What Data Do You Need for AI? A Guide for NC Manufacturers Starting AI Projects

Understand data requirements for manufacturing AI - types, quality, collection, and minimum viable datasets for NC manufacturers starting AI projects. Call (336) 886-3282.

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Manufacturing AI projects require clean, structured operational data including machine sensor readings, production records, quality measurements, and maintenance logs. The minimum viable dataset for most manufacturing AI applications is 6-12 months of consistent historical records, with predictive maintenance models typically needing 2-3 years of failure event data to identify meaningful patterns.

Key takeaway: According to Harvard Business Review research, approximately 80% of organizational data is unstructured, yet most AI implementations depend on clean structured data. The RSM Middle Market AI Survey 2025 found that data quality concerns are the top challenge manufacturers face when implementing AI, making data preparation the most critical success factor.

Ready to assess your data for AI projects? Preferred Data Corporation provides AI transformation services, custom software, and managed IT for North Carolina manufacturers. BBB A+ rated with 37+ years of experience. Call (336) 886-3282 or schedule your AI readiness assessment.

Types of Manufacturing Data for AI

North Carolina manufacturers generate vast amounts of data daily. Understanding which data types feed different AI applications helps prioritize collection and preparation efforts.

Structured Data (20% of Total)

Structured data lives in organized databases with defined schemas:

Production Records:

  • Units produced per shift, line, and machine
  • Cycle times and takt times
  • Changeover durations
  • Downtime events with reason codes
  • Order completion dates and quantities

Quality Data:

  • Inspection measurements (dimensions, weights, tolerances)
  • Pass/fail results by product and operation
  • Defect codes and classifications
  • Statistical process control (SPC) data points
  • Customer complaint records

Maintenance Records:

  • Work orders (planned and unplanned)
  • Parts replaced with dates and costs
  • Equipment runtime hours
  • Calibration records
  • Vendor service reports

ERP/Business Data:

  • Bill of materials (BOMs)
  • Routing information
  • Inventory transactions
  • Purchase orders and supplier data
  • Cost accounting records

Unstructured Data (80% of Total)

IDC estimates that over 80% of enterprise data is unstructured and growing 4x faster than structured data. For Piedmont Triad and Charlotte manufacturers, this includes:

Sensor and IoT Data:

  • Temperature, pressure, vibration, and humidity readings
  • Power consumption measurements
  • Flow rates and speed measurements
  • Position and motion tracking
  • Environmental monitoring

Visual Data:

  • Product inspection images
  • Equipment condition photos
  • Security camera footage
  • X-ray and scanning images
  • Microscopy and measurement images

Text and Documents:

  • Maintenance technician notes
  • Quality audit reports
  • Process change documentation
  • Customer communications
  • Supplier correspondence

Audio Data:

  • Machine sound recordings (for anomaly detection)
  • Voice-recorded inspection notes
  • Customer call recordings

Data Quality Requirements for AI

For Greensboro, High Point, and Winston-Salem manufacturers, data quality determines AI project success more than model sophistication.

The Five Dimensions of Data Quality

1. Completeness: Are there gaps in your records?

  • Missing sensor readings during shifts
  • Skipped quality inspections
  • Unrecorded downtime events
  • Gaps in maintenance history
  • Target: 95%+ completeness for training data

2. Accuracy: Does the data reflect reality?

  • Calibrated sensors providing correct readings
  • Operators recording actual measurements (not estimated)
  • Timestamps synchronized across systems
  • Units of measure consistent across records
  • Target: 98%+ accuracy for critical measurements

3. Consistency: Is data recorded the same way every time?

  • Same defect codes used across shifts and operators
  • Consistent units of measure (metric vs. imperial)
  • Standardized naming conventions for products and machines
  • Aligned time zones across data sources
  • Target: Single standard applied uniformly

4. Timeliness: Is data available when needed?

  • Real-time sensor data for predictive models
  • Daily production data for planning models
  • Historical data accessible for training
  • Target: Latency appropriate to use case

5. Relevance: Does the data relate to the problem?

  • Production context (product type, material batch, environmental conditions)
  • Maintenance context (who, what, when, outcome)
  • Quality context (measurement conditions, equipment used, operator)
  • Target: Sufficient context for causal analysis

Common Data Quality Issues in Manufacturing

Issues encountered at NC manufacturing plants:

