Insights — MLOps

Why GenAI Projects Fail in Production — and How to Fix It

Most data and AI ambitions don't fail because of the idea — they fail because of the missing technical foundation underneath. A practical look at MLOps as the fix.

Many companies are investing heavily in GenAI and machine learning right now. The results, however, often fall short of expectations.

72 %
of companies deploy off-the-shelf GenAI solutions without adapting them to their business needs (Gartner, 2024).
80 %
of GenAI pilots, per Gartner's forecast, will fail to scale by 2025.
>50 %
of AI investments deliver lower ROI than planned, according to a 2025 IBM CFO survey.

The common thread behind these numbers: it's rarely the models or tools that are missing. What's missing is a solid technical foundation to run ML and GenAI applications reliably, transparently, and maintainably in production. That's exactly the domain of MLOps.

MLOps Is the Logical Evolution of DevOps

DevOps became standard practice in traditional software development because it delivers three things: reproducible artifacts through versioned code, automated tests and deployments, and continuous monitoring in production.

MLOps applies this same principle to machine learning and GenAI systems — with one key extension: instead of a single artifact (code), there are now three that need to be versioned together: code, model, and the underlying data snapshot. Testing and monitoring expand accordingly: model behavior has to be validated against known data points, and production monitoring must also watch for data drift, concept drift, and model degradation.

The result of a consistently implemented MLOps approach: shorter time-to-market, reproducible behavior across environments, and far fewer nasty surprises in live operation.

DevOps MLOps CI Versioned Code CD Auto. Tests & Deployment Run Monitoring CI Code + Model + Data CD + Model Tests Run + Model Monitoring + Data Versioning Model Behavior & Performance Drift & Degradation
Fig. 1 — MLOps adopts the DevOps structure (CI/CD/Run) and extends every stage with model and data.

Why an Off-the-Shelf Solution Rarely Suffices

The obvious question is why not simply solve MLOps with one of the many off-the-shelf frameworks available. In practice — including at a large home appliance manufacturer — three recurring reasons stand out:

1

Heterogeneous Use Cases

Slow- and fast-moving data, image and NLP applications, sensor data from IoT/IIoT environments — all of this calls for a flexible, modular pipeline rather than a rigid one-size-fits-all solution.

2

Accumulated Complexity

Many code versions scattered across Jupyter notebooks, hundreds of business users with thousands of roles, high turnover in the data science team — this can only be managed with clear structure and governance.

3

Limits of Standard Platforms

Off-the-shelf solutions are quick to deploy but quickly hit their limits and are often hard to extend — as a "black box." What works better is deliberately combining best-of-breed components (e.g. MLflow with a specialized monitoring solution) instead of committing to a single platform.

A Pipeline With Five Layers

A robust MLOps pipeline can be thought of as a layered model spanning data ingestion, preprocessing, training, and deployment through to live operation:

From Foundation to Application GenAI LLM, Vector DB, Guardrails, Observability ML & AI Feature Store, Model Registry, Model Tests Quality Schema Validation, Data Versioning, Drift Checks Infrastructure Compute, CI/CD, Containerization, Monitoring Governance Data Governance, Data Privacy, Security, Catalog Every layer builds on the one below it — without a solid base, no GenAI application will hold up.
Fig. 2 — The five layers of an MLOps pipeline, from the governance foundation to the GenAI application.
1 · Governance
Data governance, data lake/mesh, data privacy, user management, data catalog, security — the foundation everything else stands on.
2 · Infrastructure
From data ingestion to compute resources (CPU/GPU), CI/CD, and containerization through to infrastructure monitoring.
3 · Quality
Schema validation, statistical tests, data versioning, deduplication, plausibility checks at the field and relationship level.
4 · ML & AI
Model registry, feature store, automated model tests, model monitoring, one-click deployment.
5 · GenAI
Vector database, embedding and LLM selection, guardrails, observability, prompt management, and agent architectures.

Every layer builds on the previous one. Starting GenAI applications without first solving governance and data quality means building on an unstable foundation — which explains a good part of the failure rates cited at the start.

Practical Recommendations

A few clear guardrails emerge from multiple projects:

MLOps isn't another tool — it's an operating discipline: the consistent application of proven DevOps principles to the added complexity of models and data.

Conclusion

Companies that get this foundation right move noticeably faster and more reliably from idea to production — and avoid most of the costs that would otherwise only surface after launch.

Let's talk about your data and AI platform.

Tell us what you're building or modernizing — we'll tell you honestly whether we're the right fit.

Eric Joachim Liese

Eric Joachim Liese

Head of Growth — Partnerships & Strategy, Datics Consulting

Datics is a boutique consultancy for industrial companies that need scalable, production-ready data and AI platforms — not another slide deck. Contact: info@datics-consulting.com