Yokogawa’s New Company Propels DX in Manufacturing

Yokogawa Electric Corporation has established Yokogawa Digital Corporation. To illustrate, the establishment of the new company aims provide management consulting services to manufacturers. Particularly, it will cover everything from business management to plant operations.

Yokogawa Digital will leverage Yokogawa’s operational technology (OT) and information technology (IT) knowledge and capabilities to provide not only consultation but also cloud system implementation, operation, and maintenance services. Consequently, these capabilities will connect business management and manufacturing operations, enabling the integrated administration of global operations. Hence, facilitating digital transformation (DX). The company will start operating on October 1 and will initially provide its services to customers in Japan.

Enterprise-Wide Optimization

In recent years, manufacturers all over the world have been striving for sustainability transformation (SX). While dealing with the COVID-19 pandemic, supply chain issues, and the need to contribute toward the SDGs and implement ESG management, companies must also optimize their business activities operations. Particularly, from management and the supply chain through production, to increase competitiveness and achieve a sustainable society. To accomplish these objectives, DX including the utilization of AI is essential.

The global optimization provided by Yokogawa Digital

However, as each organization has its own individually optimized systems and processes, integration is not simple. Furthermore, in many cases, the current DX initiatives go no further than partial optimization.

Obviously, to achieve more significant results, it is necessary to globally integrate the management of systems and processes at factories and offices. Ultimately, the aim is for enterprise-wide optimization.

By doing so, companies can ensure that their business strategy takes root throughout the organization and achieve SX in the truest sense.

To achieve this comprehensive optimization, Yokogawa Digital will provide its customers with consulting services that span the entire range from business management to site operations. Furthermore, making proposals for highly viable actions and creating roadmaps, Yokogawa Digital will undertake system implementation and maintenance. The new company will do this along with Yokogawa Solution Service Corporation. Hence, providing customers the support they need to deliver results.

Solutions Yokogawa Digital will introduce include subscription-based software as a service (SaaS) services that run on Yokogawa Cloud. In addition, an industrial transformation and Internet of Things platform. In other words, providing customers immediate access to the latest technologies.

Boost Digital Factories

Yokogawa already has experience helping its customers improve their operations by offering comprehensive consulting services. This covers everything from business planning to information systems and manufacturing.

Likewise, under its own DX plan, the company is working on initiatives such as the conversion of all 18 Yokogawa manufacturing plants around the world into digital factories. In fact, these factories have already delivered results. These include in areas such as the transfer of production technologies and skills, improvement of quality and productivity, and optimization of supply chains.

In addition, the forming of alliances and investment in IT companies also yielded to research and development.

Through Yokogawa Digital, Yokogawa is bringing together under one roof personnel with expertise in management/operations consulting and digital technology. For that reason, enhancing its consulting capabilities will help customers increase competitiveness. Hence, Yokogawa Digital will provide management consulting services alongside DX, IT, and maintenance services.

Hitoshi Nara, president & CEO of Yokogawa Electric Corporation said, “Yokogawa is pushing ahead with industrial automation to industrial autonomy (IA2IA) and smart manufacturing initiatives to provide greater value to our customers. We have established Yokogawa Digital to drive the utilization of digital technology and the connection of processes and organizations that leads to comprehensive global optimization.”