Irish manufacturers are moving beyond innovation for innovation’s sake and are redeveloping their tools and their people to adapt to a changing global landscape.
Irish manufacturers are accelerating investment in artificial intelligence, automation, sustainability and workforce development as they navigate one of the most significant periods of industrial change in decades, according to the 2025 Annual Report from Irish Manufacturing Research (IMR).
The report paints a picture of an industry actively embracing new technologies and operational improvements while responding to geopolitical uncertainty, evolving trade dynamics and increasing international competition.
“Manufacturing is undergoing a profound period of transformation”
Founded to demystify, derisk and deliver advanced manufacturing technologies for Irish industry, IMR works with manufacturers through applied research, innovation delivery, training and technology services that translate emerging capability into practical operational improvement.
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During 2025, IMR worked with 679 industrial organisations and delivered 704 engagements across sectors including engineering, medtech, aerospace, food production, construction products, polymers and advanced materials. The organisation also recorded validated economic impact across 31 client companies through its applied research projects, underlining the commercial benefits being realised from innovation-led initiatives.
Eating innovation for breakfast
A key theme throughout the report is the growing shift from technology experimentation to implementation. Manufacturers are increasingly focused on integrating innovations into day-to-day operations and delivering measurable business outcomes.
Training and skills development also remained a major area of activity. IMR delivered 811 training days during the year, with 363 participants from 107 companies receiving training in areas such as digital manufacturing, automation, sustainability and innovation implementation.
Barry Kennedy, CEO of IMR, said the report reflects both the pace of industrial change and the growing ambition of Irish manufacturers.
“Manufacturing is undergoing a profound period of transformation,” Kennedy explained. “Companies are facing increasing pressure to improve productivity, strengthen resilience, reduce environmental impact and remain competitive in an increasingly complex global environment. At the same time, technologies such as artificial intelligence are creating significant opportunities to transform how manufacturing operates.”
He continued: “Across industry we are seeing strong appetite to embrace AI, automation and digital technologies. However, successful adoption requires the right digital foundations. Many manufacturers are still addressing challenges around data, connectivity and digital infrastructure, and building those capabilities is becoming a critical priority for industry.”
Kennedy said manufacturers are increasingly focused on implementation and outcomes rather than experimentation.
“What we are seeing now is a decisive shift from innovation for innovation’s sake towards practical deployment that delivers measurable operational, commercial and sustainability benefits. IMR’s role is to help derisk that transition, accelerate implementation and ensure manufacturers can translate emerging technologies into real business value.”
He added: “Our participation in major European programmes ensures Irish manufacturers remain connected to leading-edge research, international expertise and collaborative innovation networks. At a time when resilience and competitiveness have never been more important, those connections are creating valuable opportunities for Irish industry.”
The report states that IMR will continue to focus on helping manufacturers strengthen competitiveness through technology adoption, workforce development, sustainability initiatives and innovation programmes that deliver measurable operational outcomes.
Image at top: Pictured at Irish Manufacturing Research’s advanced manufacturing facility are Melanie Horkan, HR Manager; Maurice O’Connell, Chief Operating Officer; Gina Horan, Chief Financial Officer; and Barry Kennedy, Chief Executive Officer, as IMR publishes its 2025 Annual Report highlighting the growing role of AI, automation and digital transformation across Irish manufacturing
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