Smart Manufacturing
You have probably read articles, heard this term used by an equipment manufacturer, and even heard it at a Chamber of Commerce meeting or other local group. Smart Manufacturing covers a broad category of manufacturing with the goal of optimizing the process from concept, to design, to production, and then delivery. Ultimately, people adopt smart manufacturing so they can take advantage of advances in information, manufacturing technologies, and automation, and thereby increase the efficiency of their processes and increase profitability. It is said this is the start of the “Fourth Industrial Revolution,” an era of automation, constant connectivity, and accelerated change.
Tools for Our Industry
Now let’s narrow this big picture down to our industry and how we can take advantage. Last month, I wrote about metrics in our technology and the importance of good data. Our plate company software management systems, both for production tracking and operational tracking, are a part of smart manufacturing. But are companies taking full advantage of these, and other, tools available to them?
I have often been heard saying that our industry always seems to be behind the curve with technology and the acceptance of it. I say that not as a criticism but as a call to action. When I am at plants with a high level of automation or those taking advantage of connected technology, it is readily apparent how these things form the next leg of a Lean Manufacturing operation. Anytime I have the privilege of working with a component manufacturer, I always discuss their progress with smart manufacturing and tips on how to improve. It is prudent for every company to consider how they can take advantage of this revolution. In fact, BCMC in Knoxville this month offers a great opportunity to hear the latest and reflect on your own situation. BCMC lets you look at the latest machinery, network with peers, and sit in on educational sessions. I encourage you to do more than attend but interact at this show and others. If you are not a part of the revolution today, you need to “get on the train.”
Using the Data
Essentially, smart manufacturing is about using analytics and Big Data to run your plant better (think: the data tells you what to do!). Let me give you an example. Steve Roggeman is a good friend of mine with McCann Industries, Inc., and McCann has transformed its business of rental equipment to the construction market. They now have internet enabled (telematics) meters on the majority of their rental equipment to improve fleet management. This connectivity improves productivity and reduces costs by tracking machine performance, maintenance, and overall utilization. Steve told me, “not only has telematics improved our asset management, it has also reduced our long-term operating costs both for McCann and our clients.” This shows how a supplier is now working with a client using smart technology. Following a detailed cycle-time analysis and the identification of the top sources of non-value added activity, the company implemented a new digital manufacturing system that provided a communications link between man and machine and enabled predictive maintenance capabilities and much more. Now the company can spot potential machine-related problems while they are developing and perform early maintenance to minimize their impact. Our operations are no different; when we harness the information we can get from a gantry, saws, delivery trucks, and even how designers perform, then we can see the process of using smart technology and manufacturing. Many of the pieces are here today, but even more advanced technology (think robotics and other advanced machinery) are being introduced.
Progressive businesses have already begun gathering information and manufacturing intelligence by investing in highly automated and IT-driven production. This manufacturing intelligence enables the factory floor to become a profitable innovation center. Several good tools we use today are a part of your smart revolution. The software platforms we use for management and manufacturing, harnessing data produced by our computerized equipment (autojig tables, component and linear saws, auto stackers, etc.), and tracking our fleet are all pieces you have in place that contribute to smart manufacturing.
Looking at the Process
Where do component manufacturers or lumber dealers fit into this? In lots of ways! Using affordable sensors to obtain better data. Looking within the assembly line, not as a single process but as a set of work stations. Looking at work processes and identifying unnecessary differences that lead to inefficiencies. Looking at equipment utilization and finding ways to automate or get more accurate information. Analyzing material movement, reducing steps, reducing cross overs of paths, and other fundamentals. You may look at what I just wrote and say this is just lean manufacturing; I tell you these are the initial steps for a smart manufacturing plant. Once you know these processes, then you can look at where you might automate a step or change a piece of equipment using technology. When this data is fed back to you (integrated), you as the manager have the ability to make better decisions. The information allows you to be more flexible in production so you can quickly reprogram/schedule to provide faster time to market today and better meet the demands of a construction project and building. And so much more…
Getting Smart
A lot of bulky information is contained here, so let me provide you with a simple guide to Smart Manufacturing.
- Assess where you are today. Do you have automated equipment? Are you tracking the utilization of equipment? Is the data being fed back to your software platform? How are you tracking maintenance? Are you tracking productivity from the equipment? How does information flow from quote to delivery? Are your systems integrated today? How are you tracking performance not only of machines but your team? These are just a few of the questions you should be asking.
- Lay out a plan. Where can you begin to improve or integrate information and what process is occurring that would allow you the opportunity to automate or eliminate? Draw the process on your white board or use stickies to document a process or piece of equipment. Think about what you can afford to do today and what can be done long-term. You want to make sure you give consideration to something you change today and how it integrates into your long-term objectives.
- Gather information. When you go to tradeshows like BCMC or when you visit with equipment manufacturers or suppliers, have your plan with you so you can see how a process or a step can be changed. Or use consultants, like myself, who can walk you through the process, document it, and suggest areas/items of change. When you know your long-term goals and know what you are doing today, going to a show and seeing the latest and greatest software, equipment, and services will be more valuable. When you attend an educational session, choose a topic that will help guide you with process improvement.
Migrating towards smart manufacturing means different things to different companies and may seem daunting, but the increasing evolution of modular solutions could both make the process easier and perhaps help define the direction. Where do you fall? Thrivers will aggressively embrace smart operations while Survivors will fall further behind. Need some help? I would be honored to assist you make the leap.
Ben Hershey is the CEO of 4Ward Consulting Group, LLC, the leading provider of Lean Management and Manufacturing Consulting to the Structural Component and Lumber Industry. A Past President of SBCA, he has owned and managed several manufacturing and distribution companies and is Six Sigma Black Belt Certified. You can reach Ben at ben@4WardConsult.com or 623-512-6770, and you can visit him this month at BCMC, Booth #720.