  • Dual data entry: Paper forms transcribed to systems days later with errors
  • Inconsistent categorization: Different operators using different defect codes for same issue
  • Time synchronization: PLC clocks, MES timestamps, and ERP dates misaligned
  • Missing context: Sensor data without corresponding production records
  • Survivorship bias: Only recording failures, not normal operations (models need both)

Minimum Viable Datasets by AI Use Case

For North Carolina manufacturers wondering "how much data do we actually need," here are practical minimums:

Predictive Maintenance

Data needed:

  • Equipment sensor data (vibration, temperature, current, pressure)
  • Maintenance work orders with failure modes and dates
  • Runtime hours and operating conditions
  • Parts replacement history

Minimum viable dataset:

  • 2-3 years of sensor data at consistent sampling rates
  • 30+ failure events per failure mode being predicted
  • Corresponding normal operation data (10x the failure data)
  • Environmental and operating condition context

Sample rates:

  • Vibration: 1,000-10,000 Hz for bearing analysis
  • Temperature: Every 1-5 minutes for thermal trending
  • Current/power: Every 1-10 seconds for load analysis
  • Pressure/flow: Every 1-60 seconds depending on process

Quality Prediction and Defect Detection

Data needed:

  • Process parameters (speeds, temperatures, pressures, feeds)
  • Raw material properties (composition, dimensions, hardness)
  • Quality inspection results (measurements, pass/fail)
  • Environmental conditions during production

Minimum viable dataset:

  • 6-12 months of production data with quality outcomes
  • 500+ examples of each defect type being detected
  • Corresponding good-quality examples (5-10x defect quantity)
  • Process parameter recordings at point of manufacture

Visual Inspection (Computer Vision)

Data needed:

  • High-resolution images of products (good and defective)
  • Consistent lighting and camera positioning
  • Labeled annotations identifying defect locations
  • Multiple examples of each defect type

Minimum viable dataset:

  • 1,000+ images minimum (5,000+ preferred)
  • 200+ examples per defect category
  • Varied lighting conditions and product orientations
  • Human-verified labels with bounding boxes or masks

Demand Forecasting

Data needed:

  • Historical order data (quantities, dates, customers)
  • Seasonal patterns and market events
  • Customer communication and pipeline data
  • External factors (economic indicators, weather, promotions)

Minimum viable dataset:

  • 2-3 years of order history minimum
  • Weekly or daily granularity
  • Customer segmentation data
  • Known promotional or seasonal events

Energy Optimization

Data needed:

  • Utility meter readings (electricity, gas, water, compressed air)
  • Production schedule and output volumes
  • Equipment runtime and operating modes
  • Weather data (temperature, humidity)

Minimum viable dataset:

  • 12+ months of utility data at 15-minute intervals
  • Corresponding production output data
  • Equipment runtime logs
  • Local weather station records

Ready to evaluate your data for AI? PDC helps North Carolina manufacturers assess data readiness and build the infrastructure needed for successful AI projects. Our AI transformation and custom software teams understand manufacturing data intimately. Call (336) 886-3282 or visit pdcsoftware.com/contact.

Data Collection Strategies for NC Manufacturers

For Raleigh, Durham, Charlotte, and Piedmont Triad manufacturers starting data collection:

Retrofit Existing Equipment

Many plants have equipment generating data that is not being captured:

  • IoT sensors: Add vibration, temperature, and current monitoring to existing machines ($500-$5,000 per machine)
  • Edge gateways: Collect PLC data without modifying control programs
  • Camera systems: Deploy inspection cameras at quality-critical stations
  • Environmental sensors: Monitor temperature, humidity, and air quality
  • Power meters: Track energy consumption by machine or line

Digitize Manual Processes

Replace paper-based recording with digital capture:

  • Tablet-based quality entry: Replace paper inspection forms
  • Digital maintenance logs: Mobile work order completion
  • Barcode/RFID tracking: Automate material and WIP tracking
  • Voice-to-text: Capture technician observations digitally
  • Digital checklists: Standardize setup and changeover documentation

Integrate Existing Systems

Connect data silos into unified datasets:

  • ERP to MES integration: Link business orders to production execution
  • SCADA historian to cloud: Make historical sensor data accessible
  • Quality system to ERP: Connect inspection results to product traceability
  • Maintenance system to production: Correlate downtime with maintenance actions

Data Storage and Infrastructure

Manufacturing AI requires appropriate infrastructure to store, process, and serve data.

