Applying Digital Transformation to production and manufacturing will help realize Smart manufacturing goals.
A digital twin is the key to effective decision making, providing deeper analytics technology and strategies to maximize profitability.
In this rapidly changing world, one place where momentous change is being felt is the industrial automation field. Thanks to the advent of big data, cloud computing, the Industrial Internet of Things (IIoT), Industry 4.0, and artificial intelligence, a digital transformation is underway that is changing every facet of how businesses operate.
A Journey Towards Autonomous Operations and Operational Excellence
More than ever, market forces and new technologies are bringing unprecedented opportunities to the business environment. Capturing these opportunities depends on your capacity to transform your operations and align the people, processes, and technology aspects of your business.
By combining an understanding of our customers’ businesses, automation, and operational technologies, cultivated over decades, with the latest digital technologies, Yokogawa supports your digital transformation journey toward sustainable, smart, and autonomous operations.
Digital Transformation and Smart Manufacturing
While digital transformation means different things to different people, it has become a mantra for enterprises looking to earn relevance and establish themselves as leaders in the digital economy.
Digital Transformation (DX) is the novel use of digital technology to accelerate business strategy. It is about the application of digital technologies to empower people, optimize processes, and automate systems of the organization to achieve a step-change in business performance.
Digital transformation applied to production and manufacturing is what Yokogawa calls: Smart Manufacturing (Ref.: Smart Manufacturing white paper).
While DX is often viewed as a program with prioritized digital initiatives oriented around business processes rather than point solutions, smart manufacturing is about applying digital enabling technologies to production and manufacturing to allow self-learning, self-adapting, autonomous operations.
From industrial Automation to Industrial Autonomy (IA2IA)
Yokogawa believes for many end users, to achieve their smart manufacturing goals, autonomous operations is the destination.
Autonomous operations can be defined as assets and operations that have human-like learning and adaptive capabilities. They respond without operator interaction to situations that were not pre-programmed or anticipated in the design and ensure all safety-critical functions within a secure bounded domain.
IA2IA is what Yokogawa foresees as the transition from Industrial Automation to Industrial Autonomy. In tandem with its customers, Yokogawa is working to accelerate this transition by offering value to customers in the form of industrial autonomy-based business opportunities and business model creation.
Smart Manufacturing Solutions
Yokogawa provides end-to-end solutions on the journey towards industrial autonomy and operational excellence. We cover the entire value chain of the supply chain, from feedstock sourcing to product delivery, as well as the asset lifecycle of facilities and processes from planning, design, construction, commissioning, and startup to production/manufacturing and maintenance. Our smart manufacturing solutions cover the areas of:
• Operations Management
• Production Optimization
• Supply Chain Management
• Plant Asset Management
• SDGs, Energy Management & Optimization
In manufacturing industries, major potential benefits of digital transformation are increased profitability, reduced costs, and higher productivity. According to research conducted by McKinsey & Co., the estimated effects are as follows:
|Sized Applications||Annually Low Estimate
|Annually High Estimate
|Potential Value Gain|
|Operations Optimization||633||1766||5-12% cost reduction|
|Predictive Maintenance||240||627||10-40% cost savings|
|Health and Safety||65||226||10-25% savings|
|Human Productivity||69||160||10% productivity improvement
3-5% productivity gain
Potential Economic Impact Per Year in 2025 （Reference: McKinsey & Co.）
Partner up with Yokogawa
Every company is unique in how it operationalizes its’ business strategy. So too will be the desired approach to digital transformation, smart manufacturing, and industrial autonomy.
Yokogawa helps organizations achieve their business goals through Co-innovation. It conveys our commitment to co-create value with long term client partnerships to develop solutions that meet business and sustainable development goals.
Yokogawa brings deep and broad experience in operations, process, and technology consulting and services:
- We understand that every company is unique in how it operationalizes its’ business strategy.
- Our engagement model starts with understanding your goals, identifying challenges, quantifying financial impacts, and estimating complexity.
- We offer a design-driven approach to comprehensively understand as-is and desired business processes, human factors, and enabling technologies.
- Quick wins are developed to accelerate implementation and adoption using an expert-curated set of technologies, including cloud, artificial intelligence, wireless sensors, robotics, and IT/OT integration.
- Throughout the process, we continuously develop and tune to deliver value through digitalization.
Leveraging our decades of experience in process manufacturing plus our digital fluency, Yokogawa can be your partner in laying out a digitalization roadmap that thoughtfully considers people, processes, technology, assets, and data.
Digital transformation is the novel use of digital technology to accelerate your company's business strategy.
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