Industry 4.0 is embracing an entirely new and improved way of doing business with the use of innovative digital technology in the B2B world.
It has taken manufacturing to the next level. From handing processes over to technology, smart machines to artificial intelligence (AI), these transformations are serving a bigger purpose of digitalization.
Despite this digital transformation in manufacturing, the World Economic Forum found that around 62% of manufacturing companies have digitized only one of their product lines, which is a fraction of Industry 4.0.
In the 21st century, the factory is no longer the center of manufacturing. In fact, it’s often the furthest thing from it.
Modern factories take advantage of ideas like flexible space, mass customization, and mass production, while also incorporating social media and hardware/software innovations such as 3D printing, drones, and robotics into their daily operations.
The first step that companies need to take is to embrace the digital culture, accelerate digital transformation across the organization, and invest in cloud-based technology. This is the apex of digital transformation for the manufacturing industry.
Having a digital presence allows consumers to know exactly who you are and how to interact with you directly. The direct relationship retailers have with manufacturers translates into profit retention and customer loyalty. As a manufacturer, you are in full control of how your brand is represented and how your customers are served.
1) Faster Time to Market
The environment of the manufacturing companies must be optimized to maximize productivity. And that’s where digitalization comes in. The automation and a connected ecosystem make the information move faster as compared to traditional manufacturing. The employees can seek better insights that not only helps in making the design and engineering process faster but also identify solutions, and make rapid decisions.
2) Greater Agility
Going digital makes companies more agile, and able to react better to the economy and world situations. It enables flexible manufacturing.
With smart machines, companies can be more resourceful and quickly make modifications, find solutions to change course, and easily adapt to new scenarios. The flexible digital model helps companies create new revenue streams, be more innovative, and limit disruptions.
3) Customization for Changing Demands
Earlier this year, Industry 4.0’s surge in demand reached a 37-year high. The manufacturing industry is on track to surpass the pre-pandemic production levels. However, it’s not just the demand that’s evolving; what consumers want is also changing. Customization is becoming a must-have capability for manufacturers with consumers ready to pay for personalized products.
4) Sustainability and Business Goals
Manufacturing companies can create the goods consumers need and want but there is always an environmental cost to creating those products.
With digital operations, companies can work better towards sustainability goals as defined by the state or federal government, the industry, or the manufacturer itself. Companies are even adding sustainability roles for their C-suites to track metrics, spearhead green policies, and ensure the company works in compliance.
5) Better Operational Efficiency
Digital transformation supports drift operations by eliminating unnecessary behaviors, automating processes, and consolidating workflows. This leads to lower costs and increases time for value-adding work.
Digital operations in manufacturing allow companies to automate and set a level of intelligence that can maximize efficiency across the processes. They allow manufacturers to simulate alternatives and find more efficient ways of achieving goals.
As the world is moving toward digitalization, the manufacturing industry has to adopt technologies like Artificial Intelligence, Augmented Reality, and the Internet of Things. This will keep modern production lines running through predictive maintenance and help in pre-empting issues before they become detrimental.
In this highly competitive business world, manufacturing companies can’t afford to lose time to operational issues or allow defects to spiral into a production line closure. The future of profitable and efficient manufacturing lies in digital transformation and businesses truly need to embrace technology driven insights.
Mike Patel is the Founder and CEO of ioVista, a leading digital commerce agency specializing in eCommerce solutions. With a strong background in business and technology, Mike Patel has been at the forefront of driving digital transformations for businesses. He has successfully navigated the ever-changing landscape of eCommerce, helping companies leverage the power of online platforms to grow their brand, increase revenues, and optimize their digital presence. Under his leadership, ioVista has become a trusted partner with major technology companies: Adobe/Magento, Google, BigCommerce, Shopify, and Yahoo. He is dedicated to staying ahead of industry trends, adopting cutting-edge technologies, and continuously improving strategies to provide clients with a competitive edge. Mike’s commitment to excellence and client satisfaction is evident in every project ioVista undertakes.
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