How OT Context Can Help Drive Digital Transformation

In pursuing the ambition of becoming a digital enterprise, IT leaders have tended to focus their attention on modernizing information systems.

Now, as integration of the entire product lifecycle comes into focus, greater emphasis is being placed on generating value on the data sourced from operational technology (OT) systems.

The sheer amount of data that operational systems typically generate requires some forethought. It isn’t just about collecting information from product development and manufacturing processes, rather it’s about making that information available across the lifecycle as part of a seamless and easily accessible digital thread.

By capturing and contextualizing information from OT systems and using it to improve outcomes along the value chain, manufacturers can be better positioned to deliver a better product, with greater consistency of quality and at the right economic commitment.

Gaining OT context

According to Gartner, OT is the “hardware and software that detects or causes a change through the direct monitoring and/or control of physical devices, processes and events in the enterprise”. Implicit in this definition is the integration of the physical and virtual worlds. OT systems are becoming more like IT and are increasingly sharing fundamental core technologies, such as OS and communications stacks based on an ISA-95 framework. The convergence of these two conventionally disparate worlds is therefore now a critical component of a connected industrial IoT environment.

The drive towards automation in the IT world is well advanced. Process technologies such as Robotic Process Automation are well-established means for increasing efficiency and reducing the risk of human error. Focus is now shifting towards bringing the same level of efficiency to the operational world, in turn developing an integration between these two sides through IoT platforms and digital processes.

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Establishing this relationship can provide stakeholders with on-demand information on anything from machine performance, manufacturing operations and process efficiency to quality, variance, and cost management in product development.

Therefore, gaining context from OT involves capturing information from the machine layer to ensure that what’s being produced – including how it’s being manufactured and the resulting quality of those products – ties back directly to business objectives and customer demand.

Using OT context to connect the digital thread

Integrating OT data into business decision-making is crucial for improving processes and controlling variability in highly complex, multi-variant environments. Data can mean different things depending on the recipient’s role and functions, and so it’s important that the information drawn from production systems is contextualized based on the specific needs of the person using it.

By establishing greater contextualization at an OT level, all systems that depend on this data can be integrated by a seamless digital thread. A digital thread seeks to create homogeneous and universally accessible data standards across different businesses processes and functions. The OT data from each part of that process can bring value to other parts of the chain, like aiding in the design and development of new products, or servicing products in-market.

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Organizations will always want to be more agile. They want to avoid down time, be more efficient, and reduce their time to market as much as possible. By taking a data-driven approach to manufacturing operations, decision makers can structure improvements into their processes over time, not only helping increase the consistency and predictability of production but also provide better delivery to customers at an optimized cost.

From the early discovery phases of a product, through development, manufacturing, and then in-market, improving the quality and integration of data leads to better decision making at all stages. Business continuity is highly valued and so for C-level executives and other decision makers, having access to the right data from across the supply chain and production operations makes the task of identifying bottlenecks and sources of inefficiency far easier.

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An integrated future

The manufacturing industry has taken great strides towards digital transformation. While still an evolving area, the manufacturers that are collecting and acting on OT context as part of their integrated decision making are already seeing massive efficiency benefits.

As we move further towards automation in production environments, having the systems in place to draw information from the equipment and the product development process and present it contextually to different levels of the organization and parts of the value chain will take on far greater importance.

The starting point is to bring a layer of intelligence to operational systems that conventionally has never been possible. By taken a data-driven approach across both IT and OT systems, and then linking directly into organizational decision-making processes, manufacturers can accelerate their transformation objectives. From product design and plant management through to finance and the C-suite, the data collected will help shape and measure the effectiveness of business operations, both from an internal efficiency standpoint and, importantly, from the perspective of satisfying customer needs.

You can find out more about driving a successful digital transformation at the Management Perspectives hub. There, you’ll find insights and expertise to help you unify your people, processes and technology and achieve better business outcomes.

Published February 2, 2022

Sarah Dana

Head of Information Solutions, North Europe, Middle East & Africa

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