The road to intelligent innovation in manufacturing | The third part of the role: Intelligent management and operation

With the strategic transformation of China's economic development and China's manufacturing 2025, the concept of Industry 4.0, the manufacturing industry has ushered in a new wave of development. In this context, more and more traditional enterprises have felt the pressure and opened up the transformation and The road to change. For manufacturing companies, how to deploy enterprise intelligent manufacturing solutions? How to build a smart manufacturing construction system with its own characteristics? How to plan an enterprise digital transformation and upgrading platform? You will be carefully written from 'SAP Smart Community' In the series of themed articles on the wisdom of manufacturing innovation, find some inspiration. This series of articles will focus on the key technologies of intelligent manufacturing, the core solutions of intelligent manufacturing, and how to promote the three major sections of smart manufacturing in various industries. I hope to give you A little inspiration for your business.

Improving the level of manufacturing operations management is imminent

E-works believes that the connotation of intelligent manufacturing is to realize the intelligence and innovation of the entire manufacturing value chain, and further enhance the deep integration of informationization and industrialization. Intelligent manufacturing integrates information technology, advanced manufacturing technology, automation technology and artificial intelligence technology. Intelligent manufacturing includes the development of intelligent products; application of intelligent equipment; building intelligent production lines from the bottom up, building intelligent workshops, building smart factories; practicing intelligent R&D; forming intelligent logistics and supply chain systems; developing intelligent management; promoting intelligent services; Achieve intelligent decision-making. Among the key technologies of intelligent manufacturing, intelligent products and intelligent services can help enterprises bring innovation in business models; intelligent equipment, intelligent production lines, intelligent workshops to smart factories, can help enterprises achieve innovation in production mode; R&D, intelligent management, intelligent logistics and supply chain can help companies achieve innovation in operational models; and intelligent decision-making can help companies achieve scientific decision-making.

Key technologies for intelligent manufacturing

From the perspective of the big market environment, compared with the mature European and American markets in the manufacturing industry, China's manufacturing industry is still at a relatively low stage, but the relatively low here is not simply comparing the level of automation, product and technology application, but referring to Operational management level. The industry has focused too much on the development trend of intelligent manufacturing in the intelligentization of production processes such as robots and smart devices, often ignoring the importance of management links, finance, supply chain, invoicing, production planning, etc. Intelligent management of business links is the foundation for intelligent manufacturing. For manufacturing companies, simply applying industrial robots, AGVs, automated warehouses, additive manufacturing, and automated shop automation does not mean complete intelligence. Manufacturing. Because product technology can be introduced, advanced production lines can be introduced, but the improvement of operational management level is not achieved overnight. This also brings about a situation where some enterprises have the most advanced automation equipment, production line, MES. System, but its product quality, profitability can not be compared with the European and American peers.

Therefore, the realization of lean, intelligent operation management, until the realization of intelligent decision-making, is an important part of the current manufacturing enterprises must be upgraded in addition to the intelligent factory.

The meaning of intelligent management and decision-making

When it comes to management, everyone will think of the ERP (Enterprise Resource Planning) system. ERP software has experienced more than 20 years of development, and has matured in China. In the early years, there have been ERP outdated claims in China, but in fact, today, ERP is still the cornerstone of modern management of manufacturing enterprises. It is the most basic idea of ​​ERP to sell products. MRP (Material Requirements Planning) is the core of ERP. The core operation management system of manufacturing enterprises also includes human assets management system (HCM). Customer Relationship Management System (CRM), Enterprise Asset Management System (EAM), Energy Management System (EMS), Supplier Relationship Management System (SRM), Enterprise Portal (EP), Business Process Management System (BPM), etc. The core data of the enterprise, in recent years, master data management (MDM) also began to deploy applications in large enterprises. To achieve intelligent management and intelligent decision-making, the most important condition is the accurate integration of basic data and the main information system.

In addition, intelligent management is mainly reflected in the combination with mobile applications, cloud computing and e-commerce. For example, the mobile version of the CRM system can automatically determine whether the salesperson has visited a specific customer according to the location service; many consumer goods manufacturing companies have achieved the full Channel marketing has realized the seamless integration of multiple online store systems and ERP systems, thus enabling automatic dispatch. In addition, mainstream elevator manufacturers have developed sales configurator software systems that allow sales staff to flexibly according to customer needs. Product configuration, quick quotation, BMW also provides online matching functions, Haier has also begun this practice. Business Process Management (BPM) software can model business processes, visualize business processes, simulate With optimization, this is also a typical intelligent management application.

Enterprises generate a large amount of data in the course of operations. On the one hand, core business data generated from various business units and business systems, such as contracts, collections, fees, inventory, cash, products, customers, investments, equipment, production, Data such as delivery time, which is generally structured data that can be analyzed and predicted in multiple dimensions. This is the scope of BI (business intelligence) technology, also known as management cockpit or decision support system. These data can be used to extract the KPIs of the company and compare them with the preset goals. At the same time, the KPIs are decomposed at different levels to assess the cadres and employees. This is the scope of EPM (Enterprise Performance Management). For manufacturing companies In order to achieve intelligent decision-making, first of all, the information system of the business layer must be used well to realize information integration and ensure the accuracy of the basic data, so that the data generated by the information system can be truly trusted. On this basis, BI software is used for analysis. .

SAP Intelligent Manufacturing System Framework

From a technical point of view, memory computing is an important support for BI. SAP HANA software has taken the lead in this regard. Another trend in BI software is mobile BI, which supports analysis and application on smartphones and PADs, but also to improve mobility. BI application effect, cloud-based service is undoubtedly the only way.

