We’ve all been there. The manufacturing plant is humming along, everything’s on track, and then—an important order gets delayed, throwing the entire production process into disarray.
Meanwhile, HR is still scrambling to fill workforce gaps, logistics costs are climbing faster than you can keep up, and there’s the added pressure of training employees to adapt to automation. Sound familiar?
These are difficult manufacturing challenges faced by the industry lately.
Workforce shortages, production issues, supply chain disruptions, and sustainability demands are just a few of the challenges in the manufacturing industry. These obstacles are more than short-term headaches—they can gradually reduce your profits and prevent your business from running efficiently.
Let’s look into the top 5 challenges in the manufacturing industry, breaking down key concerns for manufacturers and offering insights to tackle them head-on.
Let’s face it—finding and keeping skilled workers is one of the most pressing manufacturing issues. Between employee retention struggles and rapid advancements in technology, the industry is staring down a widening communication gap and skill shortage.
And it’s not just talk—reports estimate that nearly 1.9 million manufacturing jobs could go unfilled by 2030. That’s a lot of empty workstations.
So, what’s the solution? Manufacturers are shifting gears by focusing on their most important asset: their people.
Competitive pay, flexible schedules, and career growth opportunities are no longer just perks—they’re necessities. And here’s where things get interesting: training programs and digital tools are stepping up to bridge those talent gaps and get workers ready to thrive alongside new technologies.
Take digital signage, for instance. It’s a game-changer for onboarding new team members. Instant instructions? Check. Safety tips flashing in all the right spots? You bet. Even better, smart systems can help managers keep track of skills, training progress, and certifications.
That means you can always put the right people in the right places, reducing manufacturing problems and improving your overall efficiency.
If there’s one thing the past few years have taught manufacturers, it’s that supply chain disruptions aren’t going anywhere.
Despite some post-pandemic improvements, manufacturing challenges like rising transportation costs, material shortages, and geopolitical tensions are still affecting operations. Take shipping rates, for example—they’ve doubled in certain regions, creating significant manufacturing problems due to issues in production and product delivery.
So, how are businesses responding to these manufacturing industry challenges? By getting smarter, faster, and a whole lot more agile with digital signage.
Here's a scenario: A key material delivery gets delayed. Instead of chaos erupting across the factory floor, digital screens immediately display real-time updates, alerting teams to the issue and giving them time to adjust their workflow.
Whether it’s rerouting priorities, swapping materials, or tweaking schedules, digital signage helps workers tackle these production issues head-on without skipping a beat.
Also Read: The Ultimate Guide to Digital Signage Software for Businesses
Sustainability and compliance have officially moved from “nice-to-have” to “non-negotiable.”
For modern manufacturers, the pressure is on to reduce carbon footprints, meet stringent regulations, and prove they’re serious about green practices. It’s no small feat, especially when balancing these efforts with everyday manufacturing challenges like issues in production, and operational costs.
A recent 2024 report from Make UK highlights just how fast the tide is turning. The number of UK manufacturers with environmental, social, and governance (ESG) targets has surged by a whopping 48%—a clear sign that businesses are stepping up globally.
So, where does digital signage fit in?
Let’s say a new environmental regulation rolls out. Instead of relying on scattered emails or printed memos that are hard to locate, digital screens can instantly share updated compliance steps across the floor. This ensures workers know exactly what to do to meet manufacturing industry challenges and avoid costly fines.
But sustainability isn’t just about ticking boxes. Digital signage can also showcase energy-saving efforts, reduced emissions, and other sustainability milestones in real time—turning hard work into visible progress.
Also Read: How Digital Signage Enhances Safety & Compliance in Manufacturing Industry
Manufacturers often face manufacturing issues like integrating advanced systems with legacy equipment, training employees to work alongside machines, and tackling growing cybersecurity risks.
This is where digital signage comes in as a problem solver.
It bridges the communication gap between humans and machines with real-time updates, step-by-step instructions, and process alerts. The result? Fewer errors, smoother workflows, and clearer collaboration between teams and tech.
For instance, manufacturers are increasingly turning to predictive analytics and AI tools. Their benefit? Optimizing production schedules, detecting equipment failures before they happen, and enhancing quality control. But these innovations need clear communication to reach their full potential.
A live example of this would be digital signage alerting workers to an upcoming equipment issue or highlighting AI-optimized changes to assembly line processes. By delivering this information instantly, digital signage ensures everyone stays in sync and production issues are addressed before they escalate.
This not only reduces common manufacturing challenges but also ensures teams are equipped to maximize the benefits of automation.
If rising costs are starting to become a concern, you’re not alone. Between escalating raw material prices, labor expenses, and energy bills, manufacturers are facing an uphill battle to keep profit margins intact.
In fact, over 35% of manufacturers point to rising logistics costs as one of their biggest challenges in 2025. Combine that with inflation and overhead struggles, and the pressure is enough to test even the most efficient operations.
So, what’s the game plan? By providing real-time updates on workflows and inventory statuses, digital signage solutions help manufacturers tackle manufacturing challenges like delays, waste, and bottlenecks. The benefit? Reduced overhead costs and better profitability for manufacturers.
Businesses can also employ other strategies to cope up with rising costs by focusing on being more efficient. Take lean principles and digital twins, for instance. Lean strategies like Kaizen help trim unnecessary steps, while digital twins—virtual replicas of physical processes—offer a high-tech way to predict inefficiencies and optimize production.
Pair these technologies with digital signage, and teams get instant insights into resource usage, equipment performance, and areas where costs are creeping up.
Ready to see the difference digital signage can make? Book a demo with us!
Also Read: How to Reduce Labor Costs in Manufacturing with Digital Signage
The manufacturing industry in 2025 finds itself challenged with numerous challenges like workforce shortages, production issues and many more. The solution?
Adoption of digital technology that helps ease concerns for manufacturers.
Enter digital signage—a versatile solution that helps modern factories stay on top of manufacturing challenges.
If you’re ready to take that next step, L Squared is the partner you need.
With years of expertise and a proven track record with Fortune 500 companies, L Squared will help you transform your operations with 24/5 support and fully customizable integrations.
Ready to transform your operations? Reach out to L Squared today!
1) How can manufacturers address the challenge of supply chain disruptions?
Manufacturers can address supply chain disruptions by adopting agile strategies like Kaizen and using digital tools like real-time digital signage. Digital signage helps teams stay updated on material delays, adjust workflows, and prioritize tasks efficiently. Pairing it with predictive analytics and supply chain management software allows businesses to anticipate disruptions and optimize their inventory.
2) What are some strategies for improving manufacturing efficiency?
Improving manufacturing efficiency starts with leveraging digital signage to provide real-time updates on workflows and equipment performance. Combining this with lean manufacturing principles, such as eliminating waste and streamlining processes, can make a significant difference. Digital twins and AI tools also play a critical role by predicting inefficiencies and optimizing production.