“Manufacturers need to assess their legacy industrial models and create a strategy to blend them with new, digitally-driven technology and approaches,” says Prasad Satyavolu. “Although manufacturers may have spent many years working on creating cost-saving programs to drive lean manufacturing, providing digital cash injections may still be what’s needed for traditional manufacturers to thrive.” Excerpts:
“In the long run, investment in digital will pay off. Our recent research suggested that while initiatives increased manufacturing costs for respondents by 1% in the last year, technology also lead to a 5.4% increase in revenues.
By 2018, respondents expect it to boost revenues by 9.0% and by 2020, 78% of profits will derive from digital channels.
The future of the factory floor will see even more robots, and other autonomic systems, working alongside humans, rather than being contained in “just designed for robots” areas.
Manufacturers should not just be ‘doing digital’ ― they will need to make meaning out of the heaps of data created by smart machines and smart products.
It is my belief that we are ushering in an era of new thinking in manufacturing ― one that shuns the abundance of ‘cost-plus’ offerings and heralds the coming of an ‘experience-centered’ strategy. Consumer demand is evolving fast and instead of just a product, they want a meaningful experience, and manufacturers will need to adapt their skills accordingly.
Successful manufacturers will be those that combine smart machines and physical products, data platforms and an analytical workforce, to glean valuable insights that enhance customer experience as well as have a workforce which embraces the future of manufacturing.”
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