Digital transformations, or adopting Industry 4.0 technologies, is a big decision. It can feel like an even bigger decision when your company is worried about whether you have enough funds to implement them. In this article, we’ll cover whether digital transformations are achievable with a smaller budget.
The truth is that the benefits of implementing these technologies can far outweigh the downsides, especially over the long haul. Depending on what you implement you could: increase efficiency, decrease costs, increase output, make better informed-decisions, help plug the labor gap, or all of the above.
Unfortunately, it’s hard to quantify the exact cost of your digital transformation as it all depends on several factors. However, there are ways to keep the cost down. Starting with implementing one system or upgrade, and looking for ways to spread that cost over many months with financing options might be a viable option. You can also start with an area where an upgrade will produce more profit or save money, which will help to fund the next phase. Asking other business owners in similar industries or even bringing in a consultant for a one-time assessment can help make these decisions easier.
How Do You Know It’s Working?
The biggest question is how can these benefits be measured so you can make sure you’re getting the most out of your investment. Luckily, many industry 4.0 technologies provide a clear way to deliver results. Gathering data from your earlier setup will also be key to ensuring the new technology is working to your benefit.
So, What’s the First Step?
The first step is figuring out where to start. Again, starting with one area is a good place. Many manufacturers find that beginning with implementing real-time data monitoring is a great first step. This allows a company to start tracking and delivering data in a faster more efficient way so they can see where the best place to implement the next improvement is. No matter where you start, though, starting your digital transformation can help your company stay relevant and competitive in the future.