manufacturing
Manufacturing

When “In Control” Stops Meaning What You Think It Means in Modern Manufacturing

Manufacturing organizations have never had more visibility into their operations. Connected equipment, real-time dashboards, and automated analytics make it possible to see performance across lines, plants, and shifts with remarkable clarity.

For many teams, this visibility feels like control. Increasingly, it is not.


Visibility Has Improved Faster Than Authority

Modern manufacturing systems are instrumented by default. Sensors stream data continuously. Software aggregates performance. Exceptions are flagged automatically.

This has raised the baseline for awareness. It has not always raised the baseline for decision-making.

In many environments, information travels faster than responsibility. Data is available, but action is deferred. Signals are visible, but responses are negotiated. Performance appears stable, even as underlying assumptions quietly change.

The result is a growing gap between knowing what is happening and deciding what must not be allowed to happen.


The Shift From Fixed Processes to Responsive Systems

Historically, most production systems behaved predictably unless something broke. A tool wore out. A sensor drifted. A material changed. Variation was the messenger. That assumption is weakening.

Today’s manufacturing environments increasingly rely on systems that respond continuously to data. Adjustments happen faster. Compensation is more precise. Performance metrics are protected aggressively.

From the outside, this looks like progress—and often it is. But it also introduces a new challenge: systems can remain calm while changing how that calm is achieved.


When Stability Becomes Harder to Interpret

A stable trend has always been reassuring. In connected, automated environments, stability can mean several different things:

  • the process itself is healthy
  • the system is compensating effectively
  • variability is being displaced elsewhere
  • limits are being approached gradually rather than crossed abruptly

Without careful attention, these conditions can look identical on a dashboard.

That does not make the data wrong. It makes interpretation more demanding.


Adaptive Behavior Raises New Questions

As machine-learning-enabled logic enters production systems, decision-making increasingly happens inside the process itself. Setpoints shift. Parameters adjust. Trade-offs are made automatically, often in service of performance goals defined upstream.

These adaptive physical AI systems are not hypothetical. They are already influencing real-world manufacturing behavior.

Their presence does not invalidate established quality practices. It does, however, challenge a quiet assumption many teams still hold: that consistency alone is evidence of control.

A system that can learn to stay within limits can also learn to stay quiet.


The Risk Is Not Loss of Data, but Loss of Intent

What many organizations are beginning to sense is not a lack of information, but a gradual erosion of clarity around intent.

  • Which boundaries are truly non-negotiable?
  • Which adjustments are acceptable, and which should never occur?
  • At what point does “good performance” become misaligned with long-term reliability, cost, or risk?

These questions rarely announce themselves as alarms. They surface slowly, often only after something forces a conversation.


A Moment Worth Paying Attention To

Manufacturing is entering a period where systems are not just connected, but increasingly capable of acting on their own behalf. In that context, familiar signals may no longer carry the same meaning they once did.

For leaders responsible for quality, uptime, and operational risk, the challenge is not abandoning proven tools—but reassessing what “in control” really requires when systems can adapt faster than oversight cycles. That reassessment is already happening quietly across the industry.


Looking Ahead

In February, a small, in-person discussion is planned in Phoenix, Arizona, focused on how control assumptions are evolving in modern manufacturing environments. This is not a webinar or a public forum, but a focused working session for practitioners who are already encountering these questions in practice.

If you would like more information as details become available, please reach out directly at [email protected].

Further information will be shared privately.

One final consideration: can a process still be considered “in control” if its behavior is adjusting beneath the chart?


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On-Demand Manufacturing
Manufacturing

On-Demand Manufacturing: Benefits, Challenges, and Comprehensive Insights

As the global manufacturing industry continues to evolve, one concept that has taken center stage is On-Demand Manufacturing. A direct response to the changing needs of the market and consumers, this approach turns the traditional manufacturing model on its head. Instead of mass production, it focuses on making products as and when they are required, thereby reducing inventory costs, enhancing customization capabilities, and increasing overall operational efficiency.

However, like any transformative concept, it comes with its own set of challenges that need to be addressed to fully harness its potential. This comprehensive guide dives into the world of on-demand manufacturing, exploring its numerous benefits and inherent challenges, elucidating its core principles, and providing an in-depth understanding of its mechanisms.

By peeling back the layers of this progressive manufacturing approach, we will uncover the profound impact it can have on businesses, consumers, and the broader industry scope, potentially setting the stage for the future of manufacturing.


