5 ways cloud computing is revolutionising industrial manufacturing

January 5, 2016 6:28 pm

Cloud deployment of game-changing software solutions will allow manufacturers to adopt the customer-centric approach that today’s market conditions demand.
  The past few decades has seen the manufacturing industry experiencing a slow growth, therefore pressure mounts on manufacturers to devise ways to gain traction and register double digit growth. But how and where will they find the turbo boost required to fully escape the impact of the great recession? Manufacturers only have to look up to discover one possible rescuer: The Cloud.
Cloud deployment provides the inspiration manufacturers need right now. It offers the opportunity to achieve multidimensional growth—that is both dramatic and timely, two important factors for manufacturers becoming impatient with organic growth and eager to beat global competitors to emerging opportunities. It also allows manufacturers to reduce maintenance costs, scale quickly, and shorten lengthy processes.
Recent reports suggest that 86 per cent agree that manufacturing is directly linked to the standard of living, and 77 per cent believe it is very important to national security. The traditional tactics for retrenching and rebuilding have had minimal gains, and it’s time to make further changes.
Cloud: The perfect solution to every problemNext generation ERP solutions meet many manufacturers’ needs to improve speed and performance, but the arduous implementation process can be discouraging. Plus, cash-strapped companies hit hard by the recession need other alternatives. Because cloud solutions have monthly subscription rates and can be covered as an operating expense, rather than a hefty one-time capital investment, even companies with limited capital reserves can take advantage of new best practices and modern, flexible architecture. Cloud deployment of game-changing software solutions will allow manufacturers to adopt the customer-centric approach that today’s market conditions demand. Now, compare this to an on-premise deployment, where the costs don’t just stop after you build and finish the data center. There will be ongoing maintenance, needs for upgrades, power bills, cooling costs, administrative needs and this will continue to mount up year after year. Money thrown at maintaining an on-premise data center can be used productively for more modern solutions.
5 ways cloud computing is revolutionising the industrial manufacturingAlthough cloud deployment in itself is not the cure-all answer to manufacturing’s woes, it does open the door that would enable organisations to achieve several critical goals. What happens once the door is opened, though, still requires additional efforts. Below are five additional ways cloud that deployment can set the groundwork for further growth for manufacturers around the globe:
1. Compressing the Supply ChainThe market conditions which once made outsourcing and off-shoring such an attractive option for manufacturers are rapidly changing. With labour costs jumping in developing countries, and the media scrutiny towards unsafe working conditions, manufacturers are examining reshoring options.
The high cost of transportation and the consumer demand for accelerated delivery and service also help make the case for moving plants and distribution hubs nearer to headquarters, product engineers and consumers. Cloud deployment helps manufacturers set up new branches, divisions and distribution centres without the time and expense associated with on premise hardware set up and implementation. Cloud deployment enables the new location to be operational in weeks, not months.

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