For years we’ve been hearing about Industry 4.0 and the Smart Factory, and how manufacturers are navigating their digital transformation journeys. But here’s the thing: the manufacturing industry still heavily relies on manual processes. So heavily, in fact, that these manual processes are clogging up production processes and cost-effectiveness.
And here I thought this was the 21st century. But according to a recent study by SME and Laserfiche, many manufacturers are stuck in the last century, maybe somewhere around 1950.
The report notes that, “Manual processes and unstandardized external and internal communication methods that require various documents and records are still driving most manufacturing operations. This approach can have a negative impact on equipment availability and performance, as well as lead time to customer.”
You think?
The Laserfiche survey of over 300 manufacturing professionals at organizations with more than 101 employees reported only a third had completely automated operations related equipment capacity utilization, documentation, quality management, and inspection. A mere 15% of respondents have some kind of Enterprise Content Management (ECM) system in place, Not surprising then that they also report work delays related to inventory management, manufacturing throughput, equipment effectiveness and utilization.
The good news is that digitization is a priority for these manufacturers. As it should and must be if American manufacturing as a whole expects to continue to grow in 2024 and beyond.
You can download the complete report here.
How far along is your organization on its digital journey? What roadblocks are there that force you to continue to rely on clunky manual processes? To share your experiences and thoughts, please see our editorial guidelines.
Susan Poeton 