Benefits of On-Demand Manufacturing

On-demand manufacturing brings a multitude of advantages to the table, reshaping traditional manufacturing norms and providing companies with unique opportunities for growth and innovation. This section delves into the myriad benefits this dynamic production model offers, illuminating why more businesses are adopting it to meet evolving market demands. Here are some key benefits:

  • Reduced Inventory Costs - By producing goods as and when they are needed, businesses can reduce or even eliminate the costs associated with maintaining large inventories of finished goods. This includes storage costs, handling costs, and the risk of unsold goods becoming obsolete or spoiling.
  • Increased Cash Flow - Money that would otherwise be tied up in inventory can be used in other areas of the business, improving cash flow. This can provide a significant financial advantage, especially for smaller businesses or startups.
  • Minimized Waste - Producing goods only when they are required reduces waste from unsold or unwanted products. This can lead to significant cost savings and is also more environmentally friendly.
  • Greater Flexibility - On-demand manufacturing allows businesses to quickly adapt to changes in demand or customer preferences. They can easily add new products, modify existing ones, or stop production of items that are no longer selling well.
  • Enhanced Customization - On-demand manufacturing often involves producing custom or personalized items. This ability to offer a high level of customization can be a strong selling point, helping businesses stand out in competitive markets.
  • Faster Time to Market - With on-demand manufacturing, businesses can quickly move from the design stage to the finished product, without having to wait for large production runs. This allows them to bring new products to market more quickly.
  • Reduced Risk - By not having to invest in large production runs up front, businesses can reduce their financial risk. If a product doesn't sell as well as expected, they haven't lost money on producing large quantities that they can't sell.
  • Sustainability - On-demand manufacturing is more sustainable than traditional manufacturing models, as it reduces waste and minimizes the overuse of resources. This aligns with increasing consumer demand for environmentally friendly products and practices.

Overall, the benefits of on-demand manufacturing can make it a viable and attractive option for businesses in a wide range of industries.


Challenges and Solutions in On-Demand Manufacturing

While on-demand manufacturing presents numerous benefits, it also comes with a set of challenges that manufacturers need to address. Here are some of the primary challenges and potential solutions:

Complex Supply Chain Management

On-demand manufacturing requires a highly responsive supply chain, capable of delivering materials as and when they are needed. Delays can disrupt the entire production process.

Solution: Implementing advanced supply chain management software, predictive analytics, and IoT can help improve visibility, predict demand, and streamline the supply chain.

Quality Control

Ensuring consistent quality can be challenging when each product is made to order and may be different from the last.

Solution: Leveraging technologies like AI and IoT for real-time quality monitoring and using advanced manufacturing technologies like 3D printing and CNC machining can help ensure high-quality output.

Higher Per-Unit Costs

Without the economies of scale that come with mass production, per-unit costs can be higher in on-demand manufacturing.

Solution: Investing in automation and efficient production technologies can help lower costs. Moreover, the higher costs can often be offset by savings in inventory costs and reduced waste.

Production Speed

Depending on the complexity of the product, manufacturing on-demand might not be as fast as mass production. This can be a challenge when dealing with large orders or sudden surges in demand.

Solution: Implementing automated manufacturing processes and predictive analytics to anticipate demand surges can help manage these challenges.

Managing Customer Expectations

Customers may expect the same lead times for on-demand products as they do for mass-produced items.

Solution: Clear communication about lead times and the benefits of customization can help manage customer expectations.

Design and Production Integration

Efficiently translating custom designs into production can be challenging, especially when dealing with complex or highly personalized products.

Solution: Digital technologies such as CAD software and digital twins can help streamline this process, ensuring that designs are accurately translated into the finished product.

Despite these challenges, the benefits of on-demand manufacturing often outweigh the potential hurdles, especially as technology continues to evolve and provide more effective solutions. By addressing these challenges proactively, businesses can reap the rewards of this flexible and customer-centric manufacturing model.


Case Studies in On-Demand Manufacturing

On-demand manufacturing has been adopted by various businesses across different sectors, demonstrating its value and effectiveness. Here are a few case studies that showcase its implementation and success:

  • Nike - Nike is a classic example of a major brand successfully implementing on-demand manufacturing. Through their NIKEiD platform, customers can design their own shoes with a variety of colors, materials, and styles. Each shoe is then manufactured to these exact specifications. This allows Nike to offer a high degree of customization without holding inventory of every possible variation.
  • Unmade - Unmade is a fashion tech company that has completely embraced on-demand manufacturing. Their software platform integrates with knitting machines, enabling them to create custom knitted garments on-demand. This allows for a high level of personalization and eliminates waste from unsold inventory. Their innovative approach has attracted collaborations with brands like Opening Ceremony and Farfetch.
  • Shapeways - Shapeways is an on-demand manufacturing platform specializing in 3D printing. Customers can upload their designs, choose from various materials, and Shapeways will print and ship the product. They work with both businesses and individuals, offering the capabilities of 3D printing without the need to invest in expensive equipment.
  • Normal Earphones - Normal, a company producing custom-fit earphones, used on-demand manufacturing to personalize its products. Customers used a smartphone app to take photos of their ears. Normal used these photos to create earphones that perfectly fit the customer's ear shape. Each pair was 3D printed, assembled, and shipped within 48 hours of the order being placed.

These case studies show that on-demand manufacturing can be applied successfully across a range of industries. Each of these companies has used the principles of on-demand manufacturing to offer a higher level of customization, improve efficiency, and reduce waste.


