I’m sure at least once in your life you’ve heard the saying, ‘Work smarter, not harder.’ But what a cliche, right?! Well, for those of you managing your Bill of Materials (BOMs) in Excel, it’s time to step away from the cell block prison (pun intended).

In this article, we’re going to break down what it actually means to revitalize your BOM strategy with the Digital Thread to start seeing the results you want.

What Is The Digital Thread?

First of all, let’s start with the basics. The Digital Thread is a term used to describe the seamless flow of information throughout the manufacturing process. From design and engineering to production and after-sales support. It provides a way to connect all the data and information generated at different stages and from systems of the product lifecycle.

Generally, the Digital Thread provides value by enabling better visibility and control of any processes that require or produce product data. It enables manufacturers to collaborate more effectively, automate and optimize workflows, and quickly respond to changes. All while adjusting quickly to customer needs. 

Bill of Materials (BOM)

Next, let’s break down the concept of a Bill of Materials. A complete Bill of Materials (BoM) list usually contains all of the parts and components needed to create or manufacture an end product. You might think of a BoM as a recipe ingredient list. The information about each part can include details such as part names, part numbers, quantity required, and cost per unit. Not to mention, BoMs contain other relevant part details such as material type, color, or size if applicable; supplier information; serial numbers, etc.

By consolidating and organizing all the pertinent information product information, the BoM becomes a centralized resource. A critical resource that facilitates the manufacturing processes of specified products.

Ultimately, the goal of the BoM is to help track inventory and verify missing parts during assembly. Equally as important, BoMs are critical to support a healthy supply chain, as well as help with purchasing decisions and more.

The Digital Thread and Bill of Materials Working Together

Balancing a plethora of product information – it’s no surprise, the best BoM management strategy used within the industry does not leverage solely Microsoft Excel. Nor does it rely upon one Enterprise resource planning (ERP) system. Instead it works to unite data from multiple systems into a single source of truth. 

Sounds great doesn’t it? But, if you’re like most – your product data lives all over the place in different systems from different departments. This situation tends to create data siloes resulting in time-consuming manual tasks using outdated operational processes. Generally, these are some of the biggest problems that inhibit manufacturers from achieving their business initiatives. 

Oftentimes, during our EAC Assessments, we hear multiple teams across the enterprise and different management levels are frustrated by broken processes. In short, there is a lack of key information employees need to do their jobs right, at the time they need it most.

Meanwhile, the digital thread uses advanced technology (such as product lifecycle management systems as well as the Internet of Things) to connect critical disparate processes. This, in turn, helps minimize manual tasks, and breaks down data siloes. Implementing the digital thread to your BoM strategy creates a major impact for all stakeholders involved. For instance, design teams, engineers, manufacturing, assembly, operations, finance, purchasing, and even marketing. 

How The Digital Thread Supports Engineering

Furthermore, the Digital Thread plays a crucial role in supporting engineering and bill of materials (BOM) management by providing seamless connectivity and accessibility to relevant data throughout the product lifecycle. Here’s how the digital thread benefits these areas:

1. Engineering Collaboration

Firstly, the digital thread allows engineers to collaborate effectively by providing a centralized platform for sharing and accessing engineering data. This facilitates cross-functional collaboration, enables real-time communication, and reduces errors or miscommunications during the design and development process.

2. Design Consistency

Secondly, the digital thread ensures design consistency by maintaining a single source of truth for engineering data. Changes made in the design phase are automatically propagated throughout the digital thread, ensuring that all related documents, models, and specifications remain synchronized.

3. BOM Accuracy and Visibility

The digital thread integrates BOM management, configuration management, and BoM transformation capabilities. This enables accurate and up-to-date BOMs, as the data will automatically reflect changes. Additionally, it provides real-time visibility into the BoM status, including component availability, sourcing information, and cost implications.

4. Change Management

Next, the digital thread streamlines change management processes. By automating change notifications, approvals, and tracking. Essentially, it ensures that engineering changes are effectively communicated, documented, and implemented across the relevant stages of the product lifecycle, minimizing errors and delays.

5. Manufacturing Process Optimization

By connecting engineering data with manufacturing process management, the digital thread enables better coordination and optimization of production processes. By in large, system and data integration allows for improved manufacturing planning, efficient resource allocation, and reduced lead times.

6. Enhanced Visualization and Analysis

Another example includes leveraging augmented reality (AR) design sharing to provide visual representations of designs. In detail, enabling stakeholders to view and analyze products in a virtual environment. It’s recommended to use AR to enhance design reviews, simplify communication, and facilitate better decision-making.

