139 Report – Manufacturing Spotlight, a July 2025 report published by Microsoft, hurdles include siloed simulation models, digital thread gaps and poor integration of computer-aided design, computer-aided engineering and product lifecycle management (PLM). “Cloud-native platforms and open APIs can help overcome these hurdles,” says Chien. “A strong example is Hexagon, which rebuilt its SDx platform on Azure, enabling customers to automate engineering workflows and achieve dramatic reductions in onboarding time and operational costs.” Hexagon’s customers are now realising more than 90 per cent reductions in facility onboarding and saving millions in productivity improvements and data processing. This kind of result highlights why cloud migration has become a strategic enabler for real-time collaboration, security and scalability. “Engineers gain faster access to PLM tools without heavy IT overhead, while organisations benefit from centralised governance and compliance,” says Chien. “Cloud also unlocks high-performance computing for simulation, allowing more iterations and better design optimisation. PTC’s transition of Windchill and Creo to Azure illustrates this impact, enabling improved performance and real-time collaboration across global engineering teams.” The integration of AI into core engineering platforms is further transforming the workforce by automating repetitive tasks, accelerating simulation and improving decision-making. In vehicle manufacturing, Volkswagen, for instance, uses Microsoft Copilot to streamline “ A shift-left approach improves cross-functional collaboration and supports compliance” JOHN CHIEN, MICROSOFT Rolls-Royce has unified engineering and operational data on Microsoft Azure, which has reduced downtime across its aerospace fleet and delivered significant cost savings INDUSTRIALS & MANUFACTURING Photo: Rolls-Royce Deutschland/Steffen Weigelt
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