Article | October 8, 2021
The trends in the manufacturing industry for 2022 are expanding and altering the industry's conventional face. The future of manufacturing is going to merge with digitalization and technological applications. As a result, all operation methods, products, and manufacturing outcomes will be modernized with new technology applications.
To brighten the future of manufacturing, manufacturing companies must examine new trends in the industry before developing their manufacturing plans for 2022. Technological advancements are the next game-changer in the manufacturing business.
Adeaca's Vice President of Market Innovation and Project Business Evangelist had recently quoted in an interview with Media7 as,
“As technology takes over and enhances many of the processes we used to handle with manual labor, we are freed up to use our minds creatively, which leads to bigger and better leaps in innovation and productivity.” – Matt Mong, VP Market Innovation and Project Business Evangelist at Adeaca
The new trends in manufacturing are leveling up every part and element of the industry. In this article, we'll look at a new trend for each industry aspect that's assisting manufacturers in speeding up the production process, increasing ROI, and propelling their manufacturing business to new heights.
Additionally, it will assist you in addressing current industry challenges such as forecasting product demand, addressing skilled manpower shortages, and increasing manufacturing plant efficiency.
Five Manufacturing Industry Trends to Watch in 2022
Emerging trends in manufacturing provide a chance to review your production strategy for products and processes. Check out below the upcoming trends in manufacturing that are getting attention in the industry.
Customer Engagement and Purchase Experience
Creating an exceptional digital customer experience is a new trend in manufacturing. According to industry experts, mapping the customer journey and their interactions with your products is the first step towards establishing a positive connection with your potential consumers.
A few of the most popular strategies to improve the consumer purchasing experience and engagement are as follows:
Build a knowledge base for your products on your business website
Create a comprehensive FAQs page that addresses all of the buyer's possible queries
Create a chatbot to provide immediate help to the buyer with further inquiries
Create a brand story and a comprehensive description of your manufacturing business
If possible, provide product statistics and success stories, and content about consumer satisfaction with your product
Create a product functionality video or explanatory picture material to familiarize the potential customer with your product
These are some of the trends that engage your prospective buyers and increase their purchasing experience through a range of product-related information and educate them about you and your products.
Smart Technology-enabled Products
Smart is the new norm in every industry. The old operations and goods that were once a part of everyone's life have now been replaced by technology. Manufacturing is no exception to this alteration. Due to the increasing demand for smart products among customers, every company is now looking forward to inventing and manufacturing smart products.
Explore and understand how you may incorporate cutting-edge technology (Artificial Intelligence, Machine Learning, Edge Computing, and Digital Twins, and more) into your products to help them stay updated with manufacturing trends.
Virtual and Augmented Reality in Manufacturing (Industry 4.0)
Transforming traditional manufacturing systems and processes into smart, tech-savvy ones is a new trend in manufacturing. The future of manufacturing is expected to witness this digitization in 2022 and beyond. Therefore, you must convert your conventional manufacturing plants into smart ones, i.e., as per the concept of Industry 4.0 – the fourth industrial revolution.
Discover how prominent companies are implementing Industry 4.0
The following are some popular transformations that many popular manufacturing factories are adopting to become part of the industry revolution.
To achieve a zero-carbon footprint, manufacturers may use analytics systems to determine the amount of trash they create and develop ways to eliminate it. (Implemented by Whirlpool)
Utilize an analytics platform to decipher usage data for energy, water, and other utilities. (Implemented by Whirlpool)
Utilize technology such as Siemens' Mindsphere, which enables online analysis of several aspects of a production plant and helps manufacturers create digital models using real-time data. (Implemented by Siemens)
Utilize a combination of IoT and cloud-based technologies to avoid downtime and gather analytics data. (Implemented by Hirotec – a Japan based manufacturing company)
Machine learning technology can be used to foretell and avoid system failures in your manufacturing plant. (Implemented by Hirotec – a Japan based manufacturing company)
Utilize robotics and to accelerate manufacturing across many verticals. (Implemented by Ford)
Utilize 3D printing to improve the precision of product design and to avert product defects during the early production stage. (Implemented by Aerospace: Airbus) These are some examples that other well-known manufacturing companies in the market, such as Hewlett-Packard, Ford, Whirlpool, and Siemens are currently using. So, consult an expert and determine how to leverage emerging technology to turn your production plant into a smart manufacturing unit.
Internet of Things (IoT) to Boost Revenue
Manufacturing companies have begun to leverage the Internet of Things to establish connectivity between machines and operational procedures throughout manufacturing. This linkage between machine and operation significantly decreases the human supervision required for each step and completely automates them.
