Advancing informatization in the manufacturing sector is a strategic initiative aimed at accelerating industrialization through digital technologies. As underscored in the National Medium and Long-Term Science and Technology Development Plan, this strategy emphasizes the integration of science and technology at the heart of national economic growth. The main goal is to leverage informatization to restructure the economy and shift China’s development model toward increased innovation and efficiency.
Manufacturing informatization combines information technology, automation, modern management methods, and advanced production techniques. This integration facilitates digitalization throughout design and production processes, supports intelligent manufacturing operations, and enhances enterprise management using data-driven decision-making. By adopting high-tech solutions, companies foster innovation across R&D, production, management, and marketing. These changes are critical for China’s manufacturing sector to compete globally, boost independent innovation, and strengthen its market position.
The Plan identifies manufacturing informatization as one of the three main directions for industry development, with a clear emphasis on digitalization and intelligent design and production. Thus, promoting informatization is crucial as China relies on technological progress to become a leading manufacturing powerhouse.
Globally, informatization is a defining trend in manufacturing. Economic globalization has led to worldwide resource allocation, the development of competitive industrial chains and regional clusters, and heightened market competition. The manufacturing industry is evolving toward globalization, clustering, informatization, and increased servitization.
Informatization supports independent innovation, encourages international collaboration, and enables efficient resource allocation, driving the development of industrial chains and regional clusters. As a result, countries worldwide have made manufacturing informatization a strategic priority. Research initiatives in developed nations recognize this process as essential, with ongoing progress characterized by integration, collaboration, and a service-oriented approach.
(1) Integration: Manufacturing IT has progressed from supporting only product design and production to managing the entire product lifecycle. Integration now extends beyond internal business processes to span regions, companies, and even national borders.
(2) Collaboration: International partnerships increasingly require collaborative manufacturing and strategic alliances. Large multinational corporations utilize digital platforms for information sharing, joint development, and global resource management. This allows them to maximize resources, lower costs, and enhance competitiveness.
(3) Service Orientation: Public service platforms provide one-to-many service models, delivering application services to support enterprise operations and enabling seamless integration of information and processes between organizations.
For Chinese enterprises, manufacturing informatization is crucial to achieving global competitiveness. According to a 2005 survey of 2,968 companies across 27 provinces and cities, there is strong demand for digital design tools such as 3D CAD and PDM, as well as digital management systems like ERP.
(1) Resource and Business Integration: Chinese manufacturers have established a foundation in IT applications. As business and IT capabilities develop, the need to integrate product development and management systems grows. Companies are aiming to eliminate information silos and improve resource utilization by connecting 3D modeling, analysis, simulation, process planning, CNC machining, and quality control with key business functions like production, sales, costing, and procurement. Upgrading IT systems to integrate information, logistics, and financial flows has become a top priority.
(2) Inter-enterprise Collaboration: With increasing domestic and international cooperation, Chinese companies require information-based systems to support collaboration. However, current IT infrastructure falls short of enabling effective inter-company cooperation and integrated design and management. There is a pressing need for industry-wide and regional IT collaboration platforms to facilitate supply chain management, sales, and service integration. The absence of such platforms limits business partnerships and efficient resource allocation.
(3) Innovation in Products and Management: The push for innovation is driving companies to seek IT systems that go beyond simple geometric design and data management. Enterprises now expect IT to enable optimization, intelligent design, and innovative management. There is growing demand to integrate 3D modeling with simulation for functional design, performance optimization, interdisciplinary collaboration, and lifecycle management. In management, companies are moving toward integrated information systems and intelligent decision-making tools, progressing from basic data statistics to advanced data mining, analysis, diagnostics, knowledge management, and business integration. This trend reflects the increasing technical requirements for manufacturing informatization. (Source: BIM China Net)
(4) Global Manufacturing Changes: Major transformations in global manufacturing are compelling companies to optimize resource allocation and collaboration at all levels. Economic integration and digital connectivity have made informatization essential for removing barriers within factories, enterprises, society, and across nations.
1) Large Conglomerates: Large corporations must secure critical resources and technologies, foster independent innovation, build strong brands, develop cross-border industrial chains, and actively compete in the global marketplace. Industries such as aviation, aerospace, shipbuilding, automotive, power generation, high-speed rail, processing equipment, home appliances, and textile machinery have already implemented digital design and manufacturing. The current challenge is to maximize core assets, enhance collaboration and innovation, integrate global resources, and achieve cross-enterprise, cross-industry, and cross-border business collaboration.
2) Backbone Enterprises: As key nodes in industrial chains, backbone enterprises must strengthen their expertise and core competencies. Most large and medium-sized manufacturers have adopted CAx and management informatization, digitizing design and management processes. The current focus is on specialized design and manufacturing to maintain global competitiveness. Integrated innovation and information systems—including product modeling, engineering analysis, process design, manufacturing execution, and resource planning—are necessary to transform design, data, and management processes, optimize business workflows, and improve production and cost control. Enterprises with integrated internal systems now need to prioritize supply chain optimization, inter-enterprise collaboration, and business model innovation through deeper informatization.
3) Small and Medium-sized Enterprises (SMEs): SMEs must respond swiftly to market changes, support industrial chains, and secure strong positions within them. By 2004, SMEs accounted for 99.6% of Chinese enterprises and provided over 75% of urban employment. Despite their significance, SMEs face ongoing challenges such as technological gaps, talent shortages, limited funding, and low informatization levels. Achieving greater informatization for sustainable growth and competitiveness remains a major hurdle. Due to their diverse business models, generic IT solutions are often ineffective. Instead, collaborative development within industry chains and regional clusters is essential for SME growth. However, obstacles in information flow and business processes persist. Public service platforms are highly valued for their resource efficiency and cost savings, making them crucial for SME informatization and development. Demand for these platforms is rising rapidly.
Despite significant progress, a notable gap remains in the level of informatization supporting the development of China’s manufacturing sector.
(1) Technology Level: The current state of information technology in China’s manufacturing sector still does not meet the demands of international competition and global resource allocation.
(2) Integrated Application: Chinese companies’ use of IT remains concentrated in isolated technologies or early-stage integrated applications. Information silos are still common, and comprehensive integration across design, manufacturing, and management processes is lacking.
(3) Public Service Platforms: The development of public service platforms is still in its infancy. These platforms are not yet able to fully support SME informatization, and successful models are scarce. Further support and development are needed for both these platforms and specialized manufacturing services.
(4) Software Development: The creation and commercialization of software products with independent intellectual property remain difficult. Domestic software companies struggle to compete with foreign firms, with most focusing on standalone products and toolsets. Problems such as instability and limited capacity for integrated platforms and comprehensive systems persist.
(5) Intermediary Agencies: The technical service capabilities of intermediary agencies are weak. Many provide only basic services—such as training, hardware/software promotion, or website publishing—without expertise in system integration or advanced solutions.
Manufacturing informatization engineering is a landmark strategic initiative for national development. The “Eleventh Five-Year Plan” presents a vital opportunity for China to become an innovation-driven country and upgrade its manufacturing sector. Promoting manufacturing informatization is essential for strengthening China’s industrial foundation, enhancing international competitiveness, and improving enterprise performance. Advancing manufacturing informatization continues to be crucial for China’s ongoing development.
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