floor. Today, we stand at the threshold of another seismic shift—one powered not just by machines, but by intelligence itself.
The World Economic Forum's latest whitepaper, 'Frontier Technologies in Industrial Operations: The Rise of Artificial Intelligence Agents,' paints a compelling picture of this new era.
Why Now? The Case for Frontier Technologies
Industrial operations have long relied on innovations such as robotics and the industrial internet of things (IIoT) to drive productivity and efficiency. But the challenges facing manufacturers today are as complex as they are urgent. Labor shortages, rising costs, volatile supply chains, and the relentless push for sustainability are all converging. Manufacturers must not only optimize cost and efficiency but also adapt to rapid change, ensure resilience, and meet sustainability goals.
Traditional technologies, while powerful, are no longer enough to meet these demands. The answer lies in embracing what the WEF call 'frontier technologies." Those that push the boundaries of what's possible and unlock new forms of collaborative intelligence between humans and machines.
But why the focus on AI agents, and why now? The answer is simple: AI agents are not just another tool in the digital toolbox. They represent a new paradigm—one where software and robots can autonomously perceive, decide, and act, freeing up human workers to focus on creativity, strategy, and innovation.
The Rise of AI Agents: Virtual and Embodied
Success requires a leap beyond incremental improvement—toward near-autonomous, AI-centric operations that empower people and machines to collaborate seamlessly.
The whitepaper highlights two main types of AI agents driving this transformation:
Virtual AI agents operate within software environments. Think of them as digital colleagues—always on, always learning, and capable of making decisions in real time. These agents can act as assistants, advisers, or even fully autonomous controllers, handling everything from production scheduling to predictive maintenance.
For example, a virtual AI agent might monitor a production line, identify bottlenecks, and automatically adjust workflows to optimize throughput. In supply chain management, these agents can analyze vast amounts of data, anticipate disruptions, and recommend alternative sourcing strategies—often before a human would even notice a problem.
Embodied AI agents take things a step further. These are robots equipped with advanced AI, capable of perceiving and interacting with the physical world. Unlike traditional robots, which are limited to repetitive, pre-programmed tasks, embodied AI agents can adapt to changing environments, handle complex assemblies, and even collaborate safely alongside human workers.
Picture a robot that can not only pick and place components but also recognize when a part is defective, adjust its grip, or reroute itself to avoid an obstacle—no manual intervention required. This is the promise of embodied AI: robotics that are as flexible and intuitive as the people working beside them.
Redefining the Human Role
One of the most exciting—and perhaps misunderstood—aspects of this transformation is the role of people.
Karim Lakhani, a professor at Harvard Business School, when asked, 'Will AI replace humans?', famously replied, 'Of course AI won't replace humans. But humans with AI will replace humans without AI.'
Far from replacing humans, AI agents are designed to augment human capabilities. As operations become more autonomous, the role of the worker evolves from hands-on operator to orchestrator and innovator.
Strategic Imperatives: Building the Foundations
Of course, realizing the full potential of AI agents requires more than just deploying new technology. Manufacturers must lay strong organizational and technological foundations:
Looking Ahead: From Experimentation to Transformation
The journey to AI-driven, near-autonomous operations is just beginning. Early adopters are already seeing tangible benefits, from reduced energy consumption to higher product quality and more resilient supply chains. But the real prize lies ahead: a future where manufacturers can respond to change with agility, drive sustainable growth, and empower their people like never before.
As the white paper concludes, manufacturers who embrace frontier technologies today will be the leaders of tomorrow. The Intelligent Age is here—are you ready to seize it?
Want to learn more about how AI-powered supply chains meet today's needs while preparing for tomorrow? Check out this IDC Analyst Brief: 'AI-Powered Business Suite for Supply Chain."
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
39 minutes ago
- Yahoo
Xometry, Inc. (XMTR) Soars to 52-Week High, Time to Cash Out?
