Over the past decade, cloud computing has become an integral aspect of today’s manufacturing landscape. In fact, the adoption of this technology has boosted manufacturing production efficiency.
Simply put, cloud computing uses a network of remote, third-party servers made available online. It processes, manages, and distributes information by using remotely shared software and storage as opposed to relying on personal computers or servers.
In most cases, using this technology leads to increased profits. The implementation of cloud computing within a smart factory infrastructure can enhance the ability of a manufacturing company to tackle future challenges.
Here Are 10 Benefits to Using Cloud Computing:
1. Data storage and monitoring. Manufacturers can use cloud computing to simply and reliably store company data. It enables managers to quickly access and monitor data – even from remote locations – to address a wide range of issues. It can be indispensable when scheduling, managing inventory, and processing job orders.
2. Data security. Cloud computing helps manufacturers safeguard their data. As a precaution against would-be criminals, cloud-based security typically employs data encryption, firewalls, and other protocols, which can give management peace of mind.
3. Machine monitoring. Keeping the machinery humming on all cylinders is critical to a manufacturing plant’s success. By accessing online platforms via the cloud, managers can closely monitor efficiency, energy usage, and maintenance requirements. They receive real time notifications of maintenance issues or other concerns. Also, scheduling can incorporate down time.
4. Supply chain management. Cloud computing replaces the conventional, hands-on approach to supply chain management. Instead of relying on manual measures for supervising the supply chain — including oversight of logistics and storage required at different junctures — manufacturers can instead use a centralized, cloud-based platform to improve outcomes through real-time decision-making.
5. Cost reduction. Cloud computing reduces the need for manufacturers to allocate substantial financial resources toward data storage and processing. In most cases, data access is provided on a pay-as-you-go model, which substantially diminishes initial expenditures. The automation of functions ultimately eliminates or reduces waste and redundant effort. This improved efficiency reduces overall expenses.
6. Production planning. Efficient shop floor scheduling is a critical factor influencing the profitability of manufacturers. Cloud computing allows manufacturers to optimize production and minimize downtime. By promptly identifying and resolving issues, it reduces disruptions and enhances forecasting. Production can then increase, quality can improve, and delivery dates are more easily accommodated.
7. Scalability. Manufacturers can use cloud computing to modify production quantities or other elements when needed. It’s relatively easy to scale operations up or down to reflect increased or reduced resources, storage availability, and other factors. In a nutshell, manufacturers can readily adapt to market conditions. Notably, a manufacturer can respond quickly to unexpected demand for a particular product while maintaining quality control.
8. Agility. At times, more significant changes are necessary to remain competitive or to adapt to overall market conditions. A manufacturer might, for instance, need to overhaul its processes to accommodate a new innovation. Cloud computing empowers manufacturers to respond quickly and customize applications, typically with minimal hardware expense.
9. Collaboration. Cloud computing underscores the notion of collaboration by connecting different “players” spanning multiple departments, work sites, and suppliers. In fact, it serves as a physical link in the supply chain. By using centralized applications and data, team members are able to efficiently exchange information and complete processes faster than usual. By prioritizing the team, productivity increases and products can reach their ultimate destinations in less time.
10. Global reach. Manufacturing is a global industry, even for smaller operations. Cloud computing enables manufacturers to coordinate their operations with distributors, suppliers, international partners, and consumers. This generates additional revenue opportunities, broadens their customer bases, and opens up new marketing channels.
Make sure you thoroughly evaluate cloud service providers when considering it for your business. Contact us for assistance in researching vendors. And evaluate annually whether your current provider is meeting your operational needs, or whether another option might be a better fit.
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