With much of the world continuing to stay under lockdown in varying degrees, normal activities continue to be affected. The virus shows no signs of abating and just when one lets one’s guard down, there seems to be a surge of fresh cases. But life must go on. In a sense, work-from-home fatigue has set in most people and there is a kind of longing for the ‘good old days’. But that is not to be. Not for a long time to come.
Manufacturing Today explores what the New Normal means to various companies, their way of rejigging schedules, and some of the steps taken to combat long-term effects of covid-19.
Safety concerns are top priority. One can never be too safe. Accidents are waiting to happen. However, taking precautionary measures is primal human nature. And more so today.
Ramakant Reddy, MD, LMT Tools India, says, “The covid-19 situation is unprecedented. Manufacturing PMI fell to 27% in April from around 52% in March. I think this was the lowest reading in the last 15 years. During the initial phase of the lockdown, we invested our time in planning the New Normal. Our HR prepared comprehensive guidelines for resuming operation post lockdown which are updated from time to time. The IT team worked on solutions to keep us connected to customers as well as our employees across the world, while the sales & marketing team connected with customers by sending regular updates and conducted online training for customers on new technologies in gear manufacturing, special programmes in Die and Mould, and addressed issues faced in milling & tapping.”
Social distancing, hygiene at workplace, limiting visitors, and staggered work shifts have now become standard protocol across all touch points, offices and shop floors. Manish Sharma, president and CEO, Panasonic India & SA, says, “At our manufacturing plants, we have divided the plant across zones. Each zone has select employees across different business functions, defined walkways, respective lifts, and allocated facilities like washroom, pantry, and printers, etc. Even raw material and finished goods goes through a sanitisation process to maintain higher safety standards. Additionally, we have configured our operations to a digitally compatible model where technology takes precedence. Suspending the bio-metric attendance, we take online attendance on the intranet.”
While the world is rapidly changing every day to mitigate risk associated with the virus, it is imperative that manufacturing operations resume and continue. Vendor companies are committed to being with customers in every step of the way. Ruchi Mathur, head, commercial marketing, Rockwell Automation India, says, “During this time, it is critical to have the support they need, in a way that maximises productivity and minimises risk. We are monitoring the situation closely and ramping up resources and operations without compromising the safety of our as well as our customers’ employees. With the various government guidelines on manufacturing operations and social distancing, we enable them to function with full productivity even with large numbers of a remote workforce.”
Besides this, Rockwell Automation is limiting visitors to its facilities and encouraging people to conduct meetings and discussions virtually. Even its locations meant for customer engagement like the Digital Transformation Experience Centre has been converted into a virtually accessible centre for customers trying to resolve critical business challenges through adoption of Digital Manufacturing technologies.
Making it work
The pandemic has indeed acted as a technology accelerator for several countries including India. It has also made digital integration a vital business continuity enabler across verticals – including manufacturing processes. Anil Makkar, manufacturing director, JK Tyre & Industries, says, “There are three pillars to a successful digital transformation – network evolution, digital business and customer experience. End-to-end security, policy, customer data management and analytics across all three pillars can bring the digital experience to a whole new level. Digital manufacturing technologies link systems and processes across all areas of production to create an integrated approach to manufacturing, from design to production and on to the servicing of the final products. By using a process that is centred around the customer, we can create a digital thread through to analyse data across the product lifecycle and create actionable processes.”
Digital technologies have been helping and advancing the world into the direction of innovation and disruption. Today, everyone has come to believe that digital transformation will be a key enabler for unlocking unknown growth opportunities in the field of manufacturing. Manish Bhatnagar, MD, SKF India, says, “As an organisation, we are moving in that direction and plan to bring digitalisation collectively in the fields of production, maintenance, quality, and supply chain. This is aimed at an over-arching objective of improving stability, visibility, and cost. In order to actively achieve these, we believe, that the timely application of technologies such as real time automated performance measurement, condition monitoring of machines, lean material flow with digital traceability, M2M connectivity, adaption of 3D printing, cloud based energy management system, ware house management system among others will further be beneficial to our digitisation growth trajectory.”
It is not only important to survive but equally important to stay relevant in this crisis. Prashant Sardeshmukh, MD, MMC Hardmetal India, says, “We are working on a two-pronged strategy. One focuses on the short-term goals and immediate actions to overcome current market challenges. The other is based on the proactive thought and post covid-19 challenges vis-à-vis opportunities. The foremost priority is about ensuring safety and wellness of our team, business partners and customers. It is important to stay connected, remain focused and motivated. The purpose is to understand their difficulties, empathise with them and extend active support, wherever necessary. This is how we have succeeded in keeping our team morale high. Through online meetings, webinars and technical trainings, we are keeping them abreast of our technological developments and new products added to our product line.”