Overall, the digital thread improves engineering and BoM management. Markedly, by streamlining processes, enhancing collaboration, ensuring data consistency, and providing visibility across the product lifecycle. It promotes efficiency, accuracy, and agility in engineering and BoM-related activities. Leading to improved product quality and faster time to market in the long run.

How A Digital Thread BoM Strategy Streamlines Manufacturing

Simultaneously, the digital thread plays a significant role in enhancing the bill of materials (BoM) management for manufacturing, assembly, and quality control processes. In sum, here’s how the digital thread benefits these areas:

1. Manufacturing and Assembly Planning

The digital thread enables seamless integration between the BoM and manufacturing planning systems. It provides real-time visibility into the BoM, ensuring accurate and up-to-date information for manufacturing and assembly operations. This allows for efficient production planning, optimized resource allocation, and improved scheduling in all.

2. Supply Chain Integration

By connecting the BoM with supply chain management systems, the digital thread enhances supply chain visibility and collaboration. It enables better coordination with suppliers, accurate tracking of component availability, and improved procurement processes. As a result, it minimizes the risk of production delays and ensures timely delivery of materials.

3. Work Instructions and Assembly Guidance

Thirdly, the digital thread facilitates the creation and dissemination of detailed work instructions and assembly guidance based on the BoM data. This ensures that assembly operators have access to accurate and step-by-step instructions, reducing errors and improving productivity on the shop floor.

4. Quality Control and Traceability

The digital thread enables better quality control and traceability throughout the manufacturing process. By integrating the BoM with quality management systems, it ensures that quality requirements and specifications are adhered to during production. It also enables traceability of components and materials, making it easier to identify and address any quality issues or recalls.

5. Continuous Improvement and Feedback Loop

Additionally, the digital thread supports continuous improvement initiatives by capturing data and feedback from manufacturing and quality control processes. It enables the analysis of production data, identifies areas for improvement, and facilitates data-driven decision-making to enhance manufacturing efficiency and product quality.

6. Post-Market Monitoring

Finally, the digital thread extends beyond the manufacturing phase to support post-market monitoring and quality assurance. Integrating BoM data with field service management systems and customer feedback enables organizations to identify and address product issues, initiate product improvements, and provide timely support and maintenance.

All in all, the digital thread enhances BoM management for manufacturing and assembly processes by ensuring accurate and up-to-date information, facilitating supply chain integration, enabling effective work instructions, improving quality control, supporting continuous improvement efforts, and enabling post-market monitoring. Concurrently, it streamlines operations, improves product quality, and enhances customer satisfaction.

The Polaris Story

Polaris utilized PTC Windchill, an advanced product lifecycle management system, to transform their Bill of Materials into a reliable new business model backbone. As a result, it allowed them to create a connected enterprise.

Windchill PLM combines the digital thread framework with a maximized BoM and change management strategy. This powerful product lifecycle management platform organizes all information associated with the development of its products, allowing every stakeholder to access the latest up-to-date information in a dynamic format.

Once it was clear to Polaris that they had outgrown certain tools and processes, they coordinated and synchronized a digital thread of data throughout the enterprise by leveraging PTC Windchill.

As of today, Polaris’ Windchill PLM system enables them to manage and organize the bill of materials (BoM) and implemented configuration management practices. This helped transform their BoMs as needed, effectively managing changes, overseeing manufacturing processes, and utilizing augmented reality (AR) design-sharing capabilities.

By orchestrating these elements, the digital thread ensured seamless connectivity and flow of information across different stages and departments within Polaris. This enabled improved collaboration, streamlined workflows, effective change control, and enhanced manufacturing processes. On top of giving the ability to share and visualize designs using AR technology.

• Creo Illustrate for AR Developers
• Minimum Windchill Implementation to Achieve Significant ROI
• Augmented Reality and Expert Capture
• Model-Based Definition
• Assessing Your Business Practices to Find Optimization Opportunities
• Rapid Prototyping Made Simple with Creo Additive Manufacturing
• Simulation-Driven Design with Creo Simulation Live

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The benefits of digital transformation include:

• Improved customer experience: Digital transformation can help you better understand and meet the needs of your customers. With the use of data analytics and other digital tools, you can gather insights into customer behavior and preferences, and tailor your products and services accordingly.
• Increased efficiency and productivity: Digital transformation can automate many processes, reducing manual labor and freeing up staff to focus on higher-value tasks. This can lead to increased efficiency and productivity across your organization.
• Competitive advantage: By embracing digital technologies, you can stay ahead of your competitors and differentiate yourself in the marketplace. This can help you attract new customers and retain existing ones.
• Cost savings: Digital transformation can help you reduce costs by streamlining processes and eliminating unnecessary steps. This can lead to significant savings over time.
• Innovation: Digital transformation can open up new opportunities for innovation and growth. By embracing new technologies and ways of working, you can develop new products and services that better meet the needs of your customers.

