Part 1: Intelligent production supply

Published on in Industry, Logistics of the future, Trends
2:30 minutes reading time

Manufacturing industry on the verge of change

What are global markets currently dealing with? Which developments are currently impacting the manufacturing industry? Beside the massive repercussions and challenges for manufacturing businesses resulting from the Covid-19 global crisis, issues such as insourcing, climate change, digitalization, artificial intelligence, demand-driven production are still ubiquitous.

Trend #1: Faster availability through insourcing

Years ago, common practice was to outsource production to countries that had lower labour costs, however, today there are clear signs that this trend is being reversed. Increasing digitalization and automation, as well as growing labour costs in other countries, are making outsourcing less attractive. Outsourcing production furthermore creates global supply dependencies that can come with grave consequences for entire sectors if failures occur.  That’s why more and more companies are opting for production in their own country, assuring availability. Intelligent technologies and automation are not only increasing speed and savings but are also making economic activity more sustainable and saving resources.

By using intelligent technologies and automation, resources can be allocated optimally and processes coordinated efficiently. Ensuring availability in addition to that makes production in the home country more attractive again.

Because of the trends in the manufacturing industry, systems must be able to cope with situations becoming less predictable and adapt quickly. This is our approach for our logistics systems. The use of intelligent technologies and the subsequent gains in efficiency will make the insourcing and automation of production and production logistics interesting for many companies in future.

Christian Brauneis
Christian Brauneis
Vice President Business Unit Industry

Trend #2: Sustainable production

“We see that manufacturing businesses are taking more and more steps towards sustainable production and the consistent reduction of CO2 emissions.  Naturally, technological advances play an important role in this context. Digitalization, artificial intelligence and big data can be used to automate and interconnect processes and to optimize the use of resources,” explains Christian Brauneis, Vice President of the Industry Business Unit at KNAPP.

Climate Change, CO2
Climate change is an omnipresent topic that is forcing the manufacturing industry in particular to rethink their ways of doing business. Technological advances make it possible to work more efficiently in terms of resources.

Trend #3: Fulfilling customer wishes

Another topic influencing production across all sectors is customization becoming more and more important. The increasing demand for customization is raising the level of variety beyond measure. The result is much smaller lot sizes, down to “lot size one”.

All these issues make production more complex and planning more difficult. How can this complexity be successfully managed? How do we respond to situations where planning is difficult? We’re convinced that the answer to such questions are flexible, adaptable and well-integrated systems that are controlled according to demand, using intelligent software.

Wolfgang Skrabitz
Wolfgang Skrabitz
Managing Director KNAPP Industry Solutions
Complexity, Individualization, Mass Customization
Individualization and mass customization down to lot size one is making production increasingly complex and less predictable. These requirements can be met with flexible and adaptable systems that are controlled according to demand, using intelligent software.

Trend #4: Data-driven production processes

A modern infrastructure is necessary to respond to changes at any time and in any place. With this merging of the digital and the real world, manufacturing businesses are strongly data-driven.  The enormous amount of collected data must be converted into intelligent information and provided at exactly the right moment. This intelligent information is an important basis for making the right decisions, for example, to respond promptly in adapting production systems and processes.

smart Application, Software
Smart applications on mobile devices allow production processes to be adapted quickly and reliably. This requires efficient processing of the collected data. This only works if the collected data is processed efficiently.

Translating manufacturing requirements into solutions

Beside the major trends and ensuring availability, which applies to most manufacturing businesses, each sector has its own specific requirements. Whether automobile manufacturer, electronics producer or jewellery maker: Our goal at KNAPP is to translate both the major market trends and the specific requirements into suitable solutions.

We make smart production logistics a reality by using dynamic and interconnected systems. In part 2 of this post we are showing you what these systems look like based on 4 examples.

2:30 minutes reading time
Anna-Carina Adam
Industry Solutions
From production to smart production: Digitization is at the forefront of the new trends and challenges facing production companies. Anna blogs about this topic, especially about the intelligent automation solutions for production. Autonomous mobile robots is another topic she researches and writes about.


Additional Information

Would you like to learn more about our solutions focussing on security of supply and industry solutions?

Click here to find out more about our technologies and references.

At KNAPP, we look forward to discussing ideas and requests with you to create new solutions. Feel free to contact us at