Is digitalization of your production a goal of yours, but you’re unsure how to get started? This article will give you a basic explanation what digitalization means and what you need to be aware of when beginning this journey.
Digitalization: actually implies having a strategy for modernization
Digitalization is more than a buzzword. At first glance, it seems obvious that the term refers to previously analog processes being implemented digitally. But this is the tip of the iceberg! If you really want to take meaningful steps towards digitalization, it demands more than just implementing existing workflows online. Ideally a holistic digital strategy for your company will be defined – after all, that's what the term digitalization means!
In a nutshell: Digitalization versus Digitization
The two terms sound very similar – yet have different meanings:
- Digitization: Existing documents and data are converted from an analog to a digital format.
- Digitalization: Also known as digital transformation. A process or the entire strategy of a company is modernized focusing on optimization of production processes by leveraging digital technologies.
Learn how digitalization benefits your business
Although some industries have digitized data in the past, digitalization is still at an early stage in many industry verticals. If this is the case in your company you should consider connecting your individual machines with each other, ideally into one digital data management system. In this way, you can ensure that important data is collected and evaluated centrally.
How it works: Sensors on production lines are connected to specific software through digital interfaces. The software transfers all collected data to a central location, where it can be processed to consolidate and contextualize it. Users of the software from production line operators to higher management decision makers can access the data relevant to their role in a single pane of glass, for example in the form of digital dashboards.
Improvement opportunities of digitalization
Your digitalization strategy should define what improvement opportunities are being addressed. What is causing degradation in your production process? Digital data collection and analysis can help to identify and prevent degradation, improve efficiency, throughput, and/or quality. Some examples are:
Collect important data on wear and tear of your equipment. Extrapolate the data into the future to predict wear-out failures. This allows you to optimize maintenance planning and effort.
Review production goals
Use collected data to determine if set production goals are met, and visualize them in real time KPI dashboards allowing for faster reaction times for shop floor operations.
By evaluating the information processed from the collected data, you and your decision makers can better assess the effectiveness of the company's production processes.
Review production goals
With the help of a capable software solution you can conveniently compare performance over a longer time period. This allows you to derive important insights for your strategic business goals.
Are you interested in how inmation can help you get digitalization in your company started? Our team can help assess the options for your individual use case. Arrange a consultation now.