How can the Intelligent Enterprise impact the Manufacturing Industry
The market is experiencing a disruptive shift in customer demand for new, extensive, smart, and personalized products. Sellers are constantly reducing buffer inventory with obsolescence risk in mind. Manufacturers are competing to meet this challenge and provide individualized products in similar lead times and cost as off-the shelf products. This creates tremendous complexity for the manufacturing operations team, yet at the same time, companies are looking for growth and profitability while maintaining high quality and sustainability.
To meet these demands, manufacturing is being used as a strategic pillar, becoming more collaborative, localized, automated, integrated, and highly adaptive. Companies are adopting digital manufacturing strategies and solutions to seamlessly connect relevant business stakeholders, information and operational processes in real time. Digital manufacturing simultaneously improves responsiveness and efficiency which drives growth, while decreasing cycle time and cost. Leveraging technologies like 3D printing, cloud, machine learning, and the Internet of Things (IoT) is increasing agility and extending the manufacturing network. Digital manufacturing has become a strategic differentiator.
SAP solutions powered by Approyo enable companies to integrate and embed intelligence in manufacturing processes facilitating Industry 4.0 principles with one source of live information. They provide an optimal coordination of planning and execution processes, covering all aspects of the manufacturing cycle from planning to shop floor and beyond.
Reduce manufacturing cost by increasing output and gaining real-time visibility into quality and costs Increase plant output with improved planning and visibility into equipment utilization while also reducing the inventory held for manufacturing. Have a real-time and drillable view of the performance metrics of all the production facilities globally. This enables identifying and implementing global manufacturing best practices.
Reduce revenue loss due to plant fulfillment issues by agile planning and production orchestration Gain the ability to respond to demand and confirmed order changes. Live inventory data and drastically reduced material requirements planning (MRP) processing time improve transparency and responsiveness. The planning system simplifies constraint based capacity planning by bringing together material and capacity constraints. Improve production tracking, labor shortage, first pass yield, and equipment availability to ensure on-time delivery.
Increase revenue growth by mass manufacturing of individualized products and 3D printing Produce personalized products ordered by customers with minimal human intervention. Product genealogy for every unit is maintained in the system for service and compliance needs. Collaboration with Origin Equipment Manufacturer (OEM) and contract service providers enables fulfilment of custom orders faster, while reducing inventory levels, time to market, and waste.
Reduce scrap and rework cost by empowering the workforce to take informed decisions Gain immediate insights on planning, execution, quality, with analysis at the finest level of granularity available on mobile devices. Supervisors can analyze and take immediate actions on their mobile devices.
Protect people and the environment and reduce manufacturing downtime by proactively managing operational risk Provide critical safety information to all employees – top floor to shop floor – to create an effective safety culture. Establish a holistic approach to embed safety and operational risk management into all of your operations.
Reduce manufacturing-related IT cost by using an integrated set of solutions With SAP S/4HANA as the digital core, integrate seamlessly with the manufacturing execution suite and manufacturing network solutions (digital manufacturing insights, distributed manufacturing). This reduces the cost to develop and maintain digital manufacturing capabilities.
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