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Manufacturing Organizations Doubled AI Investment Yet Only 37% Fully Prepared to Operationalize AI

While 87% of manufacturing leaders and technical specialists report that ROI from their AIOps initiatives has met or exceeded expectations, only 37% say they are fully prepared to operationalize AI at scale, according to The Future of IT Operations in the AI Era, a report from Riverbed.

With 62% of AI projects still in pilot or development stages, and 90% of respondents agreeing that improving data quality is critical to AI success, the findings highlight a sector eager to leverage AI to streamline operations, reduce costs, and navigate increasingly complex global supply chains, yet still working to close the gap between ambition and enterprise-wide AI execution at scale.

As organizations in the manufacturing sector aim to advance their AI journey, there are several significant barriers hindering wide-scale adoption. While more than half (57%) of manufacturing organizations express confidence in their AI projects, and the vast majority agree that improving data quality is critical to success, persistent data quality challenges remain a central obstacle. Almost half (47%) lack confidence in the accuracy and completeness of their organization's data to be able to deliver the right outcomes, and only 34% rate their data as excellent for relevance and suitability. These gaps highlight a clear disconnect between leadership optimism and the technical realities of implementation.

"The manufacturing industry is investing heavily in AI to transform IT operations, and our survey results show that nearly nine in ten companies in this sector (87%) are already meeting or exceeding ROI expectations from their AIOps investments," said Richard Tworek, CTO at Riverbed. "However, many still face major challenges, including gaps in readiness and preparedness, as well as data quality issues which are hindering progress. As a data-driven company, we're helping our manufacturing customers close these gaps with safe, secure and accurate AI built on high-quality real data; delivering practical AI-powered solutions that enable organizations to scale AI across the enterprise."

Tool consolidation a top IT priority for manufacturers

Amid changing processes and varying priorities, manufacturers have pursued an array of IT tools to support shifting goals. The research found that, on average, organizations in this industry currently use 13 observability tools from nine different vendors. In response, 95% of manufacturers are consolidating tools to cut down on sprawl in an effort to reduce costs, streamline operations, and optimize efficiencies across IT operations.

Vendors will be well-served to continue exploring their tools' capabilities, with 91% of manufacturing organizations considering new tools as they look to consolidate. The top capabilities and drivers manufacturing leaders are actively considering when consolidating tools include enhancing tool integration and interoperability (48%), reducing vendor management overhead (47%), and improving IT productivity (46%).

Unified communication in need of reform

With AI and remote work set to transform manufacturing organizations worldwide, the survey found enthusiasm for unified communication tools and their integration into operations.

  • The research revealed that 42% of employees use UC tools throughout their work week and 66% of manufacturing respondents say that these tools are essential to operating effectively on a weekly basis.
  • Despite growing adoption, these tools still have significant room for improvement. Less than half (45%) are satisfied with UC tools' performance, and 42% of manufacturers report experiencing issues with video calls, messaging platforms, and more.
  • The top three challenges organizations face with UC tools include limited visibility (51%), dropped calls (42%), and integration challenges with other enterprise systems (38%). 

Adoption of OpenTelemetry across manufacturing

Manufacturing leaders surveyed also report their views on OpenTelemetry (OTel) and its place within their organization. The research found that 44% have fully implemented OTel, with a further 42% adopting it, and overall, 97% agree that cross-domain OpenTelemetry correlation is critical to their observability strategy. The vast majority (93%) say that OTel is a foundation for future initiatives such as AI-driven automation and 37% cite that OTel is already a mandate in their organization, indicating a substantial interest in this technology.

AI data movement and network performance

With data already identified as a key factor to critical success in the implementation of AI initiatives, 91% of manufacturing respondents cited the movement and sharing of data as important to their organization's overall AI strategy, with 31% stating it's critical and foundational to how they design and executive AI. To further support AI initiatives, 75% of manufacturing respondents plan to establish an AI data repository strategy by 2028.

