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Today’s flash briefing is about the current landscape of the U.S. manufacturing sector and how new digital technologies will lead to collaboration between man and machine.

Political promises to “bring back”’ well-paid jobs in manufacturing and other sectors are ignoring the realities of a global interconnected economy. The reality is that we need to focus on the challenges and opportunities presented by new technology trends like artificial intelligence, machine learning, and Big Data analytics.

According to James Manyika, director of the McKinsey Global Institute,… “The development of automation enabled by technologies including robotics and artificial intelligence, brings the promise of higher productivity and economic growth, as well as increased efficiencies, safety, and convenience. However, these technologies also raise questions about the broader impact automation has on jobs, skills, wages and the nature of the work itself.

And the concerns of some employees and young people about the impact of next generation automation on jobs and pay are very understandable. The Brookings Institution calculated that since 1980, globalization, offshoring, and automation eliminated nearly 7 million manufacturing jobs in the U.S. – more than one-third of U.S. manufacturing positions – as manufacturing employment plunged from 18.9 million jobs to 12.2 million.

Additionally, the “job intensity” of America’s traditional manufacturing industries is also in decline. In 1980 it took 25 jobs to generate $1 million in manufacturing output in the U.S. Today, it takes just five. The advent of advanced manufacturing techniques and ‘smart factories’ suggest these trends will continue, including the substitution of capital investment replacing employees and employee investment.

But the picture for people who work in the manufacturing sector isn’t as bleak as it may seem. In fact, all signs point to greater collaboration between man and machine, and over time, machine learning and other advanced technologies will create new growth opportunities and jobs for workers with updated skills.

Tune in tomorrow as we take a deeper look at the impact of technology adoption on the manufacturing sector.

That’s today’s briefing. , For more business insights on disruptive technology and trends, visit www.Digitalistmag.com from SAP.