Establishing AI Infrastructure: A Top Priority for Consumer Goods Companies

In a recent report by Veeva Systems, it was revealed that establishing a robust AI-ready infrastructure is now a critical focus for consumer product goods (CPG) companies. The findings indicate that a staggering 82% of organizations are actively working toward consolidating their existing systems. Many of them are moving away from high-performance solutions to adopt unified platforms. This approach aims to connect data and standardize processes across multiple systems, a necessity for leveraging AI effectively.

Moreover, the study shows that around 72% of CPG companies are either using or considering the use of agent-based AI systems to enhance manufacturing operations. This signifies a growing demand for advanced systems capable of delivering clean and standardized data. However, the study did highlight ongoing barriers to AI integration, reflecting the challenges industries still face.

Technical infrastructures remain a deterrent for many organizations hoping to deploy AI and machine learning solutions. The top three obstacles identified were compliance and security concerns, high costs and resource constraints, and the complexities involved in integrating new systems with those already in place.

Another pressing issue is the prevalence of manual processes within CPG companies, which heightens risks associated with quality and compliance. A significant 64% of those surveyed reported utilizing a mix of manual and digital processes, which underscores the need for improved tools to manage quality and compliance in supply chains effectively.

Respondents cited predictive analytics enabled by AI as a highly valuable capability, emphasizing quality assurance and compliance, improved data-driven decision-making, and proactive issue detection and prevention as critical advantages. The demand for real-time insights into quality control showcases the importance of having technology partners who understand manufacturing and compliance requirements in depth.

The key finding from the survey is that a balance among people, processes, and data is essential for a successful AI rollout. Comprehensive employee training programs, high-quality data infrastructure, and AI compliance and cybersecurity are crucial elements that aid in seamless integration.

David Maher, the strategy lead at Veeva QualityOne, stated that "the report illustrates how managing quality across many legacy systems hampers AI readiness. To utilize AI effectively, respondents see the need to build a solid database on a unified platform that can evolve to deliver clear value."

This comprehensive report surveyed over 150 IT and operational leaders from global firms in the consumer goods sector, examining AI readiness, challenges in adoption, and areas where IT can bring innovation and value. It highlights the necessity for CPG companies to take strategic steps toward embracing AI technologies and the infrastructures that support them.

For companies still stuck in traditional workflows, the movement toward unified platforms represents not just an opportunity to enhance efficiency but a critical step in staying competitive in a rapidly evolving marketplace. The transition to AI readiness is not just about technology; it encompasses people, processes, and effective management of data—catalyzing a shift that could define the future of the consumer goods industry. For further insights, the complete report is available for review, outlining the state of AI in consumer goods alongside recommendations for successful implementation.

Topics Consumer Products & Retail)

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