The current paradigm of car manufacturing, which provides a variety of models, colors and options, is called mass customization. However, mass customization is now transforming into mass individualization. In mass individualization, products are uniquely catered to consumers’ desires. For example, some car buyers may want to replace ordinary car seats with luxury brands, such as Louis Vuitton, to differentiate themselves.

Rotor blades, guide vanes and other components for jet engines are made from costly materials and machined to precise tolerances. Such components are typically made in batches, due to the time involved in setting up machine centers. The process also requires a fair number of people to tend the machines and assist in changeover.

KAOHSIUNG CITY, Taiwan—ASE Technology Holding Co. Ltd., one of the world’s largest semiconductor testing and packaging firms, plans to build a highly advanced smart factory here, as the industry grapples with a labor shortage.

CHANGWON, South Korea—Automation has enabled LG Electronics to boost productivity, decrease defects and increase safety at its appliance assembly plant here.

As assembly plants become more digitally connected to both suppliers and customers, the potential threat posed by cyberattacks will only get worse. Cyberthreats to manufacturers are real, and the consequences can be devastating.

In today’s smart factories, cyber physical systems monitor physical processes, create a virtual representation of the physical world, and even make decisions. The traditional structure of the automation pyramid and the distinction between information and operations technologies are blurring.

Assembly technology is wonderful, but it is not perfect. In some way, each technological process has a downside.

If the factory of the future will run on data, new types of hardware will be needed to collect, route, process and display it. That means more than just new PLCs, but gateways, edge computers, tablets and other hardware.

To get an idea of the importance of sensors to the factory of the future, head to upstate New York to General Electric’s sprawling assembly plant in Schenectady, NY, where the company makes sodium-nickel batteries for cell-phone towers and other applications.

You can’t accuse Volkswagen’s Dirk Voigt of having his head in the clouds—he’ll take it as a compliment. The head of digital production at VW, Voigt and a team of manufacturing and IT pros are developing an industrial cloud computing system to amalgamate production data from more than 120 factories. The objective: greater efficiency and lower costs.