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How AI is transforming research and development
When under pressure to move faster and sustainably, innovation isn’t optional; it’s how you stay ahead.
The takeaways
- AI helps research and development teams accelerate innovation cycles by improving experimentation, data analysis, and product development processes.
- Integrating AI into R&D can help reduce costs, increase speed to market, streamline unnecessary complexity, and unlock new sources of competitive advantage.
- Data quality, security, data availability, and software costs are the biggest challenges to successful AI adoption in R&D.
AI is reshaping how organisations approach research and development (R&D). It’s not just about adopting new tech—it’s about unlocking smarter, faster innovation. With nearly 60% of organisations expecting AI to lift profit margins, the opportunity is clear. For manufacturers, it can unlock shorter development cycles, sharper capabilities, and a stronger position in a competitive market environment.
Let’s take a look at how to get there.
Unlocking opportunities
Proven, ready-to-use use cases across the product lifecycle
AI opens up opportunities across every phase of the product lifecycle—from innovation and product development to realisation, order process, and phase-out. These solutions are mature, proven, and ready to solve the challenges each phase presents.
By using advanced algorithms and AI technology, you can streamline unnecessary complexity, improve product costs,reduce manufacturing costs for individual products, and facilitate optimised operations. Ultimately, that can significantly reduce product cost.
Generative AI can instantly extract and consolidate requirements using semantics and Optical Character Recognition (OCR). This approach helps cut down the time it takes to define requirements, reduces documentation effort and rework, and keeps development moving—so you can stay aligned with what your customers actually need.
AI-powered compliance assistants can track global regulatory changes, assess your portfolio, and connect compliance departments with R&D to implement updates. That means you can respond faster, reduce risk, and keep innovation moving.
AI-powered compliance assistants can track global regulatory changes, assess your portfolio, and connect compliance departments with R&D to implement updates. That means you can respond faster, reduce risk, and keep innovation moving.
Integrating AI into R&D is a strategic shift, not merely a technology upgrade. It strengthens innovation capabilities and shortens development cycles—so manufacturers can compete effectively.
Prof. Dr. Florian Kauf, Partner, PwC Germany
Scaling adoption
What’s holding organisations back—and how to move forward
PwC and Microsoft’s study, AI in operations: Revolutionising the manufacturing industry, highlighted that issues around data quality, security, and availability are top of mind for R&D professionals.
PwC’s business-led framework helps organisations overcome these barriers. Successful AI adoption starts with strategy, not tech. Our approach aligns AI with your goals across five dimensions: strategy, products, processes, IT-technology, and organisation.
Ready to unlock smarter, faster innovation? Explore how AI can transform your R&D, starting with the use cases that deliver real impact.
Published on 26 November 2025
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Get in touch
Prof. Dr. Florian Kauf
Partner
PwC Germany
Andreas Odenkirchen
Data & AI, Director
PwC Germany
Hannes Ramoser
Senior Manager, AI in R&D Lead
PwC Germany