Respondents also confirmed their top three considerations when enabling their organization to move and scale data effectively were:

  • Network performance and ability (96%) 
  • Cost of data movement and storage (94%) 
  • AI model proximity to data, and interoperability between environments (both 93%)

Additionally, as manufacturing organizations strive to stay competitive, ensuring superior network efficiency and robust data security is a top priority, as 79% report that network performance and security are essential to their AI strategy.

Methodology: The survey polled 1,200 business decision-makers, IT leaders and technical specialists across seven countries and multiple industries, including the Manufacturing sector. The research was conducted by Coleman Parkes Research in July 2025.

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Manufacturing Organizations Doubled AI Investment Yet Only 37% Fully Prepared to Operationalize AI

While 87% of manufacturing leaders and technical specialists report that ROI from their AIOps initiatives has met or exceeded expectations, only 37% say they are fully prepared to operationalize AI at scale, according to The Future of IT Operations in the AI Era, a report from Riverbed.

With 62% of AI projects still in pilot or development stages, and 90% of respondents agreeing that improving data quality is critical to AI success, the findings highlight a sector eager to leverage AI to streamline operations, reduce costs, and navigate increasingly complex global supply chains, yet still working to close the gap between ambition and enterprise-wide AI execution at scale.

As organizations in the manufacturing sector aim to advance their AI journey, there are several significant barriers hindering wide-scale adoption. While more than half (57%) of manufacturing organizations express confidence in their AI projects, and the vast majority agree that improving data quality is critical to success, persistent data quality challenges remain a central obstacle. Almost half (47%) lack confidence in the accuracy and completeness of their organization's data to be able to deliver the right outcomes, and only 34% rate their data as excellent for relevance and suitability. These gaps highlight a clear disconnect between leadership optimism and the technical realities of implementation.

"The manufacturing industry is investing heavily in AI to transform IT operations, and our survey results show that nearly nine in ten companies in this sector (87%) are already meeting or exceeding ROI expectations from their AIOps investments," said Richard Tworek, CTO at Riverbed. "However, many still face major challenges, including gaps in readiness and preparedness, as well as data quality issues which are hindering progress. As a data-driven company, we're helping our manufacturing customers close these gaps with safe, secure and accurate AI built on high-quality real data; delivering practical AI-powered solutions that enable organizations to scale AI across the enterprise."

Tool consolidation a top IT priority for manufacturers

Amid changing processes and varying priorities, manufacturers have pursued an array of IT tools to support shifting goals. The research found that, on average, organizations in this industry currently use 13 observability tools from nine different vendors. In response, 95% of manufacturers are consolidating tools to cut down on sprawl in an effort to reduce costs, streamline operations, and optimize efficiencies across IT operations.

Vendors will be well-served to continue exploring their tools' capabilities, with 91% of manufacturing organizations considering new tools as they look to consolidate. The top capabilities and drivers manufacturing leaders are actively considering when consolidating tools include enhancing tool integration and interoperability (48%), reducing vendor management overhead (47%), and improving IT productivity (46%).

Unified communication in need of reform

With AI and remote work set to transform manufacturing organizations worldwide, the survey found enthusiasm for unified communication tools and their integration into operations.

  • The research revealed that 42% of employees use UC tools throughout their work week and 66% of manufacturing respondents say that these tools are essential to operating effectively on a weekly basis.
  • Despite growing adoption, these tools still have significant room for improvement. Less than half (45%) are satisfied with UC tools' performance, and 42% of manufacturers report experiencing issues with video calls, messaging platforms, and more.
  • The top three challenges organizations face with UC tools include limited visibility (51%), dropped calls (42%), and integration challenges with other enterprise systems (38%). 

Adoption of OpenTelemetry across manufacturing

Manufacturing leaders surveyed also report their views on OpenTelemetry (OTel) and its place within their organization. The research found that 44% have fully implemented OTel, with a further 42% adopting it, and overall, 97% agree that cross-domain OpenTelemetry correlation is critical to their observability strategy. The vast majority (93%) say that OTel is a foundation for future initiatives such as AI-driven automation and 37% cite that OTel is already a mandate in their organization, indicating a substantial interest in this technology.

