Innovation Unleashed: What It Takes To Digitise the Process Industry
Published on : Monday 28-08-2023
Unleash the essential factors driving innovation in the Process Industry, from AI to automation, and the profound impact of digitalisation on operations and efficiency.
Digitalisation and Industry 4.0 have promised a lot to bring novel opportunities and growth factors to the process industry. So, do they really have an impact on industrial firms? Are businesses getting what digitalisation and Industry 4.0 promised to deliver? Are industrial firms able to make the most of digital technologies, and where do they stand out among other sectors? If these questions are raging in your mind, we have got you covered.
It is no wonder that the industrial business has been utilising technology for decades. But what is the present status of digitalisation in process industries? Let's get started.
With increased customer demands globally, companies in the process industry are facing urgent and rapidly changing challenges. The unwanted global disaster, the Covid-19 pandemic, in particular, has altered demand patterns and global supply chains overnight. Simultaneously, industry-specific regulations and standards are creating new framework conditions for production.
This is where digitalisation and automation come into play, providing solutions to these changes. With numerous opportunities digital technologies present for industrial businesses, the global digital process automation market is forecast to reach USD 41.1 billion in 2032 from USD 10.8 billion in 2022, according to Acumen Research and Consulting. The market is growing at a CAGR of 14.6% during the projected duration.
Digitalisation in process industries: A paradigm shift
Process industries are essential to the Indian and global economies as they support a wide range of industries, including pharmaceuticals, oil and gas, food and beverage, chemicals, and others. In order to minimise risks and provide mission-critical levels of availability, safety, and security, manufacturers and other industrial firms have traditionally adopted a cautious and incremental approach to change. For decades, technology has made it possible to perform what businesses already do, but more economically and efficiently.
Today, the digital revolution is making it possible to orchestrate industries, companies, departments, and societies. Industrial IoT solutions, for example, can capitalise on the resulting data to secure a competitive edge since the intelligent analysis, understanding, and utilisation of the data enables companies to accelerate their processes to meet changing requirements.
Digitalisation, which is fueled by cutting-edge technologies and creative solutions, has fundamentally changed how process industries function, optimise, and deliver goods. Digitalisation entails integrating cutting-edge digital technologies into every stage of production, from sourcing raw materials to delivering the finished product. It involves a number of technologies, ranging from cloud computing and big data analytics to automation and the Internet of Things (IoT). This digital transformation allows companies to achieve operational excellence, improved efficiency, enhanced quality, and better decision-making.
According to a McKinsey survey, 67% of different industries have sped up the adoption of digital products, while 89% of them have already done so. This highlights the significance of digital transformation and the ongoing demand for it. The rise in competition, the use of strong tools, and the exploitation of automation make digitalisation in process industries indispensable.
Technology advancement and innovation in process industries
As the worlds of Information and Operational Technology are converging, industrial firms are required to enhance flexibility, efficiency, quality and assurance, and agility while maximising RoI to ensure sustainable profitability in order to stay relevant. There have been many technological advancements and innovations over the last several years, some of which have been discussed here.
Internet of Things: IoT is a network of interconnected machines, sensors, and other items that enables real-time data collection and communication. It makes it possible for process industries to remotely monitor production procedures, equipment health, and the logistics of the supply chain while improving overall operational efficiency.
Artificial intelligence and machine learning: AI- and ML-powered systems examine enormous amounts of data to find patterns, forecast results, and streamline processes. These technologies improve quality control in the process industries, find anomalies, and offer suggestions for process improvement.
Big data: Large-scale data production is a byproduct of the process industries. Big data analytics processes this data to derive insightful information that facilitates deliberation. With the help of data-driven analysis, manufacturers can improve resource allocation, identify bottlenecks, and optimise processes.
Robotics and automation: Automation improves process consistency and minimises manual intervention. Material handling, assembly, and packaging are a few tasks that benefit from the use of robotics. As a result, productivity rises, mistakes decline, and safety is enhanced.
Cloud computing: Scalability, computing power, and storage are all provided by cloud platforms. Process industries use cloud computing to store, analyse, and collaborate on data among teams that are spread out geographically.
Digital twins: Digital twins are virtual representations of physical processes, systems, or products. Digital twins are developed as a practice in the process industries for testing scenarios, simulating and optimising processes, and forecasting performance results.
Benefits of digitalisation in process industries
Process industries experience a transformation thanks to digitalisation, which has many advantages. These advantages cover a range of operational, productive, and innovative aspects of industrial business. Some of the major advantages of digitalisation in process industries are:
1. Increased efficiency
2. Higher product quality and reduced waste
3. Predictive maintenance
4. Cost-savings
5. Data-driven decision-making
6. Sustainability
Implementation of industry-specific digitalisation solutions in real-world scenarios
Regardless of its type or size, Industry 4.0 has changed every industrial business and sector. Digital technologies have created numerous significant opportunities for businesses to drive digital transformation in a variety of industries, including manufacturing, healthcare, financial services, hospitality and tourism, oil and gas, energy, and education.
There are many examples where industry players are leading the way to advance their industrial processes with the help of digital solutions.
