The digital transformation of industry
This is the first study to scrutinize the implications of the digital transformation with regard to the "industrial heart" of Germany and Europe. On the basis of an extensive analysis, we were for the first time able to measure the overall effect of digitization on the German and European economy. The findings reveal the dramatic consequences of the changes currently in progress: If Europe fails to turn the digital transformation to its own advantage, the potential losses for the EU-17 countries add up to 605 billion euros by 2025 – equivalent to the loss of well over 10 percent of the continent's industrial base.
But if Europe is able to harness the possibilities opened up by connected, more efficient production and new business models, its manufacturing industry could gain an extra 1.25 trillion euros in gross value added by 2025.
In light of these high stakes, our study makes specific recommendations on what companies, their associations and the governments in Germany and Europe can do to safeguard the future of their industrial base and generate positive employment effects. The key areas in which action is needed are digital maturity, common standards, powerful infrastructure, and pan-European coordination.
THINK ACT app
"The digital transformation of industry" is also available as eMag in the THINK ACT app by Roland Berger. Learn more on how to get this app.