FY2024 Industrial Technology Survey Project (Research on Productivity Improvement through Digitalization)

Survey Purpose and Background This survey was conducted as a FY2024 METI commissioned project to comprehensively analyze the impact of digitalization progress in Japan's industrial sectors on productivity improvement. It provides detailed investigation of digitalization trends accelerated by the COVID-19 pandemic and accompanying industrial structural changes. Progress of Digitalization by Industry In manufacturing, the introduction of IoT and AI technologies improved production efficiency by an average of 15.3%, with particularly significant improvements observed in the automotive and electronics industries. Service industries also achieved operational efficiency improvements through cloud system adoption and business process automation. Productivity Improvement Effects and Economic Impact Quantitative analysis reveals that companies with advanced digitalization achieved productivity gains 2.3 times higher than companies without such initiatives. Particularly significant effects were observed in labor productivity improvement, cost reduction, and quality enhancement, contributing to strengthening international competitiveness. Challenges and Barriers in Digitalization Key challenges identified include shortage of digital human resources, lack of management understanding, insufficient IT infrastructure, and concerns about cybersecurity. The survey analyzes these barriers by company size and industry characteristics, providing specific recommendations for resolution. Policy Recommendations and Future Directions Based on survey results, policy support measures are proposed including digital human resource development, financial support for SMEs, cybersecurity strengthening, and promotion of industry-academia-government collaboration. The report presents roadmaps for building a competitive industrial structure through digitalization advancement.