With the advent of 4IR, 5G and many more technological advancements, the manufacturing industry in South Africa needs to respond or risk falling behind.
Manufacturing in South Africa covers various divisions, from vehicles and engineering equipment to clothing and food.
Regardless of industry, most struggle with inconsistent supply chains, a lack of data for decision-making, and advanced tools to help streamline production.
According to PwC’s South African Manufacturing Analysis 2024, the country’s manufacturing sector is experiencing more pressure to adapt to issues such as decarbonisation and the circular economy. Every business is confronted with the question of sustainability within its field, be it recyclable products, reduced waste, or using green energy.
Furthermore, where human-driven error may occur, there have been advocates for employing technology that will reduce errors, waste and losses. There is no doubt that technology can aid in this way, but one of the challenges that a country such as South Africa faces is that it requires innovation, leadership, capital, and access to technology.
Enter, digital transformation.
Digital Transformation Technology for the Manufacturing Sector
Numerous technologies exist that can help streamline a business and digitally transform it. These include: Industrial Internet of Things (IIoT) sensors, smart data loggers, and blockchain-enabled tracking platforms, industrial communication modules, IIoT gateways, and advanced inventory management tools.
Thankfully, modernising infrastructure doesn’t require a full-scale overhaul, an article from African Pilot notes. They are called retrofit solutions and include programmable logic controllers, signal converters, and edge computing devices.
However, this is not enough. The country is also facing a humongous skills gap. It has been indicated that there is an overreliance on the existing skill level of workers, meaning that although technologies are Industry 4.0-ready, many operators don’t have the necessary skills to use the tools effectively.
Increasing Digital Transformation
Digital transformation in the manufacturing sector doesn’t only rely on having technology readily available. Two elements that are vital to developing skills, obtaining buy-in from employees and encouraging growth. These are leadership and innovation.
The Role of Leadership
Business leaders must learn to understand the dynamics of the digital economy and how to use strategic insight to build entrepreneurship and innovation.
Leadership is key to closing the skills gap through on-the-job training and creating a culture of continuous learning. Individuals in leadership positions are also enablers in the sense that they can strengthen collaboration between higher education and industry.
However, these decisions and responsibilities shouldn’t rest on these individuals alone. They should have access to real-time decision-making that leads to effective digital transformation. By using various technologies such as Manufacturing Operations Management (MOM) systems, plant monitoring hardware, data acquisition systems, and panel PCs capable of displaying live dashboards, leaders can see and guide the business in the direction that leads to streamlined operations and reduced waste.
The Role of Innovation
Innovation serves as a driver for performance. This is not a statement that is loosely made, but one that is backed by numerous studies.
There have been several quantitative studies establishing these links, based on the use of innovation survey data for both developed and developing countries. This research has shown that implementing even one innovative measure leads to an increase in productivity – a vital metric in the manufacturing industry.
Interesting, what has also been noted in the manufacturing industry is that access to IoT tools not only leads to innovation within the business, it also leads to innovative products and solutions. Yet their impact is less significant in this industry compared to others.
Why is Digital Transformation Essential?
There are a few reasons to adopt digitisation in your business. These include:
Increased quality of output
With more digital tools such as sensors, automated testing and quality control, manufacturers can increase the quality of their products.
Increased efficient processes
Digital tools increase efficiency by streamlining and automating redundant tasks. This means more resources and time can be spent on other tasks that cannot be automated.
Eco-positivity
Since digital tools can help businesses optimise, they can also help optimise a business’s waste. Less energy, materials or water is used in a streamlined system where only the necessary materials are used.
Reduced cost
With less waste, the cost is impacted directly. Less waste means less money goes down the drain for cut-offs or human errors.
With the advent of 4IR, 5G and many more technological advancements, the manufacturing industry in South Africa needs to respond or risk falling behind. Manufacturing in South Africa covers various Read More