Shares of Xometry (XMTR) have been strong performers lately, with the stock up 36.9% over the past month. The stock hit a new 52-week high of $48.6 in the previous session. Xometry has gained 11.3% since the start of the year compared to the 6.9% gain for the Zacks Industrial Products sector and the 7.2% return for the Zacks Manufacturing - General Industrial industry. What's Driving the Outperformance? The stock has an impressive record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on August 5, 2025, Xometry reported EPS of $0.09 versus consensus estimate of $0.05. For the current fiscal year, Xometry is expected to post earnings of $0.35 per share on $657.33 in revenues. This represents a 975% change in EPS on a 20.49% change in revenues. For the next fiscal year, the company is expected to earn $0.82 per share on $778.59 in revenues. This represents a year-over-year change of 134.29% and 18.45%, respectively. Valuation Metrics While Xometry has moved to its 52-week high over the past few weeks, investors need to be asking, what is next for the company? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself. On this front, we can look at the Zacks Style Scores, as they provide investors with an additional way to sort through stocks (beyond looking at the Zacks Rank of a security). These styles are represented by grades running from A to F in the categories of Value, Growth, and Momentum, while there is a combined VGM Score as well. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style. Xometry has a Value Score of F. The stock's Growth and Momentum Scores are A and A, respectively, giving the company a VGM Score of B. In terms of its value breakdown, the stock currently trades at 135.6X current fiscal year EPS estimates, which is a premium to the peer industry average of 23.3X. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective. Zacks Rank We also need to consider the stock's Zacks Rank, as this supersedes any trend on the style score front. Fortunately, Xometry currently has a Zacks Rank of #2 (Buy) thanks to favorable earnings estimate revisions from covering analysts. Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Xometry fits the bill. Thus, it seems as though Xometry shares could still be poised for more gains ahead. How Does XMTR Stack Up to the Competition? Shares of XMTR have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Gorman-Rupp Company (The) (GRC). GRC has a Zacks Rank of #2 (Buy) and a Value Score of C, a Growth Score of B, and a Momentum Score of C. Earnings were strong last quarter. Gorman-Rupp Company (The) beat our consensus estimate by 9.09%, and for the current fiscal year, GRC is expected to post earnings of $2.04 per share on revenue of $680.77 million. Shares of Gorman-Rupp Company (The) have gained 16.5% over the past month, and currently trade at a forward P/E of 20.93X and a P/CF of 13.94X. The Manufacturing - General Industrial industry is in the top 14% of all the industries we have in our universe, so it looks like there are some nice tailwinds for XMTR and GRC, even beyond their own solid fundamental situation. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Xometry, Inc. (XMTR) : Free Stock Analysis Report Gorman-Rupp Company (The) (GRC) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Fast Company
an hour ago
- Fast Company
The invisible architects: How can ingredient brands scale?
It's the story as old as (industrial) time. In the design/innovation world, not every great result will carry its maker's name. There are some notable exceptions. Corning is the widely known supplier of ultradurable glass (Gorilla Glass) used in iPhones, for example. And GORE-TEX is known for premium outdoor gears' breathable waterproof membrane, a material of choice. But behind most every iconic solution there are scores of silent partners like our own, Chang Robotics, whose involvement may never be known. Herein lies the problem: How can you gain recognition, build authority, and attract new business while honoring strict NDAs or white-label relationships? I know this challenge keenly. We provide scores of organizations with game-changing automation. But how will the next set of Fortune 500 CEOs considering new automation or reshoring know they should talk to us? We are far from alone. In 2022, there were some 239,000 U.S. manufacturing organizations — engineering firms, product designers, and R&D labs. All but 4,177 have fewer than 500 employees. We comprise the legions whose design and production touches most products we experience, but whose names are seldom part of the story. Here are five ways to share the news about our achievements to allow us to scale: 1. Tell the story without naming names One of the most effective strategies is to frame your achievements by category, not by client. Rather than revealing client names we describe the following: The type of client: e.g., 'a Fortune 100 healthcare device manufacturer' or 'a leading North American foods and packaging provider.' The challenge solved: e.g., 'We accelerated time-to-market by 42% for a new diagnostic platform.' The impact achieved: e.g., 'We are eliminating the use of PFAs (forever chemicals) in food packaging.' We can maintain confidentiality while still showcasing credible and impactful stories. In some cases, we can show the world a physical product in final development before any branding is attached. Sometimes after time passes and development cycles are complete, customers may be willing to officially or unofficially acknowledge a partner's role. Or they may allow the client to use them as a confidential reference, or name them as client if you don't disclose confidential details of your work. Any of these moves, especially in aggregate, can speed your ability to gain the authority you deserve. 2. Own your domain expertise through thought leadership Even when you can't name who you're working with, you can be very clear about what you do and why it matters. Take every possible opportunity to publish thought leadership reports that explore: Emerging trends in your field Lessons learned from anonymous project work Predictions about where your segment is headed Provide this information in as specific and meaningful detail as possible. We do this frequently through white papers and research reports about the industries and development categories we touch. This strategy positions your brand as a go-to expert without violating confidential ground. Some of your clients or prospective clients may even be willing to participate in the white paper projects as sources. 