Future of On-Demand Manufacturing

The future of on-demand manufacturing looks promising, as technological advancements continue to enable more efficient and customizable production methods. Here are some potential developments and trends we might see in the future:

  • Increased Adoption Across Industries - As more businesses realize the benefits of on-demand manufacturing, we can expect to see increased adoption across a variety of industries, from fashion and consumer goods to automotive and aerospace.
  • Advancements in 3D Printing - 3D printing technology will continue to evolve, becoming faster, more efficient, and capable of working with a broader range of materials. This will further enhance the feasibility of on-demand manufacturing for a wider array of products.
  • AI and ML-Driven Manufacturing - With advancements in artificial intelligence and machine learning, we can expect to see more intelligent forecasting of demand, predictive maintenance, and real-time optimization of manufacturing processes.
  • Increased Sustainability - As sustainability becomes more crucial, on-demand manufacturing, which inherently reduces waste and overproduction, will be even more attractive. New technologies and methods that further reduce the environmental impact of production will likely emerge.
  • Integration of Virtual and Augmented Reality - VR and AR could be used to create a more immersive and interactive shopping experience. Customers could virtually try on clothes or see how furniture looks in their home before the product is manufactured and delivered.
  • Smarter Supply Chains - Advanced analytics, IoT, and blockchain could create even more responsive, transparent, and efficient supply chains, crucial for on-demand manufacturing.
  • Local Production Hubs - To further decrease shipping times and costs, we may see a rise in local production hubs. These would leverage the same digital designs and specifications but produce goods closer to where they will be sold.
  • Hyper-Personalization - As consumers continue to seek personalized products, we will see an increase in the level of customization available. On-demand manufacturing will be crucial to meeting these demands without carrying excessive inventory.

The exact shape the future of on-demand manufacturing will take is uncertain and depends on a variety of factors. However, it is clear that it will play a significant role in the manufacturing industry, driven by technological advancements, changing consumer preferences, and an increased focus on sustainability.


Conclusion

In essence, the transformative power of on-demand manufacturing hinges on its ability to redefine how businesses manage their inventory, respond to market demands, and deliver value to customers. The model's propensity for minimizing waste, enhancing customization, reducing risk, and improving cash flow dynamics exemplifies its immense potential.

Nevertheless, challenges such as complex supply chain management, quality control, higher per-unit costs, production speed, and managing customer expectations persist. Yet, with the continued evolution of technology, we see solutions in advanced supply chain software, IoT, AI, automation, and digital design tools, which are progressively mitigating these challenges.

Case studies from industry leaders like Nike, Unmade, Shapeways, and Normal Earphones underscore the model's successful implementation across sectors. As we navigate towards a future characterized by an increased focus on sustainability, consumer personalization, and efficient production methods, on-demand manufacturing is poised to emerge as a cornerstone.

With technology advancements in 3D printing, AI, and machine learning, combined with the integration of AR and VR, smarter supply chains, local production hubs, and hyper-personalization, the trajectory of on-demand manufacturing is geared towards driving a more responsive, sustainable, and personalized manufacturing system.


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Whats On-Demand Manufacturing
Manufacturing

What is On-Demand Manufacturing and Its Impact on The Industry

On-demand manufacturing is not just changing the way products are made, but also transforming the entire manufacturing industry ecosystem, supply chain management, customer relations, and more. It represents a convergence of several digital technologies, each playing a critical role in creating an agile, efficient, and highly adaptable production environment.

In this blog, we delve into the far-reaching impact of on-demand manufacturing across various sectors and how this transformative approach is reshaping traditional supply chains, empowering businesses to thrive in an increasingly dynamic market. By eliminating the need for large-scale inventory, reducing production lead times, and allowing for just-in-time manufacturing, on-demand production is streamlining operations, reducing costs, and minimizing waste.


Understanding On-Demand Manufacturing

What is on-demand manufacturing? On-demand manufacturing, also known as just-in-time manufacturing, is a production strategy where products are made as they are required, rather than being produced in large quantities in advance. This strategy relies heavily on digital technologies such as 3D printing, cloud-based platforms, artificial intelligence (AI), and the Internet of Things (IoT) to enable flexible, efficient, and highly customizable manufacturing processes.

In addition, on-demand manufacturing, also known as just-in-time manufacturing, is a highly responsive and flexible production methodology that leverages the power of digital technologies to produce goods exactly when they're needed, and not in anticipation of demand. This approach hinges on a suite of advanced technologies that facilitate efficient, customizable, and scalable manufacturing processes.

Central to on-demand manufacturing is additive manufacturing, commonly known as 3D printing. This technology enables the production of custom parts swiftly, directly from digital files, significantly reducing lead times and eliminating the need for tooling. This process can accommodate a variety of materials, from plastics and metals to composites, thereby extending the feasibility of on-demand manufacturing to a broad array of products. Check out everything about additive manufacturing and its benefits through our previous blog here.

Moreover, on-demand manufacturing incorporates the use of Internet of Things (IoT) devices for real-time data collection and monitoring, enabling proactive maintenance, streamlined logistics, and precise quality control. Artificial Intelligence (AI) and Machine Learning (ML) are leveraged for sophisticated predictive analytics, which accurately forecast demand, optimize resource allocation, and improve supply chain responsiveness.

In parallel, cloud-based platforms are used for managing orders and facilitating coordination between different stakeholders. They provide a centralized system for handling design files, production schedules, and delivery logistics, all of which are crucial for successful on-demand manufacturing. These platforms can also facilitate real-time communication and updates, ensuring transparency throughout the production process.

