According to Gartner, “by 2020, 75% of businesses will be a digital business or will be preparing to become one.” Is your business ready to compete in the digital world?
In industrial companies, advanced data analytics and business intelligence are helping leadership, operations, maintenance, and other critical areas make better decisions that drive KPI improvement and business success. Just like an email alert informs a consumer on suspicious activity in their bank account, asset management software and advanced data analytics provide alerts on system anomalies so personnel can take corrective action in a timely manner to avoid costs and equipment downtime.
The next stage of the digital revolution is here, and it’s critical that your people, processes, and technology are effectively aligned to ensure success.
Managing and making sense of data is not a new concept to operators and engineers. That said, today’s sheer volume of data and interconnectivity of devices are raising the stakes. In a 2015 report, McKinsey Global Institute found that most of this data—as much as 99%—isn’t being used to support better decision-making.
Transformation is not just about implementing technology. It’s about ensuring your people gain relevant data from technology so they can effectively achieve your business objectives. And that requires dedication and commitment from leadership, management, and all employees, and understanding what data is important (analytics). Additionally, an ongoing change management program that reexamines strategic execution must be in place to ensure adoption and long-term success at all functional levels.
Digital transformation is breaking down silos and reinforcing collaborative decisions across multiple divisions within a company. The convergence of operations technology and information technology is creating a need for more interconnected platforms and processes to support business transformation and new models of operation.
Therefore, processes must align effectively to take advantage of the benefits of these interconnected operations. Connecting predictive maintenance, safety, and security systems together, for example, can affect many areas of a plant or refinery. So, teams must establish appropriate protocols and processes to work together effectively and report on their findings.
What if a power plant could predict an impending turbine failure in its infancy stages through vibration data and analysis? Today’s advances in analytics and diagnostics make it possible to avoid multimillion-dollar equipment repairs and lost revenue due to unplanned outages.
Additionally, advancements in fleet-wide monitoring and diagnostics are helping large energy companies effectively manage their global fleets remotely. Standardization of data allows them to communicate effectively regardless of location, time zone, or language. And, as more data migrates to the cloud, the technology continues to advance to ensure infrastructure interoperability, security, and privacy.
It’s an exciting time as digital transformation expands across highly technical organizations. Ensuring your people, processes, and technology are in alignment and effectively leveraging critical data are the keys to your success.
This post was originally published in BIC Magazine. Learn more about improving operational excellence programs here, from a visual slideshare detailing an operational excellence model, to a full library of webinars, white papers, and more.
For over 17 years, Craig has connected companies to resources, methods, and solutions to improve operational performance, deepen economic value, reduce waste, decrease planned and unplanned facility downtime, advance levels of product throughput, and increase profitability.