Adopting IoT for Manufacturing Sector: Its Impact and Applications
McKinsey’s Global Institute predicts that IoT will have an economic impact of around $11 trillion by the end of 2025. The growing demand for automation, centralized monitoring, and predictive maintenance are leading the IoT technology most prominently in the manufacturing industry.
With issues like abrupt outbreaks, disasters, and conflicts, manufacturers are increasing their search towards the Industrial Internet of Things (IIoT). By integrating IIoT, they plan to stay competitive and strategize better for business growth. Let’s learn the importance of IIoT in the manufacturing sector and its benefits.
What is IIoT? What Benefits does IIoT Bring?
IIoT- Industrial Internet of Things, is known to be a sub-category of the Internet of Things (IoT). It uses a data-driven approach to drive efficiency into the industries. It is a unique concept that includes embedded sensors, cloud-based data, and interconnected devices to ensure better industrial performance. It leverages wide range of tools for the businesses and applies smart techniques to gain a competitive edge. Integrating IIoT concepts for the manufacturing sector help save time and extra operational costs.
For instance, the motorbike manufacturer firm Harley-Davidson used IoT technology for effective transformation in its manufacturing facility. It helped reduce the overall bike production time from 21 days to just 6 hours. Thus, introducing IIoT to manufacturing promises productivity gains, cost and time savings, and safety improvements. Here are a few benefits of including IIoT with the manufacturing industry:
- Improved Inventory Management
- Supply Chain Visibility
- Enhanced Product Quality Controls
- Real-time insights
- Cost Savings
- Asset Security
Impact of Using IoT in the Manufacturing Sector
Using IoT technology is proving beneficial for the industries. It is transforming the manufacturing sector with its data-driven techniques and bringing a digital revolution across the businesses. For many years, manufacturers have been demanding customization, improved productivity, and operability. With the advent of IIoT, there is an enormous impact on the manufacturing fields more than any other field.
With the huge transformation in the manufacturing industry, IoT has enabled advanced features to mitigate all possible industrial queries. Also, it has enabled the manufacturers to experience a massive increase in their revenue. Mostly, the increase in revenue numbers depends on the business production. Integrating IoT-powered solutions will not only increase the production levels but will significantly boost the quality of production thereby impacting the revenue increase. The IoT technology helps monitor the machines in real-time and generates accurate reports for better decisions. This helps in making business strategies better and customer-centric. Thus, IoT lays an impact on increasing the revenue of your manufacturing business.
The Internet of Things is the technology that enables connectivity between the things (assets). The manufacturing unit comprises of huge machines and units that require keen monitoring to perform better. For instance, if there happened to be a machine breakdown, the entire plant suffers tremendously and there are high chances of the machines losing their efficiency. IoT bridges the gap between the assets and their performance with the help of sensor devices. These devices extract data to present a clearer picture of the asset’s performance and interconnect the entire plant facility to facilitate instantaneous monitoring. This helps the managers to gain real-time information on the conditions of equipment and make decisions accordingly.
Improved Supply Chain
IoT can improve supply chain operations at significant levels. You can install a smart IoT solution for real-time monitoring, security, and also apply condition-based monitoring, especially on the cold chain products. With a radical transformation due to IoT, the manufacturing sector can now gain insights on every product and save this information on a cloud platform for later use. IoT is a significant concept that primarily aims to create simplified management in the industrial premises and provides cost-effective automation techniques to improve the supply chain operability.
The positive impacts of IoT in the manufacturing domain are leaving a transformational trail that only increases the potentiality of the sector significantly. You also have unique applications of IoT in manufacturing that contribute to better productivity.
IoT Applications in Manufacturing Sector
Simply, IoT integrated assets provide real-time data information that allows the manufacturers to make informed decisions. The sensor devices provide valuable information regarding machine conditions, which is used for analysis and predict better outcomes.
Anticipating the Market
Data plays a crucial role in evaluating the patterns and providing information about the quality of production in a manufacturing facility. It further helps the manufacturers to strategize and anticipate the required changes. These predictions can offer improvements in inventory management, staffing requirements, regulating costs, and any other operational dependency. Thus, with the help of IoT technology, it is easier to predict the requirements and optimize the same to primarily satisfy the customers.
IoT is a sensor-based technology that extracts data from the assets to gain valuable information about their health and performance. The technology is equipped with advanced analytics to provide actionable insights. These are displayed on an aesthetic dashboard connected through your smart gadget, which provides all the necessary information. This allows predictive maintenance to work as an important aspect in the manufacturing sector.
The manufacturing industry is fully equipped with large machines and connected pipelines. You can easily install IoT-powered solutions like smart asset monitoring to calculate their working efficiency and obtain accurate results. Asset monitoring is one of the most significant applications that enhances the actual potential of the industrial assets. It allows the managers to make fine decisions and take necessary actions to improve productivity.
The digital twin is a concept that represents an IoT process, equipment, or other industrial assets digitally. It provides an accurate representation of the physical asset, which helps identify the problems and allows the managers to optimize a process before its execution. It is a great concept for the upkeep of the machines that reveals the internal functioning as if it were performing for real. Also, you can easily monitor the inaccessible devices in remote locations such as wind turbines, or pipelines situated under the roads through digital twin concept.
About the Author
This article was written by Sanjeev Verma, the founder and CEO of Biz4Group, based out of Orlando. He has conceptualized the idea of Biz4 Brand and founded Biz4Group and Biz4Intellia. He has 20+ years of experience in boosting IT-based start-ups to success. In the past, he has worked on leadership positions with Marriott Vacations, Disney, MasterCard, Statefarm, and Oracle.