Quick adaptation to market conditions is the newfound mantra of current manufacturing companies, who must keep pace with the growing competition to cater to the dynamic customer requirements. Whether you are in the pharma, oil & gas, mining, or fast-moving consumer goods (FMCG) industry, survival of the fittest makes all the difference. In this context, shifting from traditional/lean manufacturing to agile manufacturing transforms the way you produce and deliver the products to your customers.
In this blog, we will discuss how agile manufacturing plays a key role in transforming supply chain operations and the key differences between lean and agile manufacturing. Lastly, we will discuss how a mobile inventory management solution can support agile processes.
Unlike traditional manufacturing, agile manufacturing provides a flexible and adaptive approach, enabling organizations to respond rapidly to fluctuations in customer needs and market requirements. It takes its roots from software development methodologies that typically involve key stages like iteration, bottom-up approach, flexibility, and augmentation. With an agile manufacturing approach, you can streamline production lines and drive quick prototyping and production management. This way, you tend to deliver products that meet the dynamic customer needs, translating into high levels of customer satisfaction and competitiveness.
Though the objective of both manufacturing systems is to enhance efficiency, however, both are distinct processes and here are some of the key differences:
| Characteristics | Agile Manufacturing | Lean Manufacturing |
| Key Focus | It is flexible and can easily be adaptable to dynamic production shifts. | Focuses more on efficiency and minimization of waste. |
| Industry Suitability | Fashion, Electronics, Pharmaceuticals | Automotive, Process Manufacturing |
| Production Approach | Involves quick prototyping and iteration. | Involves continuous improvement and standardization. |
| Market Dynamics | It is highly responsive to market dynamics. | Its responsiveness is quite lower in response to swift market shifts. |
| Technology Integration | Encourages adoption of innovative technologies. | Focuses more on process enhancement. |
Based on the above analysis, we can infer that agile manufacturing is more preferred than lean manufacturing since it enables organizations to swiftly adapt to market dynamics and customer tastes. In certain industries where trends change quickly, such as fashion or electronics, agile manufacturing lets companies remain competitive by quickly tweaking their production lines in tune with the current demands.
Agile manufacturing improves supply chain efficiency by connecting flexible systems for quick prototyping and production management. This way, organizations can swiftly adapt to dynamic consumer expectations, ensuring that production schedules sync with current market trends, thus enhancing customer satisfaction. Let’s take an example. In the pharma industry, agile manufacturers can shift from batch to continuous manufacturing for greater efficiency. This way, they tend to minimize production schedules and labor costs, while meeting customer expectations for swift delivery and improved quality.
According to the latest research, by 2025, 25% of manufacturing applications will be built on composable architectures, up from just 2% in 2022, highlighting the industry's shift towards agility and adaptability. Source: Tulip.
Additionally, the integration of AI and cloud technologies is driving transformation, with 88% of UK manufacturers planning to invest in AI and machine learning within the next year. Source: Columbus.
Leveraging a mobile inventory solution is crucial in an agile manufacturing setup. Using a mobile inventory management solution, you can get real-time visibility into production lines and inventory processes. With this solution, agile teams can swiftly identify and fix key manufacturing challenges, enhance production management, and improve customer satisfaction. When a mobile inventory management solution integrates with your in-house ERP system (Oracle or SAP), it offers two-way data synchronization, enabling cross-functional collaboration. In other words, using a mobile inventory solution, your workforce can easily scan the inventory and process transactions on the go that get synchronized at the back end. Similarly, your front-line workforce can easily access the backend ERP data anytime, anywhere, so they always have the latest data at their fingertips. This way, you cut delays and ensure meeting customer order cycles efficiently. This in turn supports quick prototyping and production adjustments.
In the above context, explore a cutting-edge, yet a cost-effective mobile inventory management solution like that offered by Propel Apps. This solution integrates with your in-house ERP system (Oracle or SAP) thereby empowering your workforce to access real-time data from ERP, perform simple tasks and get work done, devoid of lengthy manuals or comprehensive support from either business or IT. To know more about this solution and how it can add value to your organization's SCM landscape, schedule a free demo with us.
With the rapid evolution of the manufacturing landscape, adopting agile methodologies will no longer be an option – but a necessity for companies to remain competitive. By adopting agile manufacturing, you can optimize your overall supply chain operations by improving flexibility, responsiveness, and customer satisfaction. Moreover, by comprehending the principles of agile manufacturing over lean manufacturing, you can easily tide over the challenges in the current dynamic market.
Hence, implementing agile manufacturing supported by a good mobile inventory management system can drive high-level competitiveness and firmly place your business for long-term success. So, it’s time for your organization to make the right move to stand out among the crowd.