3. Create your own use cases When you can't speak about the solutions you've built for others, consider building your own. Create demo products, concept videos, or 'hypothetical' use cases that mirror real-world applications aligned with industries you're targeting. Or—taken to full fruition—underwrite and support portfolio firms of your own. We've stepped into this arena, creating the Chang Robotics Fund, which has already invested in eight companies. It is allowing us to scale in several significant ways: 1) We can be fully visible for our roles in each portfolio company. 2) We can display the results of our technical prowess. 3) Perhaps most valuable for us, some results are based on IP from our core employees. This provides them the opportunity to participate as equity owners in their projects while also enjoying the security of their employee positions. To a large degree, this is a model where everyone wins. 4. Gain visibility through the right channels In your effort to gain authority in your sector, focus on information channels that reward expertise over promotional content such as: Contribute to leading business and trade publications or speak at industry events. My participation in the Fast Company Innovation Council is an example of this. Use platforms like LinkedIn, X, and even TikTok to share expertise and insights (not sales pitches) aligned with the vertical markets you serve. I cannot emphasize the value of these efforts enough, as they comprise some of our most successful achievements in driving new business in 2025-2026. These environments elevate your voice among peers and prospects without needing to self-promote or name-drop. 5. Partner with clients for joint wins When your clients can publicly acknowledge your role, even as a footnote, be ready to draft joint case studies, share in award applications, and coauthor technical papers or conference presentations. This is more difficult when clients are publicly traded organizations. But many clients (and particularly major university clients and partners) are open to win-win mutual visibility. This is especially true in technical fields where peer credibility counts, and the academic research can be helpful for your own organization as well.
Yahoo
an hour ago
- Yahoo
Banks accelerate AI deployments as agentic tools gain traction
This story was originally published on CIO Dive. To receive daily news and insights, subscribe to our free daily CIO Dive newsletter. Dive Brief: Banks ramped up AI adoption as agentic tools began to gain traction in the sector during the first half of the year, according to an Evident Insights' AI report published last week. The number of new use cases launched by 50 of the world's largest financial firms doubled compared to the last half of 2024 while the number of technologists working on agentic AI grew more than tenfold, the analysis found. More than half of the 173 use cases deployed by the banks analyzed leveraged generative AI capabilities, Evident said. Nine of the 50 firms documented AI agents in the pilot or production phase, but BNY, Capital One and JPMorgan Chase were the only firms to disclose details of the supporting architecture for agentic workflows. Banks are grappling with twin objectives, according to the report. 'They are optimizing potential outcomes from generative AI deployments, while simultaneously assessing early experiments with agentic AI,' Evident said. Dive Brief: Banks expect to reap substantial rewards from sustained investments in generative AI capabilities. The technology's ability to harness vast stores of untapped enterprise data, digest raw documentation and deliver insights that expedite analytics and customer service processes are already transforming daily operations, as developers test the mettle of natural language assistants to ease cumbersome coding tasks. While most of the focus thus far has been directed toward internal use cases, a shift toward the customer is underway. 'The vast majority … of Gen AI applications define the end user as a bank employee,' the firm said. Only 15 of 97 generative AI use cases currently deployed are accessible to clients, account holders or prospective customers without a human intermediary. Retail banking has taken the lead on outward-facing assistants, using generative AI to upgrade legacy chatbots and power in-app avatars that personalize device-based customer interactions. Wells Fargo, for example, beefed up its Fargo virtual banking assistant with Google's Gemini 2.0 Flash and several other smaller internal models, Evident said. The bank is aiming to up its agentic game through an expanded partnership with Google announced earlier this month. Commerzbank leaned on Microsoft's Azure AI toolkit to roll out AI avatar Ava in April. The app-based assistant answers general banking questions and is designed to provide customers with personalized account information, the company said in an announcement. As other firms weigh the risks of entrusting customer outcomes to generative AI, daily usage is proliferating internally. Ten of the leading banks in the Evident AI Index, including JPMorgan Chase, Citigroup and Bank of America, have collectively placed AI tools in the hands of over 800,000 employees, representing two-thirds of their workforce. Banks have had the biggest AI wins to date in front office applications and IT and security functions, according to Evident. More than two-thirds of use cases with reported outcomes, including tools that assist sales, were concentrated in these areas. 'Leading banks will use the back half of the year to scale generative AI – and work to put more tools in customers' hands,' Evident said in a post accompanying the report. 'As they scale AI and ramp up to agentic, they'll look to bring the tech everywhere across the bank.' Recommended Reading Google's new features place generative AI in workers' hands Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
