The great promise and reality:
The manufacturing environment has never faced so many challenges. Shorter product life cycles, an explosion of variants, more global competitors, skilled labour shortages and rules upon rules. Totally customised or small batch products to be manufactured with the same quality and costs as in mass production. The Solution? The miracle of the digital factory. Linking the physical and digital worlds via data models for paperless management of the entire supply chain and production processes.
Yet, many companies still hesitate. Not for lack of suppliers or funds. Often, the problem is not the lack of desire to change – it is the lack of time. Managers and teams are so immersed in day-to-day operations that they struggle to focus on constant and organized change for the better.
Where do we start? How do we do it? Most importantly, is it really worth it?
What to expect
Digitise – but never without key prerequisites
Firstly, in my experience, it is crucial that top management is convinced that this effort and investment is worthwhile and must be implemented, now.
A bit more technically:
- an organic not partial view of the whole
- a propre analysis and understanding of the own processes to ensure that solutions are based on real problems and concrete benefits rather than dreams and promises of the many technologies available
- scalable standard application tools – never neglecting good data management
It is not a question of being an expert!
Instead, it is a crucial condition that employees are involved, step by step, to be able to actively contribute to this silent but radical revolution.
Simply making machines work faster is the wrong approach
On-machine production only accounts for about 20 per cent of the entire production process. The remaining 80% of the time is related to indirect processes such as design, order management, storage and transport
The transformation to a smart factory means much more than simply digitising production processes.
At the same time, production processes and upstream and downstream areas must be improved and simplified. However, the trend towards small batch sizes complicates has complicated these processes. The whole flow must be better synchronised.
Chaos: cannot be digitised
Simplification and participative organisation increase the real capacity to act. One does not only react but is in a position to understand and act upon.
Before creating a highly efficient, flexible and transparent factory that meets even the highest quality standards, in most cases the first step is to put things in order. The guiding principle is to map complex processes as simply as possible, so that they are understandable and accessible to everyone, regardless of technical expertise.
Three particularly useful measures are:
- efficient arrangement of machinery and production areas ensures optimal process flow. This includes reducing distances and eliminating search times for parts to be processed. This is achieved if the machines in your production are arranged more appropriately to the overall flow
- implementing the 5S culture enables all stakeholders to benefit from a more efficient, safer and more productive work environment
- visual management increases transparency by making important information equally visible to all. This promotes a common understanding and facilitates communication to control and optimize work processes.
Autonomation: when homo sapiens partners with the machine
The ‘goal of autonomation is to ensure high quality, efficiency and flexibility in daily operations, enabling machines and humans to truly work together. It makes work more interesting and less monotonous.
He term “autonomation” is a mix of the words “automation” and “autonomous.” I have seen in practice how important it is to combine the two dimensions. Only this allows you to create automated processes with te capability to recognize and react promptly to problems.
It sounds trivial, but it is not. These are important factors of automation:
- automatic problem detection: machines or processes are able to recognize anomalies or errors themselves
- the immediate reaction: when a problem is recognized, the process stops immediately to avoid further problems – no procrastination
- human intervention: all team member employees are alerted to solve the problem, which enables a quick solution and forms the basis for continuous improvement
Experience teaches: the human side of autonomization is certainly the crux of the matter. Fundamental to its effectiveness and success. Employees are not only trained to perform tasks and jobs, but also trained to understand processes, identify problems and implement solutions. This broadens their skills and promotes their professional and personal growth.
Also this is meritocracy.
Saying goodbye to pen and paper
There is still a lot of paper in production today in the form of work instructions, parts lists, operating instructions, design drawings, accompanying documents, delivery notes and checklists.
Certainly, technological innovation is an essential factor. A modular, scalable and well-integrated IT infrastructure is undoubtedly necessary. But all this alone is not enough to create a new data-driven business model. You really have to start with the data, the information, the real documents and their internal and external purpose, for the customer. That’s a journey! It involves organizational and cultural change, in established behaviors and habits.
What are the technologies and application methods potentially useful in this:
Industrial IoT: a bridge between lean, digital and green
It includes machine monitoring, process diagnostics, OEE measurement, OPS, energy consumption measurement, digital twin, augmented reality as an extension of the real world for employees in production. The pure variety of choice and the themes of interoperability and security are most typical challenges.
Artificial intelligence (AI): it’s not magic
Generative artificial intelligence is already having a significant positive impact on manufacturing.
Application areas are, for example, fault detection, root cause analysis, data interpretation, and parts procurement. Provided the data and documents are already structured enough, these artificial intelligence applications greatly increase the efficiency and quality of production and service, greatly reduce costs, and automate routines.
Data and documents: cumbersome without a common language
Do you work with printed drawings, Excel and ERP? Try transferring important data, such as CAD drawings or working documents, only in digital format from one workstation to another. This way, among other things, you will avoid searching through stacks of paper on the shop floor and prevent outdated versions of drawings from circulating.
What and who needs a great smartphone or GPS with bad data?
The easier it is to exchange information, the more efficiently it works. Especially when large amounts of real-time data are available, new and better skills are also needed to use them. Otherwise, the sheer amount of data will drown most of your efforts. In addition to the quantities of “big data,” you need to be able to read it in context. Gradual quality improvements and integration of systems become crucial issues.
Cybersecurity: awareness and risk management
It is the mix of technical and organizational measures that makes all the difference.
Cybersecurity: the increase in network connectivity, whether internal or cloud, has major implications for business continuity and the protection of sensitive information. Often, however, there is still insufficient awareness in companies of the risks they face. Vulnerabilities, such as outdated software and inadequate access rights, inevitably emerge. Sometimes painfully. In this case, the situation can become really costly and uncomfortable.
Protection measures to be taken include: protecting against hacking, malware and ransomware; ensuring confidentiality and integrity of sensitive data; minimizing downtime through robust systems; and complying with legal and regulatory requirements.
S&OP, MES, ERP: the backbone
More integrated production and logistics planning is also a new challenge. This is where all the threads of the factory converge, from incoming orders to outgoing goods. And there is no single thread. The coordination of Industry 4.0 and 5.0 requires close, goal-oriented collaboration between different roles and technologies within the company. Offices with the shop floor and sales with production and logistics.
What are actionable proposals?
Easier said than done. Neither fads, nor fear of the future will help. However, the topic can be approached pragmatically starting here and now
The good news is that success in Industry 5.0 is absolutely possible, can reap enormous benefits, and can be shaped along the way.
A holistic view and approach to automation, digitization, and business modeling lays the foundation for companies in industrialized countries to face international competition. However, there is no standard solution. Getting oriented with fads of the moment and buzzwords is of no use. Although technology is key, each company must build and adapt its individual solution. One must always remember: digitization of production can never be an end in itself.
What does it mean for organized action?
- focus on specific use cases, real problems, and concrete cost-benefits
- accurately assess the “current state” and define the concrete optimization potential for a specific process
- carry out pilot projects with the collaboration of different business functions
- adapt step by step with a “roadmap” that considers the whole
- promote the integration of the various elements from an IT and data quality perspective
Effective and sustainable solutions over time can only be achieved through consistency, an agile but structured approach, stakeholder engagement, and continuous improvement of the data culture in the specific context.
Quick successes are necessary and possible, but as all cultural aspects it takes longer to consolidate this permanently.
And anyway: who has anything against capable and motivated employees, satisfied customers, and growing profitability?
