Advantages of Business Intelligence in the Manufacturing Industry

Advantages of Business Intelligence in the Manufacturing Industry

Manufacturing Technology Insights | Wednesday, May 11, 2022

Business intelligence enables manufacturers to consolidate information and data that was previously siloed across the factory floor into a single, easy-to-access source.

FREMONT, CA: While manufacturers may put a lot of effort into maintaining equipment and training employees, they frequently fail to put the same effort into their business intelligence processes. This lack of dedication to gathering and analyzing data can result in production delays and cost overruns.

Benefits of Business Intelligence in the Manufacturing Industry

End-to-end Supply Chain Visibility

CIOs and CDOs can achieve end-to-end supply chain visibility and properly prioritize customers, suppliers, and partners by leveraging supply chain analytics and data modernization.

Operations Efficiency

Managers can reduce and correct errors during the production cycle by tracking individual machines and department performance. Shipping and receiving can also forecast the need to order raw materials for maximum efficiency and improve the ability to meet just-in-time order demands.

Productivity Management

Productivity management can use BI to track employee, machine, and department downtime to determine where changes are needed. Predictive analysis can also anticipate and avoid potential production bottlenecks and ensure continuous productivity.

Inventory Control

Inventory items and materials can be a significant financial drain. The trick is to use business intelligence to ensure adequate raw materials meet production requirements and proper inventory to meet customer needs.

Manufacturing Cycle Tracking

The manufacturing cycle should be as short as possible to maintain profitability while producing a high-quality product.

Quality Assurance

Quality Assurance Managers must understand how many components are produced to standards and how many are scrapped. Reducing the cost of defective products can indirectly help overall profitability.

Equipment Monitoring and Effectiveness

Equipment must operate at peak efficiency with as little downtime as possible for maintenance or production backlogs. Equipment performance management enables you to monitor and improve overall equipment efficiency by tracking metrics.

Compliance Management

Many manufacturers must meet safety and performance standards. BI provides the knowledge required for the manufacturer to meet compliance standards.

The most important role of BI in improving manufacturing processes is that monitoring and improving all of the individual components leads to long-term profit increases.

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