Manufacturing Automation: Keeping the lights on: Pandemic underscores need for cloud-based systems
With new reports indicating Canadian manufacturers are not reaching the full potential of their cloud investments, identifying a sound strategy is more crucial than ever
Cloud-based services have enabled rapid pivoting for manufacturers throughout the course of the COVID-19 pandemic, allowing them to quickly deploy production and supply chain adjustments – that is, if they already had a successful implementation of the technology in place.
For those that didn’t, the pandemic has stressed the importance of off-premises solutions – not just for remote working, but to improve processes across the value chain. In the recent article “Making the Cloud Pay,” McKinsey & Company highlights R&D, procurement, manufacturing, supply chain and sales as just some of the areas that the cloud can benefit.
According a McKinsey survey of 750 respondents, company leaders face two diametrically opposed factors when it comes to the cloud. First, company leaders who already employ a cloud-based solution estimate that 30 per cent of their total spend is wasted on ill-advised solutions. Second, leaders expect to increase their spending on cloud initiatives by 47 per cent in 2021 in order to keep up with the marketplace.