Big Data Has Come to the Factory Floor

Most manufacturers now have automated, Internet-enabled technology on their factory floors. These technologies allow for the collection of data from all types of equipment, and analysis of that data can improve the efficiency and quality of production, as well as quality of the product itself.

Eli Lilly, for example, collects a variety of metrics from its pharmaceutical manufacturing facilities, including safety metrics such as serious injury rates; operational metrics such as product orders fulfilled and batches produced; productivity metrics such as Six Sigma projects completed and financial benefits from projects completed; and environmental metrics such as energy efficiency, reduction in water intake, reduction in waste to landfills, and savings from environmental efforts.

Then, from the company’s data warehouse, employees run reports and conduct analyses “to help us more quickly approve [new] products” and compare data from different operations at each of it’s 24 manufacturing plants, says Maria Crowe, president of Eli Lilly’s manufacturing operations.

“You need to have common definitions at the front end if you want good analytics at the back end.”

Such a holistic view enables the company to analyze metrics from its SAP system “on a global basis,” in both an aggregate and a granular fashion. To truly see the trends taking place, however, every division and department must use the same defined common data elements and definitions for every data field.

“That then gives us the ability to … compare apples to apples,” Crowe says. “You need to have common definitions at the front end if you want good analytics at the back end.”

Data used for process control has been around for many years, but engine-maker Cummins continues to get better at using data to track when dies or tools are at the end of their shelf life and need to be changed, says Stan Woszczynski, chief manufacturing officer of the Columbus, Ind. company.

Cummins also analyzes data to see how plants’ key performance indicators are doing, to determine whether there are good correlations between how the company manages certain processes and how that, in turn, impacts safety or quality. Like Eli Lilly, Cummins analyzes data to compare the performance of similar plants, “so we can learn from each other and make sure we are utilizing the best practices.”

Another aspect that impacts manufacturing, Woszczynski says, resolves around customer order preferences and trends. “That type of data analysis might help us with forecasting accurately, which helps our plants with capacity and workforce management.”

Stanley Black & Decker’s tracking systems within its facilities give the New Britain, Conn. tool and fastening systems manufacturer “real-time quality data, production data, even safety data,” says John Lundgren, chairman and CEO of the firm.

“These are the same systems we use to track infants in maternity wards and Alzheimer’s patients in care facilities, but we’re applying the technology to a manufacturing line, or an entire facility,” Lundgren says.

The company obtains real-time granular data on metrics such as overall equipment effectiveness or labor productivity, which drives successful root-cause analysis and informs corrective actions when needed, he says. “Accurate real-time metrics drive better decisions,” Lundgren says. “It’s as simple as that.”


MORE LIKE THIS

  • Get the CEO Briefing

    Sign up today to get weekly access to the latest issues affecting CEOs in every industry
  • upcoming events

    Roundtable

    Strategic Planning Workshop

    1:00 - 5:00 pm

    Over 70% of Executives Surveyed Agree: Many Strategic Planning Efforts Lack Systematic Approach Tips for Enhancing Your Strategic Planning Process

    Executives expressed frustration with their current strategic planning process. Issues include:

    1. Lack of systematic approach (70%)
    2. Laundry lists without prioritization (68%)
    3. Decisions based on personalities rather than facts and information (65%)

     

    Steve Rutan and Denise Harrison have put together an afternoon workshop that will provide the tools you need to address these concerns.  They have worked with hundreds of executives to develop a systematic approach that will enable your team to make better decisions during strategic planning.  Steve and Denise will walk you through exercises for prioritizing your lists and steps that will reset and reinvigorate your process.  This will be a hands-on workshop that will enable you to think about your business as you use the tools that are being presented.  If you are ready for a Strategic Planning tune-up, select this workshop in your registration form.  The additional fee of $695 will be added to your total.

    To sign up, select this option in your registration form. Additional fee of $695 will be added to your total.

    New York, NY: ​​​Chief Executive's Corporate Citizenship Awards 2017

    Women in Leadership Seminar and Peer Discussion

    2:00 - 5:00 pm

    Female leaders face the same issues all leaders do, but they often face additional challenges too. In this peer session, we will facilitate a discussion of best practices and how to overcome common barriers to help women leaders be more effective within and outside their organizations. 

    Limited space available.

    To sign up, select this option in your registration form. Additional fee of $495 will be added to your total.

    Golf Outing

    10:30 - 5:00 pm
    General’s Retreat at Hermitage Golf Course
    Sponsored by UBS

    General’s Retreat, built in 1986 with architect Gary Roger Baird, has been voted the “Best Golf Course in Nashville” and is a “must play” when visiting the Nashville, Tennessee area. With the beautiful setting along the Cumberland River, golfers of all capabilities will thoroughly enjoy the golf, scenery and hospitality.

    The golf outing fee includes transportation to and from the hotel, greens/cart fees, use of practice facilities, and boxed lunch. The bus will leave the hotel at 10:30 am for a noon shotgun start and return to the hotel after the cocktail reception following the completion of the round.

    To sign up, select this option in your registration form. Additional fee of $295 will be added to your total.