Adopting the Right Technology

The first step in digital transformation is choosing the right technology. You’ll want to consider:

• Software: What are your current needs and how will they change over time? Will you need additional features or functionality?

• Hardware: Do you have enough computing power and storage space for all of your data, or does it need to be scaled up or down depending on usage patterns at different times of day/year/etc.? Do you have sensors to track data that you need for production insight?

• Tools: What tools do developers use to build applications on top of this platform (e.g., Creo vs. Solidworks)? How easy is it for them to integrate their code with existing systems like databases and messaging queues? Are there any security issues with using these tools – and if so, how can they be mitigated by using another tool instead (e.g., switching from MySQL database server software to Microsoft Azure).

Implementing the Digital Transformation Plan

• Develop a timeline. The first step in implementing your digital transformation plan is to develop a timeline with milestones that will help you track progress.

• Set goals and objectives for each milestone. Once you’ve established your milestones, it’s time to set goals and objectives for each one of them so that everyone involved knows exactly what needs to be done at any given time during the project.

• Track progress regularly by reviewing dashboards or reports generated from data collected during testing phases of development projects (if applicable). It’s important not only for managers but also employees on lower levels within organizations who may not have access

Monitoring and Evaluating Performance

Monitoring and measuring performance is an important part of the digital transformation process. It allows you to identify areas where you are successful, and areas that need improvement.

Monitoring can be done using a variety of tools, including:

• Data Analytics Dashboards (e.g., Thingworx Analytics)

• Real-time Data Share (e.g., Windchill, EAC Productivity Apps)

• Digital Twin Performance (e.g., Augmented Reality)

Communicating the Benefits of Digital Transformation

In order to communicate the benefits of digital transformation, it’s important to understand who your stakeholders are and what they want.

If you’re working in an organization with a large number of stakeholders (such as a government agency), then there may be multiple groups that need convincing. For example:

• The board wants to see results from their investment in IT infrastructure. They’ll likely be interested in metrics such as ROI and cost savings.

• Executives want quick wins that will help them achieve their goals, but they also need proof that this new approach will work before they can commit time and resources to implementing it throughout the organization.

• Employees want something tangible they can hold onto when explaining why this change is important for them personally (and why it matters).

IoT has a plethora of benefits for manufacturers that overall saves companies time and money, and solves frustrations with outdated processes and siloed data.

Bellow are different ways the IoT solutions could benefit your production process:

Asset Monitoring & Utilization (AMU) & Real-Time Production Performance Monitoring

• Gain real-time insights from connected assets and legacy systems such as your PLM and ERP systems to align your IT and OT systems

• Make more informed decisions faster

• Increasing flexibility and agility

• Monitoring the status of inventory in real-time

• Quality Control

• Monitoring Distributed and Outsourced Processes

• Spare parts management

• IoT sensors allow organizations to gauge the specific use and deploy practices for more effective usage of resources.

Machine Learning & Predictive Analytics

By integrating machine-learning capabilities there is a whole new level of predictive intelligence brought to the factory floor – identified problems and resolved issues with minimal impact on operational performance. Other benefits include: 

• Detect problems before they occur

• This helps to maximize factory production utilize data analytics to perform predictive maintenance

• Optimizing Maintenance Schedules

Automation & Connected Work Cells (CWC)

In manufacturing, many processes are streamlined with IoT technology. For example, one IoT strategy is to use Automation. With IoT, using sensors allows you to automate certain tasks such as temperature monitoring or product tracking.

This means less time spent on manual labor and paper-based processes while increasing productivity simultaneously!

Safety & Compliance

Making sure that machines are running at a safe capacity and within the compliance standards creates a well maintained work area that brings employee satisfaction and confidence in a safe workspace.

All these things can be tracked through IoT technology, along with others: 

• Increasing energy efficiency of machines

• Reduce human errors

• Ensuring Products Comply with Set Standards

• Increased employee and customer satisfaction

OEE Visibility & Productivity

A factory enhanced by IoT solutions offer complete visibility into all of your factory operations. You can see all of your work orders, lines, and all critical KPIs through dashboards that pull together 

IoT sensors allow organizations to gauge the specific use and deploy practices for more effective usage of resources.

• Cost reduction

• Increase bottom line

• Decreased Machine Downtime

• Optimizing Factory Production

• Reduced lead time

• Improved efficiency

• Improvement of Operational Performance

These are just some of the many ways companies can reach their goals with Industry 4.0. With out-of-the-box solutions or even custom IoT apps, the possibilities are endless.

