How much do disconnected tools cost your business?
Historically, most companies have relied on multiple disconnected tools to get the job done, particularly in product development and manufacturing. IT then invests significant effort to integrate them. Interestingly, Top Performing companies say that reducing manual efforts and non-value-added work is most important for successful product development and manufacturing software. To achieve this, they point to solutions that easily integrate. This leads to the question, should companies invest in best-of-breed solutions they must integrate or adopt an integrated platform? Do the benefits of adopting best-of-breed point solutions outweigh the cost of working with disconnected tools?
Based on a survey of 187 IT, product development, and manufacturing professionals, this research study examines these questions. It looks at what IT needs to be successful in their job and how they can provide the most value to their company, including product development and manufacturing teams. It reveals best practices for overcoming the costs of disconnected tools and how to empower IT to focus more energy on the tasks that offer the most corporate benefit and make them even more successful.
Please enjoy the summary* below. For the full research, please visit our sponsor SOLIDWORKS (registration required).
Table of Contents
Executive Summary
IT is Critical to Business Strategy Execution
Address IT Bottlenecks to Ensure Success
Identifying Top Performers
Product Development and Manufacturing Software
Product Development & Manufacturing Requirements
Is Best-of-Breed Still the Best Approach?
Best-of-Breed Impact on Users
Overcoming Best-of-Breed Challenges
An Integrated Platform Solves Many Challenges
IT Advantages of an Integrated Platform
What It Takes to Keep Product Data Secure
Recommendations
About the Research
Acknowledgments
Executive Summary
IT’s Role in Competitiveness
Companies must be as efficient as possible in today's competitive global environment. Many are turning to digital transformation to achieve greater efficiencies, leading them to rely on IT to execute. Yet, IT must deal with many issues that hold them back. They rate the time and effort required to integrate software applications as the top issue consuming their time, taking them away from enabling business strategies.
Product Development & Manufacturing
The right software solutions empower engineering and manufacturing and are critical to a digital transformation strategy. To be successful, product development and manufacturing need their software to reduce manual efforts and non-value-added work to help them meet time to market goals, improve quality, and lower costs. This requires integrated solutions, yet IT rates integrating software solutions as the top challenge of implementing product development and manufacturing solutions.
Does Best-of-Breed Still Work?
The challenges associated with disconnected tools lead to the question, what's better, a best-of-breed or integrated platform approach? Historically, best-of-breed solutions were preferred. While individual tasks benefit, to achieve the efficiencies promised with digital transformation, manage product complexity, and respond to competitive pressures, the entire product lifecycle, from design to production, should be considered. The lack of integration across tools creates bottlenecks and breaks the digital thread, negating potential time savings when improving a single task. Further, IT rates the efforts required to integrate solutions as the top challenge associated with a best-of-breed approach. To overcome this, most of those using best-of-breed solutions believe adopting a platform of integrated tools will help.
Integrated Platforms
Those who use an integrated platform, validate this idea as 99% of those using an integrated platform report advantages over other approaches. These advantages lead to improved product quality, greater efficiency, greater ability to scale the business, lower product cost, and better business agility.
With a platform, IT can avoid wasting time managing complex compatibility matrixes and integrating software. Instead, they can focus on activities that increase their visibility as a corporate strategic asset.
IT Is Critical to Business Strategy Execution
Top IT Strategies
The role of IT has evolved from a tactical “order-taker” delivering on requirements provided by business leaders to a more strategic one. Now IT is more likely to collaborate with business leaders to help identify and define business problems.1 The top IT strategies reflect this more strategic focus.
Digital Transformation
Digital Transformation has enabled many companies to achieve efficiencies that are hard for competitors to match.2 As such, Tech-Clarity's research finds that 41% of executives attribute digital transformation as a top business factor driving long-term success.3 Consequently, many executives place high importance on digital transformation, making it a priority for IT.
Successful digital transformation relies heavily on implementing the right technology. However, it is a considerable undertaking as true digital transformation impacts all business processes and requires a deep understanding of company processes, bottlenecks, and optimization opportunities. Implementation requires a significant IT investment. It is also a journey, requiring continuous improvement to realize the highest levels of efficiency.
Enable the Business
IT must ensure its strategies align with business goals. They must meet today's business needs and consider future needs to ensure that whatever they implement doesn't limit the business and will scale as it grows. They also need to ensure that what they implement provides value so the company realizes the expected return on the investment (ROI). Finally, they need to ensure that they can support a variety of environments across all company locations, including those working from home or on the road.
Recommendations
Recommendations and Next Steps
Based on industry experience and research for this report, Tech-Clarity offers the following recommendations for IT staff:
Ensure the success of product development and manufacturing software by focusing on automation to reduce manual efforts.
Keep in mind the significant time pressures faced by product development and manufacturing teams. Connecting time savings to any new software solution will encourage their adoption.
Consider the benefits of an integrated platform over a best-of-breed approach. Technology advancements over the last several years have led to powerfully capable integrated platforms that will not have the drawbacks of disconnected tools.
Recognize that digital transformation is not just a technology solution. An integrated platform can help, but implementation is critical. It should increase data reuse across the product lifecycle, eliminate data silos, automate processes and workflows, extend access to product data beyond engineering, and create a sign source of truth.
Do not underestimate the efforts required to successfully implement digital transformation. It may require rethinking processes and significant effort to understand processes, bottlenecks, and opportunities for improvement. This will be an ongoing continuous improvement journey. By offloading more tedious tactical tasks, IT can focus more energy on the more strategic work that will enable digital transformation.
Recognize the significant efforts required to keep data secure to determine if those resources would be better spent supporting the company's core business.
*This summary is an abbreviated version of the research and does not contain the full content. For the full research, please visit our sponsor SOLIDWORKS (registration required).If you have difficulty obtaining a copy of the report, please contact us.
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[post_content] => How does Selerant’s CPG PLM solution DevEx fit into TraceOne’s broader manufacturing and retail PLM strategy? Jim Brown shares two key takeaways from the Selerant (now Trace One Inc.) user conference.Trace One Displays CPG & Retail PLM Synergy at User ConferenceI was excited to speak at the 2023 Trace One user conference and attend the event to learn from Selerant, Trace One, and their customers. I’ve followed Selerant for years and have a lot of respect for their company and their solutions. This was my first opportunity to join a customer conference and hear directly from their customers. It was also an opportunity to get to know Traceone, a retail PLM software company that I’m keen to learn more about. Here are some key takeaways from the conference. Breadth and Depth from Industry FocusI spoke on the business value of PLM including how benefits expand as you extend PLM beyond the core product definition and the R&D department. Selerant’s customers shared a number of case studies amplifying that point, sharing how they go beyond using DevEx to manage recipes to manage aspects like packaging and product compliance. I was reminded of how valuable a focused, best of breed solution can be to meet specific industry needs. Their customers shared how they use deep capabilities that address the nuances of how formulators and other product developers work in the CPG, food, beverage, cosmetics, flavorings, pigments, and other batch process industries. While other PLM vendors may offer recipe management capabilities, DevEx helps users develop formulas optimized to meet market claims, compliance mandates, nutritional targets, and cost guidelines. It’s refreshing to see what a focused vendor can do when they listen and learn from their customers. There were several conversations about customers that compared this type of deep value with using solutions from larger vendors, like ERP providers, and why some very prominent brands choose to work with an industry specialist instead of a larger vendor. Synergy – Selerant is now Trace OneThe other key takeaway is that now, 18 months after the merger, Selerant will be known as Trace One. This is important as they take advantage of synergies across the DevEx PLM system, which will retain its branding, and Trace One solutions. The combination gives Trace One the capability to help retail, CPG, and supply chain customers develop and promote compliant products faster, while maintaining full traceability. Trace One describes the solutions as Manufacturing PLM (DevEx) and Retail PLM (Trace One), as the image shows. We believe that expanding the scope of PLM beyond the product and manufacturer to better plan and manage the product in the context of the CPG / retail relationship is a valuable proposition.OutlookSelerant appears to be doing quite well as a part of Trace One. I met and heard from quite a few new customers at the conference, in addition to some that are in their selection process. It was good to see the success of a company that has long focused on a core, best of breed offering and has developed significant solution breadth. I also find it a good sign when vendors are confident enough to invite their prospective customers to meet and interact with existing customers at their user conference. We look forward to learning more about Trace One and watching progress as they bring the combined offerings to market. Thank you Hollie Farrahi, Sunil Thomas, Marianna Fowles, and Saida Ait for including me in your conference. It was also nice to see (and meet) a number of key Trace One and Selerant leaders including Christophe Vanackère, Jacapo Colombo, Carlo Colombo, Claire Bui, Jobi Varghese, Antoine Daviet, Mike Frankel, and others.
