05 January 2018

Digital transformation in manufacturing

By Hannah Waugh

The manufacturing sector is experiencing a significant period of change as digital transformation in manufacturing grows to become part of what is often referred to as Industry 4.0.

This digitalisation trend adds pressures to traditional businesses, but also offers exceptional opportunities that will optimise production and increase efficiency. These changes revolutionise activities, processes, competencies and models through a mix of digital technologies with an accelerating impact across not only businesses but society and cultures.

Industry 4.0 and the rise in digital transformation

Sparked by a shift in new demands from customers, Industry 4.0 is the name for the current trend of automation and new technologies in the manufacturing sector. The revolution brings changes in all areas of life and existing business models. For example, is it just me who has Amazon’s Echo Dot - ‘Alexa’ - carry out mundane tasks such as turning on music or making phone calls out of sheer laziness and convenience? This is an example of the shift and a starting point for automation and its effect on society and the way we all operate.

Future-proofing industrial activities

Industrial manufacturing organisations have realised the necessity to improve flexibility, significantly reducing the time to market without sacrificing the quality of products and reducing the consumption of energy and resources.

With present and future shifts in mind, many organisations recognise the need for industrial transformation and have already taken steps to future-proof their activities. 63% of manufacturing organisations surveyed by The Economist have already initiated major digitalisation strategies to parts of or the whole organisation. 

Manufacturers are finding the need to launch products faster, despite the challenge of rising product complexity that they face – a problem that manual labour and processes cannot keep up with. Where possible, manual processes and standard tasks are being replaced with technologies and automated systems to better use human skill sets to cope with product complexity and to meet customer expectations and requirements. 

Meeting expectations

As customer expectations reach a new high, manufacturers are trying to balance the demand for individualised and bespoke products while still presuming to pay the price of a mass-produced product. Automated and electronic technologies take some of the pressure off by reducing the time spent carrying out procedures or manual tasks – they are taken care of and efforts can be put elsewhere.

 

The Economist reports that of the companies they spoke with who had already initiated digital transformations, 83% had reported a current increase in revenue and 81% reported a cost reduction as a direct result of implementing said transformations.

Being under such scrutiny, all product and quality processes must be traceable and available to access when getting audited or for reference. This change of pace can cause an admin headache! It is therefore essential to ensure that as a manufacturer, you have a system in place to control documentation, procedures and processes in an easy to access, centralised format. In addition, increased digitalisation across industries brings a need for increased security to protect against the potential risks of any information being accessed without authorisation.

Evolving workplace processes

The essential ways that digital transformation can play a part in the Industry 4.0 revolution include intelligent information management, new ways of collaborating and workforce engagement. The aim is to streamline and automate documentation processes in that the creation, distribution to all relevant people and review of important documents can be done electronically and most importantly, efficiently. This allows an element of enhanced corporate control where management can circulate documents and updates and get acknowledgement through one centralised, electronic system. This eliminates the need for manual or paper-based systems – a huge time and cost-saving advantage.

Risk prevention is improved as this digitalisation movement introduces technologies that can proactively predict risk rather than reactively dealing with problems after they occur. As an organisation, if you can avoid and prevent potential risks to aspects like your supply chain or your production processes, you can confidently focus on growth strategies and your customer experience instead. This gives you the peace of mind that an automated, electronic solution is serving your business needs.

Digital transformation in the manufacturing industry is a journey. The end goal is to achieve cohesiveness across business processes and departments. Ideagen’s Q-Pulse electronic Quality Management System (eQMS) is an effective step in that journey, particularly with the availability to take business activity and functions on-the-go with the mobile app. 

Learn more about the full capabilities of all nine modules of Q-Pulse QMS and how it can help you jump start digital transformation in manufacturing and improve overall business efficiency. 

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