How do traditional industrial manufacturing companies realize digital transformation, drive digitally, and achieve high-value management?
The digital transformation of traditional enterprises is a very long but necessary road. Seeing this issue, many professionals have put forward professional opinions on how traditional enterprises should do digital transformation, so this article takes traditional manufacturing as an example. Use some traditional manufacturing digital transformation cases to solve this problem:
01 What are the difficulties in the digital transformation of traditional manufacturing?
The complexity of manufacturing enterprise organization, business, product and value chain brings many obstacles to the digital transformation of manufacturing enterprises.
Specifically, the difficulties faced by manufacturing enterprises in promoting digital transformation include at least the following aspects:
(1) It is difficult to change the concept of high-level enterprises
The top management of the enterprise is not aware of the necessity, urgency and complexity of digital transformation, and the concept is still stuck in the deployment of commonly used IT systems. Digital transformation is far from what the IT department can achieve. It must be led by the decision-making level of the enterprise and promoted from the top down.
(2) The problem of isolated information islands is difficult to solve
Many manufacturing companies have already applied many information systems, but isolated islands, inaccurate basic data, and inconsistent coding systems make it difficult to promote digital transformation.
(3) Emphasis on automation and less on digitization
Many companies believe that the promotion of automation systems can achieve more immediate results, and there is a general situation of focusing on automation and ignoring digitalization.
I walked into many companies and found that companies pay more attention to the automation of production lines and the reduction of people, but the foundation of equipment networking and data collection is poor, and the workshop has not really realized visualization.
(4) There are large differences in industry segmentation, and it is difficult to achieve personalized compatibility
The various sub-sectors of the manufacturing industry are very different. Enterprises in different positions in each industrial chain are highly individualized, and the breakthroughs for digital transformation are also different. There is no template that can be copied directly.
(5) The industry generally has low profits and insufficient capital investment
It is difficult for a clever woman to cook without rice. The profit margins of my country's manufacturing companies are low, and the promotion of digital transformation often lacks sufficient funds to invest.
02 How to solve these problems?
(1) Regarding the importance of changing the concept of corporate executives
I have repeatedly emphasized in the previous content——
All digital transformations begin with the awareness and acknowledgment of the need for change by the top management team of the business.
If the traditional manufacturing industry wants to capture new business opportunities in a timely manner and take the lead in the fierce commercial market competition, digital transformation is imperative.
While Guangxi Iron and Steel Group Co., Ltd., one of the world's top 50 steel companies, is developing steadily and vigorously, Liuzhou Iron and Steel is also actively exploring information methods to build a "smart factory".
Through Jiandaoyun, 30 management applications have been built, involving various business process handling, equipment inspection and maintenance, harmful gas/fire alarm, warehouse management, etc., and strive to improve management in the details and improve operational efficiency.
In multiple internal links, by setting up various management applications, it is possible to:
- Quick approval process - employees apply online, the application message is pushed to the leader, and the leader approves online
- Online submission of documents - online form filling data is permanently retained in the background, truly paperless
- Mobile standard inspection——employee mobile terminal inspection, fill in the form online and scan the exclusive device random code on each device to avoid false inspection problems
- Automatic monitoring of hidden dangers - Internet of Things data is connected to Jiandaoyun through API, and form reminders are set. Once hidden dangers are found, relevant responsible persons will be automatically reminded immediately
- Real-time data presentation - all document data is processed and displayed through the dashboard, and managers can view the data anytime and anywhere for management
Tools used by the case company: www.jiandaoyun.com
(2) How to solve the problem of isolated information islands?
China Composites Group Co., Ltd., a subsidiary of China National Building Material Group Co., Ltd., a Fortune 500 company, is also facing the same problem:
- There are many large-scale systems used in the group:
OA system, SAP system, MES system, SRM system, etc., the data among these systems are all isolated, unable to be integrated, and it is easy to form data islands.
Every time it is necessary to analyze and count the data between heterogeneous systems, the data required by each system can only be downloaded in advance, and then analyzed locally.
Such a set of procedures will take at least 2 to 3 days, and it is impossible to quickly present the operating conditions of each branch company, which not only delays time, but also adds additional work burden to relevant colleagues.
In order to solve this problem, the company used Jiandao Cloud to build a platform system integrating quality management, equipment management, security management and other services, initially realizing the breaking of data islands and realizing data interoperability and enterprise interconnection.
In 2021 alone, Jiandaoyun has saved 5,000+ hours and 200,000+ yuan for employees of the enterprise, and achieved a great improvement in economic benefits.
(3) How to solve the personalized compatibility problem?
With the development of enterprise business and changes in working methods, many internal systems can no longer adapt to new management requirements. When the original management system cannot meet the existing business needs, many enterprises choose secondary development.
But in fact, code-level secondary development faces not only the cost problem, but also the high risk problem it brings.
In order to solve this problem, Jiandaoyun has launched an API interface. Manufacturing companies can directly build new management applications on Jiandaoyun, connect the original system with Jiandaoyun, and still have new functions without secondary development.
(4) How to solve the problem of insufficient capital investment?
The essence of SaaS is renewal, and choosing SaaS products is a powerful solution to this problem.
In the business logic of traditional OP software, a one-time buyout of the project + operation and maintenance fees are adopted. The result of this charging mechanism is that sales are emphasized and services are ignored, which virtually increases costs.
Signing the contract means the end of the service, and the relationship between the software service provider and the enterprise is a "game" relationship, which leads to problems such as a high failure rate of software implementation and poor user experience after going online.
The SaaS subscription payment model turns the previous one-shot transaction into a continuous renewal process (annual fee, consumption-based, etc.).
Because the core revenue of SaaS companies mainly comes from renewals, more resources will be invested in customer service, and at the same time, investment will be increased in product polishing, turning the negative cycle of product-market-customer into a positive cycle.
Only under this positive cycle can there be a win-win result. This win-win situation includes that Party A’s needs are truly met, and Party B’s profitability can be improved, and more outstanding talents will be involved in this industry.
In this way, the cost is naturally reduced.
that's all.