Simulation now key to improving manufacturing performance

Further, two thirds of manufacturers claim that they will be increasing their investment in simulation next year, according to research by simulation specialist Lanner Group. Lanner CEO David Jones observes that the recession has "encouraged manufacturers to leave no stone unturned, when it comes to cost cutting", and now suggests that simulation is playing a "pivotal role in facilitating efficiencies". It's a grand claim, but 39% of his respondents say that the value of simulation has increased over the last two years, as their organisations recognise the savings and productivity improvements it can deliver, while 13% claim that it has moved up from one-off cost cutting exercises, to strategic projects. "As we return to growth, manufacturers are realising that simulation has an even bigger role to play in executing conservative growth strategies, which must be carefully aligned with cost cutting and minimise exposure to risk," explains Jones. "Simulation presents a low cost, low risk means of facilitating better decision-making, achieving efficiencies and boosting productivity in order to deliver profitability," he adds. That said, he concedes that not all of manufacturing is convinced. Lanner's own survey shows that two thirds of manufacturers still believe simulation is complex, or that they don't understand the technology. Nevertheless, Jones insists that just one in five manufacturers now feels that simulation is too time consuming to implement, and even fewer (15%) say that cost is a barrier – substantially less damning than in Lanner's last survey, 18 months ago. "While some misconceptions around [simulation's] complexity prevail, this research highlights that these are abating, which can only help manufacturing industry's quest to capitalise on economic growth," comments Jones.