They say a picture is worth a thousand words, so here’s a hypothetical situation to paint the story ‘how real-time information and predictive analytics unlock value.’

To start, imagine a fully functioning assembly line with a robot, a pneumatic system, a series of conveyors, and a vision system.

Let’s pretend the supply station in the back is bringing in our raw materials. The robot is assembling those materials with precision. The resulting assemblies are then passed on to the quality station, and the vision system inspects each of those assemblies to ensure proper alignment of the parts.

This is a pretty generic operation, but it can show how unified real-time information and predictive analytics unlock value.

Now imagine yourself as a maintenance engineer, who wants to check the status of your asset pool.

Using software, such as ThingWorx Navigate by PTC for example, you launch a role-based maintenance application. All of a sudden you see a complete list of your assets with real-time performance stats and relevant alerts or notifications. You also have a complete list of all your outstanding maintenance work orders.

From here, you have the ability to drill into any of your assets, but you start with the quality station. You immediately see the key characteristics of the station.  You see that speed vibration and temperature are all operating within their specified range. You could also see notifications of any warnings, malfunctions, or potential future problems.

Next, you use your device to take a look at the pneumatic system.  The pneumatic system also looks fine. Both pressure and flow are operating within the specified range, and there are no outstanding maintenance tickets or work order notifications on your screen.

Now, let’s consider a situation where there was a leak in the pneumatic system.  Let’s say a loose fitting was releasing pressure, a fairly common problem in pneumatic systems. Now, rather than looking fine,  your device displays flow readings outside of the designated operating range. Furthermore, an alert has automatically been sent to notify you that a system has an error. The overall status indicator on your screen has now switched from green to orange – operational, but not optimal.

Your software solution’s machine learning is now predicting that this air leak, if not repaired, will result in a pneumatic gate failure in approximately 10 day’s time. The good news for you is the system has already issued you a maintenance work order to address the problem before asset failure and unplanned downtime.

This scenario is made possible by a system equipped with primary and secondary sensors, and a complete Industrial Internet of Things (IIoT) solution that can turn raw machine data into valuable information.

For example, your pneumatic system has an airflow sensor, as well as a pressure sensor.  The conveyor systems are equipped with motor temperature sensors and vibration sensors.

In addition to the sensors, the rest of the assets on your line are controlled by typical PLCs, which are connected to software such as ThingWorx and Kepware.

You have also used your software to integrate manufacturing floor systems with real-time IT applications, asset maintenance tools, and ERP systems. This provides you with a real-time alignment of your IT and OT systems.

Now, all of your systems are throwing data out at a staggering 800 data points per second.

Your software’s machine learning then uses that real-time streaming data to establish a baseline of normal operating conditions. This way it can immediately connect and broadcast any anomalies that occur. It uses these anomalies, in conjunction with its prediction capabilities to notify you of future problems, just as in the case of the pneumatic failure.

Now that you have an understanding of what is happening under the hood, let’s take a look at how all this comes together to enable real-time operational intelligence.

Pretend you are a production manager. Using software like ThingWorx Navigate and Kepware you have complete visibility into all of your factory operations. You can see all of your work orders, lines, and all of their critical KPI’s.

On your device, you notice an orange status indicator on line one (that was created from the air leak earlier). Once that air leak has been repaired, everything returns back to normal, just as you would expect.

Let’s explore one more hypothetical situation. Consider yourself to be an operator. In this case, you have just been assigned a new order for a thousand units that need to be delivered and expedited for an end-of-day delivery.

You’re notified of the order and in this smart connected scenario you, as an operator have a single portal from which you can see and execute all of your work. Through a single pane of glass, you now have access to your business systems information and your operational data including the KPIs from your line.

On your device, you also have up-to-the-minute visibility of the OEE (Overall Equipment Effectiveness). You see real-time data measurements of your manufacturing operation’s availability, quality, and performance.

Let’s see how some of these metrics might change if we go ahead and speed up the line to accelerate the current order, in order to make room for that expedited order.

To do that you switch the line speed from level one to level two. What you see in seconds on your device is that line speed has increased, and your assemblies are still passing the quality check.

Within a couple of minutes and a few additional cycles, on your device, you see both your performance and OEE trending upwards.

As an operator, you now are assured that you are going to meet your end-of-the-day deadline.

Using these hypothetical situations, together we have painted a picture demonstrating how you can connect disparate assets from different vendors, to provide real-time information.

You’ve also seen how you can leverage role-based applications that combine business systems information and operational data to empower your workforce with real-time actionable intelligence.

By integrating machine-learning capabilities you brought a whole new level of predictive intelligence to your factory floor, identified problems, and resolved issues with minimal impact on operational performance.

This is exactly how real-time information and predictive analytics can unlock value for your organization.