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[post_content] => Jim Brown and I are intrigued by what consumer products companies and retailers can do to design products and trade more effectively and sustainably after our briefing with TradeBeyond. Their multi-enterprise PLM and supply chain collaboration platform is expanding. By acquiring Pivot88, they strengthened existing industry-specific capabilities, deepened their presence in apparel, and added quality, compliance, traceability, auditing, materials management, and AI/ML capabilities.While the company is decades old (formerly CBX Software), new capabilities continue expanding the business value for retailers and their multi-tiered supply chain partner community. The combination of product design and supply chain sourcing, ordering, and logistics is powerful, particularly with many consumer products' short lifespans and seasonal nature. Having these functions in an end-to-end platform designed for multiple trading partners supports the contract manufacturing models common in consumer industries such as CPG, general merchandise, and retail footwear and apparel.Sustainability has also become crucial for these industries, and TradeBeyond helps with compliance. Elements include partner onboarding, documents, and more. They are also building a network of sustainability-focused partners, including BSCI amfori for a common code of conduct, Waste and Resources Action Programme (WRAP) in apparel, The Higg Index from the Sustainable Apparel Coalition, as well as Reset Carbon, with which TradeBeyond has developed CBX Impact that helps companies assess and improve their scope 3 emissions.Moving from product ideation to delivery on a single multi-enterprise collaborative platform is rare, and creates a digital thread from ideation through shipping. Most solutions are robust either in the product development and PLM or the supply chain and sourcing areas, but this has both. Pivot88 adds crucial production and operations capabilities in traceability, quality, and compliance. It also brings critical applied AI capabilities that TradeBeyond is already looking at expanding across their entire platform. TradeBeyond’s differentiation and footprint for delivering value is growing.We look forward to following the company as it continues expanding its product footprint and presence in private-label and branded consumer goods supply chains. Thanks, Eric Linxwiller, and Lilian Bories, for explaining the latest to us. And thanks, Dan Demaree, for setting up the meeting.
[post_title] => TradeBeyond Expands in Quality, Compliance, and Traceability
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[post_content] => How can you help engineers manage complexity to make more informed design decisions?
As the role of product development teams becomes increasingly critical to product differentiation, growing complexity continues to make the job harder. However, with the right technologies, and by connecting simulation and test, you can empower development teams to engineer products that will win market share and boost profitability. This survey-based research study examines engineering practices and the use of simulation and test. It identifies four best practices to get even more value from simulation and test. It also shares advice to support adoption.
Please enjoy the summary* below. For the full research, please visit our sponsor Siemens (registration required).
Table of Contents
Executive Summary
What It Takes for Product Success
What Does Complexity Come From?
Addressing Complexity
What Holds Companies Back?
Identifying Top Performers
1. Explore Design Ideas Using Simulation
2. Validate Simulation Accuracy with Test Results
3. Reduce Test Time with Collaboration
4. Accelerate Time to Results
Recommendations
About the Research
Acknowledgments
Executive Summary
Getting a Competitive Advantage
To be competitive in today’s global market, product engineering teams must balance quality, cost, and innovation requirements and still get to market as quickly as possible. However, these competing requirements make it challenging. Plus, ever-increasing complexity adds further complication.
Managing Complexity
Engineering teams must deal with numerous sources of complexity, ranging from more requirements and new disruptive technologies, to more software and electronics. Companies report that they deal with this complexity by investing in more technology. This can help to predict and characterize product performance.
Four Practices
The research looks at four ways companies can become even more competitive as they deal with increasing complexity:
Use simulation to explore design ideas to innovate and optimize designs in less time. An overwhelming 99% find benefit in this powerful practice.
Validate simulation models using test results to improve model accuracy. The vast majority of Top Performing companies, 79%, enable collaboration between simulation analysts and test engineers, allowing them to execute this highly effective practice.
Reduce test time with collaboration. The findings reveal many ways leveraging simulation results during test saves time. Consequently, 100% of companies who enable collaboration between simulation and test report they experience benefits
Accelerate the time to results with the right solution. The research uncovers several ways Top Performers save time, including that Top Performers are 2.3 times more likely than All Others to indicate that using cloud tools is a way to get results faster
Addressing Complexity
Engineering ImpactEvery one of the sources of complexity has a direct impact on engineering. Engineers must figure out how to meet more requirements, incorporate new technologies, and integrate their work with additional engineering disciplines, while dealing with increasing demands for new skills. In addition, they must
be confident they've satisfied requirements while avoiding the cost of overengineering and still have the flexibility to innovate. All of this makes their job that much harder. It's such a challenge; companies take many actions to help them deal with complexity (see graph).
Addressing Complexity
Many companies turn to technology to help. In particular, simulation can be a valuable tool to improve engineering decisions. Empowering engineers to make better decisions reduces risk and increases the likelihood of products achieving market success.
*This summary is an abbreviated version of the research and does not contain the full content. For the full research, please visit our sponsor Siemens (registration required).If you have difficulty obtaining a copy of the report, please contact us.
[post_title] => How to Engineer Innovation with Simulation and Test
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[post_content] => How can CPG companies cut through the noise to get value from a manufacturing digital twin of their production process? How does it differ in design, commissioning, and operational phases? The market is filled with a combination of marketing hype and real case studies about how digital twins help companies digitally transform and drive new value. This interactive panel cuts through the buzzwords by discussing the real value of applying modeling, simulation, emulation, and virtual commissioning to help manufacturers, including consumer packaged goods companies, get products to market faster with greater throughput and quality. Digital twin experts Stephen Birtsas and Leo Moran of Kalypso join me in an interactive discussion and then share valuable case studies where Kalypso helped customers transform and tangibly improve performance. Watch the Kalypso on-demand webinar for real-world insights and case studies about the manufacturing digital twin (no registration required).
For related research, please read Tech-Clarity's The State of PLM in CPGto find out if PLM is living up to its potential in consumer packaged goods.
[post_title] => The Manufacturing Digital Twin – Buzz or Bullseye?
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[post_content] => I had the opportunity to visit Graphisoft’s Budapest headquarters for their recent Building Together | Connect event. I left the event with several key takeaways:
They showed significant progress and alignment around their strategic vision to integrate AEC design processes across disciplines
They delivered on a variety of enhancement requests for their existing customer base
They demonstrated a product roadmap process that provides transparency and advanced insights while balancing strategic and tactical enhancements
Progress on Vision for Integrated DesignOur research shows the importance of integrating designs across disciplines in architecture, engineering, and construction (AEC). Graphisoft is aligning its offerings to better support this integrated approach by enabling digital, multidisciplinary design processes around a common model. This integration will help foster better communication and collaboration to address increased complexity and help architects create more innovative and constructible designs. Graphisoft shared its strategy and pointed to significant progress that will help integrate the work of its traditional architect customer base with others. At the event, they shared the release of the MEP Modeler in Archicad and new capabilities in DDScad. They plan to continue to add MEP / structural capabilities with every release. They also demonstrated enhancements to BIMcloud and BIMx that help support collaboration and interoperability to support industry initiatives and standards, including open BIM. As a reflection of their integrated approach, they merged their product release announcements into one instead of individual announcements for Archicad, DDScad, BIMcloud, and BIMx. That might seem subtle, but it’s a meaningful statement about the importance of integration and evidence of a more integral product planning process and mindset.Delivering on Customer RequestsThe launch event was open to customers and Graphisoft paid clear attention to enhancements that make life better for existing customers. Graphisoft confirmed that “architects will always be at the center of our thinking,” even as they extend capabilities for multidisciplinary teams. These announcements are not the type that excite the market, but they are the tactical improvements that customers love. Some examples included integrated design option management to prevent the need to make numerous copies of a model, improved attribute management, smart distance guides, streamlined manufacturing library import, advanced model compare, and enhanced search. Graphisoft experts explained each of these in detail, and although the customer audience was remote, I could imagine their pleased responses. Graphisoft also added improved documentation for single-line drawings, which will likely make certain customers happy and also make Archicad more attractive in North America. It appears Graphisoft delivered some real value to existing customers with this release.New Roadmapping ProcessAs mentioned, the announcement shared enhancements to help Graphisoft deliver on its vision but also showed strong evidence that they are listening to their customers. I met with the head of product management, Sylwester Pawluk, and Ghaleb Khadra from professional services to understand their product planning approach for the release. The plan included a mix of strategic additions like one-click LCA and tactical customer enhancements. What’s new, I’m told, is that Graphisoft has adopted a transparent roadmap so customers know what to expect. They also implemented a new technology preview process to share the enhancements with customers in advance and gained a very positive reaction to the release from their pre-release preview process.Graphisoft now offers a live roadmap on its website, and this release shows that they delivered on their promises. In addition to solid roadmap items, Graphisoft shared research initiatives they’re focused on, including AI assistance, parametrics, and augmented / virtual reality. We expect to see results from these added to their roadmap over time. Again, Graphisoft is showing transparency and gaining credibility by announcing what they’re working on and adding it to the roadmap as they become confident of when and how they’ll upgrade their capabilities.Final ThoughtsIt’s great to see progress on both vision and customer-oriented enhancements. We’re excited about Graphisoft’s vision to offer a more integrated AEC solution while supporting existing architect customers. To do this, we expect to see continued investment in their existing solutions. We also believe we will see Graphisoft leverage more capabilities from across parent company, Nemetschek, to fulfill their vision and bring more value to their customers. AEC software is a dynamic market with significant opportunities for vendors and the industry. We look forward to seeing what Graphisoft delivers next. Thank you to CEO Huw Roberts, Ron Close, Julianna Gulden, and the Graphisoft events team for inviting me to join such a well-organized, informative event. Further thanks to Sylwester Pawluk and Ghaleb Khadra for sharing product strategy and progress.
For more information about integrating design processes, see the survey results from our The State of Collaborative Design in AEC study.
