Written answers

Tuesday, 6 July 2021

Department of Enterprise, Trade and Employment

Industrial Development

Photo of Richard BrutonRichard Bruton (Dublin Bay North, Fine Gael)
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104. To ask the Minister for Enterprise, Trade and Employment his plans to address and manage the digital transformation of Ireland’s manufacturing sectors; and if he will make a statement on the matter. [36424/21]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
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Manufacturing is a central pillar of our economy employing over 235,013 people with 85% of that employment outside Dublin. Over the last decade the manufacturing sector has been undergoing a radical transformation through the adoption of a range of digital technology platforms, collectively referred to as Industry 4.0. This includes robotics, additive manufacturing, cyber security, artificial intelligence and next-generation communications technology such as 5G. The resilience of the manufacturing sector is of critical importance to maintaining a competitive economy and therefore the uptake and adoption of digital technologies in manufacturing has been a key focus of the Government.

To address and manage the digital transformation of Ireland’s manufacturing sector there have been a number of substantial investments by the Government to support the digitisation of the sector and to develop Advanced Manufacturing competency so that investments in digital technologies can result in tangible impact to businesses. These investments are being made by my Department and underpinned by investments through the new Department of Further and Higher Education, Research, Innovation and Science.

In the area of research and development, these investments include two Science Foundation Ireland centres, iForm and Confirm, focussed on research, and Enterprise Ireland/IDA Ireland Technology Centre: Irish Manufacturing Research focussed on innovation. IDA Ireland is also preparing for the launch of an Advanced Manufacturing Centre in Limerick as a national facility focussed on deployment of manufacturing technology at scale.

There have also been substantial investments delivered by Enterprise Ireland and IDA Ireland through a range of grant mechanisms to support the implementation of digital technologies as well as the training and upskilling of the workforce. This includes projects in the area of Advanced Manufacturing supported by the Government’s €500m Disruptive Technologies Innovation Fund delivered through my Department.

In the area of skills for Advanced Manufacturing, my Department is working closely with DFHERIS to align education and training provision with the skills needs arising from digital transformation. Investments in this area include the digital upskilling EXPLORE programme, delivered by the Regional Skills Fora for workers in manufacturing, SOLAS’s Skills to Advance for lower skilled workers, and the subsidised programmes offered through Springboard+ and Skillnet Ireland, with a focus on the future of work in areas like blockchain, Artificial Intelligence, cybersecurity, the Internet of Things, virtual reality and smart factory technologies.

The investments to support the digitisation of the manufacturing sector have also been encompassed by the ambitious Industry 4.0 Strategy launched by my Department in January 2020. A key strategic action of the Industry 4.0 Strategy is the creation of a new coordination mechanism - Future Manufacturing Ireland (FMI). This will ensure coordination of the key supports to the manufacturing sector as well as coherence concerning access to technological resources and funding. Importantly, FMI will ensure that support exists for companies to access a range of resources from fundamental research to applied technology deployment at scale. This will cater for the breath of the manufacturing sector from start-ups and the SME base to large multinational companies and will span all levels of technical maturity appropriately.

Reflecting the importance of the digital transition for Ireland in the coming decade, Ireland’s National Recovery and Resilience Plan includes a programme to drive Digital Transformation of Enterprise in Ireland to support digitalisation including the establishment of a number of European Digital Innovation Hubs (EDIHs) in Ireland. The investment will support initiatives such as developing online presence; digitalisation of products and business processes; and using digital technologies to develop new markets and business models. The EDIHs shall further help companies undertake the digital transformation and become more competitive.

The global pandemic has brought into focus a renewed and accelerated impetus to embrace Digitisation to drive operational efficiencies, create robust supply chains and to contribute to sustainability targets. Through a range of Government investments, including those outlined above, I am satisfied that we are embracing the challenges and the opportunities presented by the digital transformation on manufacturing.

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