06/March/2025

Use Case: Implementation of Industry 4.0 in the Automotive Sector

Using Digitalisation (Industry 4.0 Practices) for Improving OEE in an Automotive Company

Challenges Without Real-Time Monitoring

Our client an automotive company based at Manesar, Gurugram, was facing several challenges due to the lack of real-time data monitoring, which negatively impacts OEE:

  • Low Productivity: Despite various efforts the OEE remains lower than expected level of 85%. This was resulting in efficiency loss, poor asset utilization, supply failures to customer, premium freights and customer dissatisfaction.
  • Unplanned Downtime: Without real-time insights, machine failures occur unexpectedly, leading to longer production stoppages and revenue losses.
  • Inefficient Maintenance Practices: Traditional maintenance approaches rely on fixed schedules, often leading to unnecessary servicing or missing critical failures.
  • Poor Data Visibility: Lack of centralized, real-time data makes it difficult for decision-makers to identify inefficiencies and optimize workflows.
  • Energy Waste: Ineffective energy tracking results in excessive consumption, increasing operational costs and environmental impact.

How Digitalization Improved OEE

  1. Live Performance Tracking

IoT-enabled devices provide real-time insights into machine uptime, performance, and quality. This helps factory managers assess operational bottlenecks and take proactive measures to enhance efficiency.

  1. Automated Alerts and Anomaly Detection

Smart analytics detect deviations in production and trigger automated alerts to prevent unexpected downtime. Predictive maintenance powered by machine learning reduces breakdowns and enhances equipment reliability. Delayed production start time and early shift closure were detected and highlight to management.

  1. Data-Driven Decision Making

Cloud-based dashboards consolidate real-time manufacturing data, allowing stakeholders to make informed decisions. Smart analytics help optimize production scheduling, resource allocation, and workflow efficiency.

  1. Empowered Workforce

DigitalFactory empowered the workforce to get immediate support in case of any issue at the production shopfloor. 2-click management Hotline improved the communication between workforce and management.

  1. Energy Efficiency Monitoring

Smart sensors track energy consumption across different production units. By identifying energy-intensive processes, manufacturers can implement strategies to reduce operational costs and improve sustainability.

Result

Real-time data monitoring through digitalization is a game changer for improving OEE in the automotive industry. By leveraging IoT and cloud computing, our client enhanced equipment reliability, reduce downtime, and drive operational excellence. DigitalFactory helped the customer to increase the OEE from 74% to 86% in within 90 days of deployment.

It was all become possible by the synergy of technology and management will. This is a first but important step taken into the future tech.

Author

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