How manufacturing companies can achieve smarter management

ERP is the starting point for many enterprises' informatization construction. It is also the most management-based system within the enterprise. It basically covers all the core businesses of the enterprise and has the preconditions for running through the enterprise intelligent manufacturing construction process. The traditional ERP system is mainly for the enterprise. The production, sales, and import results are managed. With the in-depth development of intelligent manufacturing, the pain points and drawbacks of the traditional ERP system gradually emerge: For manufacturing companies, it is relatively ideal for the control of production and procurement. Meeting the demand for refined manufacturing in smart manufacturing and JIT models; for sales-oriented companies, it lacks flexibility in the management of goods and customers; for grouping, multi-branch companies, traditional ERP systems for multi-company, multi-domain The management needs are not fully met.

Under the smart manufacturing boom, the boundaries between enterprise organizations and business models are changing quietly, producing supplies in a timely manner according to market demand, and reducing related production/operation costs, balancing the relationship between the two, for manufacturing companies. It is a big challenge. It requires an end-to-end integrated production process that closely integrates the production process and financial situation, making the financial impact of production visible in real time. Traditional ERP is focused on the enterprise, with the advent of the cloud era, A new generation of cloud-based ERP will help manufacturing companies reshape the new management model, open up the entire industry chain, and achieve procurement, management, production, human collaboration and collaboration with suppliers, partners, and customers.

Let's look at a case of using SAP's next-generation ERP (SAP S/4HANA Cloud) to promote the company's comprehensive digital transformation - Germany Ruihao. Germany Ruihao Group was established in 1948, has been oriented to the production of high-quality products, is The leading company in the 2B market for polymer production. In the era of the digital economy entering the era of industrialization from the industrial era, the transformation from B2B to B2B2C business model has become the core content of Ruihao's digital transformation. For Ruihao, it is necessary to adapt to the market. The variability of the company's business processes needs to be very efficient and streamlined. At the same time, the company's internal control model needs to be changed from a relatively strict control style to a suitable control to respond more quickly to market demand. ERP has been implemented for nearly 20 years, and ERP has been implemented in Asia Pacific for nearly 10 years. During these 10 years, as business processes become more complex, the IT team in REHAU Asia Pacific needs to continuously carry out in the ERP system. Custom development. Especially after the business is extended to the 2C market, business needs are not the same as before, which means that we have to do a lot of adjustments and customization. . Resulting second problem is control logic according to the previous, the more complex the more stringent process control, forming a vicious circle. Therefore, REHAU chose SAP S / 4HANA Cloud to address the challenges facing the company.

In Ruihao's view, SAP S/4HANA Cloud is not only the same as S/4HANA, it is based on SAP's HANA in-memory database, allowing users to conduct business in real time; and integrates the user experience of SAP Fiori APP mode. Its public cloud mode is not lengthy. Implementation time, avoiding the risk of project implementation, shortening the payback period; continuous upgrades are carried out free of charge every quarter, ensuring the immediacy of innovative applications; at the same time saving IT investment and reducing the risk of implementation cost control. On the other hand, The change of business process under B2B2C business model is not supported by 2B's business experience before, and the best business practice of SAP S/4HANA Cloud plays an important role. In addition, Ruihao is most concerned about S. /4HANA Cloud's integration capabilities based on cloud platform design enable Rehau to reduce integration costs and the risk of data transfer between different systems. Expand and activate enterprise informatization for 'last mile' such as Hybris, MES, WM, etc. System integration. Enhance the information coverage and maturity of the enterprise. The application experience of REHAU China SAP S/4HANA Cloud will be excellent for many Chinese companies in transition. Provide a good reference for business processes and improve management efficiency.

SAP's next-generation cloud intelligent ERP (SAP S/4HANA Cloud) solution

The SAP S/4HANA Cloud mentioned in the above case is SAP's next-generation cloud intelligent ERP solution. It is a cloud ERP solution based on SAP's 40 years of experience and best practices from all walks of life. ERP is fully intelligent and becomes an important cornerstone of enterprise digitalization and intelligent transformation. It can provide enterprises with real-time information from a unified source to help enterprises realize the intelligentization of production processes. It can optimize the collaboration between planning and implementation processes, covering production. Planning to sales and other aspects of the production cycle.

SAP S/4HANA Cloud adopts cloud deployment, and its advantages are:

Smart, flexible: Intelligent ERP has built-in machine learning, predictive analytics and optimization processes, and is automatically updated to deliver the latest innovations.

Fast and low-cost: Run a streamlined and flexible business process with a world-class SAP cloud architecture. Get up and running solutions anywhere in the world for a small monthly fee.

Safe and reliable: From system security to compliance, ERP cloud solutions provide enterprises with comprehensive protection. Enterprises can host data on world-class servers, and the global team is responsible for security.

In addition, SAP S/4HANA Cloud is the smartest ERP product on the market today, helping enterprise intelligent management operations also be reflected in artificial intelligence and machine learning applications:

Machine learning brings financial innovation: Helping companies use machine learning to automatically match open receivables with credits, greatly saving the time and effort of accountants' daily work.

Digital assistant, free hands: SAP S/4HANA Cloud integrates SAP Co-Pilots digital assistant technology, bringing the first ERP product with a conversational user experience in the digital age. Users can interact with ERP software in social and human terms.

Conclusion

Today's manufacturing enterprises must implement smart manufacturing. The primary task is to strengthen lean management capabilities and achieve operational management model innovation. Every manufacturing enterprise needs to pragmatically promote intelligent manufacturing according to its actual situation, in order to achieve practical results. With deep insights and rich practices, SAP will help manufacturing companies achieve smarter management and better operations under the spur of smart manufacturing, and turn the concept of digital transformation into reality.

For a more detailed understanding of the SAP S/4HANA Cloud Smart Cloud ERP solution, please pay attention to the public number 'SAP Smart Community'.

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