“The global industrial sector is poised to undergo a fundamental structural change akin to the industrial revolution as we usher in the IoT. Equipment is becoming more digitized and more connected, establishing networks between machines, humans, and the Internet, leading to the creation of new ecosystems that enable higher productivity, better energy efficiency, and higher profitability. While we are still in the nascent stages of adoption, we believe the IoT opportunity for Industrials could amount to $2 trillion by 2020. The IoT has the potential to impact everything from new product opportunities, to shop floor optimization, to factory worker efficiency gains that will power top-line and bottom-line gains.”: Goldman Sachs, in “The Internet of Things: The Next Mega-Trend”
In the world of the Internet of Things (IoT), many of today’s questions pertain to how manufacturing plants can rise to the next level utilizing the IoT power. It seems that technologies related to IoT are ushering in an industrial revolution that will bring a landmark change in the performance and management of manufacturing processes.
According to SEMI, there would be a billion IoT device in the manufacturing sector by the end of 2020. And, global manufacturers are likely to invest $70 billion on IoT – clearly, the stakes are huge.

Smart manufacturing and IoT are two overlapping, but not coincident sets, i.e. IoT is not specific to just manufacturing and smart manufacturing includes technology that is not restricted to the perimeter of IoT.

What does IoT mean to a manufacturing business?

IoT has the power to radically transform the manufacturing sector. It helps manufacturers prolong their asset lifespan, optimize efficiency and reduce power consumption. The smart manufacturing systems will seamlessly interlink the production and business domains. Here are a few ways IoT is finding application in the manufacturing sector.
With such a wide scope, more and more supply chain applications are likely to become available for the forward-thinking company in the coming years. Mobile platforms allow two-way interaction, which not only speeds up the communication process, but also extends the communications lines to the very end of the supply chain – to warehouses, in transit, and other previously hardtop connect end-points.
Furthermore, it allows companies to transparently view and access information about their inventory, to capture and validate data and process payment – all within a mobile-friendly environment. All this helps to drive faster decisions and higher productivity.

IoT will become routine

The Internet of Things is a revolution data-gathering. Thanks to this abundance of real-time data available to the companies, IoT is poised to transform the logistics processes. Many companies are leveraging IoT technologies for collecting critical information and smartly managing assets. This drives up operational efficiency and also helps them to proactively fulfill the demands of the customer.

IoT will become routine

The Internet of Things is a revolution data-gathering. Thanks to this abundance of real-time data available to the companies, IoT is poised to transform the logistics processes. Many companies are leveraging IoT technologies for collecting critical information and smartly managing assets. This drives up operational efficiency and also helps them to proactively fulfill the demands of the customer.
A report by DHL and Cisco in 2015 estimated that technologies such as asset tracking can have an impact on more than $1.3 trillion in the supply chain sector.And, this transformation is definitely underway.
Here are a few IoT-enabled technologies that have the power to transform the supply chain sector over the next few years.

Automation– It used to be that most of the plant networks were disconnected from one another, but with IoT and IP networks you can connect everything and anything within a plant and provide connectivity across multiple locations and business networks. Once the systems are connected, the manufacturer can automate and optimize the workflow so it flows without human intervention. It reduces the time for manufacturing and eliminates the probable bottlenecks from the entire manufacturing process.

Energy management – In many manufacturing-focused industries, energy is often the second largest operating cost. This is a big challenge since many companies lack the specialized skills to effectively reduce and manage energy. With IoT, companies can more effectively manage the energy cost. Connected systems provide better visibility into consumption, and help to optimize the spend. This helps to reduce the peak demand, which in turn allows the organization to save a lot of money. Then there is the intelligence that can be built in, leveraging the data available to the decision systems. As an example, IoT-enabled HVAC systems can gather weather information and predicts the cooling needs. All this helps manufacturers better plan allocation and utilization of the energy resources.

Connected supply chain – When the production line is connected, as is the rest of plant equipment and the entire supply chain, the organization can get a better understanding of the interdependency, cycle time and flow of material. IoT-enabled systems are often used for location tracking and checking the status and health of the inventory in the warehouse. These systems can also give transparency into delivery information. Furthermore, real-time monitoring and tracking help in early detection of delays, which can be planned for and this enhances the performance of the entire manufacturing process.

Factory efficiency – IoT provides ongoing, real-time information to decision makers and helps in improving the efficiency of the factory. A plant manager can easily track the performance of every component of every machine and view all the information regarding production at every step with the help of IoT-enabled devices.

IoT and Smart Manufacturing – When it comes to manufacturing, IoT enables a smart ecosystem wherein data from the supply chain is collected in real time. The data collected is later converted into actionable and useful information. Manufacturing powered by IoT provides the business complete visibility and eliminates all potential friction from the process.One of the features of Smart Manufacturing is increasing the productivity in the factories by reducing the human error. In factories and warehouses where the processes are highly automated and dependent on machinery, one loose nut in one machine on the line can bring the entire manufacturing to a standstill. An IoT revolution can make preventive maintenance, servicing, stocking, and spares ordering also automated, and hence proactive. This can bring a sea change in terms of cost, efficiency, safety and sustainability.Today IoT devices are being used to consolidate control rooms, track factory assets, and increase analytical functionality.

Manufacturing plants are extremely process oriented – with IoT, men, machine, and the process can work in tandem.The IoT advantage can help digitally transform manufacturing – will your plant be among them?

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