AI data movement and network performance

With data already identified as a key factor to critical success in the implementation of AI initiatives, 91% of manufacturing respondents cited the movement and sharing of data as important to their organization's overall AI strategy, with 31% stating it's critical and foundational to how they design and executive AI. To further support AI initiatives, 75% of manufacturing respondents plan to establish an AI data repository strategy by 2028.

Respondents also confirmed their top three considerations when enabling their organization to move and scale data effectively were:

  • Network performance and ability (96%) 
  • Cost of data movement and storage (94%) 
  • AI model proximity to data, and interoperability between environments (both 93%)

Additionally, as manufacturing organizations strive to stay competitive, ensuring superior network efficiency and robust data security is a top priority, as 79% report that network performance and security are essential to their AI strategy.

Methodology: The survey polled 1,200 business decision-makers, IT leaders and technical specialists across seven countries and multiple industries, including the Manufacturing sector. The research was conducted by Coleman Parkes Research in July 2025.

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Cloud outages are usually described as technical failures. When a service goes down, a dependency breaks, or a region has issues, the focus immediately shifts to infrastructure. But if you look closely at how these incidents actually unfold, the root cause is rarely the technology itself. It is almost always tied to decisions made earlier, during design, implementation, or day-to-day operations. The system behaves the way it was built. The real question is how it was built ...

77% of leaders say their teams need AI skills urgently. 64% say their organization plans to train current employees rather than hire new ones. So far, so reasonable. The part that surprised me is who's been put in charge: 34% of those leaders say IT and engineering own the AI skills mandate. Learning and Development or HR own it at 7% of organizations. That's roughly five-to-one in favor of the people who understand the tools, over the people whose actual job is teaching adults how to learn new ones ...

In the ever-evolving digital landscape, enterprises are increasingly focused on enhancing their observability stacks to gain deeper insights into their IT environments. Observability has become a cornerstone of modern IT operations, enabling organizations to monitor, diagnose, and optimize their systems with unprecedented precision. However, a critical piece of the puzzle often goes unnoticed in this transformation: IBM i ...

We just surveyed 300 frontend and mobile engineers across 16 countries, and the finding that keeps sticking with me isn't the one about AI. It's this: 74% of engineering teams rate themselves in the "middle" of the observability maturity scale. Not reactive, not strategic. Stuck in the middle. They have dashboards, they have tracing, they have alerts. And yet when something goes wrong, they still can't tell you why ...

In MEAN TIME TO INSIGHT Episode 25, Shamus McGillicuddy, VP of Research, Network Infrastructure and Operations, at EMA discusses  AI's impact on the Wide Area Network (WAN) ... 

Application performance monitoring (APM) dashboards are only as useful as what they are configured to measure. The default setup covers obvious failure modes such as downtime, error spikes, and latency breaches, but it does not cover everything. Some failures produce no alerts or anomalies. The dashboard stays green while users experience a broken product. Here are six signs that is happening ...

The race to deploy AI is largely over. Most enterprises have entered it. The question now is not whether artificial intelligence is running inside the organization. The question is whether anyone is genuinely responsible for what it does. That is not a technical question. It is a leadership one. And most organizations are not yet structured to answer it honestly ...

A new analysis of 250 real-world queries across common retail tasks, such as product pricing, availability, ratings, shipping and specifications, reveals systemic inefficiency at the heart of web-based AI agents. On average, 97.9% of the data retrieved by agents from live web pages is irrelevant to the query being answered. Specifically, the average page ingested ran nearly 9,000 characters, while the average answer was just 32 characters, resulting in a noise-to-signal ratio of 278:1. Price queries were the most extreme outlier, with noise rates approaching 99.5%. That's not a rounding error. That's a structural problem ...

The enterprises that will define the next decade are not the ones that deployed the most technology. They are the ones who understood what their technology was actually doing. That distinction is not a philosophical point. It is the central operational challenge facing every organization that has spent the last five years modernizing at speed ...

AI is becoming the operating system of the enterprise. It acts as an invisible coordination layer that understands intent, connects systems, and executes work across complex SaaS environments. Previously, employees had to click through multiple systems — CRM, ERP, support tools, collaboration platforms — to complete a single task. Now, instead of navigating each application manually, they can simply state what they need to accomplish ...