Sikich Manufacturing Industry Pulse Survey Shows Executives’ Optimism Lowest Since 2022

Sikich Manufacturing Industry Pulse Survey Shows Executives’ Optimism Lowest Since 2022

Melanie Strah
Sikich
(773) 960-6809
melanie.strah@sikich.com

Sikich, a Chicago-based leading global technology-enabled professional services company, conducts the Sikich Industry Pulse which surveys manufacturing and distribution executives from across sectors and the nation multiple times throughout the year, highlighting and responding to top trends as they arise. The results from the September 2024 survey show a significant decrease in industry optimism and the importance of maintaining an effective data strategy within your business. This feedback gives readers real-time competitive intel to apply to their business strategies.

The survey provides valuable insight into industry optimism, data strategies and confidence in business data security from more than 100 manufacturing and distribution executives. Manufacturing executives’ average optimism ranking for future business prospects is 6.6 out of 10, down 6% since February 2024 and at an all-time low since October 2022. "With this significant decrease in optimism, executives must find ways to stand out in a highly competitive market,” said Jerry Murphy, principal, Sikich. “Embracing data analytics offers a powerful avenue for differentiation, especially as many organizations lack a cohesive data strategy. Those who harness data effectively will gain a significant advantage."

Manufacturing executives recognize the importance of data as a driver of their initiatives, especially as artificial intelligence (AI) technologies continue to emerge. 75% of survey respondents agree data is a key consideration in their business strategy, including AI implementation. However, only 56% have a data strategy in place, and 28% feel as though they are falling behind competitors when it comes to adopting and implementing generative AI. “It is crucial to establish a data strategy before implementing AI into business operations,” said Ray Beste, director of Technology, Sikich. “AI thrives on data, and without a clear plan for how to collect, manage, and analyze that data, AI systems can lead to inefficiencies or misguided insights. A well-defined data strategy ensures that AI solutions are built on accurate, reliable information, driving meaningful and sustainable business outcomes."

Data accessibility and reliability are two glaring issues manufacturers are facing. Further, executives reported an average score of 7.2 out of 10 when asked to rate their data’s trustworthiness. This lack of trust in their data stems from a number of reasons including poor data collection, processing and storage practices; lacking data governance; and siloed data. Data and analytics executives advise having an in-depth data strategy to improve data management, keep up with competitors and increase confidence in data reliability.

About Sikich

Sikich is a Chicago-based global company specializing in technology-enabled professional services. With more than 1,900 employees, Sikich draws on a diverse portfolio of technology solutions to deliver transformative digital strategies. From corporations and not-for-profits to state and local governments and federal agencies, Sikich clients utilize a broad spectrum of services and products to help them improve performance and achieve long-term, strategic goals.

Sikich practices in an alternative practice structure in accordance with the AICPA Professional Code of Conduct and applicable law, regulations, and professional standards. Sikich CPA LLC is a licensed CPA firm that provides audit and attest services to its clients, and Sikich LLC and its subsidiaries provide tax and business advisory services to its clients. Sikich CPA LLC has a contractual arrangement with Sikich LLC under which Sikich LLC supports Sikich CPA LLC’s performance of its professional services. Sikich LLC and its subsidiaries are not licensed CPA firms.

“Sikich” is the brand name under which Sikich CPA LLC and Sikich LLC provide professional services. The entities under the Sikich brand are independently owned and are not liable for the services provided by any other entity providing services under the Sikich brand. The use of the terms “our company”, “we” and “us” and other similar terms denote the alternative practice structure of Sikich CPA LLC and Sikich LLC.