Headlines this summer highlighted the challenges of modern manufacturing. Boeing and Airbus were struggling with hitting aggressive delivery targets for their flagship products due to issues with suppliers down the chain.
The hate often comes from the difficulty to get beyond a simple view of “what is happening” and into the more complicated “why things have turned out the way they have.”
It is getting to be strategic planning and budgeting time here in many companies, but no matter when your planning season is, don’t begin without an essential ingredient: your trusted data.
In this view of data strategy, defensive activities are centered on minimizing risk and include activities like regulatory compliance, detecting fraud, preventing theft, and insuring the accuracy of the data. Meanwhile, the offensive activities are most often customer-focused and include data analysis and modeling to inform customer retention or acquisition strategies and support financial decisions.
Data is a critical element of just about any type of business today, yet so many businesses treat data management as a secondary concern. It may be possible to manage and run a business without good data management, however, we find that managing a business is a lot easier if data is properly collected, stored and used.
The small and midsized manufacturers we work with understand the need to update their manufacturing and supply chain processes. Our clients are pressed for resources, especially time. needed to make sweeping changes to take full advantage of newly affordable manufacturing technology.
Raw data is of little value to a business, until it is turned into information. Information isn’t much more valuable, until it used to enable knowledge. Then you have something to really useful to work with, to differentiate from your competitors, to operate smartly and profitably.
Industry 4.0 -- Automated processes that are real-time integrated through continual data exchange between machines, applications and businesses. “Smart” factories are born from this, together with a transition from manufacturing just products to creating valuable services tied to those products.
Employees commonly circumvent an ERP system by using Excel or other tools. Manufacturers should understand the main reasons this happens in order to mitigate what amounts to risky workarounds.
Technical debt is a common term within IT circles but largely unheard of outside IT. This shouldn’t be the case. Accumulating too much technical debt has become a significant corporate risk that warrants senior management attention.