Manufacturers intend to incorporate these IoT trends in manufacturing into both their products and operational processes. IoT further enables manufacturers to operate and monitor their work remotely. As a result, they can concentrate on developing new strategies and preparing for future ventures.
Shifting Focus from B2B to B2C Model
Several manufacturers skip intermediaries and connect directly with their consumers to sell efficiently to their target consumer group. This purposeful approach has multiple benefits, which are outlined below.
Manufacturers may skip the lengthy retail sales cycle and achieve a shorter time to market
The absence of a third party between the manufacturer and the customer reduces the risk of brand misinterpretation or dilution
Direct interaction with customers enables manufacturers to obtain more accurate consumer data, product feedback, and requirements for new product development
Manufacturers can control the price of their products due to the absence of a third party between them and the target consumer group
These benefits of the B2C model attract manufacturers and encourage them to develop added production techniques with these benefits in mind.
Technology, innovation, and digitization are the future of manufacturing. The IoT trends in manufacturing are essential for industrial production and will allow the manufacturing industry to obtain a new competitive edge. Hence, manufacturers must keep in mind this industry revolution (industry 4.0 and 5.0) while developing strategies for their manufacturing operations in 2022.
What are the benefits of adopting the Internet of Things in manufacturing?
IoT devices can monitor industrial operations, manufacturing cycles, and other warehouse data management processes automatically. This benefit decreases the amount of time spent monitoring individual operations and increases production speed.
What role will smart manufacturing play in the future?
According to a grand view research analysis, the smart manufacturing market was worth USD 236.12 billion in 2020 and is expected to extend at a 12.4 percent compound annual growth rate to reach USD 589.98 billion by 2028.
What are the critical components of the smart factory of the future?
Robotics, the Internet of Things, big data, and cloud-based administration will be critical components of the future smart factory.
Article | December 16, 2021
Lean manufacturing is an operational approach used to create value. Businesses adopt lean manufacturing to improve productivity, reduce waste, increase customer value, and employee satisfaction.
Many businesses are accelerating their adoption of lean principles and practices due to the emergence of the industry 4.0 transformation. As a result, companies such as Caterpillar, Intel, Textron, Parker Hannifin, and John Deere are all reaping the benefits of lean manufacturing.
So, where did the idea of "lean manufacturing" first originate? In this article, you'll learn about the origins of lean manufacturing and its key principles.
The Origins of Lean Manufacturing
The principles of lean manufacturing were developed in Japan in the mid-20th century. Toyota, a famous Japanese automaker, experienced major delivery issues at the time. Its production chains were excessively long; thus it couldn't supply enough products on time. As a result, Toyota needed a new Performance measurement system. The company's managers identified a solution.
They created a new project management method called the Toyota production system. Its basic idea was to improve product distribution by reducing waste. It was a good concept. It helped the company shorten manufacturing chains and deliver products faster. Toyota's production method created a simple and effective waste definition. Any step that did not improve the end product's functionality was called a waste.
Later, other manufacturing industries adopted the system. It was renamed as lean manufacturing. It's now a global phenomenon and is used by large and small businesses worldwide.
When should you implement the Lean Manufacturing Method in your business?
Lean is a waste-reduction methodology, approach, and a lifestyle. While it is commonly used in manufacturing, lean techniques are applied to reduce waste while keeping high quality in any business.
Waste reduction of 80% plus
Reduced production expenses by 50%
Decreased inventories by 80-90%
Producing quality items is 90% less expensive.
Workforce productivity improved by 50%
If you want your business to get the above benefits, you need to adopt lean manufacturing principles.
Five lean Manufacturing Principles
Lean manufacturing benefits businesses in multiple ways, and this lean lifestyle has the potential to empower any organization and increase its market competitiveness. So, let us observe the five fundamental principles of lean manufacturing.
For the first principle of defining customer value, it is vital to understand what value is. For customers, value comes from what they're willing to pay for. The customer's actual or hidden demands must be discovered. Customers are not aware of what they want or cannot express it. When it comes to new items or technologies, this is a regular occurrence.
Assume nothing; ask about the pain points being experienced and then craft a unique value proposition. Never force a solution into a problem that does not exist.”
– Thomas R. Cutler, President & CEO at TR Cutler, Inc.
For example, you can use various methods to find out what customers value, such as surveys and demographic information. With these qualitative and quantitative methodologies, you may learn more about your clients' needs, their expectations, and their budgets.
