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Future of Manufacturing

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The Opportunity
Physical And Digital Fusion
Discrete manufacturers are doubling the percentage of
connected products in th...
1. Accelerated Market Speeds
2. Modular Production Expectations
3. Data Dependent Operations
4. Proliferation Of E-Commerc...

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Future of Manufacturing

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The Future of Manufacturing report, developed in partnership with Microsoft, presents multiple opportunities for manufacturers to integrate cutting-edge technologies to reinvent their supply chains—from raw materials acquisition to the store aisle.

Download the full report at bit.ly/2tm3srY

The Future of Manufacturing report, developed in partnership with Microsoft, presents multiple opportunities for manufacturers to integrate cutting-edge technologies to reinvent their supply chains—from raw materials acquisition to the store aisle.

Download the full report at bit.ly/2tm3srY

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Future of Manufacturing

  1. 1. The Opportunity Physical And Digital Fusion Discrete manufacturers are doubling the percentage of connected products in the next three years. IDC MaturityScape: Manufacturing Service Innovation, 2016 Manufacturing costs will be reduced by 10-20% by advanced robotics, cobiotics, better OEE and staff flexibility. Digital Factories: The Renaissance of the US Automotive Industry. Fraunhofer Institute for Manufacturing Engineering and Automation (IPA), Roland Berge, 2016 73% of manufacturers state that cloud solutions had improved their level of insight into their businesses. 2016 State of Manufacturing Technology Report. Plex, 2016 Cloud computing for the supply chain will be worth $4.4 billion by 2019. “Supply Chain Management In The Cloud.” Accenture, 2016 Connected And Responsive
  2. 2. 1. Accelerated Market Speeds 2. Modular Production Expectations 3. Data Dependent Operations 4. Proliferation Of E-Commerce Platforms Four Fundamental Shifts
  3. 3. Mapping The Trends Along The Networked Supply Chain
  4. 4. Connected Product Research And Development: The Opportunity With enhanced collaborative tools and real-time communication softwares, development teams have the ability to collaborate on product designs while reducing time to market and improving product longevity through actionable insights.
  5. 5. The Impact: Powering Transformation With MicrosoftBusiness Decision Makers  Enlist real-time knowledge sharing platforms  Develop products based on market insights  Redesign product development processes based on collaboration  Implement reliable network solutions to connect remote parties  Democratize data sharing processes  Use real-time product development metrics for decision making  Integrate solutions to enable ongoing usage monitoring Information Technology Decision Makers Insight via Microsoft Power BI enables technical support teams to detect issues, track usage and diagnose crashes on mobile and web apps, allowing them to continually improve direct communication channels between customers. Azure IoT Suite allows R&D teams to place IoT data in the context of service data, enabling the creation of products that build upon the success of previous iterations and correct erroneous manufacturing decisions.
  6. 6. Agile Production With Smart Equipment: The Opportunity To deliver custom products quickly and at-scale, manufacturers must have flexible production lines that can handle multiple product variations, while ensuring the right mix of materials and components are always on-hand.
  7. 7. The Impact: Powering Transformation With MicrosoftBusiness Decision Makers  Invite the consumer into the creation process  Leverage real-time customer insights to predict marketplace demand  Enlist service-oriented equipment that can recognize a range of instructions  Enhance data-collection capabilities to enable ongoing system refinements Information Technology Decision Makers Predictive and Perceptual Intelligence via Cortana Intelligence helps dealers better infer customer needs and behavior, gain insights and create more meaningful customer experiences at a reduced cost. Dynamics CRM powers customer sales and relationship management, helping companies deliver exceptional customer experiences and create long- term relationships based on knowledge and trust.
  8. 8. The Data-Driven Factory: The Opportunity In order to ensure efficient and safe operations throughout the factory, all components must be seamlessly interconnected, relying on data from previous operatives to inform daily operations and future tasks.
  9. 9. The Impact: Powering Transformation With MicrosoftBusiness Decision Makers  Examine contextual factors alongside marketplace data to better plan for demand needs  Make infrastructure and technology investments with flexibility in mind  Deploy VR/AR technologies to assist in with the diagnosis of problems  Employ AI assistants to automate operational decision making Information Technology Decision Makers Data Analytics and Machine Learning via Cortana Intelligence allows manufacturers to leverage and process cloud data to inform new automated services. Cortana Intelligence helps to create a smarter factory environment through predictive and proactive maintenance, helping team members address problems before they arise.
  10. 10. The Transparent Manufacturing Journey: The Opportunity By working diligently with end-to-end supply chain partners and distributors, and leveraging a flexible logistics network, manufacturers can meet the constantly fluctuating demands of their customers.
  11. 11. The Impact: Powering Transformation With MicrosoftBusiness Decision Makers  Use RFID to track products’ location and quality throughout the supply chain  Diversify supply chain partners to enable greater flexibility or minimize disruption  Leverage blockchain ledgers to provide a secure way to track products  Use tracking systems that can react contextual changes Information Technology Decision Makers Azure Machine Learning is a fully managed cloud service that enables developers to build, deploy, manage and share predictive analytics in cloud-based application. Sharepoint via Microsoft Office 365 is a cloud-based solution that empowers organizations to share and collaborate with partners and colleagues throughout their organization in real time. With SharePoint Online, team members can access internal sites, documents and other information from anywhere, across multiple platforms.
  12. 12. Uninterrupted Operations Through Responsive Maintenance: The Opportunity Large-scale manufacturers that deliver goods or services to a variety of locations can equip their products with the ability to communicate diagnostics and service statuses, giving central maintenance teams the ability to predict the impact of external forces on service or staffing needs.
  13. 13. The Impact: Powering Transformation With MicrosoftBusiness Decision Makers  Use RFID to track products’ location and quality throughout the supply chain  Diversify supply chain partners to enable greater flexibility or minimize disruption  Leverage blockchain ledgers to provide a secure way to track products  Use tracking systems that can react contextual changes Information Technology Decision Makers Connected Field Service via Microsoft Dynamics helps enterprises move from a break-fix mode of maintenance to a proactive, highly efficient servicing model by allowing technicians to remotely monitor or perform troubleshooting to a fleet of assets. Remote Monitoring powered by Azure IoT Suite implements an end-to-end monitoring solution for businesses to manage multiple machines running in remote locations, while allowing organizations to modify solutions to meet their own needs.
  14. 14. 4 Technologies Shaping Manufacturing 1. Big Data Analytics 2. Real-Time Communication Technologies 3. Cloud Connected Services 4. Sensor-Enabled Equipment
  15. 15. • 5 future-forward scenarios • Key trends driving the manufacturing industry • 4 industry disruptors Expert insights and leading case studies • Actionable takeaways for business and IT decision makers • Quotes and insights from industry experts Download The Entire Future Of Manufacturing Report Featuring:

