The manufacturing sector has long relied on digitization to enhance operational efficiency and scalability. Over time, basic automation has driven significant gains in factory output and helped reduce labor costs.
Today, emerging technologies like AI, robotics, digital twins, and IoT are pushing the boundaries of what’s possible on the factory floor. In this article, we’ll explore how smart factories and advanced manufacturing processes are leveraging these innovations — and how you can start implementing them today using low-code solutions.
A smart factory is a manufacturing facility that uses interconnected cyber-physical processes and data analysis to optimize physical systems. In essence, it’s a factory that can leverage data to learn and improve over time. In contrast, traditional factories are relatively static, and any applications of data (such as speeding up a production line) must be performed manually.
There are three defining features of smart factories:
Smart factories are key to achieving smart manufacturing, a strategy that involves integrating digital technologies throughout the design, procurement, production, and logistics processes. Through digitization, smart manufacturing can unlock operational efficiency and help companies pivot in the face of changing customer demands.
Smart manufacturing depends on some of the same technologies driving what’s known as the Fourth Industrial Revolution, or Industry 4.0. Some of these smart manufacturing technologies include:
Smart factories are widely seen as the future of manufacturing because they offer a massive competitive advantage over traditional factories. Let’s dive deeper into what their benefits are.
Reduced production costs
Advanced manufacturing technologies such as robotics, IoT and AI play a key role in reducing production costs. Robotics lowers labor expenses and minimizes human error, while IoT and AI work together to enable predictive maintenance — significantly reducing expenses compared to traditional reactive maintenance approaches.
Enhanced production efficiency
AI plays a key role in enhancing smart factory efficiency by identifying bottlenecks and uncovering opportunities for process improvement. Robotics boost productivity by performing repetitive tasks faster and more consistently than humans. Meanwhile, interconnected systems help minimize production delays by, for example, automatically detecting when a product is ready to move to the next stage in a multi-step manufacturing process.
Better decision-making
Large-scale data collection and AI-driven analysis can unlock powerful insights into your operations and support more informed decision-making. Building on that, digital twins are also extremely useful for analyzing potential trajectories from a process change or business decision, helping you choose the best path forward with greater confidence.
Improved sustainability
Smart factory technologies can also help reduce environmental impact through smarter and more efficient resource usage. More specifically, predictive maintenance can extend the lifespan of equipment, while AI-driven process optimization helps to significantly reduce energy consumption. On top of that, automated quality control minimizes material waste by catching defects early and consistently.
Greater flexibility
Smart factories are scalable and customizable, making them more competitive in a rapidly changing business landscape. Technologies such as robotics enable efficient small-scale product runs, while AI can forecast both bottlenecks in supply chains, and changes in customer demand.
Existing manufacturing facilities can be converted into smart factories through a digital transformation process, which can be broken down into four stages to minimize disruption to ongoing operations.
Stage 1: Data collection
The first step in transforming your business’s existing factory is to digitize as many processes as possible. This involves adding IoT-connected sensors to existing equipment, digitizing analog data streams, and building databases to store your factory’s data.
Stage 2: Data contextualization
Once your factory processes are fully digitized, it’s time to interconnect your systems. Data must be shared across departments and integrated with hub software for analysis and decision-making.
Stage 3: Automation
The next stage of transformation involves integrating AI into your factory and giving it access to your real-time data flows. AI can then be used to optimize processes and help drive decision-making.
Stage 4: Self-optimization
Once AI is fully integrated into your smart factory, it can begin a process of learning and self-optimization. This enables smart factories to adapt to changes in real time by seamlessly combining AI- powered self-optimization with strategic human intervention.
The process of transforming a factory into a smart factory can be extremely difficult, especially for companies that lack experience with digitization. Some of the biggest challenges manufacturing companies face include:
One of the best ways to address smart factory implementation challenges is to use low code development. Low code enables you to build apps and integrations quickly using customizable templates, drag-and-drop design interfaces, and ready-made content elements.
Low code has several important advantages over traditional, full code approaches to digitizing factories:
Transforming from a traditional factory to a smart factory can unlock efficiency, improve the flexibility of your manufacturing processes, and help you make better decisions about the future of your company.
CLEVR serves as a trusted partner for your digital transformation. The company is a certified Mendix low code partner provides end-to-end support for modernizing legacy systems, implementing new technologies like AI, and making your manufacturing processes smarter.
Ready to learn more? Check out CLEVR’s manufacturing operations management solutions and customer success stories.
This guide is based on input from engineering, operations, and IT managers in the manufacturing industry. It also draws on digitization success stories from industry publications and insights from companies that have used low code to modernize their manufacturing processes.