Even the layman would know that the manufacturing industry is an inherently complicated endeavor, owing to the many, many factors involved. It has been at the center of some intense change and a lot of this can be ascribed to technology. The evolution of technology over the past few decades has empowered the industry with countless tools and resources, allowing companies operating in the space to continue on the path to growth. Unfortunately, there is one technology that seems to be a tad resistant, Business Intelligence. Researchers have found that despite BI’s popularity, the manufacturing industry is lagging in its uptake of this novel resource.
It has often been chalked up to the dependence on Enterprise Resource Planning systems. While ERP systems are also valuable and have much to contribute, they typically lack analytical skills and that is where business intelligence comes in. For starters, it brings together all of the company’s data from all systems and sources to deliver reliable and highly actionable analyses and reports. But don’t worry, there is much more business intelligence than that. Discussed below are some of the critical aspects of the manufacturing business and how BI helps in this regard.
- Production: Integrating BI in the process enables companies to make use of different KPIs such as capacity utilization, throughput, yield, and more across their production lines. The data thus gathered is then aggregated and analyzed to deliver precious insights to plant managers. Such abilities, when scaled, can allow the company to get a bird’s eye view of plants across different regions, even if on the other side of the globe
- Supply chain: Supply chain is, of course, a crucial part of any manufacturing business’ operations. So, BI helps in this regard by helping the company to keep an eye on supply chain logistics. It is with daily performance and examining the data thus gathered to see that deliveries are indeed being made on time. Not just that, BI can also help companies track freight costs, fluctuations in demand and supply, and more
- Inventory: Yet another crucial aspect of running a manufacturing business, the seamless and efficient management of inventory, is vital because it influences the company’s ability to achieve profits. Business intelligence helps in this regard by keeping track of the existing inventory; the inventory required based on demand, etc
- QA: Everyone knows that quality assurance is how one assures the delivery of quality products and experiences to customers. And without quality, a company’s business can take quite a tumble. Hence, BI aids QA by providing insights into the different factors that impact the quality of the company’s products. It also enables an in-depth analysis of such data, QA processes, and more to help companies identify any actionable patterns.
It is clear as day that manufacturing is a complicated endeavour, but one that can be significantly eased with some quality help from BI. So, go ahead and get started on the business intelligence development project for your business right away!