MEE80003 Introduction to Industry Case Study Sample

MEE80003 Introduction to Industry

Assignment Brief

Write a Case Study Report analysing a company or business that is currently implementing or in development of implementing Industry 4.0 practices. You may pick any company; however, you are encouraged to select an Australian based one. The report should be written using the following structure.

1. Introduction

a. Introduction of the business and definition of Industry 4.0

i. With appropriate referencing

b. Brief summary of the company and their recent works

2. Industry 4.0 Elements

a. Underlying components of the company that are implementing Industry 4.0
i. Software
ii. Automation strategy
iii. Digitalisation
iv. Manufacturing execution systems
v. Virtual Manufacturing
vi. Etc...
3. Implementation Process

a. Analysis of the company’s transition to Industry 4.0
i. Goals, Planning, Strategy
ii. External Cooperation or Partnerships
iii. Training and deployment
iv. Etc...

4. Analysis and Discussion

a. Strengths and Weakness for the company

b. Competitive advances made by implementing Industry 4.0

5. Summary and Conclusion

6. References

a. 7-8 academic references

Note : Include relevant photographs and illustrations as examples and evidence

Solution 

Introduction

Introduction of the business and definition of Industry 4.0

Intelligent production, also known as Industry 4.0, is the culmination of the technological advancements made in the sector. It offers actual-time choices, increased efficiency, adaptability, and mobility to completely change how businesses produce, develop, and market their goods. Sophisticated detectors, embedded programmes, and automation are features found in intelligent manufacturing facilities that gather and process information to improve decisions (Ghobakhloo, 2020). Combining operational statistics from ERP systems, logistics, marketing, and other business applications with intelligence from production processes yields even more benefit by opening up formerly closed doors to fresh kinds of transparency and understanding.

Business Overview

Member of the multinational Coles Group, Coles Supermarkets Australia Pty Ltd, business as Coles, is an Australian network of supermarkets, grocery stores, and customer services with its headquarters located in Melbourne (Coles, 2024). George Coles established Coles in 1914 in Collingwood, and the company today runs 846 stores across Australia, some of which are now known as Bi-Lo stores. Throughout the 2023 fiscal year, Coles Group supermarkets recorded an overall sales profit of 41.47 billion Australian dollars (Statista, 2024). With more than 120,000 workers, Coles holds about 27% of the Australian market. Four thousand workers are housed at Coles' expansive headquarters in Melbourne's inner southeast. The business's e-commerce ('click & collect’ and home delivery) business is called Coles Online.

Fig: Total group sales revenue of the Coles Group in Australia from the financial year 2014 to 2023
Source: Statista, 2024

Industry 4.0 Elements

Underlying components of the company that are implementing Industry 4.0

i. Software

To save expenses, Coles intends to implement Palantir's technologies throughout over 840 stores. Based on the mystical seeing gemstones of the Lord of the Rings, the technology business provides all-inclusive software that gathers, arranges, and displays a customer's data on "one platform to rule them all." Palantir's capabilities may be used by a spy agency to determine a criminal group based on messages and payments, or for a medical institution to uncover methods to reduce costs by reducing trips to the emergency room. An emphasis will be placed on the construction of automated distribution facilities, the installation of customer-tracking recording devices, and other advanced safety measures (Lee et al., 2020).

ii. Automation strategy

Palantir usually starts by deploying "forward-deployed programmers" to deal with an organization's data, which is frequently disorganised, missing, and fractured. To combine everything into one cohesive unit known as "The Ontology," which includes all the details considered pertinent, these professionals collaborate with other departments and partners.

Subsequently, the information can be included in Palantir's systems, specifically its Artificial Intelligence Engine and the Foundry, which are configurable programmes. Using complex yet simple user interfaces filled with boxes, rows, columns, and lines, these systems enable users to gain insight into the information. Models for languages akin to ChatGPT are also included in the Artificial Intelligence Framework for MBA assignment expert.

iii. Digitalisation

Coles has implemented a computer programme in the back office to automate vehicle initial training and digitising the arrival and departure of its distribution centres.

A worldwide management of supply chain technology called GT Nexus, which streamlines global commerce activities, is also being fully implemented by the grocery chain. The upgrades come as an element of Coles' four-year restructuring programme, Smart Marketing, which also features significant automation expenditures.
iv. Manufacturing execution systems

The Proficy Smart Factory software is a collection of local and cloud-based solutions. Utilise the integration of data, neural networks, statistical analysis, the Industrial Internet of Things (IIoT), and knowledge and insight to change the company's manufacturing operation. Proficy Smart Factory MES technology combines both the digital and physical realms of production to provide comprehensive performance monitoring for modern networked businesses. Major Australian supermarket Coles has selected Infor Nexus for its international commerce platform to improve the company's insight into the worldwide supply chain (Malik et al., 2021). This announcement was made by Infor, an innovator in company cloud-based software with industry-specific specialisation. Coles' worldwide supply chain will be modernised, expenses will be cut, and importation will be streamlined with the implementation of the international commerce network.

v. Virtual Manufacturing

Among the main elements of Industry 4.0, the latest phase of the industrial revolution, which aims to improve the way goods are produced, is virtual manufacturing. Industry 4.0 digital manufacturing uses current information from monitors along with other integrated equipment to help companies optimise their manufacturing procedures. Industry 4.0 relies heavily on online virtual production platforms, which allow producers to successfully and cooperatively develop, evaluate, and optimise their procedures. Radiofrequency identification (RFID) technology can be utilised by Coles to allow the computerization of various manufacturing procedures and to give direct control and visibility over the supply chain. (Malik et al., 2020).

Fig: Industry 4.0
Source: Google images

Implementation Process

Analysis of the company’s transition to Industry 4.0

i. Goals, Planning, Strategy

Embracing new technology and creating new types of smartness that boost skills are what is meant by the phrase "industry 4.0." Coles can enhance their likelihood of success in the current digital landscape by implementing an Industry 4.0 strategy by adhering to these seven essential principles.

1. Determine the extent of the business and match its objectives with the overarching plan of the organisation. Establish an explicit outline of the objectives and order their efforts according to enhancing the efficiency of their operations, streamlining the chain of value, and considering the potential for developing novel company models.

2. Encourage an atmosphere at work where instruction, testing, and innovation are valued and encouraged.

3. Identify the skills that require development from sources inside as well as outside.

4. Hire and supervise people with an emphasis on interdisciplinary teams and the ability to analyze data as a powerful tool.

5. Choose a group of suppliers with proven technology to begin expanding their ideal partner ecosystem.

6. Take a systemic approach and hone network leadership abilities.

7. Begin with experimental initiatives, verify the outcomes, and organise the learning methods.

ii. External Cooperation or Partnerships

The transportation of a company's primary goods and services has historically been controlled and operated by the company. Their methods of delivering their services have involved mostly commercial partnerships with suppliers, in-house innovation leadership, and analysis of client demands. As we enter the Industry 4.0 age, businesses are realising more and more that they must rethink their offers, speed and expand creativity, and provide services in collaboration with others in the ecosystem. This is due to an evolution in client demands beyond the supply of products to the enabling of results. Businesses are pursuing unexpected alliances to improve customer satisfaction. By collecting and contributing money to assist people after as well as during calamities, Coles aids the Australian Red Cross with its humanitarian efforts. Coles participates in Disaster Prepared Week, an initiative of the Australian Red Cross (Coles, 2024). Every year in September, Emergency Ready Week is a time to enhance community and people's preparedness by providing useful online resources.

iii. Training and deployment

Coles Australia’s transition to Industry 4.0 consists of various ranges of training and deployment which is aimed at deploying employees with skills for the online era. These skills include training on new technologies such as automation, robotics and AI (Bajic et al., 2020). moreover, Coles should invest in their upskilling programs, workshops and partnerships as mentioned above, to ease the consumer experience.

Fig: Shift from traditional Supply Chain to Digital Supply Networks
Source: Deloitte insights, 2024

Analysis and Discussion

a. Strengths and Weaknesses of the company

Strengths

● Broad Retail Networking: Coles runs more than 1,800 stores, comprising more than 840 grocery stores, throughout Australia.

● Various Company Activities: Coles has expanded its activities outside supermarkets to include Coles Online and Coles Liquor.

● Robust Company and Competitive Positioning: Coles is the most well-known and dependable supermarket brand in Australia.

● Huge Personnel and Vendor Networking: Coles has an important edge in its supply network with a workforce thanks to its over 8,000 vendors and 120,000 employees.

● Strategic Alliances and Loyalty Schemes: Among Coles' most well-known loyalty schemes in Australia is Flybuys, which the company participates in. This is a strategic advantage.

● Creativity and Flexibility: Coles has demonstrated innovation in its commercial policy through actions like creating Officeworks in reaction to the retail industry's trend of category-killers.

Weaknesses

● Rivalry: Woolworths, Aldi, and an increasing quantity of lesser, specialised businesses, as well as several big players, pose serious challenges to Coles' position in the retail sector.

● Reliance on the Australian Market: Due to Coles' extensive Australian activities, the company is subject to the political, social, and economic climate of that nation.

● Difficulties in the Management of Supply Chains: Keeping a successful supply chain is difficult due to its extensive network of more than 8,000 providers.

● Client Perception and Trust: Coles strives to be Australia's preferred seller, but sustaining and growing customer trust is a constant struggle.

● Operational Costs: Running a large network of retail locations and the structure that supports them is expensive.

● Responding to Online Movements: The retail industry is changing quickly in response to technological trends such as digital payments, delivery services via the internet, and online commerce.

● Ecological and Viability Pressures: The emphasis on sustainable development is growing among consumers and policymakers.

b. Competitive advances made by implementing Industry 4.0

The human-centred Industry 4.0 is characterised by two technological innovations: the Industrial Metaverse and Artificial Intelligence. The absence of skilled workers capable of handling the latest technological advancements is a problem shared between AI and the Manufacturing Metaverse. The majority of investigations concur that the biggest obstacle to the industrial metaverse and the use of artificial intelligence for production will be an educated labour shortage.

Summary and Conclusion

In conclusion, this paper portrays the importance of the relevance of Industry 4.0 in today’s world. Coles Australia, with its sustainable practices and advancements in technologies, can adapt and implement the Industry 4.0 metrics. This can be achieved by the underlying components of the company and through rigorous planning and strategies (Rathore, 2023). External cooperation and their partners will also enhance consumer experience and give Coles Australia a cutting-edge in the retailing sector along with its competition. Moreover, an acute analysis of the company’s strengths and weaknesses will give them an upper hand in the market environment. 

References

Statista, 2024 Total group sales revenue of the Coles Group in Australia from financial year 2014 to 2023Accessed from: https://www.statista.com/statistics/1050187/australia-group-sales-revenue-of-coles-group-supermarkets/#:~:text=Published%20by%20Statista%20Research%20Department%2C%20Nov%2030%2C%

202023,has%20remained%20largely%20around%20this%20level%20since%202014. Accessed on: 18.03.2024

Coles, 2024 Our Businesses https://www.coles.com.au/about/who-we-are/businesses Accessed on: 18.03.2024

Ghobakhloo, M., 2020. Industry 4.0, digitization, and opportunities for sustainability. Journal of cleaner production, 252, p.119869.

Lee, J., Young, M., Krafft, P.M. and Katell, M.A., 2020. Power and technology: Who gets to make the decisions?. Interactions, 28(1), pp.38-46.

Malik, P.K., Sharma, R., Singh, R., Gehlot, A., Satapathy, S.C., Alnumay, W.S., Pelusi, D., Ghosh, U. and Nayak, J., 2021. Industrial Internet of Things and its applications in industry 4.0: State of the art. Computer Communications, 166, pp.125-139.

Malik, A.A., Masood, T. and Bilberg, A., 2020. Virtual reality in manufacturing: immersive and collaborative artificial-reality in design of human-robot workspace. International Journal of Computer Integrated Manufacturing, 33(1), pp.22-37.

Rathore, B., 2023. Digital transformation 4.0: integration of artificial intelligence & metaverse in marketing. Eduzone: International Peer Reviewed/Refereed Multidisciplinary Journal, 12(1), pp.42-48.

Bajic, B., Rikalovic, A., Suzic, N. and Piuri, V., 2020. Industry 4.0 implementation challenges and opportunities: A managerial perspective. IEEE Systems Journal, 15(1), pp.546-559.