The Business Conundrum Facing Manufacturers Manufacturing companies have traditionally had an on-again-off-again relationship with technology. However, the paradigm shift driven by global manufacturing and distribution, combined with rapid digital innovation, is changing this equation.

1. The Digital
Manufacturer
Putting Intelligence into Action for Operational Excellence

2. 2
Contents
01
01
01
02
03
04
05
05
09
09
09
The Business Conundrum
Facing Manufacturers
Driving a Digital Overhaul
What is a Digital Operations
Center?
What Does a DOC Help
Integrate?
Digital Operations Center:
Understanding the
Technology Stack
Digital Transformation
Life-Cycle: Enabling New
Product Capabilities
Eight Steps to Successfully
Building a DOC
Enabling Digital
Transformation through DOC:
A Use Case
Making DOC an Integral Part
of the Digital Strategy
Footnotes
About the Author
About Cyient 10

3. 01
The Business Conundrum Facing
Manufacturers
Manufacturing companies have traditionally
had an on-again-off-again relationship with
technology. However, the paradigm shift driven
by global manufacturing and distribution,
combined with rapid digital innovation, is
changing this equation. Deloitte’s 2016 MHI
survey reveals that 83% of manufacturing
organizations believe investing in key digital
technologies such as IoT, robotics, Big
Data, cloud computing, etc. will be key to
competitive advantage in the near future.1
Despite this, it is still not uncommon to find
manufacturers relying on disparate and siloed
systems, bulky spreadsheets, PowerPoint
presentations, and traditional data tools for
managing their day-to-day operations. Not
only does this require extensive manual effort
to curate information, but it also takes the
focus away from core strategic work such
as data-based decision-making. The result?
Errors and inefficiencies abound. To stay
competitive in the evolving manufacturing
landscape, organizations must prevent
costly delays, avoid errors, and optimize
costs. Most importantly, they must increase
market responsiveness by reacting quickly to
challenges and problems in their end-to-end
operations, supply chain, and production lines.
Companies must, therefore, revisit age-old
manufacturing strategies, redesign their
traditional manufacturing approaches and
value chain, and retrain their workforce to
usher complete reinvention of manufacturing
operations. To be successful, all of this must
be done on a scale resembling a new industrial
revolution or digital overhaul.
Driving a Digital Overhaul
While the shift to the industrial internet is
gaining rapid traction globally, much of its
focus is centered on producing connected
products and consumer-centric services.
How digital technologies can help
manufacturers transform internal operations
is an aspect that is not often discussed or
explored.
Businesses today require a constant and real-
time flow of operational and performance-
related information to improve product
development, drive innovation, and streamline
asset and supply chain management.
The relationship between how a product
performs and how it affects user behavior
needs to be understood. Additionally, the
performance of marketing campaigns, social
media trends, and even news and weather
conditions may affect a companies’ bottom
line. This dynamic environment necessitates
an enterprise-wide digital transformation.
The key to achieving this is the establishment
and operationalization of a digital operations
center.
What is a Digital Operations Center?
A digital operations center (DOC) is a next-
generation network operations center
(NOC). It gives organizations the ability to
access information with extensive visibility
across multiple data sources and business
functions, bringing broader intelligence to
day-to-day operations, thereby enabling
greater collaboration among stakeholders
across the value chain. The four operating
pillars of a digitally transformed manufacturing
organization enabled by a DOC include:
• Connecting product, manufacturing assets,
and supply chain to a digital platform and
offering anytime, anywhere data-driven
digital insights.
• Executing processes on a resilient digital
platform that is secure, available on demand,
and easy to set up and use.
• Creating a digital workforce platform
of connected workers, using advanced
monitoring, search, and analytics tools.
• Proactively managing a digital innovation
ecosystem comprising multiple partners, to
incorporate the latest technologies.

4. 02
What Does a DOC Help Integrate?
A DOC integrates all the live and synthetic
data and analytics channels relevant to your
business’ performance, allowing customizable
views for every business function. Figure
1 depicts how a comprehensive DOC can
function as an all-pervasive, central entity to
various business functions in a manufacturing
company, enabling enterprise-wide digital
transformation.
DOC’s value proposition extends far beyond
a set of dashboards. By integrating data
from disparate channels, it provides a cross-
functional understanding of the impact of
performance issues on multiple business
units. It empowers a business to not only glean
quick insights but also makes them actionable,
by providing a single point of control. For
instance, when a performance issue is
identified, a DOC can highlight the view,
pinpoint the root cause, analyze its impact
Fig. 1 | Role of digital operations center in a manufacturing firm
Product
Development/
VAVE/Design
Improvement
Sales,
Marketing
and CRM
Workforce
Management
Aftermarket
Services
and
Support
Manufacturing
Operations
and
Product Quality
Procurement,
Supply Chain
and Logistics
Digital
Operations
Center

