Using and integrating technology correctly to do more with less.
Two Minute Tip
16.48min of Part 2, Episode 90
John, what would be your enterprise excellence two-minute tip in this area of expertise with industry 4.0 and excellence?
Get started. Get help. Simple as that. It's a good point. Get started. Don't wait. The World Economic Forum's now got a group called the Global Lighthouse network. You can find them on the internet. Just look up Global Lighthouse Network. There are 90 businesses now in that network. Businesses are being added every few months. And the 90 businesses are being audited by McKinsey. There's a chart that people can find on the World Economic Forum's website that has 16 manufacturing performance metrics.
And the audited improvement from starting industry 4.0 to being well versed with it now, both within the four walls of factories and along the supply chain. And the improvements are off the charts. The good news is the chart starts at zero, so no one went backwards. So that might be a range from 2% to 140%. Somewhere in the middle might be your organisation. But when Deloitte say that, you know labour productivity is up by 10%. Capacity is up by 11%. And the cost of manufacture has improved by 12%. If you're a manufacturing organisation could add 10, 11 and 12% in each of those areas to your bottom line. That's not chump change.
Top-Down Framework and Structure, Bottom-Up Improvement.
John made a great point when moving to a smart factory; an organisation needs to look at the framework and system as a whole. This is a top-down review with input from all levels. The key is to create a framework and infrastructure that enables people to see the data and potential challenges, understand them, predict events from this data and adapt rapidly. This approach reduces decision latency dramatically and creates a culture of continuous improvement.
The three steps of transforming to Industry 4.0 and a smart factory.
Johns's three-bucket analysis was so simple.
1. Walk the floor to understand the Green, Blue and Red items within your factory.
2. Conduct a spreadsheet audit and ROI analysis.
3. Develop your vision for the future - conduct process mapping and analysis coupled with data visualisation reviews to define the future state and then execute through high-quality project management.
Brad is proud to support many Australian businesses. You can find him on LinkedIn here. If you'd like to speak to him about how he can help your business, call him on 0402 448 445 or email email@example.com. Our website is www.bradjeavons.com.
John Broadbent is available on LinkedIn: linkedin.com/in/johnsbroadbent
His email is firstname.lastname@example.org
And contact him and mention our podcast. He will give you a free copy of the industry 4.0 white paper about how to improve manufacturing and performance using the three buckets model as a framework.
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Global Lighthouse Network: https://www.weforum.org/projects/global_lighthouse_network