Notes de l'éditeur

  • Context:
    We are at the threshold of unprecedented value creation for industry and society, driven by the accelerating pace of change enabled through digital technology. Whether it is about bringing together patient records so they can be shared quickly for better patient outcomes, or changing the focus from disease management to wellness in healthcare, digital transformation is changing how we work and live. Called the Fourth Industrial Revolution, this significant disruption of traditional industries is fueled by speed, the falling cost of technology and how quickly companies are growing. There is broad agreement that the economic opportunity from digital transformation could be as high as $100 trillion across all industries over the next decade.
     
    When we look at the future state of the automotive industry: we will reimagine how we build cars. We will reimagine how we buy cars. We will reimagine what it is to ‘own’ a car. We will democratize the automotive experience for billions of people across the world, and we will do this with our emerging digital capabilities. Digital will transform every aspect of the automotive industry from core operations (supply chain, manufacturing, dealerships/retail, service) to the entire value chain (service, aftermarket, financing, vehicle insurance).
     
    Digital Transformation marks the inflection point where new technology becomes the central nervous system of the business, connecting sales, marketing, finance, HR, production, logistics and customer service, while changing forever how companies operate and people interact. The cloud, data analytics, artificial intelligence, augmented reality and other emerging technologies are the tools that enable new, improved and, sometimes, disruptive new business capabilities. It’s about combining those tools with business insight and techniques such as design-led thinking to examine a problem from a different perspective and envisage new opportunities.
     
