Businesses in the manufacturing industry are adopting automation, and they're enjoying it, a new study by Hennik Research suggests.
The study, entitled 2016 Annual Manufacturing Report, shows that 83 per cent of companies have implemented some form of automation in the past five years. These automation efforts have been led by increased efficiency (78 per cent), cycle time (60 per cent) and quality (58 per cent).
On the other hand, those that did not yet implement automation, haven’t done so because of financial considerations, fears that ROI (return on investment) will be too slow (54 per cent), and failure to accommodate the investment in the budget (31 per cent).
The report also says that those that fail to adapt are risking being left behind.
According to Nitin Rakesh, CEO and President of leading digital modernisation firm Syntel: “The digital age has disrupted many different aspects of manufacturing, from research and development, to marketing and sales. Businesses cannot afford to put production on hold in order to modernise, but must transform their manufacturing processes in order to thrive in an increasingly competitive environment.”
“Financial pressures in the manufacturing sector are prompting organisations to re-assess how they use technology in their manufacturing operations, to determine how they can best modernise their systems in order to maintain a competitive edge,” said Rakesh. “Cost-conscious businesses need to realize that their long-term run-the-business costs will be higher without the proper technology infrastructure in place.”
The digital revolution has reached the factory floor,” said Rakesh. “Investments in IoT-enabled machinery and connected devices now enable manufacturers to harness data from these assets to optimise factory operations.”
“The insights available allow organisations to monitor the input, boost their output and maintain a high level of quality control. Through integrated sensor and automation technology, organisations are positioned to make more effective decisions in other areas such as finance, product design and distribution.”