The term “business intelligence” may give the impression that companies are employing spies to find out about their competitors. That’s not exactly the case. In today’s world, business intelligence is about gathering large swaths of information so that they can be analyzed more fully by advanced software. Big data and analytics can offer businesses the knowledge they need to operate more efficiently and more profitably.
The arrival of big data, analytics, and business intelligence has completely changed many industries, and the effect of business intelligence is quite apparent in the manufacturing industry. The use of BI has led to a complete revolution, and here are some ways that makes BI use so advantageous for manufacturers:
You Learn to Anticipate with Predictive Analytics
What will you do if you if you know which sports teams will win in the games next week? You’d bet on them online to get the easy money. It’s the same thing with predictive analytics, as you can discover trends, consumer behaviors and buying patterns so you know what to manufacture. Predictive analytics can even help you maintain your machinery more efficiently so that you can cut down on your production costs.
If you can predict demand, you can set your production line, supply chain, and inventory more properly. You’ll know where to keep your inventory if you know where the demand is great, and you’d know how many you have to make to meet the demand. You’d also know which products to make and which features to emphasize when you absolutely know what the customers want.
You’re Able to Enhance Your Supply Chain Management
Effective supply chain management involves monitoring repair costs, trends in maintenance, transportation costs, and various KPIs. Once you have info regarding historical trends and you’re able to use business intelligence software, you can quickly identify components that aren’t working as efficiently as they should be. You’re then able to make your supply chain much more efficient.
For example, your analytics can identify the suppliers that are costing you more money than they’re saving you. These suppliers may demand overly high shipping costs and give you problems with late deliveries.
Machines Can Be Analyzed More Fully
Just because you’ve bought and installed the ideal machines for manufacturing doesn’t mean that you’ve already streamlined your production process. It’s not that simple. You have to see to it that the installation has been correctly handled, and that machines are maintained and not misused. BI software can give you real time information about how your machines are working, so that you can pinpoint areas where you can make improvements.
Get Alerts When Things Go Wrong
The production process in manufacturing is constant, and any delay can just cost you money. But in the real world, problems can arise unexpectedly and there’s nothing you can do but wait and stop production while the pros fix the problems. Many of these problems, however, can be prevented with BI software and you can also get alerts at the first sign of trouble so you can keep problems from getting worse.
Inventory Management Done Right
For manufacturers, managing the inventory is much more important than outsiders may realize. It’s not just about storing the inventory. It’s about planning the flow of the products and making sure that the inventory arrangement structures are efficient.
It has been found that with business intelligence data gathering and analytics, revenues are bound to increase. It also drives up customer satisfaction, and that offers long-term benefits to your brand. You’re able to increase the quality of your products while you’re able to get better insights into the needs of your customers.