5. 03
Digital Operations Center
Smart Asset Applications
SW Applications with real-time alerts
and insights for Operations Command
and Control
Rules/Analytics Engine
Business Rule and Logic | Advanced
Analytics and Algorithms with Asset
Application Algorithm for insights on
usage
Application Platform
Application Development and Execution
Environment | Connected Business
Applications using data access and
visualization tools
Support Desk
Maintain 24/7 operation and support of
all Asset connected equipment for the
customer
Cloud Platform
Asset Data - Database
Big Data Database | Data Aggretation and Normalization | Real Time and Historical Data
Management
Asset Connectivity
Network Communication
Protocols | Communication Layers | Network Communication Standards
Product And Manufacturing Assets
Software
OS (optional) | Embedded Firmware | Onboard Applications | User Interface | Desktop and Mobile
Applications
Hardware
Onboard Sensors | Processors | Connectivity | Electrical and Mechanical Parts
Identity and Security
• Security Tools
• User Authentication
Management
• System Access and
Administration
• Product Security
• Cloud Level Security
• Network Level Security
External Information
• Business Environment
• Government
Regulations
• Material / Commodity
Prices
Integration-Business
Systems
• Tools integrating
information from smart
devices with PLM, ERP
and CRM Systems
systems. The technology components of a
DOC depend on two elements: the business
function’s specific use case and the business
logic required to derive meaningful insights
through advanced analytics applied on the Big
Data gathered from sensors. Figure 2 depicts
the typical framework of a DOC along with the
inter linkages and dependencies on external
and internal systems.
DOC’s comprehensive technology stack
enables not only rapid product application
development and operationalization but
also the collection, analysis, and sharing of
humongous amounts of longitudinal data
generated inside and outside the products.
This unprecedented capability results in a
digital transformation life-cycle.
Fig. 2 | Technology stack of a digital operations center
on user behavior, distribute the information to
all stakeholders promptly, and display the
results— all within a single environment.
A DOC also enables the business to configure
alerts to identify issues proactively. For
instance, alerts for real-time user monitoring
and load testing integrations can ensure
continuous scrutiny of the manufacturing
environment to derive always—on insights
into every performance metric that the
business cares about.
Digital Operations Center:
Understanding the Technology Stack
The technology stack of a DOC comprises of
multiple layers, including new product
hardware, embedded software, a product
cloud consisting of software running on
remote servers, a suite of security tools, a
gateway for external information sources, and
integration with enterprise business

6. 04
Autonomy
Combining monitoring,
control, and
optimization allows:
• Autonomous product
operation
• Self-coordination of
operation with other
systems and products
• Self-diagnosis and
service
Optimization:
Algorithms optimize
product operation,
predict maintenance, and
prescribe appropriate
actions
Control:
Algorithms learn and
control product functions
and activities with alarm
notifications
Monitoring:
Sensors and external
data sources to monitor:
• Product‘s condition
• External environment
• Product‘s operation
and usage
ComplexityandskillRequirements
Business Value
Descriptive
What has
happened?
Diagnostic
What will
happen?
Predictive
What could
happen?
Prescriptive
How to prevent
what will
happen?
Persuasive/
Strategic
What is the
opportunity of
action?
Automated
What decisions
can be delegated
to a smart
system?
Digital Transformation Life-Cycle:
Enabling New Product Capabilities
Intelligence and connectivity enable an entirely
new set of product/asset functions and
capabilities in four areas.
#1 Monitoring
Embedded sensors in smart, connected
products enable comprehensive monitoring
of product condition, operations, and
external environment. Using data, a product
can alert users or others to the changes in
circumstances or performance. Monitoring
also allows companies and customers to
track a product’s operating characteristics
and history, to understand better how
it is actually used. This usage data has
important implications for design (by
reducing over engineering, for example),
market segmentation (through the analysis
of usage patterns by customer type), and
after-sale service (by enabling the right
technician to reach the location with the right
part, thus improving the first-time fix rate).
Additionally, monitoring data may also reveal
warranty compliance issues and new sales
opportunities, such as the need for additional
product capacity owing to high utilization.
#2 Control
Smart, connected products can be controlled
through remote commands or algorithms
that are built into the device or reside in the
product cloud. For instance, if the vibration of
bearings gets too high, a control algorithm can
help reduce the speed of the motor shaft.
#3 Optimization
The rich flow of monitoring data from
connected products, coupled with the
capacity to control operations, allows
companies to optimize product performance
in numerous ways, many of which were not
previously possible. Smart products are
capable of applying algorithms and analytics
Fig. 3 | Stages in digital transformation lifecycle enabled by DOC