Identifying and mapping the value stream is the second lean principle. By starting with the consumer’s perceived value, all activities that contribute to that value may be identified. Waste is anything that does not benefit the client in any way. It can be divided into two categories: non-value-added and unnecessary waste. The unnecessary waste should be removed, while the non-value-added should be minimized. You can ensure that clients get exactly what they want while minimizing the cost of creating that product or service by removing unnecessary processes or steps.
The next operations must proceed smoothly and without interruption or delays after removing wastes from the value stream. Value-adding activities can be improved by breaking down tasks, reorganizing the manufacturing process, distributing the workload, and educating personnel to be flexible and multi-skilled.
The fourth lean principle requires a pull-based manufacturing system. Traditional production systems use a push system, which starts with purchasing supplies and continues manufacturing even when no orders are placed. While push systems are simple to set up, they can result in vast inventories of work-in-progress (WIP).
On the other hand, a pull method pulls a customer's order from delivery, causing new items to be made and additional materials to be acquired. Kanban, one of the lean manufacturing tools, can help organizations develop a pull system to control material flow in a production system.
An efficient pull system maximizes available space, reduces inventory, eliminates over-and under-production, and eliminates errors caused by too much WIP.
While completing Steps 1-4 is a great start, the fifth and possibly most critical step is incorporating lean thinking and process improvement into your organizational culture. As benefits accumulate, it is vital to remember that lean is not a static system that requires continuous effort and awareness to perfect. Each employee should get included in the lean implementation process. Lean experts sometimes state that a process is not truly lean until it has undergone at least a half-dozen value-stream mapping cycles.
How Nike Demonstrated the Benefits of Lean Principles
Nike, the world-famous shoe and clothing powerhouse, has embraced lean manufacturing principles and practices. Nike experienced less waste and increased consumer value, as did other businesses. It also shared some unexpected benefits. It is proven that lean manufacturing can minimize terrible labor practices at a company's overseas manufacturing unit by up to 15%. This result was mostly due to implementing the lean manufacturing practice of valuing the workers more than earlier routine labor practices. It provided greater significance to an employee and, as a result, greater significance to the organization as a whole.
Implementing lean manufacturing principles is a good way to run any organization. Businesses that build their operations on the two pillars of lean manufacturing, constant improvement, and personnel respect, are well on their way to becoming a successful and productive organizations in the modern era. To become a lean company, an organization must fully grasp the benefits and added value that it may get by adopting lean manufacturing principles.
What is Five S's of lean manufacturing?
The 5S of lean manufacturing are Sort, Set in Order, Shine, Standardize, and Sustain, and they give a framework for organizing, cleaning, developing, and maintaining a productive work environment.
What are the two pillars of lean manufacturing?
Lean, as modeled on the Toyota Way values, has two pillars, first is ‘Continuous Improvement’ and second is ‘Respect for People’.
Why are lean principles beneficial for any business?
Lean manufacturing is a business strategy that has proven to be highly successful since it can help you decrease costs, remove waste, enhance production, maintain excellent quality, and thus increase business profit significantly.
Article | May 20, 2021
The transformation of raw materials through mechanical, physical, or chemical processes into a new product is the definition of manufacturing in the U.S. These businesses include plants, mills, factories, and warehouses and they rely on power-driven equipment to produce their products.
Small businesses and home-based businesses are included in the scope of U.S. manufacturing - this includes sectors like tailor-made clothing, bakeries, candy stores, or toy/crafts creators. Additionally, companies that contract with the businesses in these industries are included in the sector of American manufacturing. It is worth noting: U.S. manufacturing does not include anything relating to housing or commercial construction.
Article | May 13, 2021
When the manufacturing industry began to embrace digital technology a decade ago, it adopted a new identity — smart manufacturing or Industry 4.0. Applying cloud, automation, analytics, machine learning and big data to production operations created a connected ecosystem for manufacturing and supply chain management, and became a high-growth market. At the start of 2020, the sector was on track to grow into a market worth more than $300 billion in the coming five years.
Then the pandemic hit. By spring, millions of workers had lost their jobs. Some plants closed temporarily or slowed production so workers could spread out to maintain a safe distance from one another. Investment in smart manufacturing fell too, by 16 percent between March and April alone. Some researchers predicted that such a pull-back would dampen investment through 2025.
But the conversations we’ve had with C-suite manufacturing executives and service providers suggest investment in smart manufacturing will intensify. By 2025, it could be worth more than $400 billion. It’s no wonder.