Digital Transformation in Manufacturing Supply / New Trends
You can read the first article of our series where we will talk about the effects of digital transformation trends in the production industry in the world and in Turkey.
Digital Transformation in Manufacturing Supply / New Trends
In the last 10-15 years, the manufacturing industry welcomed new trends such as 3D printing, distributed manufacturing, digital manufacturing, and artificial intelligence-based manufacturing networks with disruptive changes that will eventually transform. Also known as additive manufacturing, the 3D printing manufacturing methods became the most important technological development in the 21st century with functional part production possibility. Among the 3D printing developments, metal 3D printing technology, which makes the use of end products more widespread in the manufacturing industry, continues to develop continuously. Without any doubt, we will be hearing the name of 3D printing technology in the upcoming periods; it will also be more accessible.
With the Industry 4.0 phase introduction, the concept of distributed manufacturing showed itself in the manufacturing sector. Distributed manufacturing can be defined as dispersed production to different points to obtain the optimum result rather than being connected to only one hub and managed from only one location. For example, when a major company in Europe puts the design into production, it realizes the manufacturing at the locations in the most optimum countries and delivers it to the desired delivery point. This way, it is no longer dependent on countries that produce at a low cost to keep the cost of production low.
Digitalization in manufacturing saves large companies from high logistics costs and delayed time, with the opportunity to start production by sending the model from the nearest manufacturing point to the delivery point and monitoring its process. In the last 15 years, the trend that has been growing continuously is digital Manufacturing services that allow production to be offered as a service with a digital platform. This model added a new dimension to the conventional manufacturing supply by digitally transforming it. The model called MaaS (Manufacturing as a Service) allows you to digitally track all the processes when you buy manufacturing supply services externally. Manufacturing operation and data are safely shared with only one hub and a digital warehouse is created.
Artificial intelligence-based manufacturing networks have emerged in the last 2-3 years and are the most advanced new generation manufacturing supply model of digital production services. Artificial intelligence-based manufacturing networks contain digital storage like the MaaS production system; however, its most significant advantage remains the fact that it has the potential of offering completely unlimited capacity. For example, the capacity inside a digital manufacturing factory could fill up; however, if it has an additional supplier, the disruption will not affect it. Only AI-based manufacturing networks are not affected by disruption since they have networks with global capacities. Another advantage is that since it's based on artificial intelligence, it can continuously improve and develop the operation with machine learning while providing information such as pricing, manufacturability analysis and supplier matching.
Manufacturing Industry Transformation
Local, Manpower-based Production: In a single local, production was made as much as needed
Industrial Revolution Mass Production: A large amount of production was made in one local, and it was distributed to different places in need. Centralization configurations have started in central factories.
Globalization and Supply Chain Management: Towards the end of the 20th century, with the removal of trade borders and globalization, companies had to do business by having many locations, large supply chain management, and good interaction between areas. They started rapidly integrating Industry 4.0 with factories and their business processes.
Digitization and Distributed Production: Like any other field, the necessity of digitization of manufacturing supply has appeared, and the importance of the concept of distributed production has been reflected. Leaving warehouses and in-house production behind, factories are investing in distributed production methods and digitization.
The breaking point of the transition to artificial intelligence-based manufacturing networks was problems frequently encountered by the manufacturing industry around the world. This production method holds supply chains and management in the industry at its disposal against the unknowns of the future and its surprises. The industry experienced the latest example of this when the world faced Covid-19. The companies that manually manage the manufacturing supply process with conventional methods were also disrupted because they were tied to a single place and under various restrictions between countries.
Natural disasters, pandemics, trade wars, raw material problems, custom fees, and instant demand raises are inevitable world problems. Artificial Intelligence-based manufacturing networks get ahead of these setbacks with digital, flexible, trackable, agile, scalable and straightforward manufacturing operational systems.
The system that we integrated into production operations with our Tridi.co Online Manufacturing Supply Platform significantly contributes to Turkey's production ecosystem. To achieve operational excellence, it makes all capacity available, makes continuous optimization with data, and carries this quality beyond the border with its vast manufacturer network. We can say that Tridi's purpose is to expand its producer network abroad, enable distributed production rather than a single centre with digitalization, and add agility, flexibility, and speed to the production area of Turkey.