Digitalization (digitalization) is a process that results in the digital transformation of a business. It involves moving passed digitization (digitization) – way beyond digitization, in fact. With digitization, you don’t simply move from using paper-based systems to digital systems. Instead, you transform your business, blending the physical world with the digital world so they effectively work as one.
The result is a digital business, i.e. a pharmaceutical or medical device manufacturer that is a fully digital business.
A range of technologies is involved in the digital transformation of a manufacturing business. This includes:
- Robots
- Automated guided vehicles
- Software that automates manufacturing processes
- Software that automates other business processes and integrates them with the manufacturing process
- Sensors and semiconductors that are connected to the internet
- Artificial intelligence
- Machine learning
- Data analytics
- Cloud technology
- Collaborative working technologies
- Virtual, augmented, and mixed reality
- And more
- What are the business opportunities of digitally transforming your business, though? Here are some of the most important.
Improved Productivity
Factory automation technologies improve output rates and reduce error rates. Digitalization can also improve most – if not all – manufacturing processes. Batch changeovers are a significant example where digitalizing the process can cut changeover times from 10, 20, or 30 minutes (or more) to a couple of minutes (or less).
Additionally, sensors and machine learning technologies can improve OEE and reduce breakdowns, leading to further improvements in productivity. A good example of this is systems receiving real-time data from sensors that they can then use to predict failures before those failures occur.
More Efficient Use of Resources
The digitalization of a manufacturing business involves using machines and software to perform functions that are currently performed by people. This allows companies to redeploy and reallocate their resources in a more effective way.
For example, if a machine or system fails in a traditional manufacturing environment, the manufacturer may need to call an engineer for support. That engineer may then need to travel to the manufacturing facility to complete the repair.
Not only does digitalization make it possible for this process to be done remotely, but digital twin technologies take it much further. Digital twin technologies allow support engineers to keep a virtual twin of the equipment or machine, updated with real-time data. The engineer will, therefore, know there is a problem at the same time as the manufacturer.
In addition, a digital twin with artificial intelligence capabilities could predict the failure and either automatically schedule maintenance or send process updates, both of which can potentially prevent the failure from occurring.
More Effectively Working with Suppliers, Regulators, and Others
By digitally transforming a business, it’s possible to build digital bridges with companies and organizations in distribution and supply chains. Automating these processes reduces errors and decision-making time. This offers a range of benefits including the more efficient management of raw material stock levels or finished product output.
Improving Communication and Oversight
Digitalization makes communications more efficient while also adding transparency to communications. Collaborative software and cloud technologies are good, practical examples of this.
Digitalization also means there is no longer a need to be in a physical location to have full management overview of what is going on. Among other things, systems can send reports with real-time data, while it is also possible to remotely operate processes, functions, and systems.
Product Customization
Product customization is a manufacturing trend that is going to become bigger and more important to a wider range of companies. However, in a traditional manufacturing setup, even one with extensive robotic automation, it’s not possible.
With digitalization technologies, though, manufacturing businesses can move to small batch and mixed manufacturing, opening the door to product customization.
The benefits of this are substantial including increased revenues, extending the reach of your brand, and building better relationships with customers.
Enhancing the Customer Experience
Opportunities like product customization enhance the customer experience but there are other ways digitalization can make this happen too. For example, integrating sales, marketing, and customer service systems with manufacturing systems brings customers closer to the business overall.
In addition, some of the technologies mentioned above can also make after-sales support more effective. Putting sensors in products for maintenance and product support purposes is a good example. Another is running a digital twin of a product that is on-site with a customer to ensure optimal performance and reduce failure rates.
Product Development
With digitalization, manufacturers can take customer feedback a stage further with sensors that provide real-time data. This provides invaluable information for engineers and those responsible for product development, i.e. they will know how customers and end users actually use products rather than making assumptions.
Improved Safety
There are many examples of this:
- Robots, cobots, drones, virtual reality, and other technologies make it possible to use a machine in, or send a machine into, a hazardous environment rather than a person
- E-learning technology can improve health and safety training across an entire organization
- Machine learning can inform health and safety procedures based on facts, reducing accident rates
- And more
The Future is Now
Digital transformation technologies are being implemented in production facilities around the world right now. To remain competitive and take full advantage of the opportunities above, the time to advance the digitalization of your business is now.
