Survey: 47% of Manufacturers and Distributors Invested in Sensors and IoT networks, But Just 20% in Data Analytics Tools
New research from SYSPRO spotlights an enormous gap between tech investment and digital transformation readiness
SYSPRO, a global provider of ERP software, has announced new research findings from their latest global research survey, which explores the challenges and solutions to ongoing supply chain disruptions that manufacturers and distributors face today. Among its more surprising findings were that 47% of manufacturers and distributors invested in sensors and IoT networks, but just 20% of them did the same for data analytics tools, which are necessary to gain insights from the data they’re collecting. This finding is just one of many statistics that reveal disconnects and challenges within the supply chain around tech investment and digital transformation readiness.
Key takeaways from respondents include:
There is a large disconnect between the investment in internal efficiencies and external collaboration
The supply chain disruptions of the last two years have been severe, with lasting effects.
- 70% of businesses experienced supply chain disruptions over the last few years
- 60% of businesses were unable to engage and collaborate with customers and suppliers in real-time, often rendering those businesses unable to deliver to their customers
Pre-pandemic technology investments and outdated business models had been partly to blame for these ongoing challenges. In response to pressures, businesses have invested in short-term technology solutions to address the immediate impact of the pandemic. Even though 65% of businesses invested in business systems aimed at meeting order requirements, and 64% of businesses invested in business systems to manage inventory control, the supply of inventory was not protected. Only 44% of business systems have allowed manufacturers to effectively collaborate with external suppliers and customers.
According to Paulo De Matos, Chief Product Officer at SYSPRO, “While the investment in internal efficiencies is crucial for any business, customer and supplier engagement should also be a top priority. What we are seeing now is a knock-on effect of supply chain disruptions. It won’t matter how businesses try to up their game internally, if they are unable to communicate effectively with their external ecosystem and respond to shifts in the supply chain, businesses may fall behind.”