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[post_content] => How do you manage a semiconductor production facility? Most people in the chip industry would say: with semiconductor MES. With its complex processes and products that cannot be clearly seen with the naked human eye, the semiconductor industry began broadly adopting MES in the 1980s and 1990s.And therein lies the problem. The systems that many semiconductor professionals know - and some still use - are completely outdated. This guest blog post by Julie Fraser points out that just as the semiconductor industry has changed radically, so has the software available to support it. She argues it is time for redefining semiconductor MES.The new definition encompasses many new changes in four categories:
Functionality
Integration and data availability
Configuration and scalability
Solution partner experience
Functionality is both broader and deeper than legacy MES. A modern system can handle both fab and backend, and is both broader and deeper than previous systems. Analytics are, of course, also much more advanced.Integration is also radically more comprehensive. With an equipment layer and built-in integration to both lower-level systems and enterprise systems.The MES also becomes more of an enterprise-ready system with configurability and scalability. Most semiconductor companies with legacy MES have dozens of programmers to support the system and keep it useful. Redefined semiconductor MES does not need that.Semiconductor MES is a topic Julie has been following for about 30 years. Redefining semiconductor MES is essential to support the next 30 years of semiconductor progress. Read the entire guest blog post here on Eyelit. Thank you, Eyelit, for giving us an opportunity to express our views on this!
[post_title] => Redefining Semiconductor MES
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[post_content] => What is the most important way a company can help supply chain resilience so it has a positive impact on the business? What are Top-Performing companies doing differently than others? How important are autonomous systems and artificial intelligence (AI)? What does the transformation of supply chain planning entail?Read this new survey-based eBook to find out more about what really matters most to resilience. Please enjoy the summary* below. For the full research, please visit our sponsor Dassault Systèmes DELMIA (registration required).
Table of Contents
Executive Summary
Supply Chain Challenges Persist
Supply Chain Resilience
Resilience: Improving Business Results
Factors in Positive Supply Chain Impact
Visibility into Production
Visibility into Product Changes
People in the Planning Process
Technology Hurdles
Integrating Software Applications
Technologies for Planning
AI and Autonomous Support
Plan Cadence and Structure
Investing in Resilience
Drivers for Resilience
Benefits from Investing
Redefining Planning Scope
Recommendations
About the Research
Acknowledgments
Executive Summary
Transforming to SucceedEvery manufacturer has suffered supply chain challenges in the past few years. Thus, supply chain resilience is top of mind but takes work to achieve. What needs to change is typically the scope and focus of planning.This research shows that transforming and expanding the thinking, team, and processes to achieve resilience in planning can have significant business benefits. Top Performers’ ViewIn this survey of 229 manufacturers, Top Performers show the way. These Top Performers are defined by superior performance on business metrics around new products, revenue, profit, and time to market.Best PracticesTop Performers’ planning is far more likely to involve the entire organization and its data. Not just sourcing, planning, scheduling, and logistics from the supply chain discipline but also product design, process engineering, and manufacturing. The involvement of these disciplines in planning is the #1 factor for Top Performers’ supply chains positively impacting the business. Top Performers are significantly more likely to cite this factor, so it’s a differentiator in what they do. (See chart)Resilience is an Attainable InitiativeThe good news is that internal collaboration and visibility to data from internal manufacturing and engineering groups is a resilience initiative any company can undertake. To succeed with such a program, manufacturers need software that supports a broad-based planning process transformation. Capabilities such as a common data platform and multi-discipline collaboration are crucial to success.Investing Delivers BenefitsCompanies that invest in transformation for resilience are seeing the benefits. This research shows that the longer you invest, the more likely you are to see benefits. Top Performers provide a blueprint for where to focus investment, who to involve, and what to expect from this transformation
Visibility into Production
Capabilities ChangeAfter collaboration, visibility is the next most important factor in achieving positive supply chain impacts on the business. Manufacturers typically have continuous improvement programs that regularly boost production capabilities. Every time there is such a change, the basis of the supply chain plans should shift. Hole in the CenterWhile manufacturing or “make” sits at the center of the supply chain, many companies do not have good visibility into production. The plant floor has often been described as a “black hole” for information flow: it goes in but does not come out readily.Challenges Seeing Manufacturing Clearly
People: Plant floor people have wanted their systems separate to ensure maximum uptime to support ongoing production.
Process: Production can change minute-to-minute, so understanding what’s relevant and creating a pipeline appropriate to each planning cadence is dynamic.
Technology: Separate systems with incompatible data formats and levels of granularity or detail abound in plants. Adding appropriate context for production data to be useful in supply chain planning is a common challenge, along with the need for a uniform data platform.
Redefining Planning Scope
Breadth of OperationsFor resilience, supply chain planning must transform and expand to ALL operations. Aligning within supply chain based on every aspect, from product specs to production capabilities, is crucial. That means integration of this data must be complete and as seamless as possible. Processes also need to involve all of these disciplines fully.CollaborationWhat appears to make the most difference in supply chain resilience is involving the right people. Collaboration between supply chain, manufacturing engineering, production operations, and product design is a top priority for resilience. Planning processes must be inclusive; ideally, technology will support this effort.Technology Support ScopeMany companies will need to make technology investments to plan based on this scope. Based on these survey results, manufacturers need visibility, data access and normalization, and an enterprise collaboration platform. Digital twins of the supply chain, products, and production processes that enable the virtual and real to stay in sync even through extreme volatility could play a significant role*This summary is an abbreviated version of the research and does not contain the full content. For the full research, please visit our sponsor Dassault Systèmes DELMIA (registration required).If you have difficulty obtaining a copy of the report, please contact us.
[post_title] => Transformation for Supply Chain Resilience
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[post_content] => Julie Fraser and I are enthusiastic about the potential for manufacturers to get more from their data following a briefing with enterprise search company Sinequa. Sinequa is tailoring their search applications to directly support manufacturers who want more holistic, integrated intelligence about their products and their business. Being able to find and connect data across disparate systems is always a challenge, but even more important is what you do with it once you find it. Sinequa can integrate with a variety of systems to ingest, enrich, index, and present valuable manufacturing data in the proper context. For example, a Sinequa application could collect and display the various elements of a product digital thread from data spread across underlying systems like PLM, QMS, and ERP. Sinequa also leverages AI to help users “converse” with the content. For example, they leverage large language models to surface and contextualize both structured and unstructured information about products that a typical employee would not have access to, or perhaps know existed, from related systems. It’s important to note here that Sinequa has developed a mature security model so users will not be presented with information they do not have permission to access. These capabilities have the potential to provide a much richer, more holistic view of manufacturing data. This view can help manufacturers better understand their products and business and ultimately make better decisions. They’ve developed applications for a very compelling set of customers, including Alstom, Airbus, Northrop Grumman, and NASA, that they’ve helped with information-intensive processes like maintenance and support, among others. We’re excited to see their progress and how the manufacturing community receives the application templates they’re developing. It will also be interesting to see how they partner with PLM vendors and potentially expand to operational data like MES. We’re excited to learn more.Thank you, Xavier Pornain, Laurent Fanichet, Michael Finocchiaro, and John Lenker, for explaining your vision and progress.
[post_title] => Sinequa Brings Enterprise Search to Product and Manufacturing Data
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[post_content] => We had an interesting update from Viamedici, a company we’ve been following that digitalizes product management and product marketing for manufacturers. They offer a multi-domain MDM platform that started in the manufacturing industry and has now expanded to multichannel distributors and retailers. Viamedici quickly achieved a strong footprint in this vertical by acquiring another PIM vendor and upgrading all clients to their platform. Their customers use their platform to collect, cleanse, and share digital data from product design, development, marketing, and supplier data. Many of their customers also use their DAM solution, although others integrate with a complementary or existing solution. They also offer an interesting, model-based CPQ system to handle configured / personalized products or support a guided selling and guided buying model. We’re intrigued by their offering and the potential it has to provide an integrated, cloud platform for MDM, PIM, DAM, and CPQ. Thank you for the update Juergen Mueller and Sven Litke, and it was nice to meet some of the rest of the team.
[post_title] => Viamedici Integrates MDM, PIM, DAM, and CPQ on the Cloud
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[post_content] => Many companies are talking about environmental sustainability – and GE Digital is aiming to embed it in customers’ operations. Jim Brown and I recently got an update from Ben Whiteman on their progress toward that end.The problems they want to solve are:
breaking siloes between operations and sustainability
providing process context to optimize resources more fully
Building on the past year of news, a foundation for this approach is to leverage what Proficy already offers – and what customers have installed. This ranges from Tracker to HMI/SCADA and Historian to MES, CSense closed loop tuning and control, to workflow to scheduling, with a common user experience through Operations Hub. In addition, GE offers an enterprise-level data warehousing, reporting, and analytics solution – bridging from the plants to the rest of the company.GE is organizing these familiar and existing software systems to support operations into new solutions. These are designed to create new pathways for manufacturers to systemize sustainability. The vision is for sustainability and operational metrics to sit side-by-side in the same reports and dashboards. Evidence that these all impact each other makes that logical. However, historically, organizational structures, targets, incentives, and IT systems have not supported a coherent view of ALL performance metrics.Beyond measurement, this approach can support improving sustainability performance. Evaluating tradeoffs and spotting multiple areas of benefit is good practice. The context is crucial to identify which interventions are most impactful for meeting environmental targets yet respecting operational constraints. Companies have been doing this with operational metrics in their continuous improvement programs – and GE aims to broaden the optimization to encompass both production and environmental metrics simultaneously.As GE moves into broader availability of these solutions, we expect this will continue to attract both current Proficy customers and new prospects. They have wisely anticipated that the professional services team will be crucial to the change management involved for the customers and providing feedback to fine-tune the solution offerings.Our research confirms that executives are increasingly ready to take action on environmental sustainability. Legislation such as CSRD and SEC around environmental sustainability are appearing and tightening worldwide, so the pressure is on. Compared to consumers, greenwashing with regulators may be more challenging. So, GE’s timing might be just right.Thank you for the time to share GE Digital’s approach to this increasingly important topic, Ben Whiteman, and thank you, Spenser Murray and Carver Conway, for arranging the discussion.
