Smart factories promise to boost global economy (Part 2)

Based on this potential for growth, Capgemini estimates that smart factories can add anywhere between $1.5-trillion (€1.36-trillion) to $2.2-trillion (€2-trillion) to the global economy over the next five years. In 2017 Capgemini found that 43% of organisations had ongoing smart factory projects; which has shown a promising increase to 68% in two years.

5G is set to become a key enabler as its features would provide manufacturers the opportunity to introduce or enhance a variety of real-time and highly reliable applications.

Despite this positive outlook, manufacturers say success is hard to come by, with just 14% characterising their existing initiatives as ‘successful’ and nearly 60% of organisations saying that they are struggling to scale. The two main challenges to scale up are:

• The IT-OT convergence – including digital platforms deployment and integration, data readiness and cybersecurity – which will be critical to ensure digital continuity and enable collaboration. Agnostic and secure multilayer architectures will allow a progressive convergence.
• In addition to digital talent, a range of skills and capabilities will be required to drive smart factory transformation including cross-functional profiles, such as engineering-manufacturing, manufacturing-maintenance, and safety-security. While soft skills, such as problem solving and collaborative skills will also be critical.

According to the report, organisations need to learn from high performers (10% of the total sample) that make significant investments in the foundations – digital platforms, data readiness, cybersecurity, talent, governance – and well-balanced “efficiency by design” and “effectiveness in operations” approach, leveraging the power of data and collaboration.

Jean-Pierre Petit, Director of Digital Manufacturing at Capgemini said: “A factory is a complex and living ecosystem where production systems efficiency is the next frontier rather than labour productivity. Secure data, real- time interactions and virtual-physical loopbacks will make the difference. To unlock the promise of the smart factory, organisations need to design and implement a strong governance program and develop a culture of data-driven operations.”

“The move to an Intelligent Industry is a strategic opportunity for global manufacturers to leverage the convergence of Information Technology and Operational Technology, in order to change the way their industries will operate and be future ready,” he further added.

Mourad Tamoud, EVP, Global Supply Chain Operations at Schneider Electric said: “Through Schneider Electric’s TSC4.0 Transformation, Tailored, Sustainable & Connected 4.0, a sustainable and connected journey which integrates the Smart Factory initiative, we have created a tremendous dynamic.  We had started with just 1 flagship pilot several years ago and towards the end of 2019, we have over 70 Smart Factory sites certified with external recognition by the World Economic Forum.  By training our managers, engineers, support staff, and operators, we have equipped them with the right knowledge and competences.  In parallel, we have also started to scale this experience across the organisation through a virtual network to achieve such a fast ramp up.”

Source: Industry Europe