Build a Connected and Intelligent Manufacturing Enterprise
The Internet of Things (IoT) is gaining traction in the consumer world as a smart and predictive way to make day-to-day life easier. From home security systems that can send alerts to smartphones to fitness trackers that can help you reach your workout goals, IoT can exponentially improve manufacturing businesses. Connecting IoT data with ERP technology unlocks huge untapped potential (for manufacturing companies competing in Industry 4.0).
The use of IoT in manufacturing is growing due to its ability to optimize resources, reduce costs, and improve overall decision making. In fact, by 2025, the manufacturing IoT market is expected to grow by over 18%. This growth stems from how IoT and ERP technology improves visibility across operations with comprehensive insights into all stages of the supply chain.
Outlined below are a few reasons your manufacturing business will benefit from ERP and IoT integration.
ERP is significant to manufacturers due to its ability to provide businesses with a single source of truth for their data. This eliminates data silos, human error, and streamlines business processes for all departments. IoT further improves the availability of data across manufacturing businesses. In turn, this enhances manufacturing ERP systems with more accurate demand planning and forecasting, asset management, business intelligence, and customer service. By linking IoT sensors to manufacturing equipment, businesses have access to robust process automation and quicker access to data for all necessary personnel–technicians, business leaders, and sales representatives.
Additionally, IoT sensors allow manufacturers to monitor machinery from anywhere in the world, sending alerts to ERP systems if there are lapses in equipment performance. This maintenance automation empowers technicians to detect precise areas of the problem with the machine (in order) to address those issues promptly. Not only does this real-time data minimize downtime but it also ensures shop floor safety and compliance.
Manufacturers typically manage product quality through manual work-in-progress inspections. This is a time-consuming process that makes complete quality control extremely difficult.
IoT sensors track production lines and identify defects or misaligned parts instantly and automatically. These types of production errors immediately trigger an alert to your ERP system. These alerts allow for immediate action to mitigate the impact of product errors and include the information necessary to avoid similar events in the future. Thus, resulting in improved product quality, and ultimately, happier customers.
IoT enables businesses to stay on top of customer requirements long after a purchase. With the information generated through product sensors and transmitted into ERP software, manufacturers gain insight into each product, enabling them to offer additional services. Additionally, you can proactively detect product deficiencies, allowing you to reach out to customers and dispatch the right field service workers to fix the issue before customers even notice a problem. By improving customer service, you can improve customer retention and gain new customers.
In short, when ERP and IoT technology work together, you have better insight into your entire supply chain. Smart devices and sensors collect and transmit data into ERP software, where insights are provided through BI tools, reports, and dashboard notifications. With precise, real-time data, users can make better decisions to enhance manufacturing or distribution performance.
Let Datix help you prepare for future enterprise success! We are a certified Infor partner and an expert in Epicor® ERP. Our consultants offer a variety of ERP solutions and services to maximize the value of your investment and increase your insights. From start to finish, we work with clients to provide modern solutions to fuel greater productivity.
Get started on becoming a connected, intelligent enterprise with IoT and ERP. To learn more, contact the experts at Datix today.