    Microsoft is partnering with automotive companies worldwide to provide the digital platform to help you to rethink the possibilities for human mobility. This report surfaces ‘what could be’ in the digital transformation of the automotive arena.
  • Evolving Manufacturing Landscape:

    Manufacturers have been aware of the impeding force of the Fourth Industrial Revolution—the fusion of physical and digital manufacturing processes— for some time, but have nonetheless been hesitant to introduce their supply chains to digital frameworks. Thanks to advancements in cloud connected technologies and a reduced implementation cost, these technologies are more accessible and impose less of a risk for today’s industrial leaders to adopt.

    Connected Benefits:

    With today’s accelerated market pace, increased supply chain complexities and new patterns of consumer engagement, manufacturers need to replace traditionally siloed manufacturing practices with active, forward-thinking solutions. By leveraging connected manufacturing technologies, like IoT sensors and real-time communication software, in their supply chains, manufacturers can achieve better understanding of their operations and quickly respond to the needs of their customers and partners.

  • Because today’s consumers have a wealth of products to choose from, they are actively searching for high quality items that are certain to bring value into their lives. Amidst this increasingly competitive environment, manufacturers are facing an increased pressure to output new, innovative creations at scale, which means that every stage of product development needs to be quick, agile and research-informed.  

    Modern manufacturing networks have been partially automated for some time, helping accelerate production lines and manufacturing processes. However, with an influx of bespoke designs and customizable parts, manufacturers not only need to enable mass production, but also mass customization.

    Manufacturers with an intimate knowledge of their operations are far more capable of refining or adjusting their operations than those who don’t. With an influx of cloud-connected technologies, manufacturers are switching their approach from reactive to active solutions.  

    The monolithic rise of digital purchasing channels has disrupted typical fulfillment and delivery logistics. Now, manufacturers must take into consideration a new node of production factors—from additional fulfillment channels to alternative warehousing distributions.  
  • Because today’s consumers have a wealth of products to choose from, they are actively searching for high quality items that are certain to bring value into their lives. Amidst this increasingly competitive environment, manufacturers are facing an increased pressure to output new, innovative creations at scale, which means that every stage of product development needs to be quick, agile and research-informed.  

    Modern manufacturing networks have been partially automated for some time, helping accelerate production lines and manufacturing processes. However, with an influx of bespoke designs and customizable parts, manufacturers not only need to enable mass production, but also mass customization.

    Manufacturers with an intimate knowledge of their operations are far more capable of refining or adjusting their operations than those who don’t. With an influx of cloud-connected technologies, manufacturers are switching their approach from reactive to active solutions.  

    The monolithic rise of digital purchasing channels has disrupted typical fulfillment and delivery logistics. Now, manufacturers must take into consideration a new node of production factors—from additional fulfillment channels to alternative warehousing distributions.  
  • (For Research and Development teams, the road to creating a successful product means communication with both ends of the supply chain—from raw material vendors to customers purchasing the finished product.) 

    Katelyn, the lead product developer of a tire manufacturer, has been tasked with designing an all-weather tire that utilizes the company’s latest material formulation.

    (Left Illustration)

    Katelyn uses a combination of social listening tools and analytics about customer usage to develop three digital prototypes. She runs a remote meeting with her international engineering and supply teams to conduct a cost benefit analysis of material sourcing and decide while new vendors to bring onboard.

    (Right illustration)

    After QA tests and approves a final design, the digital prototype is delivered to the production team, who readies it for full-scale production. The production team implements a telemetry system into the tire which allows Katelyn’s R&D team to implement ongoing insights or produce updated components that are derived from usage data.

     
  • (For Research and Development teams, the road to creating a successful product means communication with both ends of the supply chain—from raw material vendors to customers purchasing the finished product.) 

    Katelyn, the lead product developer of a tire manufacturer, has been tasked with designing an all-weather tire that utilizes the company’s latest material formulation.

    (Left Illustration)

    Katelyn uses a combination of social listening tools and analytics about customer usage to develop three digital prototypes. She runs a remote meeting with her international engineering and supply teams to conduct a cost benefit analysis of material sourcing and decide while new vendors to bring onboard.

    (Right illustration)

    After QA tests and approves a final design, the digital prototype is delivered to the production team, who readies it for full-scale production. The production team implements a telemetry system into the tire which allows Katelyn’s R&D team to implement ongoing insights or produce updated components that are derived from usage data.