7. 05
to in-use real-time or historical data to
dramatically improve output, utilization, and
efficiency. For instance, real-time monitoring
of critical parameters of a genset can enable
manufacturers to develop a predictive
maintenance suite to predict failures and
preempt them, thereby preventing financial
and production losses due to potential genset
downtimes.
#4 Autonomy
Monitoring, control, and optimization
capabilities come together to allow connected
products achieve an unprecedented level
of autonomy. At its simplest level, you have
autonomous product operations such as that
of the iRobot Roomba, a vacuum cleaner that
uses sensors and software to scan and clean
the floors in rooms with different layouts.2
Figure 3 depicts the various stages of a digital
transformation life-cycle, enabled by the
implementation of DOC. The key takeaway is
the enhancement of value offered to a
manufacturing company and its end
customers by the DOC as it progresses and
matures during the digital transformative
journey. It goes from initially providing
rudimentary reactive problem management
to a more prognostic or proactive, predictive
problem-solving, finally leading to a state
of autonomous problem management.
The complexity of activities and the skill
requirements of the staff manning the
operations center steadily increase as the
DOC matures, in turn, resulting in significant
cost and operational efficiency benefits to the
manufacturer.
Eight Steps to Building a DOC
Successfully
Building a DOC is no trivial task. It requires
buy-in at the executive level, as well as deep
technical know-how at the implementation
level. An extremely simplified breakdown of
the process comprises of these eight steps:
• Step 1: Have each functional team create
a list of all the data sources they regularly
monitor. This can serve as the basis for their
functional views within the DOC.
• Step 2: Audit the lists to determine any
overlaps/gaps to create cross-functional
views. Prioritize performance problems with
the biggest impact in terms of revenue or
customer experience, and start with these.
The goal is to get early wins with the DOC.
• Step 3: Create a wish list, research solutions,
and choose a platform for your DOC.
• Step 4: Build custom DOC frames that define
different views tailored to specific business
functions.
• Step 5: Determine the information sources,
visual configuration, and alerts required for
each audience or activity.
• Step 6: Build a single control application to
operate the DOC, allowing you to toggle
between framework-driven views, and
drill down to investigate issues, change
perspectives, and drive discussions.
• Step 7: Create alerts that automatically
bring important information to the forefront,
highlighting key milestones or issues
affecting performance.
• Step 8: Evolve continually to fine-tune the
performance at every step.
Enabling Digital Transformation
through DOC: A Use Case
Let us take the case of a hypothetical three-
phase induction motor manufacturing
company. Implementing a DOC can enable the
company to overcome business challenges by
reducing the total cost of operation, providing
insights into customer behavior, developing
new revenue streams, and proactively solving
issues (see Figures 4 through 9).

8. 06
Fig. 4 | Impact of DOC on Sales and Marketing
Fig. 5 | Impact of DOC on product design and development
• Enhances customer experience
• Identifies new revenue streams:
eg. subscription models
• Predicts motor demand accurately
• Prolongs life of motor product line
before onset of obsolescence
• Reduces marketing costs due to
targeted marketing and predictive pricing
Benefits:
Gain insights on
customer preferences
and experience on motor
performance from social
media & industry forums
Digital customer
relationship Management,
market segmentation,
targeted marketing
Motor pricing
models & analytics
Sales & marketing
analytics
Data-driven advertising
& measuring sales
channels’ effectiveness
Gain Insights on
Competitor Motor Sales,
Performance Feedback
Demand prediction,
sales forecasting, motor
product line lifetime
prediction before
obsolescence
Tracking usage &
utilization of motors
• Enables faster time-to-market
• Reduces failure rates and improved motor
reliability and quality
• Provides greater value to clients through
value-added features and on-going design
improvement
• Reduces product development costs
• Improves market share through
competitive advantage
Benefits:
Monitor motor assembly, part
performance, analyze failure to
improve design
Motor reliability analytics
& design improvement
Motor customization and
introduction of new variants
based on insights from
customer preferences
Gain insights from customer
feedback on motor performance,
quality, reliability through text
analytics of customer posts in
social media, industry forums, and
other digital channels
Data-driven product development,
new features’ introduction and
enhancements
Gain insights from Customer
Feedback on value added and non
value added features

