The process industry is a sector that, unlike the more discrete manufacturing industry, is characterized by the large-scale production of indistinguishable goods. High target quantities, dependence on raw materials, substantial energy consumption, and tightly controlled production environments that enable chemical reactions and phase changes are all distinguishing features of the industry.
As a result, the requirements of the immediate future are obvious:
- Boost productivity in the plants
- Become more flexible in production and supply chains
- Save resources and operate more sustainably
- Minimize energy costs
These central questions address the 5 future topics of the process industry, which we would like to introduce to you. They provide solutions that will be essential for medium-sized chemical, pharmaceutical, food, and cosmetics companies in the coming years if they want to survive in a globalized market.
The good news is that if you use an ERP system like SAP Business One, you are already optimally prepared for the future. This is because the smart software system gives you access to innovative technology and forward-looking workflows.
Sustainable Process Innovation
Sustainability is and will remain THE future topic for the medium-sized process industry. Energy-efficient production while keeping an eye on CO2 emissions and creating a supply chain optimized according to social and environmental criteria are just some of the challenges the industry is facing. Kudos to those companies that find a way to align their sustainability goals with their corporate objectives.
One thing is required above all, and that is transparency. This is because it is only with transparency that crucial parameters can be recorded and local, regional, and global effects taken into account across the entire network. Technology such as SAP Business One enables the transformation to a smart, agile enterprise that makes KPI-driven decisions. With the help of your ERP system, you have the necessary technical solutions at your disposal to measure sustainability in your company clearly and comprehensively.
With the cloud application SAP Sustainability Footprint Management, you can
- determine the specific CO2 emissions of your entire supply chain;
- recognize weak points in your company;
- simulate the impact of your decisions on your carbon footprint.
No sustainability without technology! Discover more about how you can fill your data vacuum and map, control, and optimize ESG processes in your ERP system in our free white paper "Technology: Your Key to Sustainability". Download now!
Artificial Intelligence (AI)
Artificial intelligence is longer something for nerds only. It is mainstream and has arrived in the medium-sized market with countless commercial applications. Algorithms help in the early detection of cancer cells. Intelligent, autonomous weapons destroy distant targets. Self-driving cabs take passengers safely to the other end of town. But what are the use cases for the process industry?
Some argue that AI has limited relevance when it comes to process control and managing a company via enterprise resource planning. Managing sensor data is all well and good, but it's simply too intricate for more complex economic relationships. Although this may have been true for the past few years, it is certainly no longer the case.
The intelligence and therefore the capabilities of AI are increasing exponentially. We have now created machines that are so smart that they can design algorithms and write programs themselves to empower other machines. We cannot begin to imagine today what AI might be capable of in one year, two years, or five years.
Regardless of where the journey leads, however, the prerequisite for any AI application remains a company that is strongly connected and automated by an ERP system. As early as 2024, SAP will launch its Business Technology Platform, a modern cloud through which companies can subscribe to SAP applications with integrated AI for fundamental business processes and flexibly utilize them through SAP Business One.
Data-driven Business
In today’s digital era, data plays a decisive role in nearly every industry, and the process industry is no exception. For companies in the chemical, pharmaceutical, cosmetics, and food industries, data-driven approaches in production, as well as in other core areas like marketing and customer service, are becoming increasingly important to drive efficiency, minimize costs, enhance quality, and boost customer satisfaction.
This is where SAP Business One comes in, giving you a 360-degree real-time overview of your business. Incoming data from production, warehouse, and supply chains helps to identify bottlenecks, prevent downtime, and make processes more efficient.
Beispiele für den Nutzen von Datenanalyse in Ihrem ERP-SystemExamples of the benefits of data analytics in your ERP system
- Do you manufacture food products? In SAP Business One, data is collected about various production parameters such as temperature, humidity, pressure, and flow. Sensor data from the production plant is continuously recorded and monitored in real time. If a pipeline is blocked, for instance, your production manager will be informed immediately.
- Do you produce drugs and have a faulty batch every four months? By analyzing historical production data, engineers can identify patterns and determine optimal operating parameters for various process steps. This also helps to improve your quality management.
- You develop high-priced cosmetics, e.g. without preservatives? By analyzing demand and production data, your company can adjust its production just-in-time. This way, your products are only manufactured when there is actual demand, which equates to reduced inventory.
By the way: business applications such as PART SMART Scanning also facilitate data processing in your SME.
Resilience
Our world is full of complex problems and is anything but predictable. In recent years, companies in the process industry have had to learn how to navigate the stormy waves of social, political, and economic developments without going under.
By contrast, those SMEs that rigidly adhered to their old ways and were not capable or willing to adapt flexibly to external influences have sunk. Resilience is, therefore, the decisive skill when it comes to ensuring a successful future. The best tool to consistently find new solutions? SAP Business One!
Independence From Human Resources
Recently, there has been a growing trend in the process industry to become less dependent on human professionals. The reason underpinning this is that human resources are often perceived as unpredictable, risky, and costly. Demographic changes are leading to a shortage of skilled workers in certain areas. Furthermore, there is intense global competition for qualified workers, a situation with which many SMEs are financially unable to compete.
Advances in automation technology can specifically replace jobs in plants and offices that involve repetitive or physically demanding tasks. By leveraging your ERP system such as SAP Business One, you have the opportunity to reduce the number of employees you need while offering more appealing positions that involve more complex, technology-driven tasks. This allows for more efficient use of resources and helps streamline your operations.
We Are PARTners of the Future
Is your company well positioned in the crucial areas mentioned above? We would be happy to advise you on the best way for you to address the future issues of the process industry.