For more insights, please read our previous discussion on GE Digital's newest Proficy MES version.
[post_title] => GE Aims to Operationalize Sustainability
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[post_content] => What’s the right amount of PLM for small to midsized manufacturers? We had a briefing with Office PLM to understand their offering. I spoke with Philip Thurman and he explained that Office PLM has all of the features a PLM system needs, but is affordable and installs in a couple of hours. I’m sure we could all have a long discussion about what features PLM “should” have, but what I saw meets what we call “Extended PLM” that goes beyond managing CAD to cover core revision, BOM, configuration, and engineering change functionality with a configurable workflow. They have a goal to simplify PLM and I suspect that their scope hits the sweet spot for a lot of manufacturers that don’t have time to implement a more complex application. Their integration with SOLIDWORKS and should also appeal to many smaller manufacturers. They offer a lot of educational information about PLM as well to help get their customers up to speed. Smaller manufacturers and suppliers should include Office PLM in their research if they’re looking for a lightweight PLM system. Thank you Philip for taking the time to get me up to speed on Office PLM. I look forward to learning more.
[post_title] => Is Office PLM Right for Small to Midsize Manufacturers?
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[post_content] => Michelle Boucher and I joined a group of industry analysts for an annual visit to Dassault Systèmes headquarters for an update on their business performance, product progress, and corporate strategy. This year did not disappoint. We had a lot of great conversations with company leadership and heard some really interesting updates. I’m going to try to condense our experience down to a number of key areas and follow that with a list of interesting things you may want to learn more about. In summary, my observations are that:
The Dassault Systèmes business is strong and well positioned for the future
They are making significant investment, and progress, on their cloud transition
They are invested in sustainability, focusing on both direct and indirect impacts
They are exploring an interesting new line of services called XaaS, or Experience as a Service, that have the potential to change the way capabilities like the digital twin are delivered
I’ll offer some more detail on each of these, followed by some rapid-fire items that are worth exploring further.Business and Vision Dassault Systèmes has always had a strong vision and tends to stay the course. The strategy that CEO and Chairman of the Board Bernard Charlès shared – being a scientific company focused on harmonizing product, nature, and life and 3D experiences that combine the virtual and real worlds – is powerful, but not new. Their current expression of the strategy is providing virtual twin experiences to help companies visualize, model, and simulate behavior from the molecular level all the way up to business experiences. Based on their results, their strategy is paying off. COO Pascal Daloz shared strong financial and customer results which I won’t reiterate here but are readily available in shareholder reports. I felt the presentation from Bernard this year brought forward their role as a scientific company more prominently than usual. The discussions and examples highlighted their foundation in science, modeling, simulation, and data science. Executive VP Philippe Laufer also supported their scientific underpinning, speaking about their ability to bring the power of science to model, the power of data science to project real-world experiences, and their ability to develop scientific predictive models. I expect to hear more about this in their future strategy. Lastly, long-time leader Bernard Charlès showed great confidence handing over the meeting and letting soon-to-be CEO Pascal Daloz, in collaboration with other long-term 3DS leaders that have assumed broader executive roles, take the lead. He shared his belief that Dassault Systemes is in good hands as this very careful succession plan is rolled out.Cloud ProgressDassault Systèmes shared a number of updates that demonstrate their progress toward the cloud. Some of the key comments include that almost one-third of new customers are cloud-based and now more new customers are on the cloud than on-premise. They also shared that many large customers are moving to the cloud. It’s interesting to note, particularly for regulated industries, that the 3DEXPERIENCE Platform can be deployed in a variety of scenarios. As they explained, having their own architecture and infrastructure combined with a hyperscaler (3DS OUTSCALE) allows them to deploy where it makes sense to support their customers’ compliance needs and other business considerations. Another interesting note is that every new desktop SolidWorks license comes with the cloud for data anytime, anywhere, on any device using lifecycle and collaboration fundamentals from ENOVIA.Sustainability Dassault Systèmes has long been focused on environmental sustainability. Not only did Executive VP Florence Verzelen speak and share important examples, but sustainability was mentioned by a number of people throughout the event. Although 3DS spoke about the progress they’ve made on their own environmental footprint, they focused more on what they can do to enable sustainability and circularity for their customers, what they call their environmental “handprint.”New Chief Sustainability Officer Philippine de T’Serclaes also shared her perspective and spoke about their science-based goals for improving sustainability. Both shared examples of using the 3DExperience platform for sustainability and circularity. Experience as a Service3DS also shared a new customer engagement method. As opposed to delivering software or even software as a service (SaaS), they are delivering business experiences as a service. In the model, typically based on a value-based engagement, 3DS focuses on delivering value and solving business challenges instead of features to customers. In this model, they both develop and operate virtual twins for their customers, applying a combination of their software, their industry expertise, and their operations capabilities. This changes 3DS’ role from software provider to value provider, because they maintain the full solution (or “experience”) for the customer. This may help companies adopt digital twins and drive value without having to focus on how it’s achieved.
Some final thoughts. I won’t do them all justice here, but follow our research for more.
Business Process ManagementDassault Systèmes is moving beyond features and experiences to business processes. Highlights here are a new BPM offering and the plan to offer business experiences that customers can purchased from a marketplace. Director of Strategy & Transformation Vincent Merlino shared that the use of no-code, low-code platform for business experiences will add flexibility to allow the platform to support a broader array of industries and user types. Industrial MetaverseI’ll keep this short, but I will say that the augmented reality experience 3DS shared with us in a local museum was one of the first AR experiences I’ve seen that looks like it will provide significant value while still being within reach of smaller manufacturers. The example shared a virtual twin of a factory and examined placing new equipment. Whether you call it the metaverse or something else, there is something important happening here as technologies converge.PLM Updates 3DS is clearly continuing to invest in ENOVIA. Some examples shared by ENVIA CEO Stéphane Declee and VP Philippe Bartissol include the new BPM solution, a supplier portal PartSupply, and quite a few interesting integrated / distributed collaboration examples. AnalyticsNETVIBES-EXALEAD CEO Morgan Zimmermann shared some of the increased focus on analytics and some really interesting case studies, including an exciting case study we first learned about during an earlier ENOVIA-NETVIBES analyst event (), Morgan shared another example of a virtual twin that correlates and synchronizes data from different systems on the virtual twin, created a dashboard of information from Primavera, SAP, CRM, and other systems overlaid on the physical model and supports a workflow to identify and trace an issue in the platform without resorting to email. Artificial IntelligencePatrick Johnson, Senior VP of Research and Science, shared a number of practical examples of AI. There we very little hype. They just shared that they are already using it and have plans for more. Watch this space.Model Based Systems EngineeringCATIA CEO Olivier Sappin shared 3DS’ continued focus on MBSE to support the industry transformation to highly automated system of systems. He shared a virtual twin for cyber systems experience that started at mission definition, defined the system of Systems Architecture, and realized it with multi-discipline Engineering (including automation). Progress in AECVP Remi Dornier gave us on update on the vision they shared last year to componentize and modernize architecture, engineering, and construction. He shared working examples that show they are further exploring and realizing their vision.BatteriesManaging Director Reza Sadedhi shared some significant work they are doing around battery cells, starting from scientific principles and simulation, creating a digital twin of the battery cell. There was more shared and there are things I didn’t mention, but this is all I have room to share at the moment. Thank you Joe Horine, Orenella De Angelis, and Kurt Chen for hosting us and thank you to all of the 3DS execs who took time out of their schedule to meet with us.
For related insights, Michelle Boucher and Jim Brown share their updates on ENOVIA and NETVIBES Transitioning to a Business Platform, Michelle Boucher highlights key takeaways from 3DEXPERIENCE World 2021, and take a look back to read how Dassault Systèmes has made significant progress on their 3DExperience Vision from 2017.
[post_title] => Dassault Systèmes Shares Growth and Strategy at Analyst Day 2023
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[post_content] => How do companies prioritize the business strategies that drive their long-term success? What’s driving their strategy as they face constantly shifting global market disruptions? How do they balance initiatives like digital transformation, ESG, developing their workforce, and adopting new business models to ensure business sustainability in 2023 and beyond?Read our 5th annual survey to see how executive strategies have changed as companies face shifting global market disruptions.
Please enjoy the summary* below. For the full research, please visit our sponsor Dassault Systèmes (registration required).For related research, please read our prior survey results from the past five years: Strategies for Business Sustainability 2022, Business Sustainability and Transformation Strategies 2021,Business Sustainability and Survival 2020, and Executive Strategies for Long-Term Business Success 2019.
