It’s no secret that Industry 4.0 innovations are changing the way the world manufactures. Everywhere you look, you’ll find a new headline about exciting emerging technologies in every field from IoT to AI to sustainability and beyond. New cutting-edge tech products and disruptive solutions seem to be popping up every day: to read the news, you might expect that every manufacturing professional is well on their way to embracing Industry 4.0 developments in their everyday work.
But for many, that’s not the case. In fact, ever-increasing interest in the topic, the growth rate of the manufacturing tech supplier industry hasn’t followed suit and many engineers have not yet felt their workplace transformed by technological revolution that was promised. So, what are some of the major roadblocks on the way to factory innovation? And more importantly, what can you do to solve them and get moving into the future of Industry 4.0?
1: Unclear Return on Investment
Hype alone can be enough to drive a wave of interest in a new innovative tech, but if a solution is actually going to work out long term (or even get a foot in the door) it’s going to need to be backed by data. It may sound like a simple formality, but creating a strong business case for new innovative tools or solutions can be surprisingly difficult. The most cutting-edge new solutions are just that: new. Brand new developing technologies may not have robust ROI estimates, thorough case studies, or a long history of satisfied reference customers. Because of this, it can be difficult to quantify the benefits of a new innovation effort, which can make it difficult or impossible to justify an investment. Complicating the matter is the fact that Industry 4.0 solutions often target goals that are inherently difficult to quantify, like risk reduction.
Annoying as it may be, this is an obstacle for a good reason. Time and money are both increasingly scarce resources, and manufacturing professionals need to be smart about how they spend both. So if you want to start a new Industry 4.0 innovation project or try out a new tool, you’re going to need to find a way to make your case. One good strategy for doing this is with thorough testing that ramps up in investment, to avoid “sticker shock” from requesting large investment for unproven solutions. $X dollars for a new software tool may be too much without proof it’s going to pay off, but requesting a fraction of that sum for a weeklong demo might be feasible. Starting with small-scale, inexpensive feasibility testing is also a great way to build a business case, as you’ll be able to prove the validity of a larger investment by using the past success of the smaller test.
2: Lack of Funding
You’ve done the work: the product looks good, you’ve tested and built your business case, you’re fairly certain that you’ve got a winner on your hands—but your new innovation project proposal is still getting turned down. Why? Because there simply is no money available.
In an ideal world, every proposal with a positive expected ROI would be funded. But unfortunately, it just isn’t always the case. In times of economic uncertainty, it can be difficult to even pay for necessities, especially when (as in many cases) a return is not guaranteed.
So is there a solution to this age-old problem? The short answer is no: money is a limited resource everywhere, and there may simply be nothing available for investment in the new tech you want to try, even if you’re sure it’ll be a worthwhile investment. The good news is that it’s also probably not entirely hopeless—but you may need to get creative. For example, try to defer costs as yearly or monthly payment instead of a larger upfront lump sum. If your own department has run out of funding, you might try coming up with another application for your project that could allow it to seek funding from another channel. Your organization might also have internal grants or programs specifically for innovation development that could help.
3: Burdensome Bureaucracy
Red tape is inevitable when doing moving or shaking anything in a large company—and for a good reason. The other half of “moving fast” is “breaking things”, and sometimes well-intentioned attempts to prevent the latter also stymie the former. In the best case, it can still take an unacceptably long time for simple things like supplier approval or release of funds. In the worst, you’ll be facing a gauntlet of risk-averse managers insisting that “the way we’ve always done things is just fine.” According to a 2025 study by Deloitte, almost two-thirds of manufacturing professionals cite operation risk as an obstacle to pursuing smart manufacturing goals, and nearly half fear issues like security concerns or operational disruptions.
Thankfully, this is rarely a terminal challenge. Increasingly, even the most old-fashioned are seeing the value of technologies introduced by the Industry 4.0 wave. And if they don’t, it’s your chance to prove it. Despite how annoying it can be to face bureaucratic obstacles to innovation or how pointless some red tape procedures may seem, every one of your coworkers shares the same goal: producing better quality products with less time and money spent. Proving that your innovation idea is in line with this goal—through studies, trials, and data-driven ROI projections—can really help. If your projects are continually delayed, try creating a formal schedule and emphasizing the urgency of your work, either through the immediate benefits it’ll bring or negative outcomes it will help avoid.
4: Thinking Too Far Forward
You just got back from a trade fair where you saw the latest in big Industry 4.0 tech news: an all-new IoT ready automation software for that one tricky problem that’s been troubling you. But now you’re wondering: if it can do all that, why can’t it also take care of those file documentation tasks you’ve been putting off, or some of the data analysis the interns do? It would be even cooler if it could interface with management to optimize the weekly schedule based on HR attendance records. And while we’re innovating, it should probably be able to make your dinner reservations and book a hotel for next year’s conference. After all, isn’t Industry 4.0 supposed to take us into the future?
Unfortunately, dreams of tomorrow don’t solve the problems you’re facing today. It can be very easy to get caught up in the runaway “hype train” of emerging technology—getting so focused on forward thinking that practicality and feasibility are lost along the way. If you’re looking to implement some new technology or develop a new solution for your workplace, it can be helpful to be down to earth and think about immediate benefits rather than dreaming up a long wishlist of changes or features. Doing so can help you keep projects reasonable in scope and budget, and will make you much more likely to succeed in your goals.
5: Whose Job is It, Anyway?
We’ve blamed management and we’ve blamed finance, but it might be time to look at the mirror when trying to find out what’s keeping you from achieving your Industry 4.0 innovation goals. Especially in technical fields like heavy industry or manufacturing, we can easily fall into a rut and focus only on our own tasks and jobs—especially when it may be a struggle just to put out the daily fires necessary to keep production running. Having a bit of free time is often a luxury, and not one you’re likely to spend on researching unproven innovation solutions.
The fact of the matter is that innovation takes work. Finding, testing, justifying, and implementing new solutions can feel like a whole new job on top of your existing responsibilities—at some companies, “innovation scout” literally is an entire job title. But even if your company does have spare change laying around for Industry 4.0 consultants, getting into the weeds on very technical topics requires an expert’s eye. If that expert is you, you’ll need to find the time to devote to the topic.
If you’re interested in finding new solutions but can’t really devote the free time necessary to putting in the legwork, you aren’t alone. Ideally, your solution partners and suppliers should understand this and make the journey to success as easy as possible for you, whether that be through hosting meetings and preparing studies or “translating” technical topics in a way that managers can understand. While it may cost an upfront investment of your time, the rewards you stand to gain from being an early adopter of new innovative technology will be well worth it.
If the Industry 4.0 wave has left you behind because of any of the above roadblocks, you’re not alone. After all, there’s a reason why only half of manufacturing professionals have dedicated teams working on smart manufacturing goals.
If you’re looking to transform your production with an industry-leading digitalization solution for analyzing robotic joining process data, RoboLive®’s team of engineers is ready to help. Our software is backed by over 50 years of international experience in the industrial robotics industry, and we’re prepared to help you overcome the challenges associated with embracing new and innovative tools.
For more information on RoboLive® or to request a consultation, reach out today.