Market and Investment Strategies Manufacturers Need Today

Market and Investment Strategies Manufacturers Need Today

By Manufacturing Technology Insights | Friday, November 30, 2018

Industrial and manufacturing companies are today spending more time and money on machine manufacturing equipment, production line automation, and Enterprise Resource Planning (ERP) for the evaluation process—to analyze the functionality of the system. Manufacturing Execution System (MES) is sandwiched between these two layers, which assures whether the activities are occurring as per the design in the manufacturing department or not. This process also includes other activities such as production scheduling, data collection, data processing, quality tracking, cost planning, and analysis.

The main concern showcasing to the overall development of the industry is Return on Investment (ROI). Providing employees with critical jobs is not useful unless its performance will have a certain positive impact in enhancing the bottom-line of the industry. To ensure better ROI, certain vital aspects are to be considered which can have a huge impact on MES, and also bridges the communication gap amongst manufacturing planning system and control system of the equipment.

The primary concern of an organization is to be highly focused on the outcomes. This process can be attained through proper planning of the objectives to achieve the desired output and periodic monitoring of the manufacturing functionality in the system. Although the entire system will be divided into different functional units, the individual group will be following its requirements and guidelines. It should be ensured that the manufacturing process will be repeated in a sequential and connected manner to achieve the desired output.

Along with practical designs and objectives, it is required to analyze the risk involved before processing to the development phase. This process involves questionnaires such as total time estimated to complete the implementation, cost involved, approximate price bid by the customer,  ability to maximize ROI by deploying across multiple platforms, and availability of discount from the vendor.

The ROI value cannot be known unless there is a prior estimation of the investment of the product. The cost factors during the development process involve software license cost, hardware cost, maintenance cost, labor cost, and system upgrade cost. Furthermore, after implementation, deploying advanced technologies such as cloud computing will increase the capital expense of the business. By using reliable tool for ROI, using AI to refine the estimates will help achieve better integrity amongst the company needs and the available solutions.

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