Bottom Line: Analytics, Business Intelligence (BI) and real-time monitoring are revolutionizing every aspect of Manufacturing Execution Systems (MES), from production planning and scheduling, shop floor controls, production reporting and quality.
One of the best strengths any manufacturer can strive to gain is the ability to improve and learn continually. A CEO of an electronics consumables company acknowledged he competes in a price-driven commoditized business. “Our finding out how to improve quality, order cycle times, take deals from competitors on capacity availability win us a higher quality customer than any price war ever will.” In a business that rewards price, availability and production flexibility coupled with the ability to capture data and turn it into growth is priceless. Every day in a commodity business it’s learn-to-earn time. And the ability to turn insights into dollars is what analytics, BI, and real-time monitoring are doing right now to MES.
Removing Roadblocks To Growth With Analytics, Real-Time Monitoring
Manufacturers growing 10% or more in the last year are busy turning their MES into the strongest source of knowledge they have. Their goal: use MES to remove roadblocks and knock down barriers that stand in the way of growth. Our latest IQMS Manufacturer’s Survey found that manufacturers growing 10% or more per year see analytical insight gained from real-time monitoring as more important than price. As one COO of a parts manufacturer I recently had lunch with said, “we step away from price wars and compete with more aggressive intelligence about how we can offer better production performance, guaranteed quality, and deliveries than competitors.”
We’re in an era of aggressive intelligence across manufacturing, and it’s growing. Manufacturers growing 10% or more per year saw this coming three years ago and today they are excelling at orchestrating analytics, BI, real-time monitoring and mobile to win more deals. Analytics. BI and real-time monitoring are providing insights into how dispatching, production management to the work center level, in-process quality management, manufacturing quality management including CAPA, and track-and-trace including product genealogy can all be monitored in real-time.
Making An MES A Roadmap To Growth
88% say analytics and Business Intelligence (BI) are essential for managing manufacturing operations today. 81% of manufacturers say real-time monitoring is improving their business. 72% of manufacturers say real-time monitoring is essential for streamlining and making inventory reconciliation more efficient. The following are 10 areas where analytics and BI are predicted to make the greatest contributions to manufacturing growth, specifically in the area of MES, in the next twelve months:
Real-time monitoring is delivering the greatest contribution to MES performance in the areas of improving scheduling accuracy (52%), enabling better levels of inventory control (48%), enables plants to improve production plan performance (40%), and improve order-to-fulfillment cycle times (37%) and improving track and traceability accuracy by having real-time data on production runs for each order (34%).