Transforming the Manufacturing Industry via Large Language Models
Abstract
The manufacturing industry is undergoing a critical shift toward digital transformation, in which efficiency, innovation, and responsiveness are central to competitiveness. This paper explores the adoption of Large Language Models (LLMs) such as GPT-4o, Command R+, and DeepSeek-Coder to address existing organizational gaps in data readiness, digital infrastructure, and customer engagement. An organizational assessment reveals limited maturity in analytics, a reliance on manual processes, and minimal customer personalization. To overcome these challenges, the study outlines a strategic vision for achieving excellence and customer centricity enabled by AI. Using the McKinsey 7S framework, the paper highlights misalignments in systems, skills, and structures that must evolve to support transformation. Key focus areas for LLM integration include shop-floor tracking, intelligent production scheduling, compliance documentation, and intelligent customer support. Targeted initiatives such as predictive maintenance, AI-powered search functions, virtual customer assistants, and workforce AI literacy programs are proposed. The paper also addresses risks associated with technical limitations, employee resistance, bias, and data privacy, and proposes mitigation strategies to ensure the sustainable adoption of these solutions. Ultimately, this study demonstrates how LLMs can create a lasting competitive edge in the manufacturing industry.
Full Text:
PDFDOI: https://doi.org/10.5296/bms.v17i1.23473
Copyright (c) 2025 Sebastian Quake Sim Ong, Ong Choon Hee, Tan Owee Kowang, Lim Kim Yew

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Business Management and Strategy ISSN 2157-6068
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