Manufacturing - Business Intelligence Guide
Traditionally, manufacturing refers to factory floor activities
- direct production, cutting, grinding, fabrication, and assembling
of materials. In reality, it also includes many of the decisions,
processes, and activities that occur both upstream and downstream
of factory floor activities.
Other associated processes include:
- Strategic - product costing, strategic planning
- Development - e-business, product design, process
- Operational - Plant design, capacity management,
supply chain management, performance measurement, plant scheduling,
interplant coordination, quality management, workforce organization,
equipment maintenance, product distribution
There are several manufacturing sectors, each with their own risks
- Large Mass Manufacturing
- SMB Manufacturing
- Contract Manufacturing
- Outsource Manufacturing
New Processes and Materials
New processes and new materials are driving new manufacturing
sectors such as nanotechnology and biotechnology. Production, product
innovation, value creation, and market control are intertwined with
retaining competitive edge.
The strategic place of production intellectual property rights
contests that of product design. New business models and partnerships
are emerging to absorb science-based engineering knowledge and techniques
and collaboration with academic channels is not uncommon.
Such technology driven production is not readily contracted out,
meaning as businesses evolve their technology, new processes and
materials and new kinds of production skills must also evolve. Outsourcing
risks transferring core product/process knowledge.
Digitally focused online sales, marketing and supply chain management
changes the links between a business and its customers and suppliers.
As development and production processes become more entwined, speed
to market improves.
Such a complex evolutionary system is more than a procurement
process for obtaining components – it has a larger element
of value add and must therefore be retained in house. As production
evolves to rapid turnaround and custom activity decisions around
production location, diversified quality and functional flexibility
forges even tighter links between development and production.
Thus manufacturing is become more dispersed, more custom-product
focused, is diversifying through digital production into new business
and industry models and is speeding up time to market through component
based manufacturing and lean efficiency focused processes.
This combination of complexity and speed requires a support system
that enables rapid decision making, but with reduced risk. This
is where business intelligence becomes invaluable to this sector.
Before we delve into the technology used by manufactuers, and how
business intelligence solutions are driving major changes, lets
take a look at the main manufacturing sectors, to gain an understanding
of the challenges each sector is seeking to overcome.
Manufacturing Sector Profile
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More Detail on Manufacturing BI Strategy, Program & Technology
Index | General Sector | SMB
Sector | Contract Sector |
| Technology Used | IT
Roadmap | Business Benefits
| BI in Manufacturing
| Concurrent Manufacturing | BI
Solution Requirements | BI