How to Use Asset Tracking to Optimize Manufacturing Processes

Plant managers need to understand their manufacturing process very well if they want to optimize it while achieving the planned output. The opportunities lie in better utilization of assets and identification of inefficiencies in the process itself.

As our experience shows, it is very difficult to spot risks and identify potential problems in production processes based only on observation and anecdotal evidence. Very often, the reasons e.g. for a differing performance of forklifts during identical shifts, or bottlenecks in manufacturing processes, are not obvious and can only be identified based on accurate measurements.

So, the challenge here is quite clear:

Plant managers need data-based insights into manufacturing and logistics processes to be able to optimize them properly and achieve efficiency goals.

One effective way to solve this problem is to track assets involved in these processes with a real-time location system (RTLS), and this is exactly what we’re going to explore in this article.

REAL-TIME ASSET TRACKING: A SOLUTION FOR PROVIDING PROCESS VISIBILITY

Simply explained, real-time asset tracking is a process of monitoring the location and movement of physical assets in time. Thanks to this information, plant management can improve not only the utilization of the monitored assets, but also the efficiency of the processes in which they are involved.

Based on such data, the management can make informed decisions to:

• reduce motion waste. Develop the most efficient routes for forklifts and other mobile equipment within a facility based on digital spaghetti diagrams depicting travel paths
• minimize downtime and idle time. Real-time tracking of location allows analyzing whether all tools and equipment are used as intended, or perhaps sitting in the storage area, or even left unused for prolonged periods of time;
• optimize processes based on monitoring of WIP. Real-time tracking of Work-In-Progress helps spot significant variations from standards and potential areas for improvement
• Improve allocation of assets. By tracking asset utilization on each stage of a manufacturing process it’s possible to identify actual or potential bottlenecks and waste.

Together, these decisions should support Continuous Improvement of processes needed to achieve Lean goals.

HOW TO USE ASSET TRACKING TO OPTIMIZE INDUSTRIAL PROCESSES

“What’s my Return on Investment from such a solution?”

This is one of the most common questions that plant managers ask us. The answer we give is that your ROI depends on what you do with the data, but one thing we know for sure:

You can only improve what you measure.

RTLS provides asset tracking data that can be used to help estimate OEE (Overall Equipment Effectiveness), define cycle times, assess shift performance, or identify reasons for process downtime. Once the KPIs are identified and their drivers well understood, RTLS helps to maintain the standards thanks to consistent measurements thereof and notifications when variations occur. Finally, this information and particularly actions taken based on it, can lead to significant cost savings thanks to increased productivity.

HOW TO START TRACKING YOUR ASSETS TO OPTIMIZE INDUSTRIAL PROCESSES

RTLS can be used to track a wide range of assets including:

• containers
• rolling stock
• parts carts
• forklifts
• production WIP
• material handling equipment
• assembly frames
• specialized test tools
• Inventory
• tools
• workers

Based on accurate measurements of their position in time, plant management receives data and insights (KPIs, spaghetti diagrams, utilization reports, etc.), which allow them to:

• Eliminate redundant equipment that is not utilized as intended, or could be replaced
• Identify process inefficiencies and waste such as avoidable equipment downtime due to a lack of inventory or a need to search for misplaced assets
• Determine reasons for variations in forklift performance e.g. poorly trained operators, or non-compliance with procedures,
• Increase employee productivity by ensuring that they’re working on their tasks efficiently.

Thanks to the precise Ultra-wideband (UWB) technology, the information delivered by Indoorway RTLS is more accurate compared to Bluetooth or Wi-Fi-based systems. This makes a UWB real-time tracking solution like Indoorway a suitable solution for asset tracking in vast industrial spaces.

If you would like to know how can you gain asset visibility and optimize your production and logistics by tracking assets with Indoorway RTLS, feel free to visit our website or message us.