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BUSINESS FINANCE PAGE
Digital Manufacturing Delivers Actionable Decision Making
By Glenn Graney
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The opportunities around digital manufacturing are as varied and broad as the interpretation of the phrase itself. All too often digital manufacturing is tied to the advent of the newest and brightest technology and the associated hype. The application of robots, automation additive manufacturing, machine learning, and other technology all show great promise. However, the projects associated with those technologies can require major capital investment, acquisition of new knowledge and can be disruptive to current operations.
The benefits of Digital Manufacturing do not have to be limited to big-bang, big-budget revolutionary efforts. There are real digital manufacturing transformation opportunities in the way we manage the factory floor that do and huge capital investment.
The near-term operational goal on the manufacturing floor is simple. Manufacture the right stuff at the right time as optimally as possible. Every day and every shift there are hundreds of decisions made in terms of achieving that goal.
The simplest of all examples is the decision on what to manufacture next. It can’t get any more basic than that. Whether it is for an individual machine, an assembly cell, or a full-blown production line there is always the requirement to decide about what is up next. Several data points might contribute to that decision. Let's just simplify it into 3 important sets of information: material availability, equipment/labor status, and the up to date of order priority in context with all the possibilities. This is the information that is critical in making the best possible decisions.
Unfortunately, our legacy systems and approaches often fall short of optimal decisions support. Material status is hidden in a disconnected warehouse system that doesn’t readily share live inventory levels. Equipment and active order status wait for paper recording and possible postshift data entry. These systems provide no interim progress values or potential availability issues. Customer order data and last-minute priorities are locked in spreadsheets that are only updated for Monday morning production meetings.
What is the impact of making suboptimal decisions? Wasted resources are expended readying equipment and labor for jobs without the raw material or components necessary to execute. Excessive work-in-process inventory levels accumulate while waiting on resources that are tied up on previous orders. There are daily issues with over or underproduction of orders that are misaligned with the real customer need. The list of negative issues that can result from ineffective decision-making can go on and on. All of these issues are particularly acute and exaggerated with the current supply chain and labor availability challenges.
The idea that better decisionmaking would benefit the manufacturing enterprise is not new. Every day plant managers are bemoaning the lack of clear and immediate priorities in terms of customer orders. Every day there are floor supervisors expediting material that they had thought was available.
There are real cases of digital manufacturing efforts happening across manufacturing that are designed specifically to address improved decisionmaking on the factory floor. QAD has a discrete manufacturing customer in Northern Italy that recently implemented QAD Production Execution. Production Execution is a set of operational extensions of ERP and material management that provides for live collaboration and actionable insights into all of this decision data. Material availability is live. Progress against orders and equipment status is live. Order priorities are updated at the pace of customer changes.
The result is operational and planning systems that are extensions of each other and there is no gap in time or accuracy of the information. Too often the expression “single version of the truth” feels more like an aspirational possibility and not a system capability. In this case, the systems deliver exactly that. It is a single, actionable version of the truth. It is important to remember that the goal isn’t this single version of the truth. The goal is better decision-making!
Glenn Graney is QAD’s Marketing Manager for the Industrial and High Tech markets
There are a couple of major takeaways that can be shared from recent conversations with the personnel at this manufacturing enterprise. A quote from the shop floor supervisor is pure manufacturing magic, “This is the first time in 20 years that I believe and trust the information in front of me and it has changed the way we make decisions.” Decisions don’t have to be based on hedges or gut feel. There is confidence in the data. Decisions do not have to be delayed to crosscheck data validity. Reduced WIP, near-elimination of lastminute expediting, and other significant improvements can all be related to the flow of improved decision-making.
The second takeaway is that the entire Production Execution project from start-up to go-live took place in Northern Italy during the height of the pandemic and its associated challenges. The investment in system upgrades was modest. The disruption to established manufacturing processes was minor. Not all digital manufacturing projects require expediting, and other significant improvements can all be related to the flow of improved decision-making. a revolution of unfamiliar technology or heroic efforts. Ultimately the decision The second takeaway is that the entire Production Execution project from start-up to go-live took place in Northern Italy during the height of the pandemic and its to apply digital manufacturing to better associated challenges. The investment in system upgrades was modest. The disruption to established manufacturing processes was minor. Not all digital manufacturing decision-making might have been the best projects require a revolution of unfamiliar technology or heroic efforts. Ultimately the decision of all. decision to apply digital manufacturing to better decision-making might have been the best decision of all.
To get more details about To get more details about digital manufacuting, please scan the QR code or visit:
https://www.qad.com/next-generation-erp
digital manufacuting, please
Or Contact with QAD Australia: +61(2)98573027 / hjk@qad.com
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QAD Australia (02) 9857 3027
Federal Opposition Leader Anthony Albanese Visits DECO Manufacturing Facility
Federal Opposition Leader Anthony Albanese visited leading Australian manufacturer DECO Australia on Thursday 7 October 2021. The Opposition Leader visited DECO to learn more about the company’s innovative manufacturing, processes and products, as well as to discuss issues faced by Australian SME manufacturers today.
DECO Australia has been manufacturing leading architectural building products and finishes since 2004, and has since expanded to provide industrial finishing services for the defence, engineering and food processing sectors.
This visit was an excellent opportunity for DECO to highlight the innovations in its business, and showcase how they are leading the way for Australian manufacturers to tread new ground, build and create new concepts and ideas over time and continually improve capability to serve priority Australian industry sectors.
Mr Albanese’s visit also sparked a fruitful conversation surrounding some of the common issues faced by Australian manufacturers, including Innovation Patents and other IP protection, industry support for research and development and the difficulties faced by many SMEs surrounding involvement in defence procurement.
“We were delighted to have the opportunity to show Mr Albanese just what DECO can do,” said DECO director Ross Doonan. “Manufacturing is the beating heart of Australia, and it’s encouraging to be able to have conversations with our government officials about how they can better support Australian manufacturers in bringing innovative solutions to the table. We look forward to Mr Albanese returning to cut the ribbon on our Innovation Centre!”
DECO is committed to championing Australian government involvement with local Australian businesses to build a stronger economy supported by sovereign industry capability. DECO 02 9603 1888 www.deco.net.au
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Keeping wheels rolling
A2B Trailers strategy amidst the global container crisis.
Freight shipping has seen an unprecedented situation for well over a year.
The worldwide spread of the pandemic continues to be causing critical disruptions in the supply chain globally. Since the beginning of the outbreak, several lockdowns in Asia, India, USA and Europe slowed down the production in factories, resulting in containers piled up at ports and a reduced number of vessels, leaving the rest overloaded. The situation triggered a race of booking available cargo and the carriers started to announce blank sailing (a vessel either skips ports or an entire string is cancelled).
Shipping times across continents suddenly doubled, as well as the turnaround at ports globally. In consequence, freight rates began to rise in the latter part of 2020 and have not stopped ever since. The mid 2021 has seen an even greater increase year on year. (Read more according to the Shanghai Freight Index here.)
Furthermore, with the 21st century’s Suez Crisis, the infamous case of the Ever Given. At home, industrial action, Covid 19 closures and upcoming port strikes, will not see an end to disruption.
We are here to keep you moving
As A2B Trailers, we have the advantage of supplying straight from the manufacturer which means we are in full control of orders and supply. Our Variant and Scanvogn European footprint is strong; with part suppliers (Knott & Al-Ko) across Europe, being varied and prepared for to be in a prominent position to be able to serve our clients.
What’s more, being a part widespread dealership and warehouse network across Europe, allows us to plan and utilise capacity between our partner locations.
However, as part of our supply chain relies heavily importing our goods from Europe, the container crisis has unfortunately without doubt affected our daily operations.
We deliver - From day one, A2B Trailers strategy has been clear: prioritising the customers’ needs and getting the product from A to B. Our operations team took the first opportunity to book capacity with our suppliers at the very beginning and kept close contact with freight forwarders. Our customer care and sales managers across Europe have prioritised constant and transparent communication with clients.
Our operations teams are tirelessly looking into alternatives, whether it is new products, transportation or adaptation. As part of this strategy, we have had to scale back our small trailer supply and focus on the large GTM range. With the largest range of 3500kg Certified Mechanical Overrun braked trailers in Australia, we can cover your commercial logistic needs..
Tennant Australia appoints new national sales manager
Industry Update is happy to announce Tennant Australia's newly appointed Conrad Pearson as National Sales Manager for Australia and New Zealand.
Conrad, who started with Tennant in January 2012 brings many years of experience through different aspects of the business.
Beginning a Territory manager in Eastern Melbourne by mid-2015 he assumed the role of Business Development Manager, responsible for major account management and business development.
In late 2018 Conrad was promoted to Regional Sales Manager of the Southern Region. The new National role now sees him accountable for all sales through ANZ’s direct, dealer and strategic channels.
Tennant ANZ general manager Markus Haefeli said, “With the support of a very strong and experienced ANZ leadership team, it gives me added confidence that under Conrad’s leadership, the ANZ Sales business will continue to perform at a high level in 2021 and beyond.”
Conrad states “I am excited to take on the challenges and opportunities that this role brings. With a highly professional sales team across our direct and strategic business we are well positioned to continue to grow and provide industry leading products, service and support”.
Tennant Australia 1800 226 843 www.tennantco.com.au
An unpredictable outlook
The situation, as we see it, is as unpredictable as ever & does not appear to be going to improve in the foreseeable future. Container prices have been surging and shipping rates are at record highs at the moment.
If we look at container availability, capacity is limited while there is currently a historically high demand for shipping space. Ports in Europe and the rest of the world are massively congested and lead times are sky-high.
It is, of course, not only our business that’s affected. Machinery, parts supply, construction equipment in general is facing serious problems globally and we all are in the same boat, from business owners to consumers. Even retail, It’s already all over the news that we are going to see the biggest impact of shortages on Black Friday and Christmas this year. Demand will become stronger and choice will become weaker. No matter what kind of goods or industry we are talking about, the situation is without a question critical and the pressure is high.
A2b Trailers is there for its customers
A2b Trailers, its entire customer care, operations and sales team are there to ensure the best possible service to our customers. We do our utmost to supply on time and provide consistent updates to our customers. It’s our collective interest to keep the your wheels rolling.
A2B Trailers (02) 4367 0026 www.a2btrailers.com.au
