A practical guide to transform manufacturing operations with “Smart Pull”
The mechanism of “Pull” processes—those triggered by an actual event instead of a forecast—is nothing new. But, recent technological advances in digitization, including the harnessing of Big Data analytics, the use of the cloud, BPM (Business Process Management), social media, IIoT and mobility, have extended the power of Pull beyond Lean manufacturing.
By systematically directing people and resources to focus on a confirmed demand versus a forecast, Pull processes can further minimize waste from forecast error while increasing responsiveness to unpredictable events. New opportunities are now unfolding, such as Manufacturing-as-a-Service (MaaS). This model involves selling manufacturing capacity as a utility, with charges based on the actual consumption of demand. This is a step further than the replenishment of inventory based on the actual consumption of material. Similarly, 3D printing operates on the same principle, as it significantly reduces manufacturing lead time and enables the production and delivery of products based on a confirmed virtual design.
In light of these new developments, this white paper focuses on the mechanism of business transformation enabled by these technologies. The outcome of these technologies can be attributed to two influential forces: the power of pull and digitization.
This comprehensive overview highlights nine practical applications that demonstrate how innovative manufacturers can effectively leverage digital technologies to attain unprecedented levels of operational excellence. Our manufacturing software solutions partner, Dassault Systèmes, calls the synergized effect of these forces “Smart Pull.”
This white paper has outlined a framework that prioritizes digitization and business transformation. It highlights their significance over advanced automation in many instances. The advantage of adopting the Smart Pull concept is that it shifts the focus from technology to business transformation. It emphasizes the novel information flow mechanism enabled by Smart Pull.