INDUSTRY WATCH
NOW IT’S TIME TO
DETERMINE THE GOALS
FOR THE INVESTMENT AND
TACTICS TO GET THERE.
W
ith a gradual approach,
manufacturers can turn to
edge applications, hybrid
solutions and a phased roll-out to build
confidence and gain buy-in from the
various teams.
A gradual approach also provides time
to establish data security and ensure
compliance with modern regulations, like
the EU’s General Database Protection
Regulation (GDPR).
Now it’s time to determine the goals for
the investment and tactics to get there.
Most digital technologies, like IoT, are
not out-of-the-box solutions you simply
plug in.
A customised approach is therefore
critical. Setting a very well-defined plan
with measurable milestones will help
eliminate project ambiguity. Focus on
building a plan that is practical, doable
and cost-effective.
Start with viable ‘phase one’ goals, such
as preventing unexpected down-time
and keep shop floor assets running,
better manage inventory levels with
fewer stock-outs and meet customer
demand for highly personalised
products. Avoid broad goals like ‘double
profits’ or ‘increase sales’.
Funding issues
If the business isn’t ready for a huge
investment in IT solutions, start small
with a subscription-based cloud
deployment, eliminating the need for a
large capital investment. This allows you
to reap the benefits of cloud computing
while protecting critical customer data
and moving forward while easing
stakeholder anxiety. With no need for
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hardware and systems such as servers,
security and back-ups, the IT team
can focus on other issues, rather than
continually worrying about upgrades
and back-ups.
Another way to overcome funding
issues is to use the savings generated
from phase one to fund phase two
projects. From business intelligent
tools for tracking real-time results, to
CRM solutions, shop floor scheduling,
planning and time-tracking, field service
management, tracking warranties
and service agreements and inventory
management to improve accuracy,
massive savings potential is offered.
Building the business case to prioritise
steps is important. There are some
prerequisites that are must-have basics
for modernising operations. These are the
foundations for growth.
Consider end-to-end visibility, mobility,
attractive, easy-to-use interfaces, self-
service reporting, workbenches and
dashboards and non-modified software.
Thankfully, these elements can be
achieved with one modern Enterprise
Resource Planning (ERP) solution.
The size of the move often guides the
strategy. Moving to a servitisation model
is a good example of this. Offering the
product as a service or outcome-based
solution – rather than selling the product
– is gaining traction in some industries
(especially ones where the traditional
product is high-value, like cranes, tractors
and road building equipment).
This often requires new strategic
thinking and the integration of
unfamiliar technologies. Deciding
whether to increase services and/
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