Advanced software solutions, such as Computer-Aided Design (CAD) and Computer-Aided Manufacturing (CAM) tools, are pivotal for converting customer requirements into detailed production instructions. These digital design tools allow for the seamless transition from design to production, accommodating complex customization and ensuring accuracy and consistency, making them indispensable in the on-demand manufacturing industry.


History and Development of On-Demand Manufacturing

On-demand manufacturing is not a new concept; in fact, it has roots in the early history of manufacturing. However, the past few decades have seen a significant evolution and advancement of this concept, largely driven by technology and changes in consumer expectations.

  • Pre-Industrial and Industrial Revolution - Prior to the Industrial Revolution, most goods were manufactured on a made-to-order basis, often by skilled craftsmen. This meant that manufacturing was localized and personalized but also relatively slow and expensive. The Industrial Revolution in the 18th and 19th centuries marked a shift towards mass production, where goods were made in large quantities to benefit from economies of scale. The assembly line, introduced by Henry Ford in the early 20th century, further emphasized this shift. Products were made in large volumes, which resulted in lower per-unit costs but also in large inventories.
  • Post World War II - Just In Time Manufacturing - The concept of on-demand manufacturing was revived post World War II by Toyota with their Just-In-Time (JIT) production system. This system was designed to reduce waste and improve efficiency by manufacturing items only when they were needed in the production process. This concept was revolutionary but was limited by the capabilities of technology at the time.
  • Late 20th Century - Advancements in Technology - Technological advancements in the late 20th century began to make on-demand manufacturing more viable. Computer Numerical Control (CNC) technology made it possible to produce customized items quickly and accurately, and the advent of the internet allowed for more efficient order tracking and inventory management.
  • 21st Century - Digital Revolution - The advent of 3D printing technology marked a significant leap for on-demand manufacturing, allowing for the cost-effective production of highly customized products with short lead times. Coupled with advancements in AI and machine learning, manufacturers were now able to predict demand patterns more accurately, further optimizing their production schedules. E-commerce platforms and digital marketplaces also played a crucial role in the rise of on-demand manufacturing in the 21st century, allowing businesses to directly connect with customers, understand their needs better, and deliver personalized products.
  • Today and Beyond - Today, on-demand manufacturing continues to evolve, driven by ongoing advancements in technology and shifts in consumer demand. The rise of Industry 4.0, characterized by smart factories and the internet of things (IoT), is expected to further enhance the capabilities and potential of on-demand manufacturing in the future.


The Impact of On-Demand Manufacturing in the Industry

On-demand manufacturing is transforming the industry in several significant ways. The impacts range from changes in the supply chain and production processes to shifts in customer expectations and the adoption of new technologies. Here are some ways in which on-demand manufacturing is impacting the industry:

  1. Shift in Production Approach - Traditional manufacturing often relies on large batches and economies of scale. In contrast, on-demand manufacturing typically involves producing smaller quantities, tailored to immediate demand. This requires a shift in mindset and production processes, favoring flexibility and responsiveness over volume.
  2. Supply Chain Transformation - The shift to on-demand manufacturing requires a more responsive and agile supply chain. Rather than maintaining large inventories of raw materials and finished products, manufacturers need to source materials quickly and manage production schedules dynamically based on real-time demand.
  3. Increased Use of Technology - On-demand manufacturing relies heavily on advanced technologies such as 3D printing, AI, IoT, and cloud computing. The rise of on-demand manufacturing is therefore driving the adoption of these technologies within the industry.
  4. Customer Expectations - Customers are coming to expect a greater degree of customization and personalization, which on-demand manufacturing can provide. This is changing the way manufacturers interact with their customers and how they design and market their products.
  5. Environmental Impact - By reducing overproduction and waste, on-demand manufacturing can lead to more sustainable practices in the industry. This aligns with a growing emphasis on sustainability among consumers and regulators.
  6. Competitive Scheme - The ability to offer personalized, made-to-order products can give manufacturers a competitive edge. However, it also means that businesses need to stay on top of the latest technologies and customer trends in order to stay competitive.
  7. Job Market Changes - As on-demand manufacturing often requires different skills compared to traditional manufacturing, it may lead to changes in the job market. For example, there may be increased demand for skills related to new technologies such as 3D printing, data analytics, and digital design.
  8. Economic Impact - By reducing the need for large investments in inventory, on-demand manufacturing could lower the barriers to entry in the manufacturing sector. This could potentially lead to increased competition and innovation, with economic implications at both the industry and wider societal levels.


