Key Takeaways
- Data that was previously inaccessible or untraceable for ETO manufacturers is now readily available.
- Incorporating additional tech such as RFID tags into materials during shipping can help collect even more data.
- A configurable ERP gives Cusotm Machine Builders more agility and flexibility. This is important to maintain stability in the ever-changing industry landscape.
A constant state of disruption characterizes the manufacturing industry. As more disruptors continue to enter the market, Engineer To Order manufacturers must pivot quickly to deal with the shifting industrial landscape to stay ahead in this competitive environment.
The Global Manufacturing Competitiveness Ranking anticipates the U.S. will surpass China, for No. 1 spot, within the decade. The survey’s authors cited U.S. manufacturers investing more in technology and innovation, driving this increase in competitiveness.
“While manufacturing may be slightly down in the U.S, the long-term trends are positive.” Deborah Wince-Smith, president and CEO of the Council on Competitiveness continued; “We predict that the U.S. will overtake China and become the number one manufacturing nation within five years.”
Big Data gets Bigger
The increasing interconnectedness of materials, people, and operations allows companies to track and analyze a vast new subset of data. This data was previously inaccessible or untraceable. However, highly specialized systems are becoming more popular. They’re giving big data a more prominent role in daily operations for all companies, including Engineer To Order manufacturers.
According to a recent report from SCM World titled “The Digital Factory: Game-Changing Technologies That Will Transform Manufacturing Industry,” one of the main factors to impact manufacturing in the immediate future will the usage of big data. The report noted 57% of respondents think real-time factory performance analysis will be a main driver of big data. Meanwhile, 53% of respondents cite real-time re-planning, including materials requirement planning and factory scheduling.
A lot of big data analytics relies on the continued growth and adoption of systems across all industries. One way companies can collect and use this big data is by incorporating RFID tags into materials during shipping. They can also utilize intelligent equipment with networked sensors and software. With access to this crucial information, manufacturers can make more accurate purchases, boost productivity, trim waste, and ultimately increase revenues.
More ETO manufacturers are anticipating using big data analytics to streamline operations and boost productivity. Companies that fail to take advantage of this information might find themselves falling behind competitors who do.
Three-Dimensional Disruptions
One of the trends currently impacting every sector in the manufacturing industry is the adoption of 3-D printing. According to the report “3D Printing comes of age in US industrial manufacturing” recently published by PricewaterhouseCoopers, 71.1% of manufacturers have implemented some form of 3-D printing.
According to the source, only 17.4% of manufacturers are experimenting with 3-D technology for integration into regular operations. This is down from 28.9% two years ago. 31.4% of respondents are using this method for prototyping, while 6.6% employ 3-D printing for producing end-products.
Shifting to 3-D printing should only continue to increase among companies that build uniquely designed, Engineer To Order products. Printers are becoming more accessible and easier to use. Additionally, prices are falling, making this method increasingly attractive to manufacturers. Furthermore, it’s noted that most manufacturing executives anticipate significant growth of 3-D printing in this sector in the coming years.
The print-on-demand feature may be especially compelling for engineer-to-order companies that want to reduce inventory and streamline their supply chains. Further, due to the nature of the specially tailored product designs offered by Engineer To Order manufacturers, the virtually limitless possibilities afforded by 3-D printing options open the door for a whole host of new product offerings. However, it’s important that these companies keep pace with their peers and other competition. Not all ETO manufacturers will be able to make use of 3-D printing. This makes it particularly important for these companies to find other ways to boost their competitiveness.
Configurable ERPs
New technologies and innovations intensify manufacturing competition. Engineer To Order manufacturers need the right tools to stay successful. Implementing a configurable ERP system ensures agility and flexibility, which your team needs to compete.
According to Industrial Distribution, due to the nuanced complexity of manufacturing companies that consist of hundreds of unique processes, from warehouse management to production, having an ERP system that conforms to the company rather than forcing manufacturers to alter their operations to fit the ERP system creates more long-term benefits and increases the chances for success. This keeps the ETO manufacturer competitive and allows the company to remain flexible enough to rapidly pivot to address a changing industry landscape, or quickly scale operations to meet higher demands.
Other ERPs and MRPs claim to tackle ETO challenges, but in truth, they are built for the traditional manufacturing organization. Total ETO is the only ERP | MRP system built by and exclusively for Engineer To Order organizations. An affordable and configurable ERP and MRP system that’s intuitive and easy to use for small to mid-sized custom design manufacturers. Total ETO allows ETO companies to stay competitive in an industry constantly undergoing disruptions.
Learn more about Total ETO by requesting a demo today.
Written by RJ Ahuja