Companies were also finding out ways to deliver to their customer. Deep Agarwal, regional sales director, Zebra Technologies, says, “Covid-19 has impacted the retail sector, forcing both essential and non-essential retailers to assess new omnichannel fulfilment capabilities and quickly adapt their operating models in a matter of days – some implementing changes within hours. Technology-led supply chain models will need to be agile and flexible. To drive productivity, manufacturers and warehouse operators are likely to use different technologies such as mobile devices, augmented reality (AR) apps, head-mounted displays and other wearables (like smart glasses) that can quickly guide them directly to confirmed item locations.”
Moving up
While most are applauding digitalisation, IoT, and AI as the lynchpin to beat covid-19, there are some who continue to be cautious about jumping in the fray quickly. Sameer Mathur, COO, Schaeffler India, says, “A lot of acceleration can take place in this direction. However, to say that we will be in a position to implement robotics, automation, artificial intelligence and big data across the board within a short period would be committing a little too much. India is a cost sensitive market and analysing the benefits that we get out of those investments is an important part of the larger picture. But having said that, given the situation, I would say a rapid adoption towards remote diagnostics and collaborative pools would start to happen.”
On the other hand, Boeing embraces digital engineering to enhance the manufacturing environment and provide value to our customers. Ashwani Bhargava, director, Boeing Supply Chain Enterprise India, says, “Boeing’s T-7A Red Hawk — an all-new advanced pilot training airplane designed for the US Air Force — was designed by applying a process known as digital threading, in which we can create a digital twin prior to building it. That means you can modify systems over the course of its design, and ensure all parts integrate seamlessly, which results in fewer manufacturing issues. We continue to integrate our digital tools across our entire product life cycle. This drives efficiency, optimises product design and enhances manufacturability. The end-to-end supply chain will be more digital. This is being done by connecting suppliers to our digital threads, systems and tools. Given that supply chain sees disruption every 4-5 years, there is growing awareness that digital factories/supply chain can minimise the impact.”
Some companies have gone a step further in their efforts. Rakesh Tripathi, global heating business head, Thermax, says, “Digitalisation is the way forward. The pandemic has forced the world to look at potential benefits digitalisation can offer. We had embarked on the journey of digitalisation, a few years ago, when we decided to invest in a smart factory at Sri City, AP. This factory of our Absorption Cooling & Heating business is one of the most modern factories in the country. It is MES-compliant with industrial PCs on the shop floor, etc. At our Heating business, during the lockdown, we went live with the PLM platform, which will help us to improve our processes significantly.”
Smart machines are an integral part of digitalisation in manufacturing and they have sensors capable of monitoring their own health and feeding data to the maintenance team. This allows plants to move from predictive maintenance to condition-based maintenance and ensures high-quality output from the machines at lower costs. Zurvan Marolia, senior VP, Godrej & Boyce, says, “It would not be out of place to mention here that the lurking fear which the industry had about automation taking away jobs is now gradually being replaced by a better understanding that on the contrary it will help improve business and create employment but with suitable re-skilling. MSMEs are the backbone of the manufacturing industry and by developing them we will be able to strengthen the manufacturing capabilities and improve the share of the manufacturing GDP as a proportion of the national GDP. Through this initiative, suppliers have been taken through basic development of management, on to initiatives of building robust productivity and quality systems and then further to sustainability in terms of Lean & Green Management and finally to ZED (Zero Effect Zero Defect).”
Long term view
Companies have also refocused efforts of its vendor development team with added dimension of risk management arising out of the current situation, even as they build on their competitive position by ensuring the right quality and timeliness of delivery at the right cost. Shishir Joshipura, CEO & MD, Praj Industries, says, “A strong vendor base is critical to our growth plan. We are focused on building and strengthening sustainability of our supply chain and lay strong emphasize on green sourcing. Many of our vendors are MSMEs and there is lack of awareness about how to adapt sustainable practices. We are strengthening our green SCM program to help them improve their performance and offering a third-party audit and training under a guided programme to help minimise energy, reduce wastage and improve safety practices.”
Lean organisations are finding it easier to adapt to the new changes. Sharad Malhotra, president, automotive refinishes and wood coatings, Nippon Paint India, says, “Supply reliability and quick turnaround times is the requirement. Getting our vendors to do more is a constant initiative and it is paying us rich dividends. We believe in strong, long-term partnerships with our vendor partners who are a critical part of our ecosystem. We are glad that more and more vendors are engaging with us proactively. Vendor base in India is getting more and more robust. Our team is constantly on the lookout for suitable vendor partners who can add value to our process.”