One such instance is Airbus, one of the leading aircraft manufacturers that has leveraged Open Source technology to drive digital transformation in order to meet its manufacturing needs. The use of the technology allowed the company to combine its 15 ITSM tools into a single, user-friendly platform, bringing inspiration and innovation to every level. The company has also streamlined its digital experience, with a tremendous surge in page views (290,000 visits and 2,200,000 page views within 10 months). This helped Airbus resolve queries and incidents more quickly.
Siemens is another major player helping pharmaceutical companies speed up their production setups by utilising digitalisation and automation. BioNTech SE, for example. The Germany-based biotechnology company has converted an existing facility in Marburg for the production of the Covid-19 vaccine in record time with the help of Siemens.
With Siemens and the team of experts in Marburg, BioNTech’s project timeline for converting the current facility for the production of mRNA-vaccine was shortened from about one year to five months. The implementation of key components of the new Manufacturing Execution System (MES) was being shortened to two and a half months.
"As part of the digital transformation, new trends are emerging in the process industry, which we are driving with our solutions and innovations," says Eckard Eberle, CEO of Siemens Process Automation.
In the Indian context, companies like Tata Chemicals, Goldmedal Electricals, Thermax, and others are harnessing the power of digital technologies such as Industrial IoT to transform their manufacturing processes.
To quote Executive Director and President (Global Chemicals Business), Tata Chemicals, Zarir Langrana, "The next big area where we are putting IIoT is in preventive and predictive maintenance. So our pumps, motors, and rotating equipment have sensors built-in which can predict when and where the next breakdown might happen. We already have this in our boilers, power plant utilities, and we are now extending it across the plant."
In an article published on ET CIO.com, Abhijit Katkar, Partner, Deloitte India, said, “After initial experiments, IIoT is gaining acceptance in most of the process areas for various applications – integration, monitoring, vigilance, data capture, etc.”
Thus, as a plethora of digital opportunities are available for industrial firms in a wider context, it is important for leaders to first create and align a digital vision for their organisation. They should look at both the overall digital strategy and the value proposition for their companies.
How are Indian startups disrupting the process industries?
In recent years, there has been a tremendous rise in the number of startups in the Indian process industry. These startups span various sectors, ranging from chemicals and pharmaceuticals to food and beverages and more. They are introducing new business models and dealing with industry challenges in creative ways, contributing to the digitalisation of the industry and the economy. Some of the leading Indian startups that are disrupting process industries are mentioned below.
Flutura: A part of Accenture, Flutura offers Cerebra, which provides predictive analytics to improve operational effectiveness, predict equipment failures, and optimise asset performance for process industries.
AutoVRse: Based in Bangalore, India, AutoVRse provides augmented reality (AR) and virtual reality (VR) training and maintenance solutions for process industries. Their technology helps in staff training, complex scenario simulation and remote maintenance operations.
Stellapps: With its IoT solutions, Stellapps is revolutionising the dairy industry. The company offers dairy farmers up-to-the-minute information on the health, quality, and production of milk from their herds, helping to streamline dairy operations and raise milk yield.
ZestIoT: ZestIoT provides a complete end to end solution to customer problems with a clear focus on RoI and decision making tools. The company has developed deep expertise in IoT, AI, Big Data and Analytics, Camera and Machine Vision, and industry focused solutions for Aviation, Ports, Oil and Gas, and manufacturing.
Altizon Systems: With its headquarters in Pune, India, Altizon Systems offers Datonis, a digital manufacturing platform that supports process industries in tracking, evaluating, and enhancing their manufacturing procedures.
Apart from these, startups such as Locus, Ecolibrium Energy, SenseHawk, Repos Energy, Ecolibrium Energy, AgNext, String Bio, and others are also disrupting the process industries with the help of process automation and digital technologies. They are significantly contributing to the country’s economy alongside leading players like Reliance Industries Limited, Hindustan Unilever Limited, and JSW Steel, among others.
Several players in the global process industries have already embraced digitalisation to enhance operations, improve efficiency, and stay competitive in a rapidly evolving business landscape. Siemens AG, ABB Group, Schneider Electric, Honeywell, BASF, and others are some examples of major global players in the industry.
Conclusion
For process industries, digitalisation has ushered in a new era of transformation that is fostering innovation, operational excellence, and efficiency. By integrating IoT, AI, Big Data analytics, automation, and other technologies, industrial businesses can increase their productivity, quality, and sustainability throughout their operations.
As technology develops and advances, we at Industrial Automation believe digitalisation will significantly transform the process industry and open up new growth opportunities for businesses in the years to come.
References:
1. https://www.globenewswire.com/news-release/2023/07/17/2706043/0/en/Digital-Process-Automation-Market-Size-Predictions-suggest-a-rise-of-14-6-CAGR-To-Reach-value-of-USD-41-1-Billion-by-2032.html
2. https://www.mckinsey.com/industries/industrials-and-electronics/our-insights/implementing-a-digital-transformation-at-industrial-companies
3. https://cio.economictimes.indiatimes.com/news/strategy-and-management/heres-how-indian-manufacturing-is-embracing-digital/80758823
4. https://www.liferay.com/blog/customer-experience/3-examples-successful-digital-transformation-manufacturing
5. https://community.nasscom.in/communities/productstartups/how-indian-startups-are-disrupting-traditional-industries-technology
