Predictive maintenance, made possible by advanced technological solutions, is one of the main benefits introduced by Industry 4.0 paradigms. Manufacturing companies, with their permanent need to optimize operational efficiency and reduce costs associated with unplanned downtime, can benefit significantly, with a considerable positive impact on operating costs.

By integrating ERP systems with industrial IoT, IIoT, factories can implement effective predictive maintenance strategies based onreal-time data analysis and integrated resource management.

Predictive maintenance: containing costs and increasing efficiency

The improvement in maintenance offered by the combined use of management system with industrial IoT is far from theoretical: according to an analysis by McKinsey¹, companies adopting advanced digital technologies in maintenance can increase asset availability by 5% to 15% and reduce maintenance costs by 18% to 25%.

Given the magnitude of maintenance costs in an average industry, it is quite evident how a technological investment in this regard is bound to pay for itself in a very short time and already provide considerable savings in resources in the medium term.

Predictive maintenance in manufacturing: what are the benefits

Beyond the strictly economic aspect, predictive maintenance allows equipment failures to be anticipated through analysis of operational data, enabling targeted interventions before critical malfunctions occur. This proactive approach reduces unplanned downtime, improves productivity, and extends equipment life.

In addition, the ability to progressively enfranchise from preventive and emergency maintenance improves the safety of plants and facilities, and contributes to the creation of a work environment with lower accident risks. An important aspect in an era when employer branding is also key to reducing turnover and retaining workers and talent.

ERP and IIoT: technological foundations for predictive maintenance

Integration and data sharing between ERP and IIoT provide the technological basis for effective predictive maintenance. ERP systems centralize enterprise resource management and manage the planning and control of operations, dialoguing where necessary with systems closer to production such as MES or WMS.

The IIoT, through sensors and connected devices, collects real-time data on the status and performance of machinery. By combining these technologies, companies can continuously monitor operating conditions, analyze data to identify anomalies, and schedule maintenance work accurately.

The advantage of predictive maintenance also lies in the improved scheduling opportunity. Through the ERP that orchestrates production, interventions can be managed at times of lower productivity, for example, between two order queues or when the warehouse is temporarily full and unable to take in new goods.

Predictive maintenance with ERP and IIoT: three basic steps

What are the fundamentals of predictive maintenance? Of course, every company has unique and specific needs, but we can identify at least three basic steps for any business that wants to take advantage of predictive maintenance.

Implementation of IIoT sensors for continuous monitoring

Installing IIoT sensors on machinery to collect real-time data on critical variables such as temperature, vibration and pressure is the first step, in addition, of course, to making sure that the data collected flows into the enterprise data source. These readings provide a detailed view of operating conditions and enable early detection of any anomalies.

Integration of IIoT data into the ERP system

Ensuring that data collected from IIoT sensors are integrated into the ERP system for centralized management is, as we have seen, an integral part of the project. This makes possible data analysis and the generation of dashboards and other decision-making tools, which in turn enable a data-driven approach to predictive maintenance.

Using advanced analytics and Machine Learning

Applying machine learning algorithms to collected data to identify patterns and predict potential failures is the final element. Advanced analytics enable the development of accurate predictive models, improve the accuracy of maintenance interventions, and optimize operational efficiency.

Enabling technologies for predictive maintenance

In addition to the three indispensable steps listed above, implementing an effective predictive maintenance system requires a combination of indispensable technologies. We recall the main ones here:

  • IOT sensors and connected devices to collect real-time data on operational variables
  • Advanced ERP platforms to centralize data management and analysis
  • Big Data and machine learning that create predictive models to identify patterns of failures
  • Cloud and Edge computing to manage data scalably and reduce latencies
  • Advanced connectivity with protocols such as MQTT and 5GG networksDigital twins (digital twin) to simulate operating conditions to optimize forecasts.

ERP and IIoT for predictive maintenance: a winning combination

The combination of ERP and IIoT allows the opportunities of predictive maintenance in manufacturing to be fully exploited. In this way, companies can reduce costs and increase productivity, as well as foster operational sustainability and improve overall plant safety.

Do you want to know how to integrate IIoT technologies into your ERP system? Our experts are ready to answer your questions.

Source ¹: McKinsey.com website.