Companies are also implementing customised solutions for deploying remote customer inspection through real-time video streaming using smart digital solutions, customised software, and hardware to support global supply chains and operational timelines. Sriram Srinivas, director, operations, ELGi Equipments, says, “A customised application is used to stream the compressor testing at ELGi factory to a customer and their authorised inspection agency at a remote location. After witnessing the testing online, they approve the compressor based on successful testing and the product aligning to all purchase agreements. We have implemented digital data acquisition in our testing stations to compile and provide analytics in real-time. Digital pre-dispatch inspection modules have been created to enable a guided, step-by-step inspection process to collect all information in digital format before a machine is passed on for packing. Digital feedback torque tools are being installed across all assembly stations with Poka-yoke feedback systems.”
Similarly, Puneet Vidyarthi, brand leader, Case India, says, “Our sector is going through a digital revolution currently aka Industry 4.0 which is combining traditional processes with digital tools to create smart and effective solutions. We have always been at the forefront of innovation and technology. This principle is the driving force behind the way we work internally and our products as well. Our state of the art plant at Pithampur, with exemplary automation and efficient processes, is a testament to this.”
What’s on the horizon
On the external front, many are creating a remote performance monitoring system for their plants. Joshipura says, “Since we designed and built the process plant, we are best suited to collect and analyse performance parameters and interpret it to predict the future conditions – helping our customers manage their processes more efficiently. IoT makes the data flow in large volume continuously at a very competitive cost in a reliable manner.”
Global sourcing may certainly seem risky but the inflow will not and cannot dry up without adversely affecting the growth of a national economy. Marolia says, “There are apprehensions about importing from certain regions of the globe. A move to a more self-reliant model is something we need to strive for, and work has already started. Through an initiative which we called “Beyond Sourcing”, we started a journey over a decade ago to work with a limited number of suppliers.”
At JK Tyre, component procurement is largely domestic. And the components which are being procured from the foreign vendors are now gaining traction from domestic manufacturing and are being developed indigenously by the local vendors. Makkar says, “Effective and tighter supply chain lead to reliable supply with optimised cost. The flow of products, money and information in value-chains is highly dependent upon the relationships among members in the ecosystem. Suppliers moving up the value chain will aid the ecosystem by creating opportunities for faster economic growth.”
In the manufacturing industry, unlike IT or other sectors, face-to-face interactions are necessary. Particularly in the cutting tool industry, sales happen after it has been tested. “Manufacturers will have to adopt new practices and work on systems to minimise the contact yet retain the same customer satisfaction. For easy access to our products, we are working on some digital solutions which will be user-friendly and add value to our customers. LMT Tools was recognised as TOP100 innovator in 2020 and this is a great accomplishment that confirms our innovative strength and is a testimony to our technological leadership in the tool industry. Our R&D is continuously working on innovative concepts for Industry 4.0, 3D printing and e-mobility,” says Reddy.
For Rockwell Automation, part of its long term strategy is to continue focus on hardware, software and services with accelerated response to the market through new acquisitions, enhancements and launches. Mathur says, “Rockwell Automation, Inc. has signed an agreement to acquire privately-held Kalypso, LP, a US-based software delivery and consulting firm specialising in the digital transformation of industrial companies with a strong client base in life sciences, consumer products and industrial high-tech. Kalypso offers a full suite of consulting, digital innovation, enterprise technology and business process management services that enable the transformation of product design and development, production management, and client service models.”
“We are trying to make best use of digitalisation in supply-chain activities, sales processes, customer relationship and customer support activities, conducting trials and demos, support to distributors, real-time data generation and productivity improvement etc. Today the world is moving towards Industry 4.0. They are trying to digitise and upgrade their business processes wherever possible in order to avoid mobility of their employees and minimise physical interaction. In fact, these things will be fast-tracked now in the days to come,” says Sardeshmukh.
The pandemic has posed a challenge since warehouse companies are working hard to meet the demands of the consumers. This stresses out their workforce, thereby prompting them to find ways to help their front-line workers to achieve greater productivity and efficiency at work. Agarwal says, “Given the situation, the most logical way would be for manufacturers to augment their front-line staff with the right technology to increase their efficiency and productivity to cope with the current workload and beyond. By providing them with tools that have a relatively low learning curve, their front-line staff will be able to shorten the onboarding time required and enable them to start using the devices effectively at work sooner.”
All said and done, much changes are likely to happen. It’s a matter of time before companies begin adopting new measures to cope up with the crisis.