Core Principles of On-Demand Manufacturing

In the context of a manufacturing or business model like on-demand manufacturing, core principles refer to the key characteristics that define the model. These principles guide the implementation and operation of the model, informing decision-making, shaping strategies, and influencing behaviors within the framework of that model. The core principles of on-demand manufacturing revolve around responsiveness, customization, and efficiency. Here are the key concepts:

  1. Just-In-Time Production (JIT) - This is the idea of manufacturing products only when they are needed, instead of keeping large inventories of finished goods or raw materials. This reduces waste and ties up less capital in unsold inventory.
  2. Customization - On-demand manufacturing is often used to produce custom, personalized, or unique items. Instead of creating thousands of identical units, each product is made according to specific customer requirements.
  3. Inventory Management - The principle of on-demand manufacturing is closely tied to effective inventory management. The goal is to have the necessary materials available for production exactly when they are needed - no sooner, no later. This reduces the costs associated with storing large amounts of inventory.
  4. Customer-centric Approach - On-demand manufacturing places the customer at the heart of the process. Products are made to meet specific customer demands, which means companies must be able to capture, process, and respond to customer orders quickly and accurately.
  5. Agile Manufacturing - On-demand manufacturers need to be flexible and responsive, able to adapt quickly to changes in demand or customer preferences. This often requires a high degree of automation and the use of advanced manufacturing technologies like 3D printing and CNC machining.
  6. Efficiency and Sustainability - By reducing waste and using resources more efficiently, on-demand manufacturing is often more sustainable than traditional mass-production methods. This principle aligns with growing consumer and business awareness of the need for environmentally friendly practices.
  7. Technology Integration - The successful implementation of on-demand manufacturing depends on integrating various technologies such as machine learning for demand prediction, robotics for automated manufacturing, and IoT for real-time monitoring and control of the production process.
  8. Quality Assurance - Despite the shift from mass production to individualized, made-to-order production, the importance of maintaining high quality remains a core principle. Quality assurance processes must adapt to ensure that each unique product meets the desired standards.
    In essence, on-demand manufacturing revolves around the ability to respond quickly and effectively to customer needs, enabled by modern technology and lean manufacturing principles.


Technologies Driving On-Demand Manufacturing

The ongoing development of on-demand manufacturing is made possible by a range of advanced technologies. These technologies help streamline production processes, enable customization, enhance efficiency, and ensure high-quality output.

  1. 3D Printing (Additive Manufacturing): This technology enables manufacturers to create products layer by layer from a digital design. It's particularly suited for on-demand manufacturing due to its flexibility, allowing for the production of highly customized and complex products without the need for specific tooling or setup.
  2. CNC Machining: Computer Numerical Control (CNC) machines use digital instructions to automate and control the movements of machining tools. They can produce highly accurate, complex parts quickly and reliably, making them ideal for on-demand manufacturing.
  3. Robotics and Automation: Automated production lines and robotics enable faster production times, consistency in output, and can operate around the clock. They are essential for improving efficiency and reducing lead times in on-demand manufacturing.
  4. Artificial Intelligence (AI) and Machine Learning (ML): AI and ML algorithms can analyze past sales data, customer behavior, and market trends to predict future demand. This predictive ability helps on-demand manufacturers better manage their production schedules and inventory, reducing waste and improving efficiency.
  5. Internet of Things (IoT): IoT devices can monitor and control production processes in real-time, allowing for quick adjustments and optimizing efficiency. They also enable real-time tracking of orders and inventory, providing visibility and control throughout the supply chain.
  6. Cloud Computing: Cloud platforms allow manufacturers to store and analyze vast amounts of data from different sources. This data can be used to improve decision-making, manage inventory, predict demand, and enhance overall operational efficiency.
  7. Digital Twins: Digital twin technology creates virtual replicas of physical systems, allowing manufacturers to simulate and optimize their processes before actual production, which can lead to better product quality and lower costs.
  8. Blockchain: Although still in the early stages of adoption in manufacturing, blockchain has potential for improving supply chain transparency, securing intellectual property rights, and ensuring the traceability of materials and products in on-demand manufacturing.

These technologies, individually and in combination, are enabling the transition to more flexible, efficient, and customer-centric manufacturing models. They are the driving forces behind the shift towards on-demand manufacturing and the realization of its full potential.


Use Cases of IoT Applications in On-Demand Manufacturing

The Internet of Things (IoT) is revolutionizing on-demand manufacturing by connecting machines, people, and processes. It allows real-time data collection and analysis, providing valuable insights to optimize efficiency, predict issues, and streamline operations. Here are several use cases of IoT applications in on-demand manufacturing:

  1. Real-time Monitoring and Predictive Maintenance: IoT sensors installed on manufacturing equipment monitor a variety of parameters such as temperature, pressure, vibration, and more. By continuously collecting and analyzing this data, AI algorithms can identify patterns that precede equipment failure, allowing for proactive maintenance. This drastically reduces unplanned downtime and improves overall operational efficiency - a critical factor in an environment where production is closely aligned with demand.
  2. Logistics and Inventory Management: IoT is also instrumental in streamlining logistics within the on-demand manufacturing context. Sensors and RFID tags can track raw materials and finished products in real-time, providing visibility throughout the supply chain. This data can be used to optimize inventory levels, manage warehouse space, and coordinate delivery schedules, which are especially critical when production is based on immediate demand rather than forecasting.
  3. Quality Control: IoT devices can monitor production processes in real-time, detecting any deviations from predefined parameters that might affect product quality. This allows for immediate corrective action, ensuring consistency and reducing the rate of defects. This is particularly valuable in on-demand manufacturing where the volume of products can be lower, and each product might be unique.
  4. Supply Chain Visibility: IoT can provide end-to-end visibility in the supply chain, from sourcing of raw materials to delivery of the finished product. This can lead to improved logistics, timely delivery, and a better understanding of the entire production process.
  5. Energy Management: IoT sensors can monitor energy consumption of various processes and machines, enabling manufacturers to optimize usage, schedule energy-intensive tasks during off-peak hours, and reduce overall energy costs. In a manufacturing model that potentially deals with smaller margins due to lack of scale, such efficiency improvements can significantly impact profitability.
  6. Production Optimization: By gathering and analyzing data from across the manufacturing process, IoT can help identify bottlenecks and inefficiencies, allowing manufacturers to optimize their processes and improve productivity.
  7. Customization and Personalization: IoT, in conjunction with other technologies like AI and 3D printing, can enable real-time customization of products based on customer requirements. This can range from customizing the design, size, color, or other features of a product, making on-demand manufacturing truly responsive to customer needs.
  8. Safety and Compliance: IoT can also be used to monitor safety conditions in the factory, ensuring compliance with regulations and providing a safer working environment. Sensors can detect harmful gases, extreme temperatures, or unsafe equipment operation, alerting management to potential safety risks.

Overall, IoT is a powerful tool in on-demand manufacturing, enabling a new level of automation, efficiency, and customization.


Conclusion

In a nutshell, the interaction between on-demand manufacturing and Internet of Things (IoT) technology is not only revolutionizing the manufacturing industry but is also reshaping the landscape of supply chain management and customer relationships. A confluence of digital technologies, including IoT, AI, 3D printing, and cloud computing, is at the heart of this transformation, driving the industry towards greater efficiency, agility, and adaptability. These technologies provide a framework for real-time monitoring, predictive maintenance, and supply chain transparency, effectively redefining our perception and management of manufacturing processes.

Additionally, the ability to optimize energy consumption, streamline inventory management, and enable real-time product customization is also realized, thereby fostering a more automated, dynamic, and responsive manufacturing model. This shift is enhancing operational efficiency and reducing costs, all while promoting customer satisfaction through the delivery of more tailored products.

On-demand manufacturing presents substantial potential for increasing sustainability by minimizing waste and overproduction. As we venture into the future, the ongoing evolution of these technologies suggests a continued expansion in the feasibility and efficiency of on-demand manufacturing, promising more breakthroughs and innovative solutions.

In this light, on-demand manufacturing represents a paradigm shift, poised to redefine how products are made, businesses operate, and consumer needs are met, steering the industry towards a more responsive, personalized, and sustainable era.

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Manufacturing News & Topics
Manufacturing

Surviving 2020: 3 Steps to Supply Chain Resilience and Digital Transformation in Manufacturing

The challenges facing the manufacturing industry in 2020 are many. To survive and ultimately thrive, companies must increase profitability, supply chain resilience, and embrace new technologies.

The recent Industry Insights webinar, "Global Challenges in 2020 for the Manufacturing Industry," brought together Mo Abuali from IoTco and Sean Cook from Group Purchasing Resources. Also present was IoT Marketing's research analyst and writer, Jennifer Davis, alongside Tiffani Neilson, who planned and moderated the event.

Together they contributed to a great discussion around diversifying supply chains, getting started with automation, and, most importantly, business strategies for creating cash flow without taking on more debt.


Reduce Overhead to Increase Profitability

Access capital without a loan

The list of daily operational expenses necessary to keep any production facility running is long. Because of this, the first place to look when it's time to boost cash flow is overhead. With revenue projections contracting around the world, the ability to save money on P&L statements can be crucial to maintaining business continuity. Companies dealing with excessive overtime and high workers’ compensation premiums can use automation technology to cut down on paper-heavy and labor-intensive processes. For other departments, already stretched staff may be great at keeping the books balanced, but they may not have the skills or the time for research to ensure the company is getting the best rates on utility, data, and insurance costs.

Firms like Group Purchasing Resources help streamline the process of renegotiating maintenance and vendor contracts. Members of their group network have the leverage to get competitive pricing because they represent such a large volume of clients. In some cases, companies have been able to reduce merchant fees by more than half. Due to the company president, Sean Cook, and his team developing relationships with hundreds of vendors over the last two decades, they can often help without changing companies from their existing service provider.

Ways to invest new funding

With new cash flow, companies can reinvest into other areas of their business. These areas can include anything from payroll to new equipment, facility upgrades, or staff training. As a result of the recent supply chain disruptions and staff reductions, most companies will likely need to invest in solutions for production efficiency and stabilizing inventory.


Diversify Suppliers to Increase Supply Chain Resilience

Phasing out of just-in-time manufacturing

Toyota established the universally common practice of just-in-time manufacturing in the 1960s. It was a perfected version of Fords' assembly line that eliminated waste by making smaller batches of parts to be used as needed as opposed to stocking larger quantities. Also known as the Toyota Production System (TPS), it was later coined lean manufacturing in the MIT study-turned-book, The Machine That Changed the World. Unfortunately, in the current economic climate, this system of production has become entirely inefficient.

