As part of our comprehensive survey on the current state of digitalisation in the confectionery industry, Arsandis engaged in discussions with various machine manufacturers. Our primary objective was to gain valuable insights, with a particular focus on medium-sized companies employing between 50 and 99 individuals. However, our survey encompassed a diverse range of participants, including a few very small and very large companies, as well as those with employee counts ranging from 20 to 49 and 250 to 500.

By Sylvie Loos

To assess the extent of digitalisation within the confectionery industry, an in-depth analysis was conducted across various departments within the surveyed companies. The organisational framework was categorised into the following key areas: product development, manufacturing, technical documentation, logistics, maintenance/after-sales, sales/marketing, and purchasing.

Regrettably, certain companies could only provide limited or no information regarding the intricacies of processes within different domains. This challenge stemmed from the inherent complexity of their organisational structures, making it difficult to provide unequivocal statements.

Technical documentation, marketing, product development, and purchasing have embraced digitalisation, yet there is room for improvement in manufacturing. Overall, the confectionery industry presents opportunities for expanded digitalisation, featuring a mix of partially autonomous processes, manual interventions, and notable gaps in certain areas.

Within the realm of Industry 4.0, companies have access to a variety of digitalisation solutions, including 3D CAD design, product data management (PDM), virtual reality (VR), and artificial intelligence (AI). These tools not only enhance virtualisation but also present opportunities for process automation and unified data management across various operations.

Within our survey, we discussed with companies a representative array of digitalisation options. Our examination delved into the current utilisation of these solutions within their operations and shed light on potential digital initiatives slated for the future.

Upon initial inspection, it becomes evident that over 90% of companies currently use a 3D CAD design solution, such as Creo or SolidWorks. These software tools provide product developers with the capability to model and design individual components or complete machines in three dimensions.

Customer Relationship Management (CRM) systems are frequently integrated into the organisational framework to streamline processes and workflows. The application of such systems proves beneficial across all sectors, making their implementation particularly advantageous in the production of confectionery machines, leading to cost and time savings.

An observable trend is the integration of artificial intelligence (AI) in surveyed companies, leveraging technologies such as ChatGPT, voice assistants, and more. AI is utilised for customer support and automated data analysis. Given the relatively novel nature of AI adoption, it is understandable that many companies approach it with skepticism. Our evaluation indicates that, at present, many are not fully prepared to embrace AI as a significant aspect of their future strategies.

PLM systems have not yet gained widespread adoption in the confectionery industry, and there is a low inclination to introduce them. However, a PLM system serves as a pivotal element within manufacturing enterprises, aggregating product-relevant data from the development phase to customer utilisation. This data is intelligently interconnected, enabling the automatic generation of parts lists, manufacturing process plans, technical documentation, technical illustrations, and spare parts catalogues from the original engineering data. Configuration management is crucial for personalisation. Windchill by PTC stands as a notable example of such a solution.

Artificial intelligence, virtual reality, and mixed reality present compelling avenues for additional digitalisation solutions. These relatively recent technologies in the manufacturing industry enable virtual training for employees on machinery and elevate customer support to new heights.

The applications span diverse areas, and nearly one-third of the surveyed companies are already leveraging one of these technologies for employee training or customer support. Mr. Plies, Head of Digitalisation/CDO at Winkler und Dünnbier, shared that the company is actively advancing internal research in the AR/VR domain, with a future objective of providing training directly to customers.

Finally, it is worth emphasising cloud computing as a digitalisation solution. Companies can leverage shared computer resources for data storage or computing power. Currently, 48% of respondents are already operating in the cloud, with Nera Technologies, for instance, managing all its drawings there. Additionally, 12% of respondents are planning to incorporate cloud computing into their operations in the coming years.

Implementing new digitalisation initiatives necessitates thoughtful decision-making, as they entail considerations beyond financial aspects, demanding a substantial investment of time, meticulous planning, and ample resources. In our comprehensive survey, we engaged with companies in the confectionery industry to discern the challenges that have historically obstructed or posed persistent barriers to the successful implementation of digitalisation initiatives within their operational framework.

The outcome is evident: The scarcity of time or resources significantly impacts the choice of a digital solution. Mr. Tschannen, founder of Nera Technologies AG, emphasised the need for a motivating impetus to succeed: „ A compelling force is essential to rally coordination and enthusiasm for digitalisation initiatives.“

Numerous businesses face challenges in embracing innovative digitalisation solutions, primarily attributed to a strategic vacuum. The abundance of available options, intricacies embedded within their internal processes, and the formidable hurdles associated with seamless integration frequently dissuade companies from wholeheartedly embracing digital transformations.

