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Germany lags in Europe in analytics despite Industry 4.0

Capgemini Consulting's Digital Transformation Institute has revealed a report that shows that businesses have shifted the focus of advanced analytical efforts away from customer facing processes to back office operations over the last three years.

The report highlights that more than two-thirds (70 per cent) of businesses are now putting more emphasis on operational analytics than on customer-focused processes.

However, the report also shows that successful deployments of analytics in the operational domain remain limited, with only 18 per cent having both implemented analytics widely across operations and achieved desired objectives.

"Organisations are pivoting toward operational analytics as it can both increase the efficiency and performance of the back office as well as boost the customer experience in the front office," comments Anne-Laure Thieullent, Head of Big Data in Europe, for Capgemini's Insights & Data global practice. "However, despite the focus, there are factors limiting the success of these projects; specifically siloed datasets, fragile governance models, inability to harness third-party data sources, and an absence of a strong mandate from leadership teams."

Gapgemini, methodology is to categorise companies dependent on their analytical initiative maturity such as; Game Changers (18 per cent), Optimisers (21 per cent), Strugglers (20 per cent) and Laggards (41 per cent). Intrerestingly, they broke these categories down on a geographical basis and discovered that European firms are lagging behind the US, but most surprisingly German firms despite commitments to Industry 4.0 are the least likely to have deployed any operational analytics.

Capgemini believe the US are analytical leaders due to their strong background in governance and regulatory commitments.

Europe, on the other hand, excels where C-level executives lead analytical initiatives and this seems to be Germany's current failing as only 14 per cent of analytical initiatives are executive led compared with 41 per cent in the rest of Europe.

Image credit: Shutterstock/Sergey Nivens