During periods of sustained supply chain disruption, companies can't risk aligning raw material orders with production schedules. If one of their suppliers runs into an issue and can't deliver, it could reduce order fulfillment and affect profits. Sean suggested taking the path of safety by having multiple vendors for backup. "It may sound extreme, but I would suggest having at least three different vendors for all major components and materials." Just this year, a PPE vendor who didn't heed advice to spread out their sources geographically, came up short at the height of the outbreak. "It's not about having just one [supplier], and it's not about price, it's about diversifying your portfolio so that you are properly prepared to deliver to your clients."

Socially responsible sourcing

When it comes to identifying new suppliers, companies must undertake due diligence to ensure all vendors have been thoroughly vetted. "[Vendors] go through a gruesome background check, and it takes about six months to a year before they get approved. They check finances, references, they actually go to the manufacturing plant and do site surveys to see how they are operating to make sure they are meeting industry standards." There are too many recall stories that have stayed top of mind to take on products that don't carry the appropriate regulatory approvals. The payoff is too short, and the risk too great for companies to put themselves and their clients in jeopardy.


Start Small and Act Now for Digital Transformation

Create a digital strategy

Even though the environment is getting more competitive, the process can't be rushed, and every successful strategy starts with a solid business case. There are plenty of technology platforms, devices, and apps to choose from, but the ability to understand what data you need to get out of the system to bring the most ROI is priceless.

"Education is key, and I think education is a precursor to any strategy and any technology selection that a client might go through." Mo helped develop the company's IoT Academy to help executives understand that each of the building blocks of an IoT solution requires a process of assessment, elimination, and refinement that stays aligned with the business case strategy to ensure achievement of the highest ROI.

Dr. Mo Abuali, the IIoT expert on the panel, got his start in maintenance and engineering working for companies like Toyota before founding IoTco to work as a manufacturing consultant and evangelist for Industry 4.0. Together with IoTco, he serves clients in automotive, aerospace, and discrete manufacturing by creating a digital strategy and guiding them through the transformation.

Evaluate digital readiness

There were several points in the discussion where the topic came back to digital maturity, an apt phrase that reaffirms digital transformation as a process rather than a destination. According to Mo, "If you can find a way to go up the digital curve and achieve a near-zero downtime and a near-zero defect operation rate, you've hit the holy grail. But it's a journey, and you have to find the right tools, the right vendors, and the right partners to work with along the way to achieve that level of excellence."

Many system integrators start with a consultation, like IoTco, who charges no fee for the initial digital discovery. During this time, they suggest clients look at three main elements: people, process, and technology. Figure out which tools are needed to help gain digital maturity, be transparent with staff and be open to feedback, and finally, be sure that any newly implemented processes are a balanced collaboration between technology and the people.

Put one foot forward

Adopting smart factory technology doesn’t mean going 100% digital, but it's better to be at the bottom of the digital curve than not at all. There are plenty of opportunities and solutions on the market to help manufacturing companies keep pace with their competitors. By reducing costs and freeing up capital to invest in new technology, profitability can be increased through efficiency and the ability to create new services. For under $500 a machine, companies can retrofit IIoT devices onto legacy machines and still produce valuable data.

Moving forward into 2020 and beyond, there will be challenges around workforce training and outdated systems. Avoid complicated solutions and start small with a simple and well-tested business case. After that system has been fully integrated and slowly expanded to scale, it is possible to advance on the digital curve. However, more technological complexity isn't always the right answer. Sometimes, the answer is people. In a technology-driven world, human input is fast becoming an overlooked resource. For companies with a digital strategy already in place, the next level of advancement should be innovation. Those who work closest to the product and the customer are the best resources for new ideas based on the current system. Whether it’s reassessing customer needs, discussing potential collaborations, or creating new revenue streams with enhanced services, the best advice is to think ROI first and think ROI always.

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IoT in Manufacturing
Manufacturing

IoT in Manufacturing: A Game Changer

The Internet of Things (IoT) is a reference to the use of the web in machines, appliances, and devices. Engineers have figured out how to connect everyday objects to the web to enhance control and efficiency. IoT devices can transmit and receive data in real time. In fact, it is possible to control IoT devices with smartphones. Let’s take a look at how much of a game changer IoT in manufacturing is:


Why Manufacturers are Embracing IoT

Business owners and managers of manufacturing companies have welcomed IoT with open arms. Sensors are superior in terms of affordability and efficiency. The results are improved efficiency, lower overhead, and improved control over operations. Wireless IP connectivity minimizes expenses throughout the automation process. IoT in manufacturing has set the stage for several important breakthroughs— here are some of them:


The Optimization of Processes

IoT allows for improved use of sensors. It is now possible for real-time information analysis to shed light on all different types of issues that otherwise would have likely been neglected. Neglecting such problems would ultimately lead to massive setbacks. Sensor data makes manufacturers aware of these issues so they can be remedied in a timely manner. Every second counts when it comes to production in the manufacturing sector.

Contemporary sensors identify issues manufacturing personnel might not even be looking for. They pinpoint issues with production lines such as inefficient use of limited space or bottlenecks along the production line that can be addressed to drastically improve efficiency. The advantage of high-tech sensors is they identify shortcomings faster than humans, allowing for remedies to be implemented so the manufacturer can sidestep serious complications.


