Challenges in Implementing IIoT in Factories

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Change is inevitably hard and comes with a lot of friction. Employees don’t like change because they are accustomed to the existing system, and management does not want change because they find the current system comfortable. Change in an existing working system is often not appreciated. An IIoT system on an existing factory floor will face resistance from the workforce, but there are other challenges that decision-makers have to face too.

A decision to automate factory floors comes from top management. This sometimes goes up to the director or founder of the organization. Automation is excellent for today’s manufacturing industry, but beware of all the challenges it brings with it. For organizations, big or small, these challenges will pose problems at some stage of implementation of automation on your factory floor. Being aware and ready to face them will help manage the situation.

Some of the Challenges in IIoT Implementation in Factories

  1. Security Concerns: IIoT comes with devices, and devices with poor security and inadequate encryption or outdated software always present a threat to the system. Implementing an IIoT system does not end there but continues with the regular maintenance of the system. Updating the software and installing patches for your hardware is an integral part of securing your Industrial IoT systems. Many companies find it difficult to maintain security patches and manage devices effectively, presenting an opportunity for hackers. Threats are not often external but can also be internal due to poor physical security of the system.
  2. High Cost: The initial investment of IIoT infrastructure could go anywhere from a few hundred thousand rupees to crores, depending on the scale of your system and the automation you require. With small to medium-sized companies often finding the cost prohibitive, large organizations face problems too when it comes to budgeting for their system in the long run. While large companies often find resources for the initial investment in infrastructure that includes sensors, networking equipment, and cloud services, their future costs are often not accounted for. Ongoing costs related to data storage and management can become very expensive, especially when you start scaling the system.
  3. Integration Challenges and Complexities: Factories often use legacy systems that are not compatible with the latest IoT system integrations. Integrating IoT with existing legacy systems can often be challenging for developers and require custom solutions and testing to ensure seamless communication between systems. With legacy systems in place, the price increases for developing a custom solution, along with the chances of delays in implementation and making the system free of bugs and errors, often cost in terms of revenue and time. IIoT integration issues also occur with interoperability challenges between IoT systems from different vendors. With devices that are not compatible, there are increased complexities in integration and maintenance challenges in the future. Interoperability issues also increase security vulnerabilities that can be exploited. One of the major concerns of data interoperability problems is the creation of data silos. Breaking the silos will prevent your next component from receiving data, limiting data insights and affecting the entire system.
  4. Lack of Skilled Workforce: Many companies believe that implementing IIoT systems can reduce their manpower. This is often not true. With the implementation of IIoT systems, you are provided with information that can be used to optimize your existing system for better production and maintenance. IIoT systems often require a special, skilled workforce, which may come from your organization or require hiring for a new position. Currently, there is a shortage of skilled professionals in the IIoT industry to develop, deploy, and maintain IIoT systems, which can be a hurdle for companies looking to integrate IIoT systems on their factory floors. It is important to consider training your existing employees or hiring new ones to maintain your systems for the changes.
  5. Data Management: One of the biggest reasons IIoT is implemented is for preventive maintenance, among others. Whatever the reasons for implementing IIoT, the result is always the same: a lot of information. Information generated from your IIoT systems could range from a few hundred lines a day to thousands of records per hour. Depending on your infrastructure and requirements, your information is collected. Even with 100 records per day, your information could amount to thousands of records in a few weeks, making it impossible to derive any meaningful information. Your IIoT solution does not end with collecting data but involves converting that information into actionable insights. The information can be converted into actionable insights to enhance operational efficiency by using tools like Tableau and Power BI. Utilizing big data in manufacturing has increased efficiency in data management, which is always a challenge for medium and small-scale companies.
  6. Regulatory Compliance: All IIoT integrations should comply with the legal norms of the country in which they reside. This could be a challenge that may affect your operations and limit your integration possibilities.
  7. Cultural Resistance: One of the biggest problems, which requires a lot of input, includes cultural resistance. With employees accustomed to the existing manufacturing processes, many will resist the implementation of a new system. A lot of the resistance comes from the belief that their jobs are at risk, while some arise from the belief that there is additional work involved post-installation. Educating your workforce before the implementation, and not giving them an ultimatum or making the decision itself after or during the installation, helps remove most of the doubts in the system and will provide a smooth installation of your systems.

IIoT systems pose challenges from integration issues, data security, legacy system compatibility, and interoperability. However, when planned well and implemented correctly, some of these can be easily solved. Challenges like cost, time to install, test, and debug the system are sometimes unpredictable. The high implementation costs are one of the major reasons for IIoT implementation failures. Technologies like IIoT can scale, and you need to know, as a company, where to stop scaling and set limits at each stage to ensure that the system scales in steps. This helps complete the integration of each step before scaling to the next.