Table of Contents
Disruptions Vary, But Risk is Constant
Preparing for Success
Strategy and Initiative Drivers Have Shifted
ESG Pressure Comes from Many Angles
Holistic Business Sustainability
Putting Strategy into Action
Technology is Key to Business Sustainability
Technology Drivers Significant Business Benefits
Conclusions and Recommendations
About the Research
Acknowledgments
A Time to Create Agility and Improve Sustainability
No Major Shocks, But Risk RemainsThe past decade confronted businesses with a constant barrage of disruptions, including natural catastrophes and human-created disasters. Although the business environment is still turbulent, industry faced fewer significant new events since our survey in 2022. Our fifth annual survey, though, shows that risks remain. Although the percentage saying business risk and disruption has increased "significantly" dropped 27% from the prior year, about three-quarters of responding companies still say it has grown over the last five years.Despite the lack of new shocks, companies in 2023 report that they still struggle with supply chain challenges, the fallout of COVID, and the impact of armed conflict. They also face lingering economic uncertainty despite relaxing global recession fears. Moreover, while it's not new, the threat from climate change is coming to fruition, and predicted impacts appear to be ahead of schedule. In 2022, the world's oceans were the hottest in history and exceeded the 2021 recorded maximum, and experts warn that "this year's United in Science report shows climate impacts heading into uncharted territory of destruction."Events like Canada's 2023 wildfires are constant reminders of climate change impacts and are becoming more common.Time to Continue Transformation and Drive SustainabilityOur surveys on long-term business success show that companies responded to prior disruptions by accelerating technology adoption to increase agility and become more resilient. Now is the time for companies to continue with digital transformation to prepare for future inevitable disruptions and continuously improve efficiency in the face of continued economic uncertainty. At the same time, they must act on sustainability initiatives that are becoming critical to both human experience and continued economic success. Given the landscape, how are companies prioritizing the essential pillars of long-term business sustainability to ensure business success in 2023 and beyond?
Strategy and Initiative Drivers Have Shifted
A Period of (Relative) StabilityResponding to global disruption dropped as a strategy driver from 52% of companies in 2020 to 10% in 2023, the lowest point since COVID began impacting global markets (see next page). This is a strong indicator that disruption may have eased off, at least so far this year. Instead, companies appear to be back on track with ambitious strategies for business sustainability. Long-term growth goals are about the same and remain the most common strategy driver. Growth goals have been a constant from the beginning of this research series, and now financial market perception has grown from a low of 20% in 2020 to one-half of companies this year.ESG becomes a Larger FactorOther factors that influence corporate strategy and initiatives have shifted. Respondents now report that strategic plans are more driven by financial market perception and ESG factors. This is very different from the "survival mode" companies faced in 2020, where essential initiatives like environmental sustainability were pushed to the side. In fact, almost one-half of respondents report that government regulation drives their strategy this year, growing by 48% since 2019. We expect that these regulations are largely focused on greenhouse gas emissions and other environmental mandates. Other ESG business pressures are becoming more prevalent as well. Environmental issues were reported 83% more frequently as a strategy driver than in 2019 and have continued to climb since a low in 2020. In addition, 44% report corporate responsibility drives strategy, growing 63% since 2019, reflecting an additional ESG-related factor being considered more frequently in strategy decisions.New Focus on New EnergyThis year, we began tracking how the transition to new energy drives strategy and found that over one-third report it as a driver. We believe government regulation will add to existing transformation pressures such as cost and scarcity and spur more direct activity in this area. At the same time, government investment in new energy initiatives will also likely influence corporate direction. These drivers will further ESG efforts both directly and indirectly.
Technology is Key to Business Sustainability
Technology Critical to Business Success and ProfitabilityThe second factor we investigated in detail is technology. Technology plays a crucial role in supporting the pillars and driving long-term success and profitability. To demonstrate this, a full 87% percent share that technology is important to business success, and 30% say it's critical.Technology plays a crucial role in supporting each of the pillars of long-term success. About three-quarters of companies share that technology is critical or important to five of the seven pillars, and about two-thirds report it's important to the others.Reaching ESG Goals Demands Technical SupportPerhaps one of the more surprising findings is technology's high importance in supporting ESG. Companies now recognize that they need to take a systematic approach to environmental sustainability. Making sustainable decisions and green reporting require a tremendous amount of data from across the business and the supply chain. Technology is vital to capturing information and reporting on sustainability, but also to developing the insights needed to improve it. ESG technology is full of innovation. From our experience, companies are not finding a single application for ESG. They are applying existing technologies to make more sustainable choices in everything from product and service innovation to business execution.Technology is Crucial to TransformationTechnology is also seen as most important to digital transformation and product / service innovation and agility. Each of these is reported as "critical" by one-third of companies. The speed and scope of innovation demand a broad array of information and collaboration across disciplines.Technology Supports Business SustainabilityTechnology adoption continues to play a role in preparing for and responding to disruption, providing companies the agility they need to identify and react to issues. Technology alone doesn't achieve these goals, but the key finding is that modern businesses can't survive into the future without adopting technology to support them in the digital age.
Conclusions and Recommendations
Disruption is Lower, but Remain VigilantRisk and disruption continue to grow, but significant disruption may have leveled off (for now). Although the most common disruptions today are the supply chain and financial market, our research shows that the problems companies face vary. Businesses should anticipate ongoing disruption and the need to develop agility and resilience. Global business means companies are constantly at risk, it's simply the reality. Take the Long ViewIt's essential to prepare for disruption but stay focused on long-term business needs. Company success drivers are optimistic and show a belief in the long view, including long-term profits, innovation, and transformation. Disruptions come and go. As companies mitigate risk by becoming ever more agile and responsive, they must also stay focused on the enduring fundamentals of business success, such as customer relationships and long-term profits, while digitally transforming to stay relevant for the long term. At the same time, they must also attract and develop the workforce of the future. Stay Focused on SustainabilityCompanies are taking a balanced approach and continue to focus across the pillars of business sustainability. But the world has changed, and strategic drivers have shifted to put more emphasis on financial markets and the environment. One of the most significant increases in attention is ESG. Environmental and social responsibility are becoming increasingly critical to long-term business success. Companies must continue to drive their internal green initiatives while satisfying regulatory demands. Fortunately, regulations are beginning to reflect environmental imperatives and create a level playing field that supports both business and the environment.Adopt Technology to Drive Long-Term SuccessOur research clearly shows that technology plays a crucial role in driving long-term company profitability and sustainability and achieving value across the pillars of business sustainability. It also delivers significant business value. Companies must continue their digital transformation, adopting new business models and technologies, to achieve long-term business success.*This summary is an abbreviated version of the research and does not contain the full content. For the full research, please visit our sponsor Dassault Systèmes DELMIA (registration required).If you have difficulty obtaining a copy of the report, please contact us.
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[post_content] => How can auto manufacturers improve process design performance in the face of increased complexity? We surveyed over 150 people involved with manufacturing engineering and found that modernizing processes and technology drives higher automotive manufacturing engineering productivity and performance. These improvements are crucial to profitability in the transportation and mobility industry as customers demand high quality, more personalized products at increasingly faster time to market; all despite rising product and manufacturing complexity.Please enjoy the summary* below. For the full research, please visit our sponsor Dassault Systèmes DELMIA (registration required).
For related research, please read our Transforming Manufacturing in the Transportation Industry eBook.
Table of Contents
Improve Manufacturing Engineering to Increase Profitability
Address Process Designer Challenges
Recognize the Opportunity
Quantify the Potential
Identify Performance Drivers
Find Issues Earlier in Design
Use more 3D and Simulation
Use More Advanced Ways to Support 3D / Simulation
Leverage More Integrated Solutions
Use More Advanced Communication and Collaboration
Top Performers Show the Way
Recommendations and Next Steps
About the Research
Acknowledgments
Improve Manufacturing Engineering Performance
Improve Performance in the Face of Complexity
How can manufacturers improve manufacturing engineering? We surveyed 177 people directly involved with manufacturing engineering and found that modernizing processes and technology drives higher manufacturing engineering productivity and performance. These improvements are crucial to profitability in the transportation and mobility industry as customers demand high quality, more personalized products at increasingly faster time to market; all despite rising product and manufacturing complexity.
Modernize Manufacturing EngineeringSurvey results show that Top Performers in manufacturing engineering have increased maturity in the way they plan, validate, and communicate manufacturing operations. These leading companies waste less time on non-value-added activities, find issues sooner, and spend less on physical prototypes. They accomplish this through best practices, including:
More advanced collaboration and communication methods
Increased use of 3D and simulation to plan and validate manufacturing operations with virtual, digital twins
Improve Manufacturing Engineering to Increase Profitability
Product Profitability Relies on Speed, Cost, and QualityDeveloping profitable products in today’s transportation and mobility industry is challenging. Manufacturers have to move quickly to out-innovate their competitors without sacrificing product cost and quality. Our research1 shows that achieving product development success relies on meeting a combination of targets. According to this prior survey, the top business success and profitability drivers include faster product development, lower product cost, and increased product quality. Each of these goals is challenging, and transportation and mobility companies need to meet them simultaneously.Manufacturing Engineering’s ContributionWith that in mind, we investigated the role manufacturing planning plays in achieving these product development goals. Respondents indicate that efficiency, quality, and cost most drive product success and profitability. The two most commonly reported items, manufacturing engineering efficiency and first time quality, are valuable on their own. But it’s important to recognize that both impact the time it takes a product to reach the market. The third most commonly reported factor, manufacturing cost, directly impacts product profitability. These make improving manufacturing engineering efficiency and performance strategic.
Address Process Design Challenges
Manufacturing Engineers Face Increased ComplexityManufacturing is more complex than ever. Complexity has increased in three areas; products, manufacturing processes, and markets. Today’s products are going through a dramatic transformation to electrification. The shift from internal combustion engines to electric drivetrains adds complexity and demands significant changes to design and manufacturing processes. Today’s production environment may include new processes such as battery cell production or industrial additive manufacturing. Finally, transportation and mobility supply chains are shifting production and reshoring as the industry is trying to cope with supply disruption. Despite these, manufacturing engineers need to decrease cycle times and improve quality.Challenges Reflect Lack of Information and Ability to Optimize
Manufacturing engineers must overcome significant challenges to design and validate production processes. The most commonly reported challenge is untimely product design data. This hampers accurate, timely process design because planners can’t access trusted product details in time to optimize production plans and provide feedback on manufacturability. They also share challenges optimizing complex processes, which is likely becoming more complicated due to vehicle electrification.