Predictive Maintenance

A predictive approach makes use of real-time data through IoT rather than solely relying on the calendar. This is a superior approach to pinpointing machinery that requires attention. If properly addressed, the manufacturer can avoid a costly error before it comes to fruition. This is the type of anomaly detection that proves difficult for humans but quite easy for IoT-driven tech.

Anything from a slight alteration in electrical current to a dip in temperature or even a vibration has the potential to interrupt the manufacturing process. Manufacturers that make use of such a predictive approach conserve limited resources, empowering technicians to focus on machines that require fixing. This is a much more prudent approach than randomly spot-checking machines or rushing to troubleshoot machines after they malfunction.


Remote Monitoring

IoT empowers manufacturers to manage equipment remotely with a mobile device. This means it is unnecessary to be close to a machine to control it. Such technology facilitates everything from monitoring to production and maintenance. Manufacturing companies that take advantage of real-time data ultimately make better decisions regarding quality, design, and efficiency. Such technology empowers manufacturers to better collaborate in-house as well as across value chains in manners that significantly bolster productivity. Opportunities to better collaborate with customers, suppliers and other parties will only continue to increase as more manufacturers embrace the utility of IoT.


IoT is Emerging as a Revolutionary Advancement

Fast forward to 2020 and tens of billions of machines and devices will be hooked up to the web. IoT in manufacturing is an excellent example of how these web-connected devices are shaping the way in which human beings work and live. It might not be long until the majority of human labor is performed by IoT devices. Perhaps IoT will advance to the point that humans control these machines from afar and simply oversee the process for quality control while reaping countless benefits.


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Manufacturing IoT
Manufacturing

Building Tomorrow: Manufacturing IoT

The manufacturing industry has always led the charge in innovations. Automation and efficiency have shaped these means of production practically since the advent of modern mass production. The assembly line proved to be the single biggest game changer for production in humanity’s history. Evolutions in technology can change the game again. By implementing manufacturing IoT, the industry stands to experience a new era of unrivaled prosperity.

Merging Smart Cities with Smart Manufacturing


Methods of Production

The Internet of Things (IoT) has brought about changes in many industries. Over the last century, manufacturing has always represented the cutting edge. Implementing a culture of connection continues that trend. The industry stands at the threshold of the Fourth Industrial Revolution or Industry 4.0.

Industry 4.0 looks to change the industry in several ways. Cognitive processes increase efficiency in exciting ways. This type of production uses robotics, sensors, predictive analytics, and data to connect every part of production. Assets, processes, and people connect in a way that maximizes production. Connectivity reduces issues and variables found in any production industry.

Intelligent assets and equipment are key in the development of Industry 4.0. Equipment failure can bring production to a halt. To combat this, sensors recognize when something in the systems of production seems amiss. These assets analyze equipment to prevent delays and improve productivity. In the event of a malfunction, these sensors also help expedite repairs to bring processes back online as quickly as possible.

The Impact of Industry 4.0 on Energy and Utilities Management


Impacts of New Methods

Most notably, integration of manufacturing IoT systems ensures the highest degree of productivity. Smart optimization combines data from usage, locations, expertise, and staff to enhance resources. Labor and energy move where they are most needed.

IoT systems increase safety on the production floor. Interconnectivity allows for greater measurement of risk. Utilizing big data, every aspect of the production process receives equal attention. In the moment analysis protects assets. More importantly, it improves staff safety.

The impacts go far beyond actual production in the factory. Implementing IoT into the manufacturing process also provides insight into customers. Increased efficiency and flexibility allows producers to adapt to the needs of the consumer. Manufacturers streamline processes to best fit what the market wants.


Where IoT is Used

Diverse industries related to manufacturing have taken advantage of the usefulness of IoT. Energy production through wind turbines benefits from cognitive connectivity. They can monitor their components in real time. Operators can plan ahead to prevent loss of energy resources.

IoT Technology is Making a Big Impact on Marketing

Transportation has made strides in implementing IoT. Predictive maintenance systems in trains help track safety and efficiency. Sensors in equipment itself track any changes in torque, temperature, or speed. Alarms warn operators about changes to ensure the highest degree of safety.

IoT systems can even track automobiles. Analyzing data on single components extends their use and lifespan. Fewer problems on the road arise. Massive repair bills no longer plague people when a transmission or brakes fail. These systems increase the longevity of automobile investments. They also improve road safety, cutting down on accidents as a result of mechanical failure.

Operations centers benefit greatly from an IoT system. Connecting multiple operations centers ensures coordination in production. Constant monitoring increases efficiency and quality standards. If malfunctions in one center happen to occur, others can adapt in real time to cut delays in production.


Conclusion

Manufacturing IoT paves the way for continued innovations. Streamlining and consolidation ensure efficiency in the entire process of production. Connectivity makes things easier than ever. The industry led the world in ground-breaking processes over the last century. Implementing IoT systems stands to keep it at the head of the pack. Manufacturing promises to lead for the next century and beyond.


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