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American Manufacturing Strategies Summit
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Enabling the
Demand-Driven
Factory of the
Future
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About Your Presenter
John Maher
VP Product Strategy, Synchrono®
• 20+ years’ experience working in manufacturing
environments.
• Subject matter expertise in ERP, MRP, APS,
supply chain, manufacturing planning and
scheduling systems and constraints
management.
• APICS CPIM certification in production and
inventory management.
• Jonah certification in Theory of Constraints from
the Goldratt Institute.
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Creating the
Demand-Driven
Factory of the Future
Presentation Overview:
• Crossing the chasm from Push
to Pull
• Technology as an enabler
• What is Industry 4.0 and what
does the factory of the future
look like?
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“Watch your thoughts; they become words.
Watch your words; they become actions.
Watch your actions; they become habit.
Watch your habits; they become character.
Watch your character; it becomes your
destiny.”
- Lao Tzu
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5 Key Elements to Drive
Flow
1. Control the release (Pull)
2. Synchronize activities
3. Continuous improvement
4. Extend to supply chain
5. Align metrics
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1. Control the Release (Pull)
• Clear the traffic jams
• Turn on the lights and see for the first time
• Pace to what the system needs and can handle
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2. Synchronize Activities
• Optimize flow not local efficiencies
• Subordinate local needs to global effectiveness
(Inject your own sports analogy – they all apply)
• Labor, material, machine, method
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3. Continuous Improvement (Based
Upon Flow)
• How do you direct your CI efforts?
• Who is responsible for CI?
• How do you avoid stagnation at another level?
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4. Extend to Supply Chain
• Synchronize from the factory out
• Proactive communication
• Forecast for long-term planning; consumption for
execution
• Put an end to the emails and phone calls to
reshuffle priorities and check status (non-value)
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5. Align Metrics
• “Tell me how you will measure me and I will tell you
how I will behave”
• Metrics have to align with systemic flow, not local
optima
• Positive reinforcing loop
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Why Technology HAS to be
Part of a Demand-Driven
Strategy
• Manual is wasteful
• Technology is the only way to
take an enterprise view
• Real-time only exists in the
digital realm
• Data-driven decisions cannot
exist without data
• One version of the truth
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Model for Industry 4.0
Factory of the Future
• Visual
• Mobile
• Integrated
• Real-time
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What Does Industry 4.0
Really Look Like?
Case 1: Large A&D Manufacturer
• Integrated Platform – ERP, PLM, MES, Asset
Management, QMS, Labor Management
synchronized with:
• Planning/scheduling system
• Data collection/workflow automation system
• Alert/escalation system
• Visual factory information system
• Integrated through SyncOperations – moving
beyond just pushing data around
• Connecting the shop floor; data from RFID, EMS,
Machines, HMI contextualized and historized
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What Does Industry 4.0
Really Look Like?
Case 2: High-Temp Vacuum
Molded Parts Company
• Sales representatives enter
orders into ERP, which does
a real-time call to the PSE
system for effective CTPD
• No schedulers!
• True employee empowerment through PSE
• Main metric and bonus system driven based on
throughput
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What Does Industry 4.0
Really Look Like?
Case 3: Materials testing and
extrusion-control instrumentation
manufacturer
• eKanban solution integrated
with ERP
• Buyers converted to strategic
procurers
• Suppliers net time savings by
eliminating churn of communication
• Real-time right-sizing of inventory
Germany
USA - 2
USA - 1 USA - 3
Malaysia
SUPPLIERS
SUPPLIERS
SUPPLIERS
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“CIOs of asset-intensive companies are finding
themselves at the leading edge of industrial
analytics, the next wave of business
transformation. They surmount the existing
challenges of IT/OT data integration and
analysis by examining opportunity, business
needs and skills availability.”
- Simon Jacobson, Gartner
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Read John's blogs
Meet the Management Team
Demand-Driven white papers
and case studies at
synchrono.com
To Learn More:
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Stay in sync
Synchrono® is a dynamic, growing
company – in the news and on the
move; innovating real-time demand-
driven manufacturing solutions.
We invite you to follow us and stay in
sync.
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