In addition, respondents report challenges predicting the impact of their decisions on sustainability, inaccurate design information, visualizing assembly processes, and the time required to build prototypes.
Top Performers Show the Way
Top Performers Have TransformedThe Top Performers, those with higher performance in time to full production, quality, efficiency, cost, ergonomics, and worker safety, have adopted more advanced approaches to manufacturing engineering. The data shows that these companies have adopted best practices, including more advanced collaboration, 3D, and simulation. In addition, they leverage more integrated solutions for manufacturing engineering.Top Performers Prove the Value The Top Performers’ better practices correlate with better manufacturing engineering results. As reported earlier, the leading companies are more likely to find physical issues in product design where they can fix them without considerable rework. Researchers also analyzed benchmark data on the amount of non-value-added time companies spend in manufacturing engineering, the cost of physical prototypes, and the average number of physical prototypes required for a product. Top Performers showed advantages in all of these statistics. Researchers found, for example, that Top Performers spend 17% less time on non-value-added manufacturing engineering work. Further, they spend over 50% less on physical prototypes than Others through a combination of fewer and less expensive prototypes. However, these cost savings are only a portion of the potential value available from transforming manufacturing engineering because they don’t include any other savings or revenue improvement from improved time to market.
Conclusion
Based on the benchmark results, researchers concluded that transforming manufacturing engineering with increased use of 3D and simulation to plan, validate, and communicate manufacturing operations leads to measurably better manufacturing engineering performance.*This summary is an abbreviated version of the research and does not contain the full content. For the full research, please visit our sponsor Dassault Systèmes DELMIA (registration required).If you have difficulty obtaining a copy of the report, please contact us.
[post_title] => Transforming Manufacturing in the Transportation Industry
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[post_content] => Artificial intelligence holds the promise of entirely new insights for better decision-making. However, is it doing that in your company today? Manufacturers have long suffered from discipline-specific or “siloes” of data and information. Increasingly, those siloes have their own specific AI or analytics. September 27, day 3 of Smart Manufacturing Now, Julie Fraser will facilitate the discussion. Attendees were asked to bring their questions, thoughts, and experiences for this interactive short-version of the MESA Smart Manufacturing Community Supply Chain Group discussion.Note that the Smart Manufacturing Community had these mini-sessions each day of the conference: Monday 9/25 was Smart Manufacturing, Robotics, and Internal Logistics for Smart Connected FactoryTuesday 9/26 New Capabilities in Manufacturing Operations SoftwareThursday 9/28 Design for Manufacturing with Digital Thread and Digital Twin.
[post_title] => Getting Beyond Siloes of AI for Supply Chain Decisions
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[post_content] =>
Takeaways from Hexagon Live 2023
I attended my first Hexagon Live user conference this year. It was a well-attended, high-energy, polished event. I have to say, the content reminded me of my first conversation with Hexagon at a COFES industry conference a few years ago where I was overwhelmed with the scope and depth of their offerings. Hexagon covers a number of key solutions areas with their portfolio, including Design & Engineering, Production, and Metrology offerings that span both software and hardware. Some recent additions include quality management (QMS), connected worker, and asset performance management (APM). We feel there is strong potential for synergy across these areas as manufacturers face a convergence of technologies that demand integrated solutions. Because of this, others in our analyst team including Michelle Boucher (engineering practices research) and Julie Fraser (operations and manufacturing research) are also keenly interested in Hexagon’s progress. Ironically, perhaps, the theme for COFES and my presentation the year I got to know Hexagon focused on technology convergence and how it impacts the engineering software industry.Vision and PlatformPresident and CEO Paolo Guglielmini shared the Hexagon vision to deliver “digital twins of everything to improve and optimize at scale.” That’s a big goal. But Hexagon has a lot of solutions to apply toward that vision, having made over 170 acquisitions over the past 12 years. They plan to bring those together to create the “smart digital reality” that merges physical and virtual realities via the digital twin. This requires a lot of convergence and solution integration spanning both Hexagon products and the broader manufacturing and engineering software ecosystem. That’s where their new Nexus platform comes in, intended to be the platform to connect from the shop floor to the top floor. Hexagon launched Nexus earlier this year to support discrete manufacturing but has eyes on expanding to more industry segments.NexusI’m going to focus on Nexus because it’s new, it’s so important to the Hexagon vision, and it was one of my biggest takeaways from the conference. Why is it so important?
It’s an opportunity for convergence
It provides an opportunity for Hexagon partners
It is the path to Hexagon’s future technology
It’s a gateway to what we might expect from the industrial metaverse
Convergence, Integration, CollaborationThe Nexus platform promises Hexagon’s customers the power of convergence. Over time, it will provide common tools and a common interface across Hexagon’s solutions through Platform Services. In addition, it will be the basis for new Hexagon and partner apps and solutions. Nexus will also serve as a single location to find Hexagon tools from across divisions, something that can be challenging given the large collection of Hexagon solutions across divisions. The platform also offers a path to integration. Nexus is designed to be open and connectable. Hexagon stated clearly that they want Nexus to be inclusive, making it easy to integrate with not only Hexagon and partner solutions but also with competitive solutions. This is critical in the heterogeneous manufacturing and engineering software environment. Nexus also offers a common data schema that allows applications to work together more directly, the Nexus Smart Data Contract, which includes open engineering, quality, and production data at the center. This is an exciting aspect that deserves more attention.Convergence and integration open up the opportunity for collaboration. Hexagon created Nexus to connect people and allow them to collaborate across disciplines in combination with today’s latest technologies in what they call true, immersive collaboration. They shared a compelling example of a collaborative experience, and F1 engine mount, that showed a collaborative, connected workflow that leveraged connected data - all in the cloud. Partner SolutionsI was really impressed by how partner-centric Hexagon was during the conference. The approach to Nexus reinforced that. The Nexus offering (see image) includes both Nexus Apps and apps that are “Powered by Nexus.” Two significant partners, NVIDIA and Microsoft, are already involved with Nexus. Jensen Huang, Founder and CEO of long-term partner NVIDIA, shared his vision for how Nexus and their Omniverse platform will work together to provide the benefits of AI to the industrial metaverse. Microsoft’s VP of Customer Innovation, Andy Pratt, shared how Nexus will support digital twins. It’s clear that a lot of thought has already been put into these partnerships around Nexus.Beyond these larger partners, Hexagon announced Nexus for Developers at the conference. This capability provides APIs, SDKs, templates, and training that allow partners to build native apps, custom workflows, and “powered by Nexus communities.” They shared that their partner Altium was the first to pilot Nexus for Developers by creating a new solution for the electronics industry. By opening up the platform, Hexagon provides partners (and customers) the opportunity to innovate and do more with their solutions than Hexagon can offer on their own.Path to the FutureNexus is a significant part of Hexagon’s future technology plans and they are using it to build the next generation of their applications and create a path to the cloud. They’ve already launched a number of apps and are in the process of introducing more. In addition, they are developing more platform capabilities that can be leveraged by both Nexus and partner applications. There is more detail here than I can cover, I encourage you to look at their roadmap to learn more as it is growing rapidly. One of the important things to recognize about Nexus is that it’s not a replacement for existing systems. EVP and Nexus GM Stephen Graham explained that Nexus is intended to complement enterprise systems. It’s focused more on agility than control and works more as a system of engagement as compared to a typical system of record (like PLM). Nexus will bring automation and enable new feedback loops that will make processes more automated, efficient, and flexible. It will enhance current solutions by adding AI and visualization and support integration across solutions. This allows Hexagon to leverage their current solutions more effectively while they build out future offerings. The introduction of systems of engagement is an exciting new trend that we’re following closely, and Hexagon looks well aligned to help customers get more from their systems of record.Industrial MetaverseThere is a lot of hype around the industrial metaverse. Beyond all of the hype, there is also value. With Nexus, Hexagon’s solutions offer the ability to connect real-world performance from the physical world with the digital twin. Their goal is to leverage simulation and AI to improve designs and the real world. Beyond that, Nexus has a goal to automate decisions in real-time to increase value by acting in the real world. This is an area that we look forward to learning more about. Look for more autonomy from Hexagon and Nexus in the future.It’s also an area where partner collaboration, for example with NVIDIA, offers the potential for a lot of future innovation. For example, VP of Omniverse & Simulation Technology for NVIDIA Rev Lebaredian explained how companies can combine and simulate designs earlier to save money, reduce waste, and increase sustainability. He shared an example where companies with complex factories could bring together digital twins of a variety of assets, such as buildings, conveyors, robotics, and other equipment from different suppliers to simulate and find problems earlier. The potential is compelling.Wrapping UpNexus is a significant new direction for Hexagon. It’s still relatively early, but their vision is strong and they’ve demonstrated real progress. There was a lot more to the conference, but I hope this is a start in understanding what’s new with Hexagon. Thank you Robin Wolstenhome and Fiona Batchelor for your help coordinating schedules and customer discussions as I navigated my first Hexagon Live experience, and to countless Hexagon leaders who helped me learn more about Hexagon and their solutions.
You can read our initial reaction to the Nexus announcement here.
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[post_content] => How can machine builders improve the way they work with the companies that use their products to create more collaborative, mutually valuable relationships? This eBook explores five practical steps manufacturers can take to improve machine builder – operator collaboration and increase value for both themselves and the customers operating their machines.
