The Imperative to go Digital for Discrete Manufacturers

Forward-thinking discrete manufacturers are aware that digital transformation is essential for profitable growth and sustainable competitiveness and that the move to digital and the promise of Industry 4.0 is changing the game. Smart, connected products, plants, assets and operations offer the potential for productivity gains, increased quality, cost savings, and improved revenue.
The combination of the maturity on industry- specific solutions – such as 3D printing, IoT, or augmented reality –with the ability of SAP solutions to provide the Digital Core – with SAP S/4HANA now covering all Lines Of Business – as well as customer- centricity with SAP Hybris, allows Capgemini to provide a co-innovation platform with SAP for clients to develop a digital strategy for the next generation of manufacturing

Why Capgemini and SAP?

The initiative aims to address the challenges facing today’s discrete manufacturers by combining SAP’s market-leading suite of enterprise application software and digital solutions with Capgemini’s unmatched depth of digital transformation, industry and SAP technology expertise, spanning consulting, insights and data, cloud and digital manufacturing.

Going digital creates significant opportunities for companies in the discrete manufacturing industries. The “Fast Digital 4 Discrete Industries by SAP and Capgemini” initiative helps manufacturers create smart, connected products, assets, and operations that offer the potential for time-to-market reduction, productivity gains, cost savings, and new revenue streams.

Capgemini and SAP plan to innovate and invest in the development of new applications and extensions on SAP HANA Cloud Platform, all while engaging with an ecosystem of start-ups and vendors in the manufacturing space to provide clients with end-to-end solutions.

Capgemini and SAP jointly help clients in the discrete manufacturing industries to accelerate their digital transformation as they seek to maximize the potential of IoT, cloud, big data & analytics and smart automation (robots, 3D printing).

Joint pre-defined use cases in the digital customer, smart operations and new business models space are the starting point of journey with our clients to engage with Capgemini and SAP, by exploring together the challenges to be addressed, the expected impacts, examples of available solutions, reference architectures, and how to co-innovate leveraging the SAP platform. These use cases include customer 360°, extended supply-chain/track and trace, predictive maintenance, augmented shop floor and IoT service platform.

Customer 360°

Discrete Industries clients are facing major changes in customer behavior and increased complexity of sales channels to reach and understand final customers (B2B2C). Embracing the key domains for customer centricity in this industry – Sales, Service (field service, aftermarket sales/service) and Marketing, Customer 360° use case aims at helping clients to deliver more relevant, seamless and personalized interactions to customers and suppliers, through an omni-channel approach covering the entire end-to-end processes.

Extended Supply Chain, Smart Planning, Track & Trace

Planning, Execution and Tracking has transitioned into the core of business operations, deciding how reactive, agile and resilient a company can negotiate the fast paced digital economy. Demand is volatile in a buyers’ market. This means that supply chain departments need to solve the conflict between scalable business, operational speed and protecting profitability. When addressed correctly this can result in:

  • lower revenue loss due to stock outs,
  • improved supplier efficiency,
  • lower supply chain costs,
  • stability in distributed supply chain,
  • reduced time to market.

Augmented Shop Floor and Connectivity

The simplification of assembly instructions or the streamline and simulation of processes at the shop floor is essential to improve agility and quality. This means 3D augmented connectors using ERP data for shop floor, or simulation of connected machines (robots, etc.) ultimately improving overall manufacturing time and cycles.

Predictive Maintenance

Improve service profitability and enable new business models through predictive service is imperative for asset manufacturers. For operators, improve overall equipment effectiveness through predictive maintenance is essential to the longevity of the business.
Innovative solutions in predictive maintenance should target specific outcomes that manufacturers are always looking for such as:

  • increase equipment effectiveness,
  • improve decision making and monitoring,
  • reduce spare parts inventory and maintenance costs,
  • improve the first visit fix rate.

IoT Service Platform

The purpose here is to enable new business models and generate new service revenue streams by offering a foundation for seamlessly and securely connected devices, delivering trusted information to systems and delivering business insights.
The exponential deployment of IoT can be leveraged by manufacturers to:

  • reimagine the business with new products, services, and business models,
  • gain insights into combination of OT (Operational Technology) with IT (Information Technology) via a tight integration of shop floor with business solutions, allow a quicker monetization of asset data with end-to-end solutions,
  • increase operational efficiency and reduce costs by remote diagnostics and fixes.

Capgemini also utilizes an agile model for business transformation based on its Digital Transformation Framework specifically tailored for the manufacturing industry and spanning the exploration, design and development of specific solutions to enable new business models and scenarios.

Capgemini’s Digital Transformation Framework provides the foundation for customers in discrete industries to embark on their digital transformation journey. This proven methodology enables Capgemini to assess the manufacturer’s digital maturity and identify any gaps that need to be closed before the company embarks on its digital transformation. It has helped many clients in the manufacturing space achieve digital excellence and drive real business value.

With a network of global Applied Innovation Exchanges and an ecosystem of technology partners, we allow our clients to drive their path of innovation at their own speed and ensure that their digital investments deliver sustainable competitive advantage.

Are You Ready for the Digital Age?

After a long ERP story, manufacturing IS/IT evolutions will be driven by products, machines and real-time interactions. Security, Connectivity, Analytics and Cloud will form the new IT foundations. The question now remains – are you ready?


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Read the latest Press release:
Capgemini and SAP to address jointly the Digital Transformation needs of Discrete Manufacturing Industries through their partnership