Steve Gregory is part of the delivery team at RTC North, a technology and consultancy partner for Made Smarter in Yorkshire.
In 2026, adoption is being driven by technological progress, retailer pressure, and the growing need for resilience, efficiency, and transparency across supply chains.Yet maturity levels still vary widely, particularly among smaller businesses balancing day-to-day production with long-term investment decisions.
One of the most significant drivers of digitalisation today is the need for better data. Across food manufacturing, businesses are recognising that reliable, connected data is the foundation on which all other digital technologies depend. Without accurate insight into production rates, yields, quality, energy use, and costs, it is impossible to make informed decisions, let alone deploy advanced tools such as artificial intelligence or digital twins. In a market where margins are tight and energy costs volatile, that lack of visibility directly affects competitiveness.
As a result, software integration and data connectivity are having the greatest immediate impact. Manufacturers are increasingly looking to connect production systems with quality, finance, HR, and supply chain data, creating a single view of performance. This enables clearer visibility of profitability by product or shift, faster identification of inefficiencies, and quicker responses to issues on the factory floor.
Alongside this, automation and robotics continue to play an important role, particularly in packaging, handling, and repetitive tasks. A practical example can be seen at Horsforth Brewery, which replaced a manual canning process producing around 200 cans per hour with an automated line capable of 500 cans per hour, a 150% increase in output. The new system reduced staffing requirements, improved consistency, and extended shelf life from six to nine months, creating a scalable foundation for future digital improvements.
However, food presents unique challenges. Products are often fragile, variable, and subject to strict hygiene and safety controls. Effective automation therefore requires careful design and integration, rather than off-the-shelf solutions.
AI and data analytics are also emerging as powerful enablers, particularly in monitoring critical control points, optimising processes, improving yields, and managing energy use. In practical terms, this might mean predictive maintenance that identifies equipment failure before downtime occurs, or real-time temperature monitoring that flags compliance risks instantly. In food manufacturing, where cooking, cooling, cleaning, and compliance are central to operations, AI offers significant potential. Yet its value is entirely dependent on the quality of underlying data. Where data is incomplete or inconsistent, AI simply amplifies existing problems.
Other technologies are supporting this digital shift. Virtual and augmented reality are increasingly used for maintenance, training, and remote support, helping address skills shortages and reduce downtime. Additive manufacturing is enabling rapid production of replacement parts for legacy equipment, extending the life of existing machinery. Digital twins, while still emerging, show promise in optimising layouts, utilities, and energy-intensive processes common in food factories.
Beyond technology, several wider trends are accelerating digitalisation. Retailer and customer demands for traceability, transparency, and real-time data continue to grow, driven by food safety requirements and consumer expectations. Regulation is tightening, while rising energy and utility costs are pushing manufacturers to seek digital solutions that reduce waste and improve efficiency.
Despite this momentum, one of the biggest challenges remains moving from successful pilot projects to factory-wide implementation. Too often, digital initiatives stall after early trials. This is rarely due to technology failure. Instead, it reflects deeper issues around data foundations, return on investment, skills, and change management.
In York, ethical chocolatier Choc Affair used a digital roadmap to identify automation as a priority investment, increasing labelling capacity from 600,000 to 1.5 million bars per year without expanding premises or headcount. The result was faster turnaround, lower costs, and an estimated 45% uplift in turnover, demonstrating how targeted digital investment can unlock scale when guided by a clear plan.
When it comes to the crunch, leadership and culture determine whether digitalisation succeeds or stalls. Technology can be installed, but without leaders who ask the right questions, trust data, and embed new ways of working across the factory, transformation will not scale.
In Yorkshire, this is increasingly being addressed through a combination of technical guidance, capital funding, and skills development delivered through Made Smarter, with delivery partners such as RTC North supporting both technology adoption and capability building.
Skills programmes, including Digital Leadership and Digital Champions programmes, and access to digital interns, are helping manufacturers move beyond isolated improvements and embed change. Food businesses engaging in this approach include York Coffee, Yorkshire Dough Co, Troy Foods, and White's Bakery.
Ultimately, the digitalisation of food factories in 2026 is best understood as a journey rather than a leap. Those that succeed will be the businesses that focus first on getting the basics right, understanding processes, collecting the right data, and building capability step by step. With the right foundations in place, today’s technologies can deliver transformative, factory-wide impact.
To learn more visit: https://www.madesmarter.uk/Yorkshire