9. 07
Fig. 6 | Impact of DOC on Procurement, Supply Chain, and Logistics
Fig. 7 | Impact of DOC on Manufacturing Operations and Product Quality
• Enables procurement-as-a-service
• Reduces risk from supply disruption through
supplier rationalization
• Enables real time status update of motor parts
anytime, anywhere globally
• Predicts delivery lead times
• Reduces inventory carrying costs
• Optimizes warehouse space
• Automates supply chain management-
as-a-service
Benefits:
Digital supplier management
& data-driven procurement of
motor parts
Track motor parts location,
status through smart tags
(RFID, BLE beacons etc.) at
vendor/supplier location
Digital category & service
procurement based on new
contract models for motor parts
Connected fleet management to
track physical asset movement &
delivery, field service vehicles
Intelligent, predictive
inventory management
Smart warehouse management
• Improves reliability & quality of products
• Connects shop floor decisions with corporate
level objectives of lowering manufacturing costs,
and reducing wastage
• Enables lean manufacturing
• Enables operational excellence and culture of
data-driven continuous process improvements
• Reduces costs due to poor quality
Benefits:
Connected shop floor & assembly
lines for real time manufacturing
asset health monitoring
Manufacturing operational
intelligence & unified KPIs
Smart quality assurance, testing
& predictive quality models
Smart inspection & metrology
instrumentation
Real-time monitoring of material
flows & manufacturing
bottlenecks
Additive manufacturing & mass
customization feasibility based
on customer preferences
Manufacturing asset manage-
ment & predictive maintenance

10. 08
• Reduces warranty costs
• Monitors motor operating health
instantaneously
• Improves Design
• Eliminates travel costs by enabling remote services
• Improves service tools and personnel efficiency
• Reduces inventory carrying costs by enabling
just- in-time inventory
• Boosts sales of high margin spare parts
Benefits:
Motor parts health score card &
predictive maintenance
Automated remote service
executive
Remote monitoring & manage-
ment of re-manufacturing center
Smart service/replacement parts
inventory management
Warranty cost management -
detection & prevention of
spurious warranty claims based
on real time monitoring
Real time service/replacement
parts tracking using smart tags
Smart user, operator training &
motor maintenance manuals
using AR/VR
Fig. 8 | Impact of DOC on Aftermarket Services and Support
Fig. 9 | Impact of DOC on the Manufacturer’s Workforce
• Enables agile workforce attuned to rapid changes
and challenges
• Enhances workforce health, safety, and productivity
• Workforce training & management as-a-service
• Workforce & cost optimization
Benefits:
Connected, mobile workforce
management through wearables for:
workforce tracking
monitoring workforce & health
Workforce productivity analytics
and optimization
Attracting, managing & retaining
talent through HR analytics
Workforce training through
e-learning based on AR/VR tools &
centralized knowledge management
Workforce and worker safety
monitoring & alerts on real time
basis

11. 09
About the Author
Sreekumar Narayana is an Assistant General
Manager in the Opportunity Management—
Corporate Strategy and Transformation team,
at Cyient. He has over 17 years of experience
in delivery management, pre-sales, and
consulting for the product, manufacturing
engineering, IIoT, and digital transformation
initiatives. He has led several system
engineering and consulting assignments on
M2M, connected products, smart metering,
and asset management programs. He is PMP
certified and a VA/VE solutions expert with
certification from Indian Value Engineering
Society (INVEST). He holds a Bachelor’s degree
in Engineering and a Post Graduate Diploma in
Business Management.
Making DOC an Integral Part of the
Digital Strategy
While a digital operations center allows
manufacturers to collect an infinite amount
of data about their businesses, it enables
much more than just tailored access to
a unified data set. It’s a decision-making
platform that creates a common language
around performance across a company—from
management to engineering. The result?
Manufacturers that make DOC an integral
part of their digital strategy stand to gain from
streamlined processes, reduced response
times, and data-driven decisions.
Footnotes
1
Deloitte, Press Release, MHI Survey:
Technology Adoption Rates Rise (Apr 2016),
accessed Mar 2017, https://www2.deloitte.
com/us/en/pages/about-deloitte/articles/
press-releases/deloitte-mhi-annual-report.
html
2
iRobot, http://www.irobot.com/For-the-
Home/Vacuuming/Roomba.aspx

12. 10
© 2017 Cyient. Cyient believes the information in this publication is accurate as of its publication date; such information is subject to change
without notice. Cyient acknowledges the proprietary rights of the trademarks and product names of other companies mentioned in this document.
Updated April 2017
About Cyient
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For more information, please visit
www.cyient.com.