Please enjoy the summary below and visit our sponsorSiemens to learn more about digital manufacturing solutions machine builders. You can also download the full eBook to learn more.
For related research, please read prior eBooks, The Machine Builder Digital Twin, Increasing Equipment Design Velocity, and Increasing Performance Engineering Performance.
Table of Contents
Recognize the Opportunity
The Value of Machine Builder - Operator Collaboration
Take a Practical Approach with Room to Grow
1. Improve Equipment Data
2. Improve Service Response
3. Connect and Communicate
4. Increase Predictive Capabilities
Get Started
Acknowledgments
Has the Time for Servitization Finally Arrived?
The Service Relationship is ChangingThe relationship between machine builders, their products, and their customers is evolving. Many machine builders who traditionally followed "sell it and forget it" or "service it because you have to" models are moving to more closely aligned service relationships. Why? Manufacturers recognize they have a strategic opportunity to drive higher revenue and better profit margins by transforming their service approach. And in some cases, their customers demand it because they need to get the most out of increasingly complex machines to drive their own productivity and profitability.Time for a Practical ApproachThis shift is not new. Service transformation, sometimes called "servitization," has been discussed for well over a decade. We wrote about the trend in The Service Lifecycle Management Approach as far back as 2003. Since then, some companies and industries have made progress. The concept is well defined, and the enabling technology has come a long way. But few machine OEMs have been able to fully embrace the model, and reaching the highest level of service maturity still faces people, process, and technology challenges. Fortunately, it's not an "all or nothing" proposition. Machine builders have plenty of room to improve. And, even if they never reach the ultimate goal, there is value along the way.
Recognize the Opportunity
Improving Service Benefits OEMs and OperatorsImproving service performance is a win-win. It brings machine builders new revenue, higher margins, better customer relationships, and a steadier income stream. In addition, transformation can provide strategic value by creating machine performance knowledge to improve engineering. It can also support significant business transformation, opening up the potential for new business models like "Product as a Service" (PaaS) or "Machines as a Service" (MaaS), where the machine builder takes on responsibility for delivering productivity instead of hardware. Finally, it can improve sustainability by optimizing energy use and supporting circular economics where machines could be resold, remanufactured, or harvested for valuable components and materials instead of scrapped.Transformation also helps customers better operate and maintain increasingly complex equipment. In turn, it allows them to increase uptime, plan for downtime, raise productivity, optimize performance, improve efficiency, reduce cost, and cut power consumption. The Potential for Transformation is ProvenThe value of improving service through tighter relationships and digital transformation is well documented. There are practical examples to follow. Other industries, including aerospace, have paved the way, proven the value, and developed best practices. There are experienced consultancies that know how to transform to servitization. Supporting technologies, including the Industrial Internet of Things (IIoT), analytics, Enterprise Asset Management (EAM), and Service Lifecycle Management (SLM), are more mature and accessible.The Potential for Transformation is ProvenIt's hard to argue with the value, but it's a significant change. Technology has advanced faster than companies can adapt. Collaboration requires a level of trust and accountability between partners. Some operators may not want their data connected to the internet or consider their operational data and processes part of their intellectual property and be reluctant to share it. Making the transition can also be a financial hurdle. Shifting how and when manufacturers record revenue is a major change, especially for those producing expensive machinery.
Take a Practical Approach with Room to Grow
Innovate, Experiment, Learn, and ImproveAlthough the vision is more attainable, it may not be easy for every company to achieve. What can machine builders do now to start down the path toward value? We recommend that they understand the big picture but start small. But starting small doesn't mean the project has to be limited to a proof of concept. There are practical ways to create value now and make progress toward the future state as they gain experience improving service in a digital model. Machine builders can take tangible steps toward greater maturity by:
Improving collaboration with their customers
Learning from the experience
Repeating what works
Extending their success
Expanding to new areas
Create a Value-Driven StrategyIt's essential to develop a practical plan, however, before spending a lot of time and energy on the project. Incremental adoption and improvement are not substitutes for strategy. The most important step is working with customers to research potential improvements and how they add value for both the machine builder and the operator. It's important to look for the win-win, communicate it with the customer to get alignment, and then get started. Do the research to target improvements that will make a difference and be worth building on.For example:
What challenges do your customers face while operating your equipment?
What would they value if you could change the situation?
What would “change the game” for them?
What are they willing to pay for it so that you can share in that value?
Get Started
Start Small, Then ExpandAlthough few machine builders have reached the highest level of digital transformation maturity, it's essential to get started. These techniques are becoming more prevalent and achievable. It's time to collaborate on a small but meaningful project that solves a real problem. This project should provide benefits for both the machine builder and the operator. Choose a product line or focused use case and take an agile approach that gains value with a "minimum viable product" approach. Keep it simple so you, and your partner, can learn and extend based on experience. Manage ChangeLastly, remember to manage the change. Educating management, personnel, and customers about the change and why it is valuable to them is critical. Next, develop a plan that addresses both business and technical requirements, and engage with engineers, operators, and service technicians to learn from their knowledge. Then, get started to create an advantage on your timeline before being forced to react to competitive threats. If you have difficulty obtaining a copy of the report, please contact us.
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[post_content] => Can lithium-ion and other specialty battery manufacturers keep up with the growth potential in the new world fueled by electrons rather than heat? That all depends on how well they can master manufacturing. Lithium-ion batteries are inherently complex. It is an enormous challenge to make them at consistently high quality. Compounding the challenge are the ever-shifting conditions: constant innovation in materials, chemistry, and form factors plus frequent changes based on customer requirements and applications. Manufacturing prowess well could differentiate a company and set it up for success.Making these batteries is a multi-mode, sensitive operation. There are interdependencies between steps, opportunities for contamination and human error, and the final product’s selling price depends on manufacturing excellence. In addition, new chemistry, form factors, and approaches are emerging for new applications, so there’s a steady stream of experiments and new products in the mix. All of these factors mean a manufacturing execution system (MES) is required. This is the only type of system that can support all aspects needed for success in this complex production environment.Yet, not just any MES will do. Five key characteristics make an MES capable of supporting Lithium-ion and specialty battery manufacturers. Multi-mode support is paramount for batch slurry mixing, roll, winding, assembly, sealing, and testing. Flexibility for the high mix and R&D experimentation is also fundamental.Read the entire blog post by clicking on the image on LinkedIn to learn more about these characteristics battery manufacturers should seek in MES, plus discover the other three.
Thank you to Eyelitfor supporting us in expressing our views on the important features of MES for battery manufacturers.
[post_title] => Five Software Characteristics Battery Manufacturers Need to Succeed (Guest Post)
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[post_content] => How can a Center of Excellence (CoE) prevent common challenges with manufacturing operations management (MOM)? In this new book published by ISA, long-time consultant Grant Vokey explains the functions and structure of successful CoEs. This solid book has sections to support data-driven management, continuous improvement (CI), Industry 4.0, manufacturing execution system (MES) implementations, and strategic planning and management. Tech-Clarity’s Julie Fraser reviewed this book in draft form and provided input on an excellent manuscript. The Tech-Clarity survey eBook The Manufacturing Data Challenge research is cited several times to illustrate common challenges and show the keys to success.
This CoE book builds logically from background materials into more specific whys, hows, and keys to success. The book includes information about standard ISA topics such as MOM, ISA-95, and ISO 9000. It has valuable illustrations to support deeper understanding. Julie's favorite parts are the easy-to-follow examples and real-life experiences from Grant's career that bring home the value of a CoE.
Thanks to Grant Vokey and the ISA publishing team for providing us the opportunity to support this work. We believe many manufacturers will benefit from the logical flow of this book and the range of topics it covers for a CoE to support excellence in operations.
[post_title] => Tech-Clarity Research in New ISA Book CoE: The Key To Data-Driven Manufacturing
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[post_content] =>
How much do disconnected tools cost your business?
Historically, most companies have relied on multiple disconnected tools to get the job done, particularly in product development and manufacturing. IT then invests significant effort to integrate them. Interestingly, Top Performing companies say that reducing manual efforts and non-value-added work is most important for successful product development and manufacturing software. To achieve this, they point to solutions that easily integrate. This leads to the question, should companies invest in best-of-breed solutions they must integrate or adopt an integrated platform? Do the benefits of adopting best-of-breed point solutions outweigh the cost of working with disconnected tools?
Based on a survey of 187 IT, product development, and manufacturing professionals, this research study examines these questions. It looks at what IT needs to be successful in their job and how they can provide the most value to their company, including product development and manufacturing teams. It reveals best practices for overcoming the costs of disconnected tools and how to empower IT to focus more energy on the tasks that offer the most corporate benefit and make them even more successful.
Please enjoy the summary* below. For the full research, please visit our sponsor SOLIDWORKS (registration required).
Table of Contents
Executive Summary
IT is Critical to Business Strategy Execution
Address IT Bottlenecks to Ensure Success
Identifying Top Performers
Product Development and Manufacturing Software
Product Development & Manufacturing Requirements
Is Best-of-Breed Still the Best Approach?
Best-of-Breed Impact on Users
Overcoming Best-of-Breed Challenges
An Integrated Platform Solves Many Challenges
IT Advantages of an Integrated Platform
What It Takes to Keep Product Data Secure
Recommendations
About the Research
Acknowledgments
Executive Summary
IT’s Role in Competitiveness
Companies must be as efficient as possible in today's competitive global environment. Many are turning to digital transformation to achieve greater efficiencies, leading them to rely on IT to execute. Yet, IT must deal with many issues that hold them back. They rate the time and effort required to integrate software applications as the top issue consuming their time, taking them away from enabling business strategies.
Product Development & Manufacturing
The right software solutions empower engineering and manufacturing and are critical to a digital transformation strategy. To be successful, product development and manufacturing need their software to reduce manual efforts and non-value-added work to help them meet time to market goals, improve quality, and lower costs. This requires integrated solutions, yet IT rates integrating software solutions as the top challenge of implementing product development and manufacturing solutions.
Does Best-of-Breed Still Work?
The challenges associated with disconnected tools lead to the question, what's better, a best-of-breed or integrated platform approach? Historically, best-of-breed solutions were preferred. While individual tasks benefit, to achieve the efficiencies promised with digital transformation, manage product complexity, and respond to competitive pressures, the entire product lifecycle, from design to production, should be considered. The lack of integration across tools creates bottlenecks and breaks the digital thread, negating potential time savings when improving a single task. Further, IT rates the efforts required to integrate solutions as the top challenge associated with a best-of-breed approach. To overcome this, most of those using best-of-breed solutions believe adopting a platform of integrated tools will help.
Integrated Platforms
Those who use an integrated platform, validate this idea as 99% of those using an integrated platform report advantages over other approaches. These advantages lead to improved product quality, greater efficiency, greater ability to scale the business, lower product cost, and better business agility.
With a platform, IT can avoid wasting time managing complex compatibility matrixes and integrating software. Instead, they can focus on activities that increase their visibility as a corporate strategic asset.
IT Is Critical to Business Strategy Execution
Top IT Strategies
The role of IT has evolved from a tactical “order-taker” delivering on requirements provided by business leaders to a more strategic one. Now IT is more likely to collaborate with business leaders to help identify and define business problems.1 The top IT strategies reflect this more strategic focus.
Digital Transformation
Digital Transformation has enabled many companies to achieve efficiencies that are hard for competitors to match.2 As such, Tech-Clarity's research finds that 41% of executives attribute digital transformation as a top business factor driving long-term success.3 Consequently, many executives place high importance on digital transformation, making it a priority for IT.
Successful digital transformation relies heavily on implementing the right technology. However, it is a considerable undertaking as true digital transformation impacts all business processes and requires a deep understanding of company processes, bottlenecks, and optimization opportunities. Implementation requires a significant IT investment. It is also a journey, requiring continuous improvement to realize the highest levels of efficiency.
Enable the Business
IT must ensure its strategies align with business goals. They must meet today's business needs and consider future needs to ensure that whatever they implement doesn't limit the business and will scale as it grows. They also need to ensure that what they implement provides value so the company realizes the expected return on the investment (ROI). Finally, they need to ensure that they can support a variety of environments across all company locations, including those working from home or on the road.
Recommendations
Recommendations and Next Steps
Based on industry experience and research for this report, Tech-Clarity offers the following recommendations for IT staff:
Ensure the success of product development and manufacturing software by focusing on automation to reduce manual efforts.
Keep in mind the significant time pressures faced by product development and manufacturing teams. Connecting time savings to any new software solution will encourage their adoption.
Consider the benefits of an integrated platform over a best-of-breed approach. Technology advancements over the last several years have led to powerfully capable integrated platforms that will not have the drawbacks of disconnected tools.
Recognize that digital transformation is not just a technology solution. An integrated platform can help, but implementation is critical. It should increase data reuse across the product lifecycle, eliminate data silos, automate processes and workflows, extend access to product data beyond engineering, and create a sign source of truth.
Do not underestimate the efforts required to successfully implement digital transformation. It may require rethinking processes and significant effort to understand processes, bottlenecks, and opportunities for improvement. This will be an ongoing continuous improvement journey. By offloading more tedious tactical tasks, IT can focus more energy on the more strategic work that will enable digital transformation.
Recognize the significant efforts required to keep data secure to determine if those resources would be better spent supporting the company's core business.
*This summary is an abbreviated version of the research and does not contain the full content. For the full research, please visit our sponsor SOLIDWORKS (registration required).If you have difficulty obtaining a copy of the report, please contact us.
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How much do disconnected tools cost your business? Historically, most companies have relied on multiple disconnected tools to get the job done, particularly in product development and manufacturing. IT then invests significant effort to integrate them. Interestingly, Top Performing companies say that reducing manual efforts and non-value-added work is most important for successful product development…
How does Selerant’s CPG PLM solution DevEx fit into TraceOne’s broader manufacturing and retail PLM strategy? Jim Brown shares two key takeaways from the Selerant (now Trace One Inc.) user conference. Trace One Displays CPG & Retail PLM Synergy at User Conference I was excited to speak at the 2023 Trace One user conference and…
Jim Brown and I are intrigued by what consumer products companies and retailers can do to design products and trade more effectively and sustainably after our briefing with TradeBeyond. Their multi-enterprise PLM and supply chain collaboration platform is expanding. By acquiring Pivot88, they strengthened existing industry-specific capabilities, deepened their presence in apparel, and added quality,…
How can you help engineers manage complexity to make more informed design decisions? As the role of product development teams becomes increasingly critical to product differentiation, growing complexity continues to make the job harder. However, with the right technologies, and by connecting simulation and test, you can empower development teams to engineer products that will…
How can CPG companies cut through the noise to get value from a manufacturing digital twin of their production process? How does it differ in design, commissioning, and operational phases? The market is filled with a combination of marketing hype and real case studies about how digital twins help companies digitally transform and drive new…
I had the opportunity to visit Graphisoft’s Budapest headquarters for their recent Building Together | Connect event. I left the event with several key takeaways: They showed significant progress and alignment around their strategic vision to integrate AEC design processes across disciplines They delivered on a variety of enhancement requests for their existing customer base…
How do you manage a semiconductor production facility? Most people in the chip industry would say: with semiconductor MES. With its complex processes and products that cannot be clearly seen with the naked human eye, the semiconductor industry began broadly adopting MES in the 1980s and 1990s. And therein lies the problem. The systems that…
What is the most important way a company can help supply chain resilience so it has a positive impact on the business? What are Top-Performing companies doing differently than others? How important are autonomous systems and artificial intelligence (AI)? What does the transformation of supply chain planning entail? Read this new survey-based eBook to find…
Julie Fraser and I are enthusiastic about the potential for manufacturers to get more from their data following a briefing with enterprise search company Sinequa. Sinequa is tailoring their search applications to directly support manufacturers who want more holistic, integrated intelligence about their products and their business. Being able to find and connect data across…
We had an interesting update from Viamedici, a company we’ve been following that digitalizes product management and product marketing for manufacturers. They offer a multi-domain MDM platform that started in the manufacturing industry and has now expanded to multichannel distributors and retailers. Viamedici quickly achieved a strong footprint in this vertical by acquiring another PIM…
Many companies are talking about environmental sustainability – and GE Digital is aiming to embed it in customers’ operations. Jim Brown and I recently got an update from Ben Whiteman on their progress toward that end. The problems they want to solve are: operationalizing environmental sustainability goals breaking siloes between operations and sustainability providing process…
What’s the right amount of PLM for small to midsized manufacturers? We had a briefing with Office PLM to understand their offering. I spoke with Philip Thurman and he explained that Office PLM has all of the features a PLM system needs, but is affordable and installs in a couple of hours. I’m sure we…
Michelle Boucher and I joined a group of industry analysts for an annual visit to Dassault Systèmes headquarters for an update on their business performance, product progress, and corporate strategy. This year did not disappoint. We had a lot of great conversations with company leadership and heard some really interesting updates. I’m going to try…
How do companies prioritize the business strategies that drive their long-term success? What’s driving their strategy as they face constantly shifting global market disruptions? How do they balance initiatives like digital transformation, ESG, developing their workforce, and adopting new business models to ensure business sustainability in 2023 and beyond? Read our 5th annual survey to…
How can auto manufacturers improve process design performance in the face of increased complexity? We surveyed over 150 people involved with manufacturing engineering and found that modernizing processes and technology drives higher automotive manufacturing engineering productivity and performance. These improvements are crucial to profitability in the transportation and mobility industry as customers demand high quality,…
Artificial intelligence holds the promise of entirely new insights for better decision-making. However, is it doing that in your company today? Manufacturers have long suffered from discipline-specific or “siloes” of data and information. Increasingly, those siloes have their own specific AI or analytics. September 27, day 3 of Smart Manufacturing Now, Julie Fraser will facilitate…
Takeaways from Hexagon Live 2023 I attended my first Hexagon Live user conference this year. It was a well-attended, high-energy, polished event. I have to say, the content reminded me of my first conversation with Hexagon at a COFES industry conference a few years ago where I was overwhelmed with the scope and depth of…
How can machine builders improve the way they work with the companies that use their products to create more collaborative, mutually valuable relationships? This eBook explores five practical steps manufacturers can take to improve machine builder – operator collaboration and increase value for both themselves and the customers operating their machines. Please enjoy the summary…
Can lithium-ion and other specialty battery manufacturers keep up with the growth potential in the new world fueled by electrons rather than heat? That all depends on how well they can master manufacturing. Lithium-ion batteries are inherently complex. It is an enormous challenge to make them at consistently high quality. Compounding the challenge are the…
How can a Center of Excellence (CoE) prevent common challenges with manufacturing operations management (MOM)? In this new book published by ISA, long-time consultant Grant Vokey explains the functions and structure of successful CoEs. This solid book has sections to support data-driven management, continuous improvement (CI), Industry 4.0, manufacturing execution system (MES) implementations, and strategic…