Increase The Value of Your Factory with These Smart Manufacturing Steps

Digital transformation can help companies innovate in many ways by adopting the latest technology into its operation, such as smart devices, automation and IoT. In manufacturing, it allows faster operation with minimum errors. It creates better customer service by providing visibility from production to distribution process. Businesses are also equipped with data analytics and preventive maintenance, which allows better maintenance scheduling and better supply material management. Using automation, manufacturer operations became safer. Dangerous tasks operated by humans can be replaced by robotics. All in all, it creates a pathway for industry 4.0, the future of business.

Unfortunately, not many companies in Indonesia are taking advantage of this technology. Research suggests that only 12% of companies in Indonesia are designated to have high digital transformation (DX) maturity. The key indicator is that there is a need for consulting and lack of skills in handling digital transformation. Companies prioritize the financial sector for fast investment return as well as prioritizing production efficiencies instead of business innovation.

One of the tangible solutions for manufacturing business to move up becoming the 12% high DX maturity is to implement Smart Manufacturing with IoT. It does not mean that by merely changing or upgrading equipment, companies are good to go. Upgrading tools is only the beginning of transformation in smart manufacturing. The followings are stages if smart manufacturing implementation:

Step 1: Find it

In this stage, data gathering is a crucial step to get ahead. In this stage what companies need to do is to implement the Manufacturing Execution System (MES), a software capable of sustaining and analyzing data from various devices. The goal is to develop advanced Overall Equipment Effectiveness (OEE). This implementation will raise awareness of what is happening throughout the operation. From cumulative data, it will be easier to find any cause for setbacks.

Step 2: Fix it

With data gathered from various devices, companies can analyze patterns with full transparency. It can yield useful insight on how to operate more efficiently. Based on the insight, preventive maintenance can be scheduled, and continuous observation should be carried out to bolster productivity.

Step 3: Track it

With enough data and customary operation, there will be enough predictive capabilities for companies to make preparation of where the company is heading. In this case, companies can set goals in production and make preparations to reach them.

Step 4: Understand it

With enough data and predictive capability, it will be easier to implement automation in some areas. This will allow a self-optimization system, ready to withstand any hurdles. At this point, future problems can be anticipated and averted with sufficient preparation. Any problem encountered in the operation can be prescribed into a certain solution. Eventually, this can be applied to every aspect of the business such as logistics, warehouse operations, etc.

If companies can successfully implement smart manufacturing. The forthcoming 5G will be a valuable addition to the technology. Faster, more reliable connection will boost productivity in industrial operations. It will be best for companies to be prepared ahead of time to experience this innovation. According to McKinsey there are three types of companies that will benefit from 5G technology – the component and module suppliers, machinery and industrial automaton-players, along with manufacturing players. Companies that specialized in components, modules, machinery and automation will mostly be benefited by applying the technology in their products. Their job is to determine which devices will be most beneficial with 5G connection. On the other hand, manufacturing companies will be benefited by innovation provided by the automaton, such as visual quality check, computer vision and machine learning.

If you are seeking to innovate your manufacturing business, now is the right time to start. With smart manufacturing and 5G, you will reap the benefit not only in the foreseeable future, but also in the long run. Click here to learn more on how to implement smart manufacturing in your company.