How a Smart Network Factory Reduces The Distance to Your Customers


Judging by the headlines, ongoing logistics issues with pandemic restrictions and rising commodity prices will leave manufacturers busy into 2022. Most manufacturers still have a geographic footprint that was driven by global labor arbitrage rather than factors like customer proximity or environmental concerns. The need for a smart network factory that allows for smooth production despite lockdown restrictions is a critical one. 

To increase efficiency, many manufacturers have started to implement Industry 4.0 technologies. Industry 4.0 came with the promise that a smart factory would pay off with a production batch size of just one piece. The concept was introduced around the turn of the millennium with the advent of cyber-physical systems to share, analyze and control intelligent actions for various processes in the industry to make machines smarter and reduce downtime. Analytics can also be used for other aspects such as logistics, demand forecasting, production planning, quality control, capacity utilization, and efficiency gains.

But we are still at the beginning to realize the true potential of Industry 4.0. Smart technologies offer nothing less than the potential to reshape the global manufacturing footprint, position factories closer to markets, reduce logistical nightmares, and increase the visibility for ecosystem partners, including suppliers and customers.

The time has come to implement technology to redefine the global footprint. With a new vision of the smart factory

What are the key ingredients to creating a sustainable smart network factory?

Customers are increasingly demanding highly personalized products and an improved customer experience. Manufacturing companies are using highly agile cloud-based solutions to improve customization and service enhancements and to meet higher flexibility requirements.

The need to reduce delays and transportation costs, as well as the pursuit of more sustainable production and the imperative to reduce the distance to the physical end user, are driving companies to redesign the manufacturing site, aided by technological advances, to build smaller, smarter Products. Factories are closer to customers.

Smart decisions require end-to-end transparency. This requires a consolidated view of the entire manufacturing business, including commercial, procurement, and operational aspects.

A tightly coupled view and streamlined processes across the entire ordering system, facility operations, and supply chain streamline capacity and demand management and system-wide failover alternatives.

A global view and command structure to respond quickly to supply chain challenges. A connected supply chain operating with a single view of orders, shipments, inventory, and shared digital processes provides the visibility needed to improve speed and agility to respond to disruptions in a timely and efficient manner. Smarter automation that leverages AI-driven insights can lead to self-adapting assembly lines.

Intelligent technologies make it possible to locate smaller production facilities closer to customers. But how can manufacturers make critical business decisions about relocating manufacturing facilities? The main ingredient that is required is good intelligence. It’s true that manufacturing companies use a wealth of data throughout their operations. But is the data linked, consistent and processed to enable insightful business decisions?


Building a Smart Network Factory With KloudPLM. 

A smart networked factory is highly digitized. Connecting manufacturing facility that uses technologies such as artificial intelligence (AI), Internet of Things (IoT), and robotics. Subsequently, helping companies manufacture products, create new business value, and automate or eliminate business processes.

These technologies enable people to do their jobs more productively and efficiently while improving overall quality and safety. At the same time,  technologies enable smart factories to adapt and optimize production processes autonomously.

The production facilities and the production itself are managed by the ERP system. KloudPLM’s multi-tenant cloud offering enables you to connect your critical systems with vendors, suppliers, and customers. KloudPLM’s cloud-first software is securely Built on Salesforce. Thus, reducing the time taken for managing infrastructure and more time focusing on strategic initiatives. Schedule a demo today.

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