Manufacturers and distributors continue to invest in technology maturity to improve operations, strengthen resilience and support long-term strategic goals. Yet as technology adoption becomes increasingly common across the industry, a key theme is emerging: organizations with more mature technology capabilities are often realizing stronger business outcomes.
Grassi’s 2026 Manufacturing & Distribution Technology Pulse Survey Report gathered insights from more than 80 business owners, executives and senior leaders. The report found that while most organizations are seeing measurable value from their technology investments, results vary significantly based on how effectively those technologies are integrated, scaled and aligned with broader business objectives.
Technology Investments Are Delivering Measurable Value
Technology is no longer viewed solely as an operational necessity. Across the manufacturing and distribution sector, organizations are increasingly leveraging technology to improve decision-making, increase efficiency and support growth.
- 71% of respondents report measurable or significant business value from their technology investments
While this demonstrates broad confidence in technology, it also raises an important question: what separates organizations realizing strong returns from those still struggling to maximize value? The answer may lie in technology maturity.
Technology Maturity Is Emerging as a Competitive Advantage
One of the most noteworthy findings from the report is the relationship between technology maturity and business outcomes. Most organizations have moved beyond initial adoption and are now focused on expanding technology’s impact across the enterprise. However, few have reached the point where technology is fully embedded.
- 43% of organizations are actively scaling technology across functions and business units
- Only 7% report having technology embedded enterprise-wide as a strategic advantage
This suggests that technology adoption alone is no longer enough. As technology becomes more deeply integrated into operations, decision-making processes and workforce productivity, organizations appear better positioned to generate stronger business outcomes, adapt to disruption more effectively and use technology as a strategic business capability.
Technology maturity for manufacturers and distributors also extends beyond systems and infrastructure. Respondents are seeing benefits that reach across both workforce performance and organizational resilience.
- 59% report improvements in collaboration, flexibility and employee experience
- 55% report gains in employee productivity
- 69% are moderately or highly prepared to use technology to navigate disruption
- Only 20% consider themselves highly prepared with proactive planning and response capabilities
This indicates that more mature technology environments may support both stronger workforce outcomes and greater preparedness for disruption. At the same time, the gap between moderate and high preparedness highlights opportunities for organizations to continue strengthening their technology capabilities.
AI Is Leading Future Investment Priorities
Artificial intelligence has emerged as the clear leader among future technology investment priorities. As organizations look to improve efficiency, strengthen decision-making and enhance resilience, AI is receiving significantly more attention than any other technology category.
- 61% plan to prioritize AI investments over the next 18 months
This suggests that manufacturers and distributors are not simply investing in AI because it is new. Rather, they view AI as a tool to address broader operational challenges. At the same time, organizations continue to invest in foundational capabilities such as data integration, automation and ERP modernization, reflecting a balanced approach to innovation and long-term performance improvement.
Data Integration Remains a Work in Progress
Data integration continues to be a priority across the industry. While most respondents report that their enterprise data is fully or mostly integrated, there is a significant gap between integration and visibility.
- 62% report fully or mostly integrated enterprise data
- Only 23% report fully integrated enterprise data with real-time visibility
This disparity shows that many manufacturers and distributors have made substantial progress connecting systems, but fewer have achieved the level of visibility needed to support faster decision-making, operational agility and enterprise-wide insight. As organizations advance towards technology maturity, improving visibility will be just as important as improving integration.
Execution Is the Primary Challenge, Not ROI
Execution is the most significant obstacle for organizations expanding their technology capabilities. The findings suggest that many respondents continue to face barriers that limit progress as they scale and operationalize technology initiatives.
- Only 4% of organizations cite unclear ROI as their biggest obstacle
- Budget constraints and legacy systems are the top barriers, each cited by 20% of respondents
- 24% report resistance to change or technology adoption challenges
This highlights the disconnect between recognizing technology’s return on investment and realizing its full potential. Addressing resource constraints, modernizing systems and driving workforce adoption are critical for organizations seeking to maximize value from their technology initiatives.
The Bottom Line
The findings point to a clear conclusion: technology investments are creating measurable value across the manufacturing and distribution sector, but technology maturity for manufacturers and distributors is increasingly determining how much value is realized from those investments. Organizations that integrate technology across operations, improve data visibility and align investments with broader business objectives are positioning themselves to drive stronger outcomes, improve workforce productivity and navigate disruption more effectively.
“The results reinforce what we’re hearing throughout the industry: manufacturers and distributors are seeing the strongest results when technology investments are aligned with broader business and operational goals.”
– Robert E. Grote, Manufacturing & Distribution Practice Leader, Grassi
Access the full report to benchmark your organization’s technology priorities against industry peers and gain deeper insight into the trends shaping the future of manufacturing and distribution.
