The path to improve operational performance and business KPIs
Our recommendations for companies in CPG and food and beverage that have not yet started using IIoT analytics are straightforward but urgent: first, recognize the benefits that this technology is providing your competitors. We expect that these advantages will compound over time to create an even greater performance differential between the adopters and the non-adopters. Use these facts to create a sense of urgency among your IT and operational technology (OT) organizations around the use of IIoT analytics. Second―and perhaps more importantly―the most impactful decision a company can make is to rethink its rules of data visibility and decision-making authority. Our research over the last few years shows that operational performance improves as decision-making authority moves closer―in both time and physical distance―to the point where production is taking place. Here are some steps to take:
- If the company has a continuous improvement program or operational excellence program in place, leverage those existing processes to achieve immediate dividends. Providing access to analytics as part of that program gives it a framework and a set of expectations for how the company uses the data.
- Build a pilot program within a plant, focused on a specific processing line, to give context to the decision-making authority being delegated and focus on results.
- Don't ignore training; while we find that shop floor personnel and machine operators are more tech-savvy than their managers may give them credit for, training on how to use specific features of an IIoT platform are essential for even this segment of the workforce.
Ultimately, every company should focus on a specific set of performance measurements. As the culture shifts across the organization, the company will improve operational KPIs, increase uptime, improve quality, reduce scrap and waste, and enhance compliance and safety.
Learn how industrial companies drive business results in the ebook by LNS Research, “CPG, Food and Beverage Industries Apply Data and Analytics for Better Performance: Benchmarking the Value of Enterprise Data Visibility and IIoT Analytics.” To learn how GE can support your Industrial Transformation, watch our recent webcast below.