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89% of Industrial Companies Recognize the Digital Thread Is Essential to Success

As AI and automation reshape product development, standardized, traceable data become critical

Quality Digest
Wed, 05/28/2025 - 12:03
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(Aras: Andover, MA) -- Aras, a leader in product life cycle management (PLM) and digital thread solutions, has shared findings that emphasize the importance of establishing a strong digital thread in manufacturing and product development organizations. The insights come from Aras’ recent survey, “The Future of Product Life Cycle Management and Digital Engineering.”  

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The report found that nearly nine out of 10 organizations view the digital thread as critical to driving success with next-generation technology initiatives such as AI, automation, and robotics. 

“Today’s transformative technologies, like AI, are fueling a seismic shift in how products are designed, built, and maintained,” says Roque Martin, CEO of Aras. “Meeting the demands of this new era requires visibility, security, and compliance—all of which rely on accurate, connected data. That starts with a strong digital thread.” 

AI is only as powerful as the data behind it

When asked about the top drivers for improving digital thread capabilities, 41% of respondents cited enabling advanced analytics and AI, 38% pointed to improving product quality, and 36% reported improving service and support. These priorities reflect a fundamental challenge: AI’s ability to deliver meaningful results depends on the quality of the data behind it. 

As AI takes on more responsibility for operational decisions—from the factory floor to the logistics hub to the consumer’s home—validating and governing those decisions becomes increasingly complex. The level of control and traceability required is nearly impossible to achieve. As organizations begin to explore broader AI adoption, ensuring that only the right people have access to the right information becomes critical. Not every request for information should return the same result—especially when security, IP protection, and regulatory compliance are on the line. 

That’s where the digital thread proves essential. It acts as the backbone that connects and structures information across the product life cycle. When supported by a PLM solution built for traceability and scalability, a digital thread provides an environment for consistency, security, and visibility. These are the very capabilities that AI and other advanced technologies depend on to deliver real value.

For Aras users, Aras InnovatorEdge extends this foundation as a low-code API management framework, enabling intelligent, secure, and scalable connectivity across the digital thread ecosystem.

To fully realize the benefits of AI and automation, industrial organizations must prioritize building a resilient, connected data infrastructure. By investing in a strong digital thread strategy today, they position themselves to drive smarter decisions, accelerate innovation, and stay competitive.

Significant implementation challenges

Even as companies become aware of the importance of the digital thread, many struggle to implement it. According to the report, 46% of respondents cite product complexity as a significant challenge, while 36% point to difficulty tracking changes over time. Extensive configurations (35%) and disconnected supply chains (33%) are also seen as major obstacles to success. 

About the 2025 Global Industry Survey

“The Future of Product Life Cycle Management and Digital Engineering” is a January 2025 survey based on insights from 656 executives in Europe, the U.S., and Japan. It examines how leading automotive, aerospace, and machinery manufacturers (revenues >$40 million) are addressing AI adoption, digital thread integration, and regulatory compliance. Download the full report here.

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