The True Value of the New Wave of Digitization Investment

Throughout 2022, manufacturers have increased digital transformation spending by an impressive 17.6%. Manufacturers across the board are making strides at becoming more technologically advanced and implementing specialized solutions to help improve processes at their complex and dynamic facilities. As we enter the second half of 2022, this blog summarizes the benefits that these smart investments - particularly specialized software - will yield.

In a report by the World Economic Forum, there are clear industry frontrunners when it comes to digitization. The key differentiator for those ahead on the digital transformation curve is that these top performers are taking advantage of a new wave of Industry 4.0 solutions and are adding on specialized modules that bring a heightened level of productivity and efficiency to their factories. Fully digitally integrated factories, “can fundamentally transform a company’s competitive position,” says a McKinsey article

As the article suggests, digitally transformed manufacturers have already begun reaping the benefits of their investments, despite the supply chain disruptions inflicted by the pandemic. For example, by being able to model scenarios such as facility shutdowns and material constraints, they outpaced their competitors by reacting quickly and flexibly as these scenarios became reality. By enabling machine-to-machine and human-to-machine communication, they leveraged the rapid exchange of information and quickly reacted to disruptions to determine the best course of action during challenging times. 

On the other hand, middle of the pack players are often still at the start of their digital transformation journeys, implementing or enhancing ERPs to collect and structure their data. However, the goal of digital transformation should not be to merely collect data: manufacturers should strive to take actions based on their data. Specialized solutions are what will bridge the gap between gathering data and generating new insights to help continuously improve your operations and truly drive value at your facility. 

When considering action-oriented solutions, Kinta is unique in that it both acts as a facility connectivity-enhancer, as well as an advanced production scheduling module that mobilizes data for process improvement. With a live connection to your ERP and/or MES, Kinta unifies between demand requirements, material and labor constraints and your shop floor, ensuring all collaborators have the latest information and the best schedules to execute on. All while delivering the best production schedules for your facility.

In conclusion, Industry 4.0 tools can be incredibly powerful in successfully managing challenging situations with a sufficient level of maturity. Regardless of where you are on the digital transformation curve, further pushing toward a fully integrated and connected facility can give you a strong competitive advantage. 

When you ensure the solutions you are deploying are action oriented and promote increased facility-wide connectivity, you will continue to ramp up the curve! If you are interested in learning more about how Kinta can help you achieve smart manufacturing, make sure to reach out by scheduling a demo, or emailing us at [email protected]