How open automation can strengthen competitiveness in UK and Irish manufacturing
13 May 2026 
Open, software-defined automation is emerging as an approach being explored by manufacturers in the UK and Ireland as they respond to rising costs, skills shortages and legacy systems. By moving away from vendor-specific technologies, it can offer greater flexibility, help reduce inefficiencies and support digital transformation efforts, contributing to improved competitiveness in a challenging global environment. PWE reports.
Open automation is emerging as a key pathway to industrial competitiveness as manufacturers across the UK and Ireland face mounting economic and operational pressures. The UK and Ireland’s manufacturing landscape is world-class, but manufacturers are operating in an increasingly tough environment. Recovery remains uneven, costs continue to rise, and productivity is under strain. A recent Make UK survey has shown that 65% of manufacturers view escalating energy and employment costs as a direct threat to competitiveness, while skills gaps, transformation costs and legacy systems are holding back nearly two in five firms.
At the same time, industrial electricity prices, some of the highest in Europe, are widening the UK’s automation gap and limiting the sector’s
ability to modernise at pace. Industrial electricity prices stand at 18–20p/kWh in the UK and 24p/kWh in Ireland, compared with just 6–7p in the US and China.
Against this backdrop, improving flexibility, reducing operational inefficiencies and accelerating digital transformation are becoming priorities for many manufacturers. One approach gaining traction across the sector is Open, Software-Defined Automation.
The cost of closed automation systems
Traditionally, industrial companies have had their hands tied with closed automation systems, leading to an over reliance of automation technologies from a single vendor to ensure compatibility and continuity. However, recent supply chain challenges have shown that this approach not only hampers productivity and efficiency, but it also highlights a host of hidden costs.
These include increased downtime, inefficiencies and compliance issues, fragmented workflows and delay. A recent Omdia study found that this costs industry an estimated £8.41 billion ($11.28 billion) annually, equivalent to 4.5% of average turnover. However, small companies are bearing the brunt, with up to 25% in lost revenue due to their scale.
By opting for Open, Software-Defined Automation (OSDA), hidden, recurring costs can be redirected into R&D and innovation budgets. It’s the reason that Schneider Electric, the global leader in digital transformation of energy management and automation, is calling for industry to adopt OSDA and unshackle themselves from single vendors.
Richella Oderbrecht, Chief Marketing Officer Industrial Automation, Schneider Electric, commented:“Industry can’t compete with rigid, closed systems — Omdia found they cost mid-sized manufacturers £8 million annually and large enterprises £33 million. At Schneider Electric, we’re transforming that reality with Open, Software-Defined Automation, already demonstrated in our nine Global Lighthouse factories. This is how we unlock agility, intelligence, and sustainable performance at scale”.
A competitiveness opportunity
For manufacturers in the UK and Ireland, where operational pressures remain particularly high, the ability to modernise production systems quickly and efficiently is becoming increasingly important.
Kristin Baker, VP Industrial & Process Automation for UK & Ireland, Schneider Electric, added: “UK manufacturers are facing real pressures, from high energy costs to legacy systems, but the opportunity to boost competitiveness exists today. With Open, Software-Defined Automation, we can
modernise production at speed and unlock the agility and efficiency our industries need to compete globally.”
Enabling agility
As manufacturers are being tasked with doing more with less Open, Software Defined Automation is already delivering value in the CPG sector where agility is critical to success.
Neil Smith, Global CPG President, Schneider Electric explained: “CPG manufacturers producing essential food, beverage and pharmaceutical products share many of the same challenges as other industrial companies. Our focus is simple: deliver choice. Legacy systems would only allow manufacturers
to advance and innovate at the pace of their vendors for locked-in solutions Open, Software Defined Automation separates software from
hardware in manufacturing production cycles much the same way the music industry digitalised to enable portable, anytime, cross device playlists. It allows manufacturers to use the best tools for their specific business challenges, integrate new capabilities quickly, and evolve at ‘software speed’ rather than being bound by legacy systems.”
The benefits of open automation are already being realised by manufacturers adopting these approaches in practice.
Giuseppe Zichittella, IT Solutions Manager, Zicaffè, explained: “As a fourth-generation family-run company, investing in Open, Software-Defined Automation gives us greater control over our processes and raw materials. This assures the future of the business by allowing us to adapt quickly and stay competitive. Once we introduced EcoStruxure Automation Expert to our process, not only were we free to digitalise at our own rate, we
gained access to vendor-agnostic industrial orchestration capabilities, as well as objective, data-based evidence of volumes and quality.
We achieved ROI within the first year and have not looked back since.”
Building the foundation for open automation
Open SDA can help businesses respond to market changes, skills shortages, and sustainability pressures. Most notably, open platforms present an opportunity for digitalisation without disruption, changing open architecture from a technical feature to a complete mindset shift.
Once in place, open, interoperable architectures act as the building blocks for future transformation, empowering businesses to reach the speed and agility they need to be truly competitive.
EcoStruxure Automation Expert is built in line with the Universal Automation standards and vision to give industrial businesses freedom to adapt, scale, and innovate at a steady pace. The totally integrated automation solution decouples software from hardware, allowing control applications to
be developed, reused, and deployed independently of hardware. This removes the costly constraints outlined in the Omdia report, enabling changes to be made without re-engineering or disruption to operations.
Download the Omdia study at: https://cloud.go.se.com/WW_202511_EAEAccelerationSDAOmdiaEbook_MULTI_NONE_EAE_IAOPS_ALLSEG_ACQ_NA-LP