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The 3 Biggest Challenges of Data-driven Manufacturing

By Lala , in News , at May 9, 2022 Tags:

The advent of IoT devices has changed the world for the better. After all, who doesn’t love the right combination of a Charter TV Choice It is data that has allowed broadband service providers to customize their goods and services according to the requirements of their customers.

The benefits of adopting data-driven manufacturing cannot be overstated in this digital age. Brands need data to understand the ever-changing behavior of their customers. Companies need data to understand and predict future trends.

What Is Data-Driven Manufacturing?

Data-driven manufacturing is the use of KPIs to create an efficient production system. This approach is different from the traditional manufacturing approach wherein businesses rely on gut feeling to achieve intended results. In data-driven manufacturing, organizations analyze data sets to make informed decisions.

Data-driven manufacturing plays an important part in the world of emerging technologies. Manufacturers around the world are starting to adopt data-driven solutions to improve productivity and reduce costs. Using accurate data is crucial to gaining important insights, which can be used to guide decision-making.

What Are the Benefits?

Using data-driven manufacturing can offer multiple benefits to manufacturers. Companies that adopt data-driven techniques can add value to their goods and services. That said, here are several benefits of using data-driven techniques in your everyday operations:

Informed Decision Making

Perhaps the biggest advantage of data-driven manufacturing is that it guides decision-making. Huge data stored can be broken down into bits and pieces. Companies can then analyze these chunks of data to gain important insights. This way they can pinpoint areas of improvement. Tech companies such as Facebook and Google use data to create the latest technological tools for customers.


Without data, automation might not have been possible in the first place. Automation tools allow companies to collect and analyze data. The process is known as the automated collection of data. Organizations use analytical tools to guide decision-making. The whole process doesn’t require manual efforts. Automation has reduced manual labor hours and allowed companies to achieve a competitive advantage.

Machine Learning

Machine learning refers to the ability of programs and software to learn new things by observing them. ML tools allow users to solve complex problems. Computer algorithms study these problems over time and come up with simple yet effective solutions. Machine learning software analyzes data sets to gain important information from them.

Manufacturers and organizations can use machine learning tools to provide a great user experience. These tools can detect anomalies and allow companies to undertake predictive maintenance. Machine learning programs are increasingly becoming popular with manufacturers and retailers.

Reduced Production Costs

Without data, manufacturers cannot access important information that can guide decision-making. Data-driven manufacturing allows organizations to reduce costs and achieve productivity. Companies can streamline their production processes using data-driven manufacturing techniques.

The Challenges of Data-Driven Manufacturing

Despite its tremendous benefits, data-driven manufacturing has its drawbacks. One of the challenges of using data-driven manufacturing is that it can create security breaches for users involved. That said, let’s explore the three biggest challenges of data-driven manufacturing practices:

Difficult to Store Data

The last year saw a record quantity of data created and replicated. The introduction of new interconnected devices means that more data will be created and stored. While this may be a huge benefit to the user, storing such huge data sets can prove to be difficult. Companies need to come up with ways to store data. On-premise storage can drain resources in the longer run. Cloud computing may be the better alternative.

Information Theft

The creating and duplication of data have created new kinds of security challenges for businesses and individuals alike. As more and more IoT devices emerge, so do security vulnerabilities. Moreover, computer criminals have found new ways to exploit systems and networks. The emergence of new security threats has created new challenges for cyber professionals.

Legacy Systems

Outdated systems contain data. However, it may not be easy to replicate this data to newer and improved systems. It should be noted that legacy systems were not built with the intent to replicate data across multiple devices. This has emerged as the biggest test for data-driven manufacturers. The need is to create a program or equipment that can replicate data across legacy systems.

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