     
  • (Left side)

    Business Decision Makers

    Identify time consuming or inefficient communication methods and replace them with real-time knowledge sharing platforms

    Enable the development of products or services based on market insights or innovative thinking

    Redesign product development processes based on collaboration and agility

    Information Technology Decision Makers

    Develop and implement reliable network solutions that connect remote parties and enable seamless idea sharing

    Improve and democratize data processing analyses that support development team ideation

    Analyze real-time product development metrics for advanced decision making and visibility

    Integrate solutions into end-products that enable the ongoing monitoring of usage and performance to inform refinements and future product development

    (Right side)
     
  • (Rigid production lines excel at crafting uniform, standardized products—but more often, customers are expecting to have the option to customize their products or request something different than what is offered to them.)

    David, the supply chain manager of a shoe manufacturer, must account for custom orders created by customers on the brand’s website. In order to meet the demands of bespoke product creation while ensuring minimal time to fulfillment, David must be able to manage a flexible inventory of raw materials to handle multiple shoe variations, while ensuring enough supplies are on hand to support mainstream production runs.

    (Right Illustration)

    A group of customers submit their bespoke sneaker designs using the brand’s digital creation software that enables them to choose from a variety of styles, materials and colors.

    (Left Illustration)

    These custom designs are communicated directly to the manufacturing plant, where an AI-powered platform manages the custom requests as they come in and provides appropriate instructions to the necessary equipment. Thanks to cloud connected hardware, manufacturing operations are able to seamlessly produce one-off creations, alongside their mass production lines.

    As these customer orders come off the production line, they are packaged with RFID tags and sent to a packaging center. This generates an automatic email for each customer that includes a link to view the status of their shipment and a picture of the finished product.
  • (Rigid production lines excel at crafting uniform, standardized products—but more often, customers are expecting to have the option to customize their products or request something different than what is offered to them.)

    David, the supply chain manager of a shoe manufacturer, must account for custom orders created by customers on the brand’s website. In order to meet the demands of bespoke product creation while ensuring minimal time to fulfillment, David must be able to manage a flexible inventory of raw materials to handle multiple shoe variations, while ensuring enough supplies are on hand to support mainstream production runs.

    (Right Illustration)

    A group of customers submit their bespoke sneaker designs using the brand’s digital creation software that enables them to choose from a variety of styles, materials and colors.

    (Left Illustration)

    These custom designs are communicated directly to the manufacturing plant, where an AI-powered platform manages the custom requests as they come in and provides appropriate instructions to the necessary equipment. Thanks to cloud connected hardware, manufacturing operations are able to seamlessly produce one-off creations, alongside their mass production lines.

    As these customer orders come off the production line, they are packaged with RFID tags and sent to a packaging center. This generates an automatic email for each customer that includes a link to view the status of their shipment and a picture of the finished product.
  • (Left side)

    Business Decision Makers

    Identify time consuming or inefficient communication methods and replace them with real-time knowledge sharing platforms

    Enable the development of products or services based on market insights or innovative thinking

    Redesign product development processes based on collaboration and agility

    Information Technology Decision Makers

    Develop and implement reliable network solutions that connect remote parties and enable seamless idea sharing

    Improve and democratize data processing analyses that support development team ideation

    Analyze real-time product development metrics for advanced decision making and visibility

    Integrate solutions into end-products that enable the ongoing monitoring of usage and performance to inform refinements and future product development

    (Right side)
     
  • (From Internet of Things sensors to cloud infrastructures, it’s easier than ever for manufacturers to gather information about their daily operations. With this knowledge in hand, production managers can obtain ongoing analyses to identify bottlenecks in their factories or inform them of inefficient operations.)

    (Left)
    Martha, the manager of a manufacturer’s North American operations, must review and adjust the production flow of multiple factories in order to accommodate expected demand shifts. With a target number in place, Martha and her team perform a data-audit of ongoing operations across their network of factories to identify and troubleshoot inefficiencies.

    (Right)
    While the factories are already operating on a continuous schedule, Martha analyzes worker data from connected cameras and wearable devices to understand performance metrics over the course of a typical eight-hour shift. After identifying productivity drop-offs after six hours among certain skilled assembly positions, Martha determines that it’s best to flex workers around these jobs to improve overall performance.
  • (From Internet of Things sensors to cloud infrastructures, it’s easier than ever for manufacturers to gather information about their daily operations. With this knowledge in hand, production managers can obtain ongoing analyses to identify bottlenecks in their factories or inform them of inefficient operations.)

