Accra:Budget 2027 should prioritize translating technology investments into measurable improvements in productivity, quality, and supply chain resilience, according to technology company Epicor. The focus should not solely be on encouraging manufacturers to adopt new technologies.
According to BERNAMA News Agency, Epicor's regional sales director for Malaysia and Singapore, Ben Lim, emphasized the importance of this approach, particularly for small and medium enterprises (SMEs), which require support to transform digital investments into long-term productivity gains.
Lim highlighted that the opportunity for Budget 2027 is to shift discussions from technology adoption to technology outcomes. He noted that the critical question is how manufacturers can turn their investments into higher productivity, better jobs, and stronger competitiveness.
Malaysia's manufacturing sector is already experiencing strong momentum, with manufacturing sales hitting RM177.3 billion in July, marking a 9.1 percent increase year-on-year. Export-oriented industries accounted for over 72 percent of these sales. Lim suggested that government support should focus on what technology delivers, such as higher productivity, reduced downtime and waste, improved quality, locally strengthened supply chains, and higher-skilled jobs.
Lim stressed the necessity of having the right operational and data foundations to ensure manufacturers can derive tangible business value from artificial intelligence (AI). He pointed out that separate systems for purchasing, inventory, production, and finance might hinder building a consistent view of operations, which is essential for effective AI use.
Digital investment should also include investing in people, with practical training in data analysis, digital production planning, and AI-enabled workflows to enable employees to advance into higher-value roles.
Regarding supply chain resilience, Lim suggested that Budget 2027 should assist manufacturers in diversifying their suppliers and markets while reducing dependency on individual sources of critical materials. Strengthening supplier-development programs that connect Malaysian SMEs with multinational and larger local manufacturers, along with support for certification, technology upgrades, digitalization, and workforce training, could enhance local businesses' participation in higher-value supply chains.
Ultimately, the goal should be to help Malaysian manufacturers build greater agility into their operations, allowing businesses to anticipate changes, understand their impact, and respond swiftly while continuing to compete for new opportunities.
Budget 2027 is set to be presented by Prime Minister and Finance Minister Datuk Seri Anwar Ibrahim in Parliament on October 9, 2026.