3 tips to help manufacturers adapt to changing needs

Change is the only constant in manufacturing today. Disruption, innovation and continuous improvement of shop floor processes are the driving factors in today’s complex market environment. Whether you’re making auto parts, office furniture or industrial valves, you need to keep up with trends and adapt. New strategies and actions must be synchronized and aligned with customer expectations.

This is especially important in the Middle East, where there are many national initiatives aimed at stimulating manufacturing growth. In the UAE, for example, industrial manufacturing is a key pillar of the $300 billion initiative, a strategy launched by the government in 2021 to increase the industrial sector’s contribution to GDP from about $36 billion to $81 billion by 2031.

At the same time, the Saudi Arabian government is providing significant support to the manufacturing sector by implementing the required infrastructure, building new industrial cities such as Jubail and Yanbu, setting up the SIDF (Saudi Industrial Development Fund) and other incentives. Help industrialization, according to Mordor Intelligence.

Here are three tips to help you adapt to changing needs:

1. Improve supply chain agility. Supply chain disruption has been a headache for most manufacturers. Trade tariffs, bottlenecks and delays, geopolitical tensions, chip shortages, low container supplies and high fuel costs have turned procurement into a game of chance — with odds against it. Modern software with artificial intelligence (AI)-driven analytics and complete supply chain visibility can provide mitigation. Smart solutions will help you make informed decisions, predict risks, make strategic choices and forge new partnerships. Data insights help plan contingencies and manage expectations. You’ll know what stock you need and when it’s expected to arrive.

2. Manage shop floor complexity. Manufacturers must meet customer demand for highly personalized products. However, you still need to control costs and improve profit margins. In many industries, traditional mass production is being replaced by mixed-mode manufacturing, with highly configured products, engineered-to-order and assembled-on-demand operations becoming the new normal. Modern manufacturing software is critical to the transformation. It helps streamline processes, close gaps, and keep workflows in sync. The latest Industry 4.0 technologies provide critical tools (such as smart sensors) for tracking machine performance, output, quality control and optimizing resources. Tools also help manage an existing workforce that must work smarter, not harder. Data insights help keep the shop floor running with orchestrated precision because every part, every machine, and every work cycle counts.

3. Leverage data insights. While meeting consumer demand for new and personalized products, manufacturers must simultaneously strive to increase productivity, increase efficiency, automate processes and strategically plan the use of resources. You’re going to make tough decisions. Modern enterprise resource planning (ERP) software helps capture, track, and leverage data across an organization. Using facts, rather than feelings or hunches, manufacturers can better align with customers, introduce new product introductions, design and source the right parts, and track all costs. New strategies to stay relevant and grow your business can now be planned and executed while balancing long-term goals with short-term capacity and cash flow constraints. Data insights are key.

Find the right tools to improve operational efficiency and foster innovation

To avoid threats to market share and profitability, manufacturers must remain vigilant and keep up with changing trends. You need to embrace modern, data-driven processes and leverage technology to help you launch new products. Technologies such as modern cloud-deployed ERP solutions can help organizations quickly adapt to changes, including opening new branches or departments. This agility means you can now focus on green initiatives, delivering new services or managing logistics. Manufacturing is being redefined, and software is playing an important role in enabling the new era—from go-to-market strategy to supply chain planning and shop floor operations. This can be easier than you think if you start in the right place.

About the Author: Kerry Koutsikos is General Manager and Vice President of Infor’s Middle East and Africa region.