Fortunately, a growing number of consulting firms, exemplified by industry leaders like Arsandis, have finely tuned their expertise to navigate organisations through such transformative initiatives. These specialised consulting entities not only furnish strategic guidance but also offer tailor-made system integration solutions, addressing the distinctive needs of each client.

Many entrepreneurs display hesitancy towards embarking on digitalisation initiatives, primarily driven by apprehensions surrounding elevated expenses, including costly licenses, and consulting services. The anticipation is that these investments should yield substantial returns for the company over the long term. However, the experiences of Winkler & Dünnbier Süßwarenmaschinen GmbH illustrate that the investment in digital solutions proves to be worthwhile. Beyond financial benefits, these digital initiatives also lead to enhancements in production and improvements in the service domain.

The unstoppable wave of digitalisation is reshaping the industrial landscape, emphasising the need for machine manufacturers to actively embrace this evolution. The key lies in a strategically well-thought-out approach, viewing digitalisation not merely as an unavoidable change but as a gateway to sustainable success. For machine manufacturers, navigating this complex shift requires effective strategies for forward movement. How can they best approach this challenge to ensure a seamless transition and long-term viability?

Initiating a comprehensive company-wide strategy is the initial imperative. The crucial question arises: What overarching objective does the company aim to achieve? Is the focus on expediting product launches, streamlining innovation processes, or maximising service-side profits? Precision in defining this goal is crucial, as it establishes the groundwork for aligning subsequent steps in the digital transformation in a focused and effective manner.

Next, a meticulous analysis of the current situation is imperative. This involves a precise evaluation of existing processes and the identification of areas with the potential for improvement through digital optimisation.

The subsequent critical phase involves establishing clear goals. It is essential to articulate the specific outcomes expected from digitalisation. These may encompass enhancements in efficiency, improvements in quality, or the exploration of new business areas. These goals should not only be ambitious but also realistic and measurable, facilitating effective progress monitoring.

Digital initiatives infiltrate companies through various channels. While one department equips machines with sensors, the next may be investing in a customer portal. The engineering team is contemplating the introduction of a Product Data Management (PDM) system, while simultaneously, there are ongoing expansions of the ERP system.

Frequently overlooked is the intricate interconnection of all facets within a company. The central element is always the product itself, the machine. This raises important questions: How can information from services swiftly integrate into product development to foster quality and innovation? When encountering manufacturing issues: How can you instantly verify the original design in this specific product configuration? And when ordering spare parts: How can you visualise the product configuration as it was approved for production?

Instances like these underscore the importance of having comprehensive access to data and ensuring its seamless connection across all departments. Only by adopting a holistic approach to digital processes can a company advance successfully and position itself optimally.

Certainly, several other factors warrant consideration. For instance, how can you seamlessly integrate suppliers and partners into your processes? How can global collaboration be fostered efficiently? Moreover, how can product data be easily customised to accommodate diverse customers, markets, or geographical regions without duplicating existing information?

Following this, intricate, system-critical considerations arise regarding the classification, reuse, and versioning of data. Even in the domain of special machine construction, the principle holds that one does not reinvent the wheel every day.

A Product Lifecycle Management (PLM) system serves as the foundation for every manufacturing company and is essential in the context of digitalisation. However, many hesitate to adopt such a system, as it necessitates a comprehensive overhaul of the company's operational processes.

A PLM system facilitates the centralised management of product data, accessible to all relevant stakeholders in a suitable format. It avoids redundant data creation and allows for specific adaptation and reuse. Bills of materials (BOMs) can be adjusted for different departments or locations, and external participants can be integrated as required. To complete the overall framework, the PLM system is seamlessly integrated with the ERP system. It is important to note that a PLM system is not designed to manage sales, customer data or spare parts inventories, just as an ERP system is not intended to act as a central data repository for product information.

Before embarking on a digital journey, it is crucial to outline well-considered and streamlined processes in a customised roadmap to comprehend the implications across the organisation. A digital initiative goes beyond the mere deployment of new software components and demands a comprehensive approach to ensure effectiveness.

Machine Manufacturers for the confectionery industry are experts in mechanical and food engineering but may not be necessarily well-versed in digital technologies. It is highly advisable to engage IT service providers from the manufacturing industry as partners for digital evolution. These experts bring valuable know-how and tailor-made solutions to effectively harness the potential of digitalisation.

Collaboratively, confectionery machine manufacturers and IT consulting specialists can drive innovation by leveraging technologies like the Internet of Things (IoT), artificial intelligence (AI), and big data. By gradually integrating these technologies, processes can undergo continuous optimisation, paving the way for the development of new business opportunities.