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Embracing the Factory of the Future Steps manufacturers can take now to prepare for the new paradigm
Manufacturing faces disruptive changes from multiple directions… Expanding global markets New information technology New operational technology Escalatingcustomer demands
…creating a convergence of forces • Expanding middle class • Emerging nations • Global internet access Expanding global markets • 3D printing • Sensors/scanners • Robotics • Late stage assembly • Internet of Things • Big data • Configuration tools • Collaboration New information technology New operational technology Escalatingcustomer demands • Personalized products • Expect more value, speed • Positive experience
The result: Growth and opportunity 1.8B worldwide will join the consuming class by 2025 The Internet of Things 70% of global trade is related to manufacturing Manufacturing jobs make up 45% of the US economy Manufacturing Service 50B $19T connected devices by 2030 projected in worldwide economic value $60T • 900,000 $32T 45M employed in manufacturing new manufacturing jobs were created in 2010-2015 2010 2030 Global market for manufactured goods McKinsey Global Institute: Manufacturing the Future: The next era of global growth and innovation.
How can you seize this opportunity? Modernize your systems: The Factory of the Future has two pillars of advanced technologies Information Technologies Operational Technologies
The result: The Factory of the Future Information Technologies Understands customer expectations and buying triggers Applies new technologies for end-to-end value chain visibility Meets changing consumer demand for speed, value and service Turns to cloud deployment for agile response to changing conditions
The result: The Factory of the Future Operational Technologies Embraces innovation and disruptive technologies Adapts to new best manufacturing practices for ETO and MTO Automates processes for lean workflows with minimal waste Overcomes increased global competition by offering distinctive products and service
Meet the fully integrated, digitally connected enterprise… Seamless visibility of real time data across the enterprise and supply chain Highly productive and efficient shop floor processes produces products with speed, quality and customer-centric value
Benefits of the Factory of the Future Better ability to predict consumer trends and buying triggers 1 Increased agility to respond to fast changing market conditions 2 Improved cycle times and on-time deliveries to customers 3 Total visibility through the value supply chain 4 Reduced time and cost to launch new products 5
Benefits of the Factory of the Future Improved asset utilization with fewer idle machines 6 7 Improved customer experience Minimal waste of resources and labor 8 Mobility tools can attract and retain millennial workforce 9 Improved analytics allow personnel make profit-first decisions 10
Checklist: Preparing your IT infrastructure How do you get started on your journey to the Factory of the Future? • Visibility Customer centricity Mobility Data ingenuity Cloud enabled
Checklist: Preparing your IT infrastructure Start here. Ask the right questions. Do you have complete value chain visibility? Can you track details in real-time? • Visibility Do you empower personnel to work the way they live? Do they have constant connectivity via intuitive mobile devices? Customer centricity Mobility Are you using cloud deployment so you can move plants and add locations to respond to market demands? Data ingenuity Cloud enabled
Checklist: Preparing your IT infrastructure Summarize your gaps. Turn to a trusted solution provider to help fill IT gaps. • Visibility Are you in sync with customers? Do you use portals, collaborative and collaboration tools to provide customized products? Customer centricity Mobility What is your data IQ? Do you use business intelligence and role-based KPIs? Do you track trends and predict inventory and resource needs? Data ingenuity Cloud enabled
Here is an example of new information technology trends CloudSuite for end to end commerce SOURCE MAKE MOVE STORE DELIVER SELL z Out-boundDemand In-bound Supply Order mgmt. Procure-to-pay finance Plan, market, quote, and close Transportation management Inventory management Work in process Transport/receive Factory management Warehouse management
Checklist: Preparing your operational infrastructure Also examine your shop floor, inventory systems, automation and movement of materials through the plant. • IoTand sensors • Innovation and 3D printing • Shop floor automation • Assets and robotics • CPQ
Checklist: Preparing your operational infrastructure Are you using smart sensors and Internet of Things technologies to connect with customers, suppliers and assets? • IoTand sensors Are you embracing disruptive operational technologies? • Innovation and 3D printing • Shop floor Automation Are you using configuration and pricing tools to assist with product customization? • Assets and Robotics • CPQ
Checklist: Preparing your IoT infrastructure Upgrade and add operational improvements according to a strategy • IoTand sensors Are you automating shop floor processes, eliminating idle machines and excessive movement of materials? • Innovation and 3D printing • Shop floor Automation • Internal assets and robotics Are you monitoring internal assets to prevent unexpected downtimes? • CPQ
Here is an example of new operational trends Contract manufacturing:Products are now often designed, built, and shipped by different companies in partnership Specialization Import quotas Specialized manufacturers service multiple brand owners Dissipation of import quotas resulted in scale off shore suppliers Off shore labor Variable demand Labor intensive products moved to lower cost locations Load balancing across suppliers to respond to volatile demand curve Shipping costs Shorter product cycles Ocean shipping costs remain cost effective with lower energy cost Flexibility in product mix and faster cycles with broad supplier base
Start executing the plan… Create teams and call in the experts 2 Prioritize goals and set a strategy Optimize market opportunities 1 3 Deploy while controlling risk 4 Evaluate, refine for continuous improvement 5
Inforhelps manufacturers get on track Inforoffers manufacturers purpose-built solution suites that will manage the complete manufacturing operation, from financials and scheduling to shop floor management, quality control, and analytics. The highly flexible end-to-end solutions help you improve process efficiency, more accurately manage your cost position, better meet customer expectations, and accelerate growth. Highly flexible ERP solutions tailored for manufacturing--on premise or in the cloud Business analysis tools and d/EPM Configure, price, quote (CPQ) capabilities Mobility-enabled and collaborative social tools
Infor’s expertise in manufacturing 30+ 100+ 25,000 years customers products Manufacturing is Infor’s largest industry segment
Informanufacturing industries and verticals Discrete manufacturing: 4industries, 28verticals and 316 SIC codes Industrial Manufacturing High TechElectronics Aerospace and Defence Automotive • Industrial Machinery & Equipment • Metal Fabrication • Plastics Fabrication • Medical Devices • Primary Metals • Furniture & Fixtures • CPG • Stone, Clay, Glass, Concrete • Paper & Pulp • Printing & Publishing • Lumber & Wood • Other HTE • Industrial Electronics • Components & Accessories • Communications • Comm. Equipment • Computers/Office Equipment • Semiconductors • Consumer Electronics • Aerospace & MRO Services • Defense • Metal Fabrication • Defense & MRO Services • Defense Electronics • Tier Suppliers • OEM • Specialty Vehicles • After-market
Infor cloud credentials 4,500+ Uniquecustomers globally 6,300+ Customer sites 45 million Users 8+ PB Petabytes of data 1,050+ Opportunitiesprovisioned in FY15 < 2 mins Time it takes to provision customers on automated MT apps 96 Countries accessing the Inforcloud 99.9% Average historicaluptime 120+ Customer and industry audits conducted each year ISO, ITAR & HIPAA Compliant
Ready to begin your journey toward becoming a Factory of the Future? MEET INFOR VALUE ENGINEERING Let Infor’s Value Engineering team help you take the first steps. The team of experts in business process and IT solutions can help you identify, quantify, and realize the tangible business benefits of embracing the new paradigm. Ready to get started? DOWNLOAD WHITEPAPER CONNECT WITH US
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About Infor Infor builds beautiful business applications with last mile functionality and scientific insights delivered as a cloud service. With 13,000 employees and customers in more than 200 countries and territories, Infor automates critical processes and helps eliminate the need for customization through embedded industry domain expertise. To learn more, visit www.infor.com.