The factory of the future beckons and the road leading to it is a five-lane superhighway of technology, product innovation, customization and advanced performance capabilities. Passing the tollgates, however, requires a creative mind-set for problem-solving, late-stage assembly, configuration tools, accelerated prototyping, and sensor tracking. Stubborn adherence to traditional processes – whether it’s holding on to a legacy ERP or insisting that IT modifications are enough – will cause serious roadblocks for the slow adopters. However, some manufacturers in Asia Pacific are already leading the way to modern manufacturing, setting new production standards for product lifecycle management (PLM). They are making bold advances and reaping greater rewards. Here are some tips other manufacturers in the region can learn from these early pace setters.
Learn about the latest PLM strategies
While some manufacturers are already reaping the benefits of the latest generation technologies, such as cloud, virtualization and mobility, there are those who have yet to muster the courage to take the first step – either waiting to see technologies to mature, or more best practices to emerge. Given some disruptive technologies, like the Internet of Things (IoT), are still in their infancy, manufacturers who are too slow to take advantage of disruptive technologies risk becoming irrelevant. PLM is changing dramatically, from engineering design through prototyping and product launch to customer feedback, warranty claims, and after-market service. It’s crucial for Asia Pacific manufacturers to keep updated on the latest PLM strategies. Only then can they start to look into accelerating their PLM transformation.
A holistic approach to PLM propels the factory of the future
To help steer the region’s manufacturers into modernizing their PLM practices, it is crucial to have a comprehensive approach, which includes harnessing multiple IT capabilities across different functions, such as product design collaboration, sales configuration tools, assemble-to-order capabilities, quality control, regulation compliance, and 3D printing for rapid prototyping, amongst others.
Transparent supply chain
Accelerated product innovation – especially in high tech industries – requires a reliable supply chain that can keep up with trends, technology, and fast changing market demand. For instance, suppliers should be flexible enough to contract or expand as required. This is only possible when there’s a clear visibility across the supply chain, making it easy to monitor the details of components, parts and raw materials, for instance. Interoperability and collaboration with partners is also important, and this includes sharing and using relevant data to ensure an effective and well- managed value chain.
Product innovation and configuration tools
To satisfy consumer demand for highly personalized/customized products, manufacturers in Asia Pacific may want to look into implementing product configuration tools that enable them to manage complex designs, product quotes and production specifications. Also, integration with online portal and CAD solutions allow customers to visualize designs, adding to a more positive customer experience.
Another tool that is helping drive the speed of innovation is 3D printing, allowing manufacturers to create prototypes easily. Many manufacturers are already implementing 3D printing for prototyping, testing and obtaining customer feedback. Its use will continue to increase as materials used in the 3D printing process become more versatile and the cost of equipment gets more affordable.
Late-stage assembly
As customers increasingly demand Engineer-to-Order (ETO) and Made-to-Order (MTO) products, manufacturers are turning to delayed or late-stage assembly to help them manage this mass consumerisation trend. By designing products in various modules, components can be manufactured and inventoried first, waiting for the order. The product is only assembled when the order is received.
A similar concept is distributed manufacturing, where the raw materials and methods of fabrication are decentralized, and the final product is manufactured at a location closest to the location of the customer. Like reshoring, regionalization is a growing trend, where manufacturers, their suppliers, and subcontractors work to form the right combination of proximity to customer and a productive location.
Internet of Things (IoT) and performance insights
The Internet of Things (IoT) is expected to impact many aspects of manufacturing, including PLM, with product design and supply chain management likely to be the biggest beneficiaries. Already, scanners, bar codes, and GPS tracking are being used to monitor the movement of goods – from the warehouse, on trucks, on ships and cargo planes, on the road, and to customers. Data from sensors provide valuable insights on when/how the product is purchased, how it performs when in use or consumed, product durability, performance and consumer interaction, and more. Today, connected cars are already collecting data on user behavior, service and performance.
Data is gold
Data is the force that is making modern manufacturing cost-effective. Insights derived from business intelligence and data analysis help manufacturers focus on markets, buying trends, customer attributes, cost of raw materials, time, labor, operational costs, details about the product in use in the market, as well as consumer opinions. Insightful data enables manufacturers and their respective supply chains to make the right decisions quickly and more efficiently.
Social and mobile
Manufacturing leaders are extremely mobile. They are expected to make decisions on site, in the heart of their operations. They need 24/7 access to critical data and systems from remote locations. This can range from a maintenance technician checking inventory of spare parts to a warehouse manager using a smart tablet to confirm locations of forklifts and personnel.
Social and collaboration tools also provide critical support to employees empowered by smart phones, tablets, laptops and other mobile devices to access data. To continue to be relevant, it is crucial for manufacturers to embrace mobility and collaboration tools.
Cloud – and the need to be nimble
Manufacturers need to keep pace with fast-changing global trends, which include dealing with new markets, new customer demands, challenges of omni-channel shopping, and growing competition from start-ups. All these require manufacturers to agile and flexible cloud solutions, because they offer faster deployment and implementation, support manufacturers in their efforts to continually offer new and improved products to quickly and cost-effectively.
Cloud solutions allow manufacturers to add branches, bring on new fabricating facilities, and set up new distribution hubs easily and quickly.
IoT is expected to impact many aspects of manufacturing, including PLM, with product design and supply chain management likely to be the biggest beneficiaries.
Closed loop quality control
Automated quality control methods are frequently used by manufacturers to help control consistency and brand value. By deploying sensors and monitoring devices at numerous checkpoints in the production cycle – rather than only at final stage inspections – it becomes easier to detect noncompliance issues early, thus and minimizing production waste. Quality control is a crucial aspect of the PLM strategy that is often overlooked.
Customer-focused
Today’s market economy has evolved from a volume-driven into a customer-centered model that stresses providing customers with speed of delivery, product value, and a positive experience. Consumers are more demanding than ever before. Manufacturers must continue their effort to build customer-centric models and strategies that predict and align with customer purchasing trends and expectations.
Get ready for the “Factory of the Future”
PLM is one of the most critical aspects of the factory of the future. It’s an exciting time for manufacturers as they to modernize their processes, speed up their product design and delivery, and improve product innovation. New products, new ideas and new ways of producing products will be the hallmark of tomorrow’s factories. Manufacturers in Asia Pacific need to start now – if they haven’t already – to make sure they are on the right track, poised to reap the promised rewards.
