Manufacturers to Spend US$19.8 Billion on Data Management and Analytics by 2026
Data collection processes and analytical tools will offer insights into machinery health and production line optimization.
May 21, 2020
ABI Research forecasts that in 2026, manufacturers and industrial firms will be spending on US$19.8 billion on data management, data analytics, and associated professional services.
“For many manufacturers, there is an appreciation that operational decisions need to be based on empirical evidence rather than guesswork. The challenges are not necessarily capturing and analyzing data, rather what to analyze in the first place,” explains Michael Larner, Principal Analyst at ABI Research. “The findings need to have a meaningful impact on operations and so manufacturers need to take a step back and devise precise objectives.”
The advancements in Artificial Intelligence (AI) and machine learning mean that suppliers’ cannot just report data but also predict outcomes and suggest recommended actions. The orientation for action makes for compelling propositions, and when combined with data visualization platforms embed data in many different roles. The advent of no code/low code platforms allows staff not have to be data scientists to utilize analytics in their roles.
“While manufacturers have spent decades refining their physical production lines, today they need to expend effort in optimizing their processes for collecting and analyzing data. But data should not be collected just for the sake of it,” Larner concludes.
These findings are from ABI Research’s Data Management in Industrial Applications application analysis report. This report is part of the company’s Industrial and Manufacturing research service, which includes research, data, and ABI Insights. Based on extensive primary interviews, Application Analysis reports present in-depth analysis on key market trends and factors for a specific application, which could focus on an individual market or geography.
Sources: Press materials received from the company and additional information gleaned from the company’s website.