On-Premises vs. Cloud Considerations

For NC manufacturers evaluating storage options:

On-premises (edge computing):

  • Best for: Real-time control, latency-sensitive applications, large raw data volumes
  • Considerations: Hardware investment, maintenance, capacity planning
  • Use cases: PLC data buffering, real-time quality inspection, safety-critical systems

Cloud storage and processing:

  • Best for: Historical analytics, model training, scalable processing, collaboration
  • Considerations: Bandwidth for large datasets, ongoing costs, data sovereignty
  • Use cases: Predictive model training, demand forecasting, reporting dashboards

Hybrid approach (recommended):

  • Edge devices collect and preprocess at the machine
  • Summarized data streams to cloud for model training
  • Trained models deploy back to edge for real-time inference
  • Full raw data archived to cloud for long-term analysis

Data Governance for AI

Establish governance before starting AI projects:

  • [ ] Define data ownership for each source system
  • [ ] Establish data quality standards and measurement processes
  • [ ] Create data dictionaries documenting fields, units, and meanings
  • [ ] Implement access controls appropriate to data sensitivity
  • [ ] Define retention policies balancing AI needs with storage costs
  • [ ] Establish change management for data schema modifications

Common Mistakes NC Manufacturers Make with AI Data

Starting with the Model Instead of the Data

Many manufacturers purchase AI tools before assessing data readiness. The sequence should be:

  1. Define the business problem clearly
  2. Identify what data would answer the question
  3. Assess current data availability and quality
  4. Fill gaps in collection and quality
  5. Only then select or build AI models

Underestimating Data Preparation Time

Research indicates that unstructured data projects take 2-3 times longer than structured data projects due to preprocessing complexity. Budget 60-80% of AI project time for data preparation.

Ignoring Data Context

Raw sensor values without context are nearly useless for AI. Always capture:

  • What product was being made when data was collected
  • What operating conditions existed (speed, temperature, material batch)
  • Who was operating the equipment
  • What happened after the data point (quality result, failure, normal operation)

Why NC Manufacturers Choose PDC for AI Data Preparation

Preferred Data Corporation has served North Carolina manufacturers since 1987, combining deep manufacturing process knowledge with modern AI transformation, custom software, and managed IT capabilities from our High Point headquarters.

PDC's AI data services:

  • Data readiness assessments evaluating existing data sources and quality
  • IoT sensor deployment retrofitting existing equipment for data collection
  • System integration connecting ERP, MES, SCADA, and quality systems
  • Data pipeline development building automated collection and processing
  • Cloud infrastructure for scalable data storage and AI model training
  • On-site within 200 miles of High Point for hands-on implementation
  • BBB A+ rated with 20+ year average client retention

Ready to build your AI data foundation? Contact Preferred Data Corporation for a free data readiness assessment. Call (336) 886-3282 or visit pdcsoftware.com/contact.

Frequently Asked Questions

How much historical data do we need before starting an AI project?

The minimum depends on the use case. Predictive maintenance typically needs 2-3 years of data including 30+ failure events per failure mode. Quality prediction needs 6-12 months of production data with 500+ examples of each defect type. Demand forecasting needs 2-3 years of order history. The key requirement is not just volume but consistency, with data collected the same way throughout the period.

Can we start an AI project with imperfect data?

Yes, but with realistic expectations. Start with a pilot project using your best-quality data subset, validate that the approach works, then expand data collection and quality efforts. Many successful manufacturing AI projects begin with 60-70% data quality and improve iteratively. The critical factor is understanding what data gaps exist so you can fill them systematically.

What does data preparation cost for a manufacturing AI project?

Data preparation typically represents 60-80% of total AI project investment. For a mid-size North Carolina manufacturer, this might mean $25,000-$75,000 for system integration, data pipeline development, and quality improvement before model development begins. IoT sensor retrofitting adds $500-$5,000 per machine. Cloud infrastructure for data storage and processing costs $500-$3,000 monthly depending on volume.

Should we hire a data engineer or work with a partner?

For most mid-size NC manufacturers, partnering with a technology provider makes more sense than hiring a full-time data engineer ($100,000-$150,000+ annually). A partner brings manufacturing-specific data expertise, existing integration tools, and experience across multiple projects. Once your AI program matures and requires daily data operations, an internal hire may become justified.

What is the biggest data mistake manufacturers make with AI?

The most common mistake is attempting to build AI models on data collected inconsistently across shifts, operators, or time periods. If your quality inspection process changed six months ago, only the last six months of data is useful for training. If different shifts record downtime differently, the AI will learn those inconsistencies rather than real patterns. Standardize data collection processes first, then accumulate history.

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