Top 10 Benefits of Implementing IoT Solutions in Manufacturing

The Internet of Things (IoT) is reshaping almost all industries, and the reason is rapidly changing technologies and ease of access. Estimates indicate that by 2025, the number of connected Internet of Things (IoT) devices will exceed 75 billion.

The manufacturing industry has also not been left behind by the IoT revolution. This industry was traditionally slow to modernize but is now digitizing faster than ever before. The global IoT in the manufacturing market was estimated at $62.1 billion in 2021, and its value is projected to rise to $200.3 billion by 2030, with a CAGR of 13.9%.

As a result, today’s manufacturers must be flexible and technologically advanced in operations to remain competitive in the modern marketplace. This requirement for speed and efficiency is only possible with IoT tools. We call this revolution in manufacturing—the Industrial Internet of Things (IIoT).

IIoT, the next-level application of IoT, has completely transformed manufacturing. If your manufacturing company is focused on competitive advantage, they should focus on the capabilities that IIoT technologies provide, such as improved line maintenance, supplier logistics, and intelligent enhancements in employee workflows, which can also be used for new services like Products as a Service.

Before coming up with any IIoT solution, it is important to understand industrial IoT and how it affects manufacturing operations. In this blog, we will learn more about industrial Internet of Things solutions and the benefits of the Internet of Things in manufacturing.

What is Industrial IoT (IIoT)?

All kinds of devices and services that use the Internet form a network, commonly referred to as IoT (Internet of Things). There are various IoT applications in manufacturing. The Industrial IoT (IIoT) is designed for large-scale manufacturing and utilizes advanced sensors, artificial intelligence, robotics, etc., to enhance production efficiency. It supports personalized mass manufacturing to meet individual demands.

This approach, also called smart manufacturing, relies on the ability of operators to leverage a Big Data-informed decision set provided by industrial IoT solutions. However, all of this depends on broader digitization across their operations and spheres of innovation. A fully operational IIoT setup stands on four main concepts:

• IoT sensors for predictive maintenance and software inside smart machines capable of recording data.
• Cloud computing systems that support data storage and processing.
• Advanced data analytics technology that analyzes and processes the volumes of raw data gathered from systems, guiding manufacturing enhancements and operations.
• Experienced and well-trained employees who can implement these insights to ensure machines operate properly.

IIoT Development in Manufacturing Adoption

Industrial IoT is recognized as a base for the future of manufacturing, enabling new revenue generation strategies such as data monetization and emerging commercial models like Equipment as a Service (EaaS). It is also predicted that, in the same timeframe, 20% of industrial equipment manufacturers will support remote IIoT capabilities—a significant growth from near zero as recently as last year.

Industrial IoT Applications and Benefits in Manufacturing

What can manufacturers expect from an IoT solution for manufacturing today? Here are the 10 most significant advantages of the Internet of Things that a fully connected IoT manufacturing operation can offer.

1. Increased Efficiency

The greatest advantage of industrial IoT for manufacturers is that it allows for automation and improved operating efficiency. In manufacturing, robotics and automated machinery can work more efficiently and precisely, thus enhancing productivity levels while enabling manufacturers to optimize their operations.

• Sensors for Continuous Performance Monitoring: By connecting physical machinery to software with sensors that monitor functioning continuously, manufacturers can better understand the performance of equipment or fleets more efficiently.
• Manufacturers can use data unlocked across the IoT integration with ERP systems to drive efficiencies by:

• Avoiding manual tasks and functions, replacing them with automatable digital ones.
• Prioritizing the options related to manufacturing practices and deciding on smart product solutions.
• Gaining visibility and performance tracking on the smart factory floor or from remote locations across thousands of miles.

2. IoT solutions for quality control

When properly utilized, IIoT enables continuous surveillance of production status, allowing operators to make immediate decisions based on real-time data to keep Equipment operational and strive for optimal product quality. Managers can also monitor the health and location of industrial workers in dangerous environments by receiving real-time updates, ensuring work safety. Greater insight into the production line allows for better capacity and production planning, which IIoT can help facilitate.

3. Reduced Costs

With knowledge being power, the information that IIoT solutions provide empowers manufacturers to reduce costs and generate more revenue. Businesses can navigate toward profitability with data-driven insights into operations, production, marketing, and more.

In terms of profitability, it’s clear that manufacturers will see increased sales thanks to the benefits IIoT offers, such as predictive maintenance, reduced errors, improved quality control, and maximized efficiencies. This capability is perhaps the greatest tool IIoT provides to a manufacturing company leader—actionable insights from any corner of the plant at any time.

Additionally, manufacturers can remotely monitor operations 365 days a year from any part of the world. A full 360-degree perspective of the complete manufacturing process and customer care service offered to customers in their purchasing journey is unmatched in terms of value.

4. Improved Inventory Management

When Inventory management is now being led by IoT, offering levels of speed and efficiency previously unseen, technology enables industrial IoT companies to have a comprehensive view of their inventory status at any point in time by tracking and monitoring the stock in real-time. IoT sensors added to products or storage units continuously transmit information about location, quantity, temperature, and more. This allows IoT manufacturing companies to track goods in warehouses, identify errors, and prevent theft or losses due to damage.

5. Enhanced Safety and Security

The data and sensors integral to a manufacturing IoT setup contribute to higher levels of workplace safety as well. As IIoT sensors monitor workplace and employee safety, “smart manufacturing” evolves into a new sector—smart IoT cybersecurity in manufacturing.

• Worker Safety: Safety systems are being integrated to protect workers on the floor, line, and in distribution. In the event of an accident, all functions in the facility can be notified, operations can be halted, and company leadership can intervene to ensure the incident is addressed appropriately. This can also generate useful information to prevent similar incidents in the future.
• Wearable technology: Another recent addition for some manufacturers is the introduction of wearable technology for their workers. Wearables, though not new to IoT, have recently made their way into IoT industry operations.
• Wearables can monitor aspects such as employee posture and noise levels, providing leadership with the information needed to make changes if necessary (e.g., adjusting workplace design for better work environments and potential productivity increases). Similarly, they can alert an employee if they are not following proper workplace safety procedures, reducing the risk of accidents and ensuring they stay safe while working.

6. Superior Decision-Making

One of the main benefits of IoT in manufacturing is that it creates a wealth of data that can be analyzed to derive valuable insights. This data can then be used by manufacturers to make informed decisions, identify patterns, and predict demand, helping them outpace competitors. When properly implemented, IoT devices for manufacturing make it possible to monitor production conditions at all times so operators can respond promptly to issues, keep Equipment running, and deliver high-quality products.

7. Higher Customer Satisfaction

IoT platforms for manufacturing allow manufacturing businesses to offer superior customer service. Industrial IoT devices and technology facilitate 24/7 availability and fast process execution for the immediate delivery of products to both current and new customers. This leads to increased customer satisfaction rates, repeat business from happy customers, and greater revenue potential.

IoT in the manufacturing industry can be used to monitor their energy efficiency levels and discover how they might optimize in this area. IoT can connect entire manufacturing sites wirelessly using remote sensors that generate real-time data about energy consumption, helping identify areas with high energy usage within distribution centres or other facilities.

8. Competitive Edge

Agility must extend across all operations if you are to be competitive in today’s industrial Internet of Things market. This need for speed, combined with the progression of IoT systems and technologies, is driving another transformation within manufacturing—the Industrial Internet of Things (IIoT).

IoT has evolved into IIoT, representing a significant shift in how technology can reshape manufacturing as an industry. Manufacturers seeking a competitive advantage need look no further than the capabilities IIoT provides.

9. Future-Proof Manufacturing

Manufacturers today face a significant challenge and that is how to remain competitive. One key fact is— AI enhances productivity with insights, and IIoT makes factories smarter. Leading the development of smart, self-governing production with sophisticated sensor connectivity solutions, these advancements in autonomous technology are aimed at improving efficiency and productivity. Industry 4.0 Internet of Things manufacturing will need to incorporate these advancements to future-proof operations and benefit from digital transformation. The proliferation of connectivity, implementation of security measures, and private cellular technology are essential for preparing the manufacturing sector for an era where smart factories will enable autonomous production. But the interesting fact is, the future of the Internet of Things has more to offer.

Conclusion

Above we discussed some of the major positive impacts of manufacturing technology. The Internet of Things is an integrated component of the future technology, impacting nearly every industry, including manufacturing. However, to effectively incorporate IoT technologies into business processes, it’s important to understand the challenges manufacturers currently face. As with any major technological transformation, IoT in manufacturing requires time to mature.

By streamlining process control, IoT industrial automation, and robotics, IoT can enhance efficiencies along the entire value chain. However, the manufacturing industry must exercise a certain level of expertise when implementing IoT. Therefore, it’s crucial to partner with industry experts. Connect with us to get comprehensive solutions for industrial IoT services.

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