Humans are rapidly approaching the fourth industrial
revolution. The first industrial revolution started around 1760. The fourth
industrial revolution has been dubbed as Smart Manufacturing in the U.S, or
Industry 4.0 in Europe.
in simple terms, is the usage of technology and real-time data whenever and
wherever, are needed by people and machines.
Smart Manufacturing is the ability
to solve existing and future problems via an open infrastructure
that allows solutions to be implemented at the speed of business while
creating advantaged value.
In Smart Manufacturing, everything
is connected via the aid of sensors and RFID chips. More actuate data and better analytics give us much deeper insight into
the root cause of specific shop floor event or process. For
example, products, transport options, and tools will communicate with each
other and will be organized with the goal of improving the overall production,
even over the boundaries of individual companies.
Smart Manufacturing will
create an open atmosphere where fact-based decisions can be made and decision
makers will have the trusted data when it is needed, where it is needed and in
the most useful form needed.
Manufacturing is made possible mostly due to the use of Industrial Internet of
Thing (IIoT) and Big Data.
Industrial Internet of Things (IIoT)
The Industrial Internet of Things (IIoT)
is the use of Internet of Things (IoT) technologies in manufacturing.
refers to the connection of devices to the Internet. The Industrial Internet of
Things (IIoT) is part of a larger concept known as the Internet of Things
revolutionizes manufacturing by enabling the acquisition and accessibility of far
greater amounts of data, at far greater speeds, and far more efficiently than before.
companies have already started implementing the IIoT by leveraging intelligent,
connected devices in their factories.
helps to improve connectivity, efficiency, scalability, time savings, and cost
savings for industrial organizations. Cost savings due to predictive maintenance,
improved safety, and other operational efficiencies have benefited many companies.
By allowing business leaders a full and
accurate view of how their enterprise is doing, it enable companies to pick up
on inefficiencies and problems sooner. Overall, saving time and money and
supporting business intelligence efforts.
IIoT allows industrial organizations to break open data silos and connect all
their people, data, and processes right from the factory floor to the executive
Big data describes the large
volume of data that includes structured, semi-structured and unstructured data,
from different sources, and in different sizes varying from terabytes to
The amount of data being
created and stored on a global level is almost unthinkable, and it just keeps
growing. This allows for much more potential to obtain key insights from business
information and yet, only minute percentages of data is actually analyzed.
The importance of big data
does not simply just revolve around the amount of data you have, but what is
done with it. Analyzing Big Data allows
analysts, researchers, and business users to determine root causes of failures,
issues and defects in near-real time. Allowing them to make better and faster
decisions using data that was previously inaccessible or unusable. They are
also able to analyze previously untapped data and recalculate entire risk
portfolios in minutes and moreover, detect fraudulent behaviour before the
company is affected.
Benifits of Smart Manufacturing
What is the benefit of Smart
Manufacturing? That is the question expected from everyone who is considering
getting involved into Smart Manufacturing. Everyone starting from the suppliers
to manufacturers, distributors, solution providers, retailers and the customers
involve should have the chance of gaining benefit from a totally integrated
work environment that is seamless, affordable and more productive and
Looking from a supplier’s standpoint, it has always
made sense to be as precise as possible with the product produced, and the demand
of the product. Smart manufacturing made it possible to approach new heights of
precision in new ays with data, analytics, information and modeling.
Using a real world example, food-processing
manufacturer depens on their extensive supply chain. From their manufacturing
perspective, having the certificate of analysis as data before the product is
shipped, rather than when the product arrives at the factory’s loading dock, is
a big help. The data about the product can be incorporated into the final recipe
at the factory so that the factory is configured and ready to go when the
product arrives, hence saving both time and cost.
Overall, from a supplier’s point of view, if they have
information on what the manufacturer needs and when, then they can work better
with their products. Suppliers usually ship to more than one company, so if
they have this information from multiple businesses, they can be more
responsive to all of their partners.
For both the supplier and the
manufacturer, the benefits result in more efficient and effective
communications. The stage is set for greater product transparency and track and
traceability. One can now see ways to use models to predict needs and mitigate
product variations between the supplier and the manufacturer. A digital certificate
of analysis that both parties can access via the SM platform’s cloud technology,
is a key step that can lead to an increase in production, quality, visibility
and optimization across
the value chain.
Customers will benefit from the newfound information with more
data collected and interpreted through the value chain. Using the food
manufacturing example, customer can stay better informed about the original
source of the product and make value decisions based on how and where the
product is made. Manufacturers can provide customers better pinpoint track and
traceability when there are issues.
In general, customers
become a strong voice in establishing features and manufacturing
processes so that the entire value chain needs to be responsive. When
responsive, it becomes a competitive advantage for the
Now, with the ability to display more accurate information to
consumers, customers will make better decisions using their purchasing power. Using
the concept of demand dynamics,
a more informed value chain is able to provide the products that the consumers are demanding. Knowing
that their needs can be addressed quickly, customers are able to purchase with
more confidence. Furthermore, this can benefit manufacturers as this type of
customer-satisfaction driven focus can help build better brand loyalty.
1. Improved productivity
manufacturing processes provide greater access to data across an entire supply
chain network. Real-time data outlines what the manufacturer needs and when. This
makes things more efficient for suppliers and they can easily make adjustments
to orders. Suppliers can supply what is needed, not more or less, reducing
waste and any downtime associated with missing parts.