    (Left)
    Martha, the manager of a manufacturer’s North American operations, must review and adjust the production flow of multiple factories in order to accommodate expected demand shifts. With a target number in place, Martha and her team perform a data-audit of ongoing operations across their network of factories to identify and troubleshoot inefficiencies.

    (Right)
    While the factories are already operating on a continuous schedule, Martha analyzes worker data from connected cameras and wearable devices to understand performance metrics over the course of a typical eight-hour shift. After identifying productivity drop-offs after six hours among certain skilled assembly positions, Martha determines that it’s best to flex workers around these jobs to improve overall performance.
  • (Left side)

    Business Decision Makers

    Identify time consuming or inefficient communication methods and replace them with real-time knowledge sharing platforms

    Enable the development of products or services based on market insights or innovative thinking

    Redesign product development processes based on collaboration and agility

    Information Technology Decision Makers

    Develop and implement reliable network solutions that connect remote parties and enable seamless idea sharing

    Improve and democratize data processing analyses that support development team ideation

    Analyze real-time product development metrics for advanced decision making and visibility

    Integrate solutions into end-products that enable the ongoing monitoring of usage and performance to inform refinements and future product development

    (Right side)
     
  • (With higher expectations to meet market demands with faster delivery times, manufacturers need to identify opportunities to implement agile supply chain practices without sacrificing the quality of their products.)

    For the highly anticipated launch of their latest smartphone, a mobile device manufacturer isintegrating new microchips with faster processing power and a brand new form factor. To make this happen, the company’s development coordinator, Cheyenne must work across her global production and distribution centers to bring new vendors into their supply chain and work with existing partners to implement changes.

    (Left)
    During the shipping process to Cheyenne’s factory, several pallets of microchips are exposed to extreme temperatures, which will likely impact their viability. Phil and Cheyenne are immediately alerted to the issue with the number of units affected.

    (Right)
    As material shipments are received at the factory, they are allocated to the production line with the goal of holding limited inventory in the warehouse to keep costs at a minimum. Through a single interface, Cheyenne can see where a particular materials are in the supply chain in real-time and how this impacts production targets. As finished phones come off of the production line, they are automatically distributed to retail partners with additional stock directed to regional warehouses where demand is highly forecasted at launch.


  • (With higher expectations to meet market demands with faster delivery times, manufacturers need to identify opportunities to implement agile supply chain practices without sacrificing the quality of their products.)

    For the highly anticipated launch of their latest smartphone, a mobile device manufacturer isintegrating new microchips with faster processing power and a brand new form factor. To make this happen, the company’s development coordinator, Cheyenne must work across her global production and distribution centers to bring new vendors into their supply chain and work with existing partners to implement changes.

    (Left)
    During the shipping process to Cheyenne’s factory, several pallets of microchips are exposed to extreme temperatures, which will likely impact their viability. Phil and Cheyenne are immediately alerted to the issue with the number of units affected.

    (Right)
    As material shipments are received at the factory, they are allocated to the production line with the goal of holding limited inventory in the warehouse to keep costs at a minimum. Through a single interface, Cheyenne can see where a particular materials are in the supply chain in real-time and how this impacts production targets. As finished phones come off of the production line, they are automatically distributed to retail partners with additional stock directed to regional warehouses where demand is highly forecasted at launch.


  • (Left side)

    Business Decision Makers

    Identify time consuming or inefficient communication methods and replace them with real-time knowledge sharing platforms

    Enable the development of products or services based on market insights or innovative thinking

    Redesign product development processes based on collaboration and agility

    Information Technology Decision Makers

    Develop and implement reliable network solutions that connect remote parties and enable seamless idea sharing

    Improve and democratize data processing analyses that support development team ideation

    Analyze real-time product development metrics for advanced decision making and visibility

    Integrate solutions into end-products that enable the ongoing monitoring of usage and performance to inform refinements and future product development

    (Right side)
     
  • (With higher expectations to meet market demands with faster delivery times, manufacturers need to identify opportunities to implement agile supply chain practices without sacrificing the quality of their products.)

    For the highly anticipated launch of their latest smartphone, a mobile device manufacturer isintegrating new microchips with faster processing power and a brand new form factor. To make this happen, the company’s development coordinator, Cheyenne must work across her global production and distribution centers to bring new vendors into their supply chain and work with existing partners to implement changes.

    (Left)
    During the shipping process to Cheyenne’s factory, several pallets of microchips are exposed to extreme temperatures, which will likely impact their viability. Phil and Cheyenne are immediately alerted to the issue with the number of units affected.

    (Right)
    As material shipments are received at the factory, they are allocated to the production line with the goal of holding limited inventory in the warehouse to keep costs at a minimum. Through a single interface, Cheyenne can see where a particular materials are in the supply chain in real-time and how this impacts production targets. As finished phones come off of the production line, they are automatically distributed to retail partners with additional stock directed to regional warehouses where demand is highly forecasted at launch.


  • (With higher expectations to meet market demands with faster delivery times, manufacturers need to identify opportunities to implement agile supply chain practices without sacrificing the quality of their products.)

    For the highly anticipated launch of their latest smartphone, a mobile device manufacturer isintegrating new microchips with faster processing power and a brand new form factor. To make this happen, the company’s development coordinator, Cheyenne must work across her global production and distribution centers to bring new vendors into their supply chain and work with existing partners to implement changes.

    (Left)
    During the shipping process to Cheyenne’s factory, several pallets of microchips are exposed to extreme temperatures, which will likely impact their viability. Phil and Cheyenne are immediately alerted to the issue with the number of units affected.

    (Right)
    As material shipments are received at the factory, they are allocated to the production line with the goal of holding limited inventory in the warehouse to keep costs at a minimum. Through a single interface, Cheyenne can see where a particular materials are in the supply chain in real-time and how this impacts production targets. As finished phones come off of the production line, they are automatically distributed to retail partners with additional stock directed to regional warehouses where demand is highly forecasted at launch.


  • (Left side)

    Business Decision Makers

    Identify time consuming or inefficient communication methods and replace them with real-time knowledge sharing platforms

    Enable the development of products or services based on market insights or innovative thinking

    Redesign product development processes based on collaboration and agility

    Information Technology Decision Makers

    Develop and implement reliable network solutions that connect remote parties and enable seamless idea sharing

    Improve and democratize data processing analyses that support development team ideation

    Analyze real-time product development metrics for advanced decision making and visibility

    Integrate solutions into end-products that enable the ongoing monitoring of usage and performance to inform refinements and future product development

    (Right side)
     
  • 1. Cloud Connectivity & IoT Technologies are the backbone for a new generation of connected manufacturing and prescient maintenance capabilities. By implementing Internet of Things technologies into service equipment, manufacturers can enable remote servicing, enhance customization capabilities and democratize operative information throughout all the supply chain.

    2. Big Data Analytics empower manufacturers with the knowledge of service history and behavioral patterns, allowing businesses to take advantage of operations or practices that have tangible evidence of success. By leveraging data analytics or pattern recognition software, manufacturers can translate troves of data into actionable insights.

    3. Machine Learning is not only accelerating the path towards ultra-efficiency, but is paving the road towards a new generation of manufacturing-as-service subscription models. As consumer packaged goods companies and retailers are seeking opportunities to build unique, custom products at scale, machine learning makes this process financially achievable by allowing equipment to seamlessly recognize specific instructions.

    4. Real-Time Communication Technologies enable multiple teams, remote or cross industry partners to share ideas or collaborate on virtual projects. By accelerating collaboration capabilities, research and development teams can reduce development cycles, lower product development costs or quickly implement new operational features.
     
  • To learn more about the work presented, download the full Kickstart: Automotive Report created in partnership with innovation think tank PSFK. The report brings to life the future state of the automotive industry and presents various opportunities for driving business forward in a mobile-first world including:
    -Five future-forward connected driving scenarios 
    -Key trends driving the automotive industry  
    -Four industry disruptors shaping new mobility 
    -Expert insights and case studies for digital transformation 
    -Actionable takeaways for manufacturers, OEMs and dealers 
    The report will help enterprise partners understand how cloud-based solutions can transform their businesses in order to drive new levels of service throughout the entire value chain. 

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