SEPTEMBER 201719MANUFACTURINGTECHNOLOGYINSIGHTSBy Bob Krestakos, VP, Global Operations, SteelcaseAt Steelcase, we help customers think about space as a strategic asset to tackle organizational needs--including transforming culture, enhancing collaboration, and increasing employee engagement. It takes a different way of thinking to fully leverage space in this way, and former CEO of Steelcase, Jim Hackett embodied this mindset. This led him to ask me one of the most thought-provoking and trajectory-altering questions of my career:"What would happen if IT ran the factories?"When Hackett posed this question in 2012, I had been CIO at Steelcase for five years and was familiar with the IT systems we used in day-to-day operations of our manufacturing facilities. Hackett's question revealed he was actively strategizing about the value of IT in our business and the changes it could propel across the organization and industry. His inquiry also foreshadowed a later discussion where he asked me to consider the role of VP of Operations. This sparked an internal exploration of where I could have the greatest impact--as CIO, or a new role within Global Operations? Before I made my decision, I began to work more closely with the operations team exploring how IT could play a larger role. In the late 1990s, manufacturing at Steelcase had been deeply immersed in efforts to convert from batch and queue manufacturing to lean manufacturing. Taking a lean approach helped make gains in all aspects of our operational model, but Hackett was looking to what was next for Steelcase Global Operations. Hackett hypothesized that the highly effective use of technology and data in our manufacturing operations was the next frontier for Steelcase.With modernization behind us, we're now prepared for next-level optimization in our fitness journey. Our organization initially took small steps to get started. The IT team and I crafted a technology strategy to guide Steelcase through the transition. It was eye-opening to be so hands-on and close to the plant during this time, which led to a number of insights that other organizations can apply:· Our computer-generated daily production schedules were highly accurate, but we discovered there was still room to optimize plant scheduling and took steps to improve efficiency.· Manufacturing facilities and operations organizations in general are very fluent in metrics and trending, as was IT. But, What Would Happen if IT Ran the Factories? Bob KrestakosCXO INSIGHTS
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