Information technology (IT) spending will grow from $2.46 trillion in 2015 to more than $2.8 trillion in 2019, with the United States and Canada comprising the largest share of global IT spending. Discrete manufacturing and process manufacturing will be among the top industry spenders.
Looking at the state of technology within U.S. manufacturers, it’s no wonder.
For many functions — asset management, human resources, supply-chain management, customer service/support — a majority of manufacturers have ineffective IT applications and systems (see infographic). Sadly, smaller manufacturers are in even worse shape. For example, only 25% of SMEs have effective IT applications and systems for logistics/distribution; 23% for supply-chain management; and 18% for asset management.
This is a looming crisis among SMEs. Hobbled by antiquated IT systems, they’ll be challenged to retain market share or growth because:
Poor-quality operations information leads to production errors, delays, and environmental, health, and safety (EHS) issues.
Enterprise functions fail to act in a synchronized, collaborative manner, leading to delays and waste.
Customer and supplier businesses are bottlenecked, unable to share critical data and information (demand forecasts, production schedules, product specifications, design drawings, etc.).
Legacy IT often makes a digitized supply chain difficult or impossible. It also hurts manufacturers’ abilities to adopt new technologies, such as 3D printing/additive manufacturing or the Internet of Things (IoT). Only 10% of manufacturers have a network infrastructure capable of IoT machine-to-machine communications; barely 13% have network infrastructure currently capable of IoT machines-to-enterprise communications. Many manufacturers report “network overhaul required.”
For SMEs, the statistics are even worse.
You may not be able to replace your IT overnight, but you can start planning — and investing —today. Identify where legacy IT creates risk in your organization — to worker safety, data security, customer satisfaction — and prioritize where to spend first. Adoption of cloud-based IT solutions, whether alone or alongside legacy on-site systems, can help.
Is your company ready to compete in an era of digitization?
One remarkable thing about the list is that it rarely changes. The order may change but the top cited standards typically don’t change. Top 10 Sited Safety and Health Violations: 501 - Fall Protection 1200 - Hazard Communication 451 - Scaffolding 134 - Respiratory Protection 147 - Lockout/Tagout 178 - Powered Industrial Trucks 1053 - Ladders 305 - Electrical, Wiring Methods 212 - Machine Guarding 303 - Electrical, General Requirements Three of the 10 sited standards are directed at the construction standard (1926) while other fall within the general industry (1910). It should be noted however that the general industry standard also has fall protection guidelines. Year after year, inspectors see the same on-the-job hazards, any one of which could result in a fatality or severe injury. More than 4,500 workers are killed on the job every year, and approximately 3 million are injured. By understanding these regulations you can improve your safety program and prevent injuries. Give me a call if you have any compliance doubts, or want to review OHSA regulations. Gwido Dlugopolsky at 216-391-7766 or firstname.lastname@example.org
Why does it take a NASCAR pit crew only 15 seconds to change four car tires when it takes people like you and me minutes? The answer is simple SMED. Single Minute Exchange of Dies, or SMED, is a process for reducing the time it takes to do equipment changeovers. Using the principles of SMED you should be able to perform any changeover in your facility in under 10 minutes! The SMED process is simple – convert as many changeover steps as possible to “external”, meaning they are done while your equipment is still RUNNING, while simplifying and streamlining the remaining steps. SMED is broken down into the following 3 Steps: Separate Convert Streamline We found this article to be very helping in explaining the SMED process in more detail: LEAN PRODUCTION - SMED A good first step to achieve this level of SMED efficiency would be to run a kaizen event at your facility to standardize (5S) your tools and supplies. Doing this alone will help you achieve 40% to 50% greater efficiency. Once the “low hanging fruit” is gone, you can still reduce setup times another 20% by practicing more advanced SMED principles.
The secret to closing any sale is to reduce uncertainty in the buyer and replace it with confidence in YOU, your PRODUCT/SERVICE, and your COMPANY. Step 1 – Confidence in YOU Someone buying from you wants to be able to fundamentally connect with you on a human level and feel confident that you’re an expert in what you’re selling If you’re selling paperclips, be an expert in paperclips If you’re selling design and engineering related services, be an expert in design and engineering related services Focus on addressing the problem, not the solution….MEANING you already know you have the solution, connect with the buyer by being an expert with the problem he/she is facing. Prove that you know the problem and all aspects of the problem like the back of your hand. Step 2- Confidence in the PRODUCT/SERVICE you are selling Someone buying from you needs to trust the product/service you are selling will solve their problem. It’s your responsibility to deliver a solution and the benefits associated with it. Basically you need to “Hit a Homerun” communicating this message. Tip – Use Success Stories: Share with the potential buyer examples of your product/service solving problems and delivering value for