According to a recent study of the „Internet of Things in Industry and Logistics” trends carried out by PAC advisory company only 4% of the surveyed 150 leading companies from logistic and manufacturing industries in Germany have created a „fully integrated environment”.
Logisticians are better connected than manufacturing companies
This is the era of the fourth industrial revolution („industry 4.0”) which is based on process automation and real-time processing and data exchange between all participants in the manufacturing and supply chain. To be trendy and be able to compete companies are using innovative solutions more and more.
Internet of Things
One of the most popular technologies is the Internet of Things (IoT) which allows for the „connection”, that is the exchange of data between objects.
The factors which motivate the companies to invest in modern IoT solutions are primarily:
- efficiency pressure (for 77% of respondents)
- necessity to increase competitiveness (for 73%)
- improvement of efficiency and flexibility (71%)
The research shows also that logistic companies are now better „connected” than those in the manufacturing industry. Why?
First of all, logisticians put great emphasis on increasing the transparency and efficiency of logistics processes – IoT technology allows them to do it. Secondly, the thriving e-commerce market exerts great pressure to innovate the companies and forces them to create new forms of supply.
According to the PAC survey many companies have already started the „connection” process for the logistic and manufacturing environment but at this stage they are not yet able to fully use the capabilities of the IoT.
Entrepreneurs set specific goals for themselves
According to respondents, the degree of „connection” should be significantly raised. 82% of respondents plan to connect at least half the work environment in the coming years. Using this they want to optimise the production and logistics (88%), increase transparency (87%) and prevent unplanned downtime (83%).
What is industry 4.0?
„Industry 4.0” also called integrated industry, is based on process automation and data processing and exchange.
According to the 4.0 concept future factories will rely on the full integration of all machines, devices, IT systems and techniques, business processes and information sources used in the production process. All areas of manufacturing companies will be merged into intelligent networks which will supervise each